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India to ink transit agreement with Iran to ship goods to Afghanistan

Source: Press TV

India is set to sign a transit agreement with Iran, and invest over USD 100 million in the southeastern Iranian port city of Chabahar in order to facilitate the transportation of commodities to Afghanistan.

File photo shows a cargo ship docked at Chabahar port in southeastern Iran.

Unnamed sources in India said on Sunday that it would be in India's interest to take advantage of the potentials of Iran's Chabahar port to ensure a link into Afghanistan for its goods, The Indian Express reported.

The report added that the Indian government plans to improve the berthing facility of Chabahar port and expand its container terminal.

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Chabahar port -- located 72 kilometers (44 miles) west of Pakistan's Gwadar port -- holds immense strategic and economic significance for India.

The port is already connected to the city of Zaranj in Afghanistan's southwestern province of Nimruz and can serve as India's entry point to Afghanistan, Central Asia and beyond.

India, Iran and Afghanistan have signed an agreement to give Indian goods, heading for Central Asia and Afghanistan, preferential treatment and tariff reductions at Chabahar.

... Payvand News - 03/24/13 ... --

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