Editorial: Strategic deal

The pact to develop Chabahar strengthens India’s role in the central Asian region

The signing of a ten-year agreement to develop and operate Chabahar, the strategically important Iranian port, reflects India’s continued pursuit of pragmatic and independent foreign policy objectives, despite the threat of sanctions from the United States, and strengthens its role in the economic development of the central Asian region. Located at the mouth of the Gulf of Oman, Chabahar is Iran’s first deepwater port that puts the country on the global oceanic trade route map. The port lies to the west of Iran’s border with Pakistan, about 400 km from Gwadar, a competing port in Pakistan being developed by China. Chabahar, located in the open sea providing easy and secure access for large cargo ships, is of strategic importance to both Iran and India. It can potentially help Tehran ward off the effect of Western sanctions and offers New Delhi an alternative route that bypasses Pakistan, which does not allow India land access for trade with the landlocked Afghanistan and Central Asia. The latest deal not only strengthens bilateral relations but also facilitates trade with Afghanistan and Central Asia, with plans to integrate the port into the International North-South Transport Corridor (INSTC). India’s investment in Chabahar’s infrastructure aims to improve trade routes and access to Central Asian markets. Iran is a crucial component of India’s geopolitical strategy on the Western plank as it offers access to its vast energy resources, connectivity and a huge investment opportunity.

This is the first time India will be managing a port overseas. The Chabahar port allows India to cut Pakistan out of the loop while sending its goods directly to Afghanistan and serves its goal of countering China’s attempts to expand its influence in the region through its Belt and Road Initiative (BRI). It also gives India access by road to four Afghanistan cities of Herat, Kandahar, Kabul and Mazar-e-Sharif. With this, India has demonstrated its capabilities and leadership to strengthen trade in the region without involving Pakistan which has consistently denied transit access to New Delhi to send goods through land routes. There is also an opportunity to use this project as a launch pad to integrate it with the larger connectivity project INSTC, initiated in 2000 by Russia, India and Iran. It also serves India’s goal of countering China’s attempts to expand its influence in the Indian Ocean. Beijing’s investments in ports and infrastructure in India’s neighbourhood as part of its Belt and Road Initiative have raised concerns in New Delhi and prompted it to expand its maritime footprint. India faces roadblock in establishing land-based trading with countries to its west, as virtually all of those routes would have to go through Pakistan. Establishing a sea-based trade route to Western and Central Asia via the Chabahar Port would allow India to bypass Pakistan and establish trade networks with the countries in these regions.

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