Connect with us

Featured

Iran-India Chabahar Port Deal: Iran Kicks-Out India from Chabahar Rail Project citing funding delays

Iran-India Chabahar Port Deal: The railway project was meant to be part of India’s vow to the trilateral deal between India, Iran and Afghanistan to develop an alternate trade route to Afghanistan and Central Asia bypassing a hostile Pakistan.

Published

on

The Iran-India Chabahar port deal has run out of fuel. Iran has reportedly expelled India from the Chabahar rail project according to a report by The Hindu.

According to the report – four years after India and Iran signed a deal to construct a rail line from Chabahar port to Zahedan, Tehran has decided to proceed with the project by itself citing delays from New Delhi.

US exasperated over Iran-China $400 billion pact

The report writes – The Iranian Transport and Urban Development Minister — Mohammad Eslami inaugurated the track-laying process for Chabahar-Zahedan line, which will be extended to Zaranj in Afghanistan. Iranian officials told The Hindu that the complete project would be finished by March 2022 and that Iranian Railways will proceed without India’s support, using nearly $400 million from the Iranian National Development Fund.

The railway project was meant to be part of India’s vow to the trilateral deal between India, Iran and Afghanistan to develop an alternate trade route to Afghanistan and Central Asia bypassing a hostile Pakistan.

Chabahar Port No Longer A Top Priority For Modi-Government As India, Iran Drift Apart: OpEd

In May 2016, during PM Modi’s visit to Iran to sign the Chabahar pact President Rouhani and Afghan President Ashraf Ghani, IRCON had signed an MoU with the Iranian Rail Ministry. The MoU was to construct the Chabahar-Zahedan railway as “part of transit and transportation corridor in a trilateral agreement between India, Iran and Afghanistan”.

However, according to the Hindu, despite several site visits by IRCON engineers, India never commenced the work, apparently due to apprehensions that these could attract U.S. sanctions.

The U.S. had provided a sanctions waiver for the Chabahar port and the rail line to Zahedan, but it has been difficult to find equipment suppliers and partners due to concerns they could be targeted by the U.S., according to key officials.

 

US-China ties to worsen as Trump set to block all Chinese claims in South China Sea

Iran wanted India to accelerate the acquisition of heavy equipment and expedite work on a railway link to the Afghan border to boost the economic viability of the Chabahar port, according to experts.  As per earlier reports, – there was a written assurance from the US that will make it easier for banks to provide funds for the procurement of heavy equipment” said an expert.

In late 2018, the US had approved a waiver for Chabahar and the construction of a railway line from the port to the Afghan border from sanctions under the Iran Freedom and Counter-Proliferation Act of 2012. However, banks had been reluctant to provide loans for buying heavy equipment due to US sanctions.

S-400 vs Rafale: Turkey to deploy Russian S-400 Missile to counter French Rafale Jets

Iranian President Hassan Rouhani had earlier raised the Chabahar-Zahedan rail link at a meeting with Indian external affairs minister S Jaishankar in Tehran and asked India to expedite work on it to “benefit regional trade relations”.

During that visit, India and Iran had agreed to boost Chabahar’s economic viability, including steps such as providing higher subsidies to merchant shipping using the port.

Advertisement
Advertisement

Facebook

FEATURED

Japan-Russia Japan-Russia
Asia Pacific1 hour ago

Russia, Japan Tensions Set To Explode; Moscow To Deploy S-300 Missiles In The Disputed Kuril Islands

Another round of discord may erupt between Russia and Japan over the long-disputed Kuril islands (known in Japan as the...

Pakistan-FDI-china Pakistan-FDI-china
Americas3 hours ago

Pakistan, China ‘Seriously Concerned’ After India Signs Geospatial Pact With The United States

With BECA (Basic Exchange and Cooperation Agreement) India received a massive boost to access American capabilities including geospatial intelligence for...

TURKEY TURKEY
Featured4 hours ago

Turkey Aghast As French Magazine Charlie Hebdo Publishes ‘Loathsome Caricature’ Of Erdogan

Turkey has denounced French weekly magazine Charlie Hebdo for publishing “loathsome so-called caricatures” purportedly of President Recep Tayyip Erdogan. “Charlie...

Putin-Macron Putin-Macron
Americas14 hours ago

From Rafale Jets To Airbus – How Will Turkey, Qatar & Egypt Manage To Boycott France?

French President Emmanuel Macron has gone all-out in his attempt to defend the controversial cartoons of the Prophet Mohammed, which...

US-ELECTIONS-20202-TRUMP-BIDEN US-ELECTIONS-20202-TRUMP-BIDEN
Americas14 hours ago

Why US Media Is Again Underestimating Donald Trump & Ignoring His Master-Strokes?

Many analysts also fear that Joe Biden could reverse Donald Trump's policies of going tough on China and Iran while...

putin-russia putin-russia
Featured16 hours ago

French Dassault Fighter Jets Intercepted By Russian Su-27 Over The Black Sea

The Russian Defense Ministry’s National Center for Defense Management has said that Russian Air Force’s Su-27 intercepted several French attack...

ISRAEL-UAE ISRAEL-UAE
Featured17 hours ago

UAE Attempts To Woo Indonesia As It Normalizes Ties With Israel

In a historic visit, a delegation of UAE’ senior officials visited Israel for the first time, after the peace treaty,...

F-22-RAPTOR F-22-RAPTOR
Featured19 hours ago

Not Happy With F-35 Jets, Israel Looks To Acquire The Ultimate Dogfighter – F-22 Raptors From The US

Nowhere did Israel President Benjamin Netanyahu see that the historical normalisation “Abraham Accord” it has signed with the United Arab...

Russia-China Russia-China
Asia Pacific23 hours ago

Russia Equips Chinese Special Forces With Latest Helicopters As It Battles India In The Eastern Ladakh

With a military stand-off that enters its sixth month not soon from now, neighbours India and China have entered an...

HYPERSONIC-MISSILE HYPERSONIC-MISSILE
Featured24 hours ago

India, Russia To Develop Advance Version Of BrahMos Missiles Especially For Targeting AWACS – Reports

India and Russia are planning to develop an advanced version of Indo-Russian cruise missile BrahMos, which will be capable of...

Advertisement