Iran, India trade relations: Iran separates India from plan to connect Chahbahar port to Zahedan by rail

Iran has decided to build a railway line from the port of Chah-e-Bihar to the city of Zahedan near the Afghan border without India's help.  Iran has made this decision due to the non-availability of funds from India for the construction of the railway project and delay in its commencement.  India's leading newspaper, The Hindu, quoted Iranian officials as saying that Iran would now launch the project without India's cooperation.  According to officials, کروڑ 400 million has been initially allocated for this from Iran's National Development Fund. Iran's Minister of Transport and Urban Development Mohammad Islami last week inaugurated the laying of the 628-kilometer Chah-e-Bihar-Zahedan railway line.  In the future, the railway line will run from there to the Zaranj region of Afghanistan. The entire project is expected to be completed by March 2022.

The railway agreement between India and Iran was reached when Indian Prime Minister Narendra Modi visited the Iranian capital, Tehran, to sign an agreement on the construction of the Chahbahar port.  The agreement between Iranian Railways and Indian state-owned company Indian Railways Construction Limited is part of a larger plan to build an alternative trade route between India, Afghanistan and Iran.  Indian railway engineers and other officials have visited the area several times in the past from where the project is to begin.  The Iranian authorities also made several preparations to start it and urged the Indian company to start work, but India did not start it due to fear of action by the United States.  Image copyright AFP   The interesting thing in this case is that the United States had exempted the Chahbahar and Zahedan railway lines from sanctions. US sanctions have made it difficult for Iran to obtain equipment and construction partners for the project.  Separation from the project is a major setback for India. Iran has made this decision at a time when Iran is going to sign a 25-year strategic partnership agreement with China.

According to The Hindu, the blueprint for the wide-ranging co-operation between the two countries ranges from investment in infrastructure construction, manufacturing and modernization of the energy sector and transport to modern ports. , Refineries and other key installations will be rehabilitated.

During this period, Iran will continue to supply crude oil to China at a discounted price.

It is learned that Chahbahar port, which is being constructed by India, may also be leased to China. It is noteworthy that Iran had also proposed an agreement between the Chinese-administered port of Gwadar and Chah-e-Bihar under construction in Pakistan last year.

China had also invited investment in the Bandar Jashk and Chahbahar duty-free zone, 350 km from Chahbahar.

India is taking a keen interest in China's growing presence and influence in the region. Experts here believe that if a cooperation and partnership agreement is reached between China and Iran, then China will have control from Pakistan to the Iranian sea.