News ID: 215668
Published: 1226 GMT May 25, 2018

India contract: Chabahar port terminal to temporarily go on stream

India contract: Chabahar port terminal to temporarily go on stream

An Indian company will supply equipment for Shahid Beheshti Port in Chabahar, in the southeastern province of Sistan-Baluchestan, said the managing director of Iran's Ports and Maritime Organization.

Mohammad Rastad told IRIB that based on a deal with India Ports Global Limited (IPGL), a port terminal is expected to temporarily come on stream in early July.

He said IPGL has agreed to invest $85 million to equip the port.

The official said the Indian firm has also committed to conduct all operations pertaining to loading and unloading goods and transferring containers.

Rastad added that the agreement with IPGL is a Build-Operate-Transfer (BOT) scheme concluded for 10 years.

He said Export Development Bank of Iran will provide a credit line worth $150 million for the development of Chabahar Port.

Rastad noted the capacity of Chabahar's Shahid Beheshti Port has increased from 2.5 million tons to eight million tons since the first phase of the development of Chabahar Port became operational six months ago.

The first phase of Shahid Beheshti Port was inaugurated in December last year.

The event, which was attended by Iranian President Hassan Rouhani, marked the beginning of a new chapter in economic development of Iran, India, Afghanistan and Central Asian states.

This is seen as an important step towards the implementation of the International North–South Transport Corridor (INSTC) — a 7,200-km-long multimode network  of ship, rail, and road route for moving freight between India, Iran, Afghanistan, Armenia, Azerbaijan, Russia, Central Asia and Europe.

INSTC's main objective is to increase trade connectivity between cities such as Mumbai (India), Moscow (Russia), Baku (Azerbaijan) and Tehran, Bandar Abbas, Astrakhan and Bandar Anzali (all in Iran).

The development of Chabahar Port plays a critical role in the implementation of the INSTC.

While the port's development is important to Iran, it is definitely of critical importance to India as it is a turning point in the South Asian state's foreign trade, providing it with easier and cheaper access to the markets of Afghanistan as well as the Persian Gulf littoral and the Central Asian states.

   
KeyWords
 
Comments
Comment
Name:
Email:
Comment:
Security Key:
Captcha refresh
Page Generated in 0/0565 sec