India to tie up with Iran for Chabahar, its answer to Pak's Gwadar port

[Soulspeek]

Its not Indian's who are whining over Gwadar. Pakistanis think that they are the only country in the world which has got key to central asia- arabian sea. If Chabahar is made operational as planned then Central Asian states and Afghanistan will have one more option to access Arabian Sea. No more monopoly of Pakistan. Good news for all parties involved.

 

[slapshot]

Why would Iran want to be a part unwanted regional tension with China/Pakistan?

 

[Stephen Cohen]

After A few years ; China will find Chabahar MORE atractive than Gwadar

After all Iranian economy is much larger than Pakistani economy
and Iran has oil and Gas

 

[wiseone2]

Why would Iran want to be a part unwanted regional tension with China/Pakistan?

Why would Pakistan pick a fight with Iran ? Iranians have oil/gas reserves you can only dream of

 

[Sneaker]

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EEZ and beyond is not enforceable/restrict-able for "innocent passage" of even warships. But land boundary is...

 

[khujliwal]

Ok. Good Luck. I thought India was a big country. It is but its brain is of a mouse. Cant you guys think beyond Pakistan?

Brain of a mouse is exposed when people cheer for a port after leasing it to a foreign country, that too for 40 years. Technically speaking, any complications that arise due to Ch and Gw ports are matters between India and China for now(for 4 decades if you get it back). So just chill.

 

[Emmie]

NEW DELHI: India will push ahead this week with plans to build a port in southeast Iran, two sources said, with Prime Minister Narendra Modi keen to develop trade ties with Central Asia and prepared to fend off US pressure not to rush into any deals with Iran.

India and Iran agreed in 2003 to develop a port at Chabahar on the Gulf of Oman, near Iran's border with Pakistan, but the venture has made little progress because of Western sanctions on Iran.
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Now, spurred on by Chinese President Xi Jinping's signing of energy and infrastructure agreements with Pakistan worth $46 billion, Modi wants to swiftly sign trade deals with Iran and other Gulf countries.
"Shipping Minister Nitin Gadkari will travel on a day-long tour to Iran to sign a memorandum of understanding for development of Chabahar port," a shipping ministry source with direct knowledge of the matter told Reuters. The deal will be signed on Wednesday, he said.
Encouraged by the prospect of a deal between world powers and Tehran by June 30 on Iran's nuclear programme, after which sanctions could be eased, India recently sent a delegation to Iran to scout for trade, energy and infrastructure deals.
The United States cautioned India and others last week against strengthening ties with Iran ahead of a final agreement. But Indian officials said New Delhi could not ignore its national interest and noted a report that a US energy delegation was visiting Iran.
"We don't want to miss this opportunity and will move as expeditiously as possible," the shipping ministry source said. India's cabinet approved the plan to develop Chabahar port last year.

Iran has also proposed a free-trade agreement with India, a trade ministry source said. Rupee-denominated trade with Iran, started in 2012 because of complications arising from sanctions, has almost doubled Indian exports to Tehran in the past two years to $4 billion.

Now Indian exporters want to build on that, using a free-trade zone being developed near Chabahar to export more to the Commonwealth of Independent States, made up of former Soviet Republics, said Mumbai-based Khalid Khan, regional head of the Federation of Indian Export Organisations.

"It will be Modi's gift to Iran and Indian exporters," he said of the port project.

Bypassing Pakistan: India wants to build the port as it would cut transport costs and freight time to Central Asia and the Gulf by about a third. The port is also central to India's efforts to circumvent Pakistan and open up a route to landlocked Afghanistan where it has developed close security ties and economic interests.
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India has already spent about $100 million to construct a 220-km (140-mile) road in western Afghanistan to link up with Chabahar port.

Last week Modi assured Afghan President Ashraf Ghani of India's commitment to building the port.
Chabahar is just along the coast from Gwadar port in Pakistan that is being developed with China's help, said Robin Mills, head of consulting at Dubai-based Manaar Energy. "So there is a strategic element for the Indian side".
Iran could rapidly develop as a destination for global investors if Western sanctions are lifted and Modi wants to fast-track the port project before Tehran has time to rethink. At the weekend, Iranian media reported that Iran had turned down an Indian request seeking multi-billion-dollar development rights for the Farzad B gas field.
"I think India should try to push ahead and take advantage wherever they can before Iran changes its mind," Mills said.

India to tie up with Iran for Chabahar, its answer to Pakistan's Gwadar port with China - The Economic Times

Poor reporting! India ain't planning to build an altogether new port, it intends to expand already existing port of Chahbahar. One simply can't build such a highly customized port from scratch with $85 million in pocket. The plan is to convert two berths, one into a container terminal and one into a multi purpose cargo terminal and get them on lease for a decade.

