India & Iran signed inter-Governmental MoU for development of Chabahar Port [ Current Affairs ]

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India and Iran signed an inter-Governmental Memorandum of Understanding (MoU) for the development of the important Chabahar Port in Iran and this will be used to ship crude oil and urea, saving India transportation costs. Shipping and Road Transport and Highways Nitin Gadkari and Iranian Minister for Transport and Urban Development Abbas Ahmad Akhoundi was signed Mou between two countries.

According to the MOU, Commercial entities of India and Iran to commence negotiations facilitates for finalization of a commercial contract.

Under the MoU, Firms of India will lease two existing berths at the Port and operationalize them as container and multi-purpose cargo terminals.

Benefit of the MoU (Memorandum of Understanding) –

  1. Facilitate availability of functional container and cargo terminal to India at the port
  2. Provide Afghanistan’s garland road network system alternate access to a sea port.
  3. Enhance Afghanistan’s overall connectivity to regional and global markets significantly and
  4. Provide a boost to the ongoing reconstruction and humanitarian efforts in the country.
  5. Chabahar Port located in Sistan-Balochistan Province on Iran’s southeastern coast and this port will provide a sea-land access route to Afghanistan bypassing Pakistan.

- Published on: May 14, 2015