Chabahar port operation

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Context:

• Eight years after concluding the general framework of cooperation on the Cha-bahar port, India and Iran signed a 10-year contract for its operation.

Details:

• The long-term agreement was signed between Indian Ports Global Ltd. (IPGL) and Port and Maritime Organisation (PMO) of Iran.
• The agreement will enable the operation of the Shahid-Behesti terminal.
• IPGL will invest approximately $120 million in equipping the port.
• India has also offered a credit window of $250 million for mutually identified projects aimed at improving Chabahar-related infrastructure.

May 2015	●A memorandum of understanding for the development of the Chabahar port by India was signed.
May 23, 2016	●The contract was executed during the visit of the Prime Minister to Iran. ●A trilateral agreement to establish the International Transport and Transit Corridor (Chaba-har Agreement) was signed by India, Iran, and Afghan-istan.
May 2024	●India and Iran signed a 10-year contract for its operation.

About ChabaharPort

• It is a deep water port located in the Sis-tan-Baluchistan province of Iran.
• Chabahar Port is located in southeastern Iran, on the Gulf of Oman.
• It serves as Iran's only oceanic port, and consists of two separate ports named Shahid Kalantari and Shahid Beheshti, each of which has five berths.
• It is only about 170 kilometres west of the Pakistani port of Gwadar.

Significance:

• It is closest to India, and is located in the open sea, providing easy and secure access for large cargo ships.
• Chabahar is of strategic importance to both Iran and India. It can potentially help Tehran avoid the effect of Western sanctions, and offers New Delhi an alternative route that bypasses Pakistan, which does not allow India land access for trade with Afghanistan and Central Asia.
• It served as a vital trade artery connecting India with Afghanistan and Central Asian Countries.
• India will use the port for humanitarian aid shipments, reaffirming its commitment to support regional development beyond commercial interests.
• This port’s operatiliation and India’s effort showcases  India’s commitment to fostering goodwill and stability in the region.

 

Conclusion:

• The agreement is important for a new age of trade, marine coopera-tion, and transshipment and boosts trilateral trade between India, Iran, and Afghanistan. As India continues to invest in Chabahar port, its efficiency and capacity will be further enhanced, solidifying India's commitment to the region's economic development.

 

Chhabar Port details and challenges:

https://www.iasgyan.in/daily-current-affairs/chabahar-port-29

https://www.iasgyan.in/ig-uploads/pdf/dec2rs.pdf

 

Source:

https://epaper.thehindu.com/ccidist-ws/th/th_international/issues/83169/OPS/GMVCQ1JR8.1.png?cropFromPage=true

PRACTICE QUESTION Q. Consider the following statements about Chabahar Port: Chabahar Port is located in the Red Sea and serves as a key gateway to Central Asia, particularly for landlocked countries such as Afghanistan and Uzbekistan. Chabahar Port is exclusively managed by the Iranian government and has no international collaborations or partnerships. India has been actively involved in the development of Chabahar Port to establish a strategic foothold in the region and bypass Pakistan for trade with Afghanistan and Central Asia. Chabahar Port is primarily a commercial port, focusing solely on shipping and cargo operations without any strategic or geopolitical significance. How many of the above statements are correct? A) Only one B) Only two C) Only three D) All four Answer: B