How is it an answer to Gawadar port? The main purpose of Gawadar port is to give access to China and central Asia to Arabian sea. China-Pakistan economic corridor which is going to get billions of investment per se is a trade and transport route aimed to connect countries to port of Gawadar. I can't understand how the expansion of Chahbahar port would nullify the challenges posed by Gawadar. Yes through this expansion India can circumvent Pakistan and open up a new route to Afghanistan but this route can be established without port's expansion. In fact India had exported wheat to Afghanistan via this port, I am sure the port will still allow Indians to export their good to Afghanistan.

 

[Echo_419]

Why would Iran want to be a part unwanted regional tension with China/Pakistan?

@SOHEIL

Poor reporting! India ain't planning to build an altogether new port, it intends to expand already existing port of Chahbahar. One simply can't build such a highly customized port from scratch with $85 million in pocket. The plan is to convert two berths, one into a container terminal and one into a multi purpose cargo terminal and get them on lease for a decade.

How is it an answer to Gawadar port? The main purpose of Gawadar port is to give access to China and central Asia to Arabian sea. China-Pakistan economic corridor which is going to get billions of investment per se is a trade and transport route aimed to connect countries to port of Gawadar. I can't understand how the expansion of Chahbahar port would nullify the challenges posed by Gawadar. Yes through this expansion India can circumvent Pakistan and open up a new route to Afghanistan but this route can be established without port's expansion. In fact India had exported wheat to Afghanistan via this port, I am sure the port will still allow Indians to export their good to Afghanistan.

Let me answer your question with a sum me word
INDIAN MEDIA

 

[manishmaithani]

Ok. Good Luck. I thought India was a big country. It is but its brain is of a mouse. Cant you guys think beyond Pakistan?

Its all about victim and player. You will not understand the game. Its more international than Pakistan.
As china has stakes in pakistan gwadar then we will also have stakes in chabhar which is more stable than pakistan.

 

[Matrixx]

Poor reporting! India ain't planning to build an altogether new port, it intends to expand already existing port of Chahbahar. One simply can't build such a highly customized port from scratch with $85 million in pocket. The plan is to convert two berths, one into a container terminal and one into a multi purpose cargo terminal and get them on lease for a decade.

How is it an answer to Gawadar port? The main purpose of Gawadar port is to give access to China and central Asia to Arabian sea. China-Pakistan economic corridor which is going to get billions of investment per se is a trade and transport route aimed to connect countries to port of Gawadar. I can't understand how the expansion of Chahbahar port would nullify the challenges posed by Gawadar. Yes through this expansion India can circumvent Pakistan and open up a new route to Afghanistan but this route can be established without port's expansion. In fact India had exported wheat to Afghanistan via this port, I am sure the port will still allow Indians to export their good to Afghanistan.

Whatever..as long as we use it properly.

 

[SOHEIL]

Why would Iran want to be a part unwanted regional tension with China/Pakistan?

tension !?

 

[slapshot]

tension !?

I was referring to title of thread. Why are Indians trying to drag Iran into a Pak/China scenario? I believe Iran has better relations with china and not quite as bad as Indian expect with Pakistan. Why not just invest in a Port for regional prosperity? Also Gawader directly links China to Pakistan giving them a shorter trade route so I am not sure how they are comparing them both.

 

[SOHEIL]

I was referring to title of thread. Why are Indians trying to drag Iran into a Pak/China scenario? I believe Iran has better relations with china and not quite as bad as Indian expect with Pakistan. Why not just invest in a Port for regional prosperity? Also Gawader directly links China to Pakistan giving them a shorter trade route so I am not sure how they are comparing them both.

If you have the right to have a good relation with both Iran and saudi (only saudis in reality), we have the same right to do the same !

 

[Optimos Prime IA]

Finally deal all be signed . Its better than using Karachi route . As any way cost would be more or less same as wony use wagha route . If am not wrong we actually developing two ports in Iran ?

 

[gau8av]

India and China are both net importers of energy and massive guzzlers, these 2 projects will further streamline our requirements for fuel. India is also betting on the eventual lifting of sanctions and the subsequent boom in the Iranian economy.

Trade wise, the US is still by far the biggest importer of Chinese made goods, that traffic will continue to operate in the pacific on huge container ships but provide an alternate/better (cheaper) route in the future for Chinese made goods shipped to Europe. So Gwadar, while good in the long term, is not a 100% 'game changer' per se.

When is Gwadar expected to be operational ? Big investments like these take time before they eventually offset the original cost and become profitable.

Security wise, it's of great strategic importance to the Chinese as this may provide an oil 'lifeline' should they find themselves in a conflict in the SCS with the US/Japan, Philippines, Vietnam etc..