Results for: India-Iran relations

Prime Minister Narendra Modi extended his deepest condolences upon the tragic demise of Iranian President Ebrahim Raisi, who passed away in a helicopter crash. India stands in solidarity with Iran during this time of mourning. Bilateral relations between India and Iran have witnessed significant progress under Raisi’s leadership, with increased trade and cooperation in various sectors. The Chabahar Port Deal, signed between the two countries in May 2023, is a testament to their expanding partnership.

India’s External Affairs Minister S. Jaishankar emphasized the regional benefits of the Chabahar Port project, despite warnings of potential sanctions from the US. Jaishankar expressed confidence in communicating the project’s broader relevance to all parties involved.

The United States has cautioned countries considering business agreements with Iran, emphasizing the potential threat of sanctions. This warning comes after India inked a 10-year pact to manage Iran’s Chabahar Port. The US State Department emphasized that entities engaging in Iranian transactions should be mindful of possible sanctions. India’s decision regarding the Chabahar port will be addressed by its government, according to the US spokesperson. Despite India’s investment in the Chabahar project, US sanctions against Iran remain in effect and will continue to be enforced.

After protracted negotiations, India and Iran are set to sign a long-term contract for the development of Chabahar Port. The agreement will cover a period of 10 years and aims to accelerate the development of the strategically important port. The Chabahar Port, located in southeastern Iran, provides India access to markets in Afghanistan and Central Asia. It also serves as a strategic gateway for the International North-South Transport Corridor. The contract signing is expected to take place after India’s general election in the second half of 2024.