The first 10-year agreement signed by New Delhi and Tehran to develop and operate a berth called Shahid Behesti in Chabahar was sunk by geopolitical challenges. Talks significantly slowed down in 2018 when the Donald Trump administration placed fresh sanctions on Iran. The Taliban’s return to power in Afghanistan in 2021 pushed out the country from the talks. Monday’s agreement is expected to finally realise a 21-year long effort by India to gain a strategic foothold in the region.
Story so far
Jan 2003: India starts interacting with Iran on developing a port at Chabahar city, located on the Gulf of Oman coast in Iran’s southeastern corner
Aug 2012: First trilateral meet between India, Iran, and Afghanistan to expedite investments into trade and transit, especially through Chabahar
Jan 2013: India commits investments of $100 mn for Iran’s first deepwater port at Chabahar
May 2015: India and Iran sign bilateral agreement; India to spend $500 mn to refurbish one berth (Shahid Beheshti terminal) in Chabahar, and reconstruct 600-metre-long container handling facility
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May 2016: Formal 10-year contract for equipping and operating Chabahar Port signed between Iran and India
2017
Oct: First Indian shipment carrying wheat goes through the port to Afghanistan
Dec: First phase of Shahid Beheshti terminal inaugurated by Iranian President Hassan Rouhani
2018
May: Formal short-term contract between the two sides signed after original contract faced delay in activation
Dec: India takes over port operations, including terminal area, cargo handling equipment, and office building
Feb 2019: First Afghan cargo transits through the port