Iran and India Revive Vital Link in North-South Corridor

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New Delhi, Sea NewsInternational Service: Iran and India have decided to revive the development of the railway route between Chabahar Port and Zahedan city. In 2015, India signed a memorandum for the development of Iran’s Chabahar Port, and in 2016, during the visit of India’s Prime Minister to Iran, this agreement was executed, but renewed sanctions against Iran limited India’s development of this port.

This initiative aims to strategically utilize Chabahar Port as a gateway to the International North-South Transport Corridor (INSTC). Two informed Indian officials have announced that this corridor is designed as the primary commercial route for Central Asian and Eurasian countries situated in the eastern Caspian Sea and Afghanistan.

This decision has been taken due to the increased operational capabilities of Chabahar Port and the enhancement of container and dry cargo transportation. This year, Chabahar Port is expected to handle a significant volume of cargo, including 80,000 TEUs (Twenty-foot Equivalent Units) and 3 million tons of dry cargo.

 

Current Status of the Project

Progress on the 700-kilometer railway line between Chabahar and Zahedan has been negligible since the memorandum was signed between India’s IRCON and Iran’s Construction and Development of Transportation Infrastructures Company (CDTIC) in 2016. However, given the geographical and economic importance of this port, India has decided to revive this railway line to connect all forms of transportation, including roads and railways, to Chabahar Port.

It was in May of this year when India and Iran signed a long-term contract for the development of Chabahar Port. IPGL has taken over operations at the Shahid Beheshti Terminal in Chabahar, which includes a container terminal and a multipurpose berth. This terminal currently provides services for both bulk and container cargoes.

 

Future Plans of India for Chabahar Port

This marks India’s first foreign investment in such infrastructure. The current capacity of Chabahar Port for cargo handling is 8 million tons, and India plans to expand it to 18 million tons.

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