The United States has issued a cautionary message to nations contemplating business ventures with Iran that could potentially expose them to sanctions. This warning came shortly after India finalized an agreement to manage Iran’s Chabahar Port for a decade.
During a daily news briefing on May 13, US State Department Deputy Spokesperson Vedant Patel emphasized the potential risks of engaging in business dealings with Iran, specifically mentioning the Iran-India deal concerning the Chabahar port.
While acknowledging the Chabahar port deal, Patel refrained from commenting on India’s foreign policy objectives, stating that it’s best left to the Indian government to articulate its stance on the matter.
Regarding India’s partnership with Iran on the Chabahar port, Patel reiterated the ongoing US sanctions against Iran and the US commitment to enforcing them.
India’s involvement in the Chabahar Port includes a long-term bilateral contract signed between Indian Ports Global Limited (IPGL) and Iran’s Port & Maritime Organisation (PMO), enabling IPGL to operate the Shahid-Behesti port within the Chabahar Port Development Project for a decade. Under this agreement, IPGL plans to invest approximately USD 120 million to enhance port facilities, with India also extending a credit line of USD 250 million for infrastructure projects related to Chabahar.
The significance of the Chabahar Port for India lies in its potential to serve as a crucial transit point for trade with Afghanistan and other Central Asian landlocked countries. India has actively contributed to the development and management of the Chabahar Port, recognizing its strategic importance.
