India - Iran Agreement on Chabahar Port

TIN news:   India-Iran cooperation in the field of development of infrastructure and regional connectivity including the development of Chabahar Port is in line with the Tehran Declaration (2001) and the New Delhi Declaration (2003).
A commercial contract for the development and operations of Chabahar Port was signed between Indian Joint Venture India Ports Global Pvt Ltd (a Consortium of Jawaharlal Nehru Port Trust and Kandla Port Trust) and Irans Arya Banader on 23 May 2016 in Tehran during the visit of the Prime Minister to Iran. Government of India and Port and Maritime Organization (PMO) of Iran signed the contract as Confirming Parties. The contract is for the period of 10 years.
As per the contract India will construct two terminals (five berths) at Chabahar Port according to the specifications agreed under the Inter-Governmental MoU signed between India and Iran on the 5th May 2015. The MoU envisages construction of a multipurpose cargo terminal (600 mtrs length) and a container terminal (640 mtrs length).
Participation in the Chabahar Port development will provide India an alternative and reliable access route into Afghanistan utilizing Indias earlier investment in Zaranj-Delaram road built in Afghanistan, and also a reliable and more direct sea-road access route into Central Asian Region. Chabahar Ports location at the Arabian Sea means that it would be able to skirt any challenges posed by developments in the Persian Gulf and Strait of Hormuz.
The Minister of State for the External Affairs Gen. Dr. V. K. Singh (Retd.) provided this information in reply to a question in Rajya Sabha today.