India is closely studying the Trump administration‘s latest memorandum to modify or rescind sanctions waiver related to Iran’s Chabahar Port. Last year, India signed a 10-year deal with Iran to operate the Chabahar Port, New Delhi’s gateway to Afghanistan and Central Asia.
A White House Memorandum stated that President Donald Trump has ordered his administration to apply “maximum pressure” on Iran to “end its nuclear threat, curtail its ballistic missile programme and stop its support for terrorist groups”. “The Secretary of State shall modify or rescind sanctions waivers, particularly those that provide Iran any degree of economic or financial relief, including those related to Iran’s Chabahar Port project,” said the ‘National Security Presidential Memorandum’ executive signed by Trump. ET has learnt that the Modi government is closely studying the memorandum that can potentially have major strategic implications for India. The issue will now figure in the India-USA conversations, including during the PM’s trip to Washington next week.
Incidentally, India received a sanctions waiver for the Chabahar Port project from Trump during his first term due to its importance in the reconstruction and economic development of Afghanistan in November 2018. Last year, a 10-year contract between India Ports Global Ltd (IPGL) and Ports & Maritime Organisation of Iran (PMO) was signed. Under the contract, IPGL committed to further equip and operate the port for the duration of the contract. At the end of the 10-year period, both sides would further extend their cooperation in Chabahar. IPGL will invest approximately $120 million in equipping the port.
India’s Eurasia connectivity will get further boost with Tajikistan launching negotiations with Iran on cargo transit via Chabahar Port that New Delhi has assisted to build and signed a 10-year deal in 2024 with Tehran for port management.