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Iran invites Pakistan to participate in Chahbahar project

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Iran invites Pakistan to participate in Chahbahar project


Baqir Sajjad SyedUpdated March 13, 2018
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IRANIAN Foreign Minister Javad Zarif delivering a lecture at the Institute of Strategic Studies Islamabad on Monday.—White Star


ISLAMABAD: Iranian Foreign Minister Dr Javad Zarif on Monday invited Pakistan to participate in Chahbahar seaport project and development of its link with Gwadar Port as he sought to allay concerns here over Indian involvement in the Iranian port.

“We offered to participate in the China-Pakistan Economic Corridor (CPEC). We have also offered Pakistan and China to participate in Chahbahar,” Dr Zarif, who is on a three-day visit to Pakistan, said while delivering a lecture at the Institute of Strategic Studies Islamabad (ISSI) that had been held to commemorate 70th anniversary of establishment of Pak-Iran diplomatic relations.

Dr Zarif had earlier held bilateral talks with his Pakistani counterpart Khawaja Asif at the Foreign Office and addressed a trade conference. The visiting foreign minister is being accompanied by a large trade delegation from Iran.

Pakistan had always been concerned about Indian involvement in Chahbahar port. These concerns got amplified after Iran last month signed a lease agreement with India, which would give operational control of the port to the latter.

Foreign Minister Zarif says Tehran’s relations with New Delhi are not against Islamabad

Emphasising that both Gwadar and Chahbahar were important projects for development of deprived Eastern and South-eastern Iran and South Western Pakistan, he said that both needed to be linked through sea and land routes for effecting their complementarities.

“We are taking measures to do that and there is an open invitation to Pakistan to participate in that,” the foreign minister said.

Mr Zarif further clarified that Chahbahar port project was not meant to “encircle Pakistan … strangulate anybody”. He twice said Iran would not allow anybody to hurt Pakistan from its territory much like Pakistan would not allow its soil to be used against Iran.

He likened Iran’s relations with India to Pakistan’s ties with Saudi Arabia. “Our relations with India, just like Pakistan’s relations with Saudi Arabia, are not against Pakistan as we understand Pakistan’s relations with Saudi Arabia are not against Iran,” the crafty and skilful diplomat said trying to remind about his country’s concerns.

Dr Zarif also laid out his vision for better ties between Pakistan and Iran, which envisaged realisation of long delayed Iran-Pakistan gas pipeline, establishment of banking ties, signing a Free Trade Agreement (FTA) and making Gawadar and Chahbahar ports complementary.

Banking relations are considered crucial to expanding bilateral trade, which is currently at $1.2 billion. The target is to increase it to $5bn per annum over next few years, but it looks to be a difficult goal to achieve in the absence of regular banking channels.

In April last year, the State Bank of Pakistan had signed a Banking and Payment Arrangement (BPA) with Iran’s central bank, Bank Markazi Jomhouri Islami Iran (BMJII) for providing a trade settlement mechanism to promote bilateral trade. The central banks of the two countries were to subsequently invite commercial banks to carry out transactions under the BPA. But, no progress could be made due to lack of interest of Pakistani banks.

Similarly, there is a consensus that IP gas project is beneficial for Pakistan’s economy, but still it is frozen on the Pakistani end due to external and internal factors.

BILATERAL TALKS: During the bilateral talks, a FO statement said: “The two sides agreed to continue engagement for enhancing economic cooperation, including bilateral trade, investments and commercial interaction to promote shared prosperity … addressing tariff and non-tariff barriers” in addition to concluding FTA on priority.

“The Foreign Ministers underlined that as two brotherly neighbouring countries Iran and Pakistan would deepen connectivity between the two sister ports of Gawadar and Chahbahar to benefit from their complementarities,” the statement added.

The two sides decided to expedite operationalisation of two new border crossings that was agreed long time ago.

APP adds: Prime Minister Shahid Khaqan Abbasi said that Pakistan and Iran should work together and make their utmost efforts for enhancing the bilateral trade to $5bn by 2021.

In a meeting with Foreign Minister Dr Javad Zarif, who called on him here, the prime minister reaffirmed Pakistan’s desire to enhance mutually beneficial economic cooperation with Iran including bilateral trade, investments and commercial interaction.

During the meeting, both sides discussed efforts for strengthening of bilateral relations and issues related to peace and security in the region.

Prime Minister Abbasi emphasised the need to deepen connectivity to harness benefits from regional economic integration.

He expressed his commitment to work to resolve the issues in implementation of Iran-Pakistan gas pipeline project, including the financing of pipeline infrastructure and the scope of snap back clause.

The prime minister said that Pakistan was working towards realising its vision of a peaceful and inter-connected region for shared progress and prosperity.

“We believe that a peaceful and stable Afghanistan is vital for economic progress of the region and Pakistan and Iran as the two neighbouring countries can make important contribution for achieving this objective,” he remarked.

He thanked the Iranian leadership for their steadfast support to the principled struggle of Kashmiris.

The Iranian foreign minister appreciated the increasing high-level interaction between the two countries.

He said the mutual efforts of the two countries had resulted in enhanced economic and people-to-people interaction, which should be further strengthened.

Dr Zarif also appreciated Pakistan’s efforts for strengthening border management to prevent illegal cross-border activities.

Published in Dawn, March 13th, 2018
 
In related news.... Modi wets his Dhoti upon reading this news...
 
