Is India’s ‘Look West’ policy anchored by Iranian port under threat?
With the US removing a waiver on sanctions for the port, India is set to re-examine its goal of expanding trade with its western neighbours
Washington’s revocation of a waiver on sanctions for the Chabahar port may lead to delays in construction and investments, as well as complicate India’s efforts to boost trade with Afghanistan and beyond, forcing it to rely again on overland routes through its arch-rival Pakistan, the analysts say.
Granted in 2018 during the first term of US President Donald Trump, the waiver had exempted the port from sanctions targeted at Iran’s infrastructure. The waiver was rescinded last week, as part of what the US called its “maximum pressure” campaign on Iran over its nuclear programme, with the sanction rules set to come into effect on Monday.
“Once the revocation is effective, persons who operate the Chabahar Port or engage in other activities described in IFCA may expose themselves to sanctions under IFCA,” the US Department of State said in a statement, referring to the Iran Freedom and Counter-Proliferation Act.
The initial waiver was aimed at facilitating the reconstruction of Afghanistan, including shipments of humanitarian aid to the war-torn country.
Located on Iran’s southeastern coast along the Gulf of Oman, Chabahar comprises two separate ports named Shahid Kalantari and Shahid Beheshti. It serves as Iran’s sole maritime access to the Indian Ocean and is a vital part of the International North-South Transport Corridor, a 7,200km (4,473 miles) transport network connecting India, Russia and Iran via road, rail and sea routes.