India and Iran a signed a historical deal to develop the Chabahar port in Iran which will open Central Asian markets for India. The agreement was signed between Indian Ports Global Pvt Limited and the Ary Bander Company of Iran. It envisages the development of two terminals and five multipurpose cargo berths during its Phase 1 of the Chabahar port project. Indian investment in Phase 1 will be around 500 million dollars.
"Chabahar can become a very big symbol of cooperation between Iran and India," Iranian President Rouhani said after the agreement.
Indian Prime Minister Modi also exuded confidence and said that, "India and Iran are not new friends. Our dosti (friendship) is as old as history."
India, Iran ink pact to develop #ChabaharPort; our dosti as old as history, says PM #Modihttps://t.co/zAAKVDXoZ6 pic.twitter.com/CwvNQHNaKY
— India Today (@IndiaToday) May 23, 2016
Chabahar port in the South-East Iran will help India to directly access Afghanistan and Iran, which is essential for it to maintain strategic and economic ties with both the countries. Further it will also help India counter increasing Chinese influence in this region.