Pakistan’s participation doesn’t make any difference in our agenda. We want an unrestricted access to Afghanistan, and Chabahar is just that.
 
Pakistan’s participation doesn’t make any difference in our agenda. We want an unrestricted access to Afghanistan, and Chabahar is just that.


Iran after all-out relations with Pakistan

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Iran’s foreign minister said Iran seeks to have fully-fledged relations with Pakistan, adding it is waiting for Pakistan’s response.

Iranian Foreign Minister Mohammad Javad Zarif made the remarks in ‘Iran-Pakistan Business Forum’ in Islamabad on Monday March 12.

Iran’s top diplomat stated in the Forum “I would like to reiterate that we are still ready to meet the energy needs of Pakistan, including oil, gas and electricity.”

He further added that Iran has spent more than $2 billion on the pipeline so far in line with its obligations under Iran’s gas export contract with Pakistan, adding that Iran is waiting for practical steps by Pakistani friends to comply with their obligations under the agreement.

Stating that Pakistan ranks 8th among Iran’s top export destinations, Iran’s foreign minister added a high-level economic delegation is accompanying him on his trip to Pakistan in order to develop the economic relations with brother and friend country of Pakistan.

Zarif went on to add “on the seventieth anniversary of the establishment of relations between the two countries, I am pleased to attend a gathering that can play an important role in promoting the level of economic and commercial relations between the two countries.”

Iran’s foreign minister further elaborated on the economic and commercial relations between Iran and Pakistan, saying “given the fact that the two countries’ top officials agreed in 2016 to increase bilateral trade to up to $ 5 billion over a period of five years, additional efforts on behalf of the two sides are required to achieve that target.”

Zarif called for expansion of bilateral trade relations, saying “given the available capacities and capabilities, the two countries can increase the volume and value of their bilateral trade much more, although the main factor hindering the development of relations is the lack of banking relations between the two countries,” adding that “the most important priority in the development of economic relations between the two countries should be the establishment of banking relations.”

Iran’s top diplomat also stated that Iran welcomes joining China-Pakistan Economic Corridor (CPEC), adding that Iran, as a result of its geo-strategic and geo-economic position in the region, can connect the China-Pakistan Economic Corridor to Central Asia, Russia and also Europe.

Zarif added that Iran’s joining the CPEC can play as a complementary role in connecting Chabahar and Gwader ports, so that the two ports will not consider each other as rivals.
 
Chabahar and Gwadar can complement each other by allowing closest enroute shipping to unload to railway transport. This can benefit Iran and India if Pakistan allows land route for their goods. Also we will be uncomfortable using a facility that is managed by Indians.
 
Iran after all-out relations with Pakistan

19-5.jpg

Iran’s foreign minister said Iran seeks to have fully-fledged relations with Pakistan, adding it is waiting for Pakistan’s response.

Iranian Foreign Minister Mohammad Javad Zarif made the remarks in ‘Iran-Pakistan Business Forum’ in Islamabad on Monday March 12.

Iran’s top diplomat stated in the Forum “I would like to reiterate that we are still ready to meet the energy needs of Pakistan, including oil, gas and electricity.”

He further added that Iran has spent more than $2 billion on the pipeline so far in line with its obligations under Iran’s gas export contract with Pakistan, adding that Iran is waiting for practical steps by Pakistani friends to comply with their obligations under the agreement.

Stating that Pakistan ranks 8th among Iran’s top export destinations, Iran’s foreign minister added a high-level economic delegation is accompanying him on his trip to Pakistan in order to develop the economic relations with brother and friend country of Pakistan.

Zarif went on to add “on the seventieth anniversary of the establishment of relations between the two countries, I am pleased to attend a gathering that can play an important role in promoting the level of economic and commercial relations between the two countries.”

Iran’s foreign minister further elaborated on the economic and commercial relations between Iran and Pakistan, saying “given the fact that the two countries’ top officials agreed in 2016 to increase bilateral trade to up to $ 5 billion over a period of five years, additional efforts on behalf of the two sides are required to achieve that target.”

Zarif called for expansion of bilateral trade relations, saying “given the available capacities and capabilities, the two countries can increase the volume and value of their bilateral trade much more, although the main factor hindering the development of relations is the lack of banking relations between the two countries,” adding that “the most important priority in the development of economic relations between the two countries should be the establishment of banking relations.”

Iran’s top diplomat also stated that Iran welcomes joining China-Pakistan Economic Corridor (CPEC), adding that Iran, as a result of its geo-strategic and geo-economic position in the region, can connect the China-Pakistan Economic Corridor to Central Asia, Russia and also Europe.

Zarif added that Iran’s joining the CPEC can play as a complementary role in connecting Chabahar and Gwader ports, so that the two ports will not consider each other as rivals.

Yes, what am I supposed to see in this article?
 
Chabahar is a dead project.
Gwadar is the future and everyone knows it.
UAE is in serious panic mode.

Chabahar is important to Iran as Gwadar is important to Pakistan, both have good rationale and strategy.
 
Why should we participate in Iranian project when we have our own to develop?
 
It's an article about pakistan's potential next development... Interesting read about us. Enjoy.

I read it, and it’s natural for Pakistan and Iran to forge a good relation with each other. I still don’t understand what is India’s relevance in your mutual diplomacy.
 
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