India is ramping up its Connect Central Asia policy with renewed focus on the Chabahar Port in Iran, amid evolving global trade dynamics and shifting diplomatic alignments.
National Security Advisor Ajit Doval held a phone conversation with his Iranian counterpart, Ali Akbar Ahmadian, yesterday to discuss regional developments and bilateral cooperation, including progress on the Chabahar project.
The Shahid Beheshti terminal at Chabahar, located on the Gulf of Oman, is considered a key trade gateway, offering India direct access to Afghanistan and Central Asia while bypassing Pakistan. In May 2024, India signed a 10-year agreement with Iran to equip and operate cargo and container terminals at the port.
According to India’s Shipping Ministry, a total of ₹400 crore has been allocated for Chabahar since FY 2016-17, with ₹201.51 crore already spent. The port saw a 43% rise in vessel traffic and a 34% increase in container traffic during 2023-24.
Analysts note that Chabahar’s strategic relevance has grown as China scales back investments under its Belt and Road Initiative, including elements of the China-Pakistan Economic Corridor, citing debt and security concerns. This could reduce Pakistan’s leverage in regional transit discussions involving Iran and India.
Chabahar is increasingly being seen as a linchpin in India’s efforts to strengthen economic and strategic ties with Central Asia, enhancing trade connectivity in a rapidly shifting geopolitical landscape.
