{"id":34284,"date":"2018-10-30T16:45:20","date_gmt":"2018-10-30T11:15:20","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=34284"},"modified":"2018-10-30T16:45:20","modified_gmt":"2018-10-30T11:15:20","slug":"india-ships-wheat-to-afghanistan-via-chabahar","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/india-ships-wheat-to-afghanistan-via-chabahar\/","title":{"rendered":"India ships wheat to Afghanistan via Chabahar:\u00a0"},"content":{"rendered":"<p><a href=\"http:\/\/www.thehindu.com\/todays-paper\/india-ships-wheat-to-afghanistan-via-chabahar\/article19946586.ece\"><span style=\"font-weight: 400;\">India ships wheat to Afghanistan via Chabahar<\/span><\/a><span style=\"font-weight: 400;\">:\u00a0<\/span><\/p>\n<p><b>Context<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India has begun shipment of wheat to Afghanistan through the <\/span><b>Iranian port of Chabahar<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The consignment would <\/span><b>be the first to use the new route via Chabahar<\/b><span style=\"font-weight: 400;\"> to access Afghanistan, even as India plans similar transfers in the coming months.<\/span><\/li>\n<\/ul>\n<p><b>A landmark move<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The shipment of wheat is a landmark move as it will pave the way for operationalization of the Chabahar port as an <\/span><b>alternative, reliable and robust connectivity for Afghanistan.<\/b><\/li>\n<li style=\"font-weight: 400;\"><b>The shipment<\/b><span style=\"font-weight: 400;\"> was part of <\/span><b>India\u2019s commitment to send 1.1 million tonnes of wheat<\/b><span style=\"font-weight: 400;\"> to Afghanistan on grant basis. Kabul will be receiving the <\/span><b>entire amount in six different instalments<\/b><span style=\"font-weight: 400;\"> over the coming months.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The consignment was flagged off by External Affairs Minister Sushma Swaraj and her Afghan counterpart Salahuddin Rabbani through <\/span><b>a joint video conference<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<\/ul>\n<p><b>Significance of the move<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The move is significant as it indicates that <\/span><span style=\"font-weight: 400;\">India remains firm in delivering on its regional commitment through partnership with Iran, despite Tehran\u2019s ongoing tension with the United States<\/span><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will lead to new opportunities for <\/span><b>trade and transit from and to Afghanistan<\/b><span style=\"font-weight: 400;\"> and <\/span><b>enhance trade and commerce between the three countries (India, Iran and Afghanistan)<\/b><span style=\"font-weight: 400;\"> and the wider region.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The use of Chabahar for wheat transshipment indicates <\/span><b>the firming up of an alternative route to extend necessary support to Afghanistan, in the absence of overland transit rights by Pakistan.<\/b><\/li>\n<\/ul>\n<p><b>Where is Chabahar Port?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is located in southeastern Iran in the Gulf of Oman.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is the only Iranian port with direct access to the ocean.<\/span><\/li>\n<\/ul>\n<p><b>Chabahar Port Agreement<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is a commercial contract for the development and operations of Chabahar Port, signed between Indian Joint Venture India Ports Global Pvt Ltd (a Consortium of J<\/span><b>awaharlal Nehru Port Trust and Kandla Port Trust<\/b><span style=\"font-weight: 400;\">) and Iran\u2019s Arya Banader on 23 May 2016 in Tehran during the visit of the Prime Minister to Iran.<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Government of India and Port and Maritime Organization (PMO)<\/b><span style=\"font-weight: 400;\"> of Iran signed the contract as authorizing Parties.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The contract is for the period of 10 years.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">As per the contract, India will construct two terminals (five berths) at Chabahar Port.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The MoU envisages construction of a multipurpose cargo terminal (600 mtrs length) and a container terminal (640 mtrs length).<\/span><\/li>\n<\/ul>\n<p><b>Benefits to India <\/b><\/p>\n<p><b>There are several benefits associated with the development of the Chabahar Port for India, some of them are following:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Partaking in the Chabahar Port development will offer India an alternative and reliable access route into Afghanistan.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will aid to employ India\u2019s earlier investment in Zaranj-Delaram road built in Afghanistan.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It is also a consistent and more direct sea-road access route into Central Asian Region.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Chabahar Port\u2019s location at the Arabian Sea means that it would be able to skirt any challenges posed by developments in the Persian Gulf and Strait of Hormuz.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Close proximity to the <\/span><b>Strait of Hormuz<\/b><span style=\"font-weight: 400;\"> which facilitates about 40 per cent of the world\u2019s oil trade.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will provide an access route to land-locked Afghanistan, that would be free of Pakistan\u2019s control.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It would give India access to markets and mineral resources in Afghanistan and central Asia.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Provide access to Hajigak iron ore mine developed by Steel Authority of India.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will provide boost to the development of <\/span><b>International North South Transport Corridor (INSTC).<\/b><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Delaram access will provide India with a base to position itself after international troops withdraw from Afghanistan in 2014.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will provide Market for farm products from Afghanistan.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will help in combating drug trafficking.<\/span><\/li>\n<\/ul>\n<p><b>Limitations of the project <\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The port also has few limitations as well, which are following:<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">There will be disputes over tariffs and transit regulations.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">There will be massive burden from US on India which is seeking isolation of Iran after involvement of Iran in development of nuclear bomb.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Chinese competition for port development offering an $75 million credit line for ongoing work on the port.<\/span><\/li>\n<\/ul>\n<p><b>Can India use it to counter China?<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India won\u2019t need to depend on China sponsored Road and Belt projects to connect with Central Asia.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">At present, central Asia is getting lot of connectivity projects sponsored under the China sponsored Road and Belt Policy.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India is not a part of the endeavor and in this context, an own initiative will help India to avoid dependence on China sponsored Central Asian connectivity.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will undermine importance of Gwadar port in Pakistan developed by China.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India can use the facility to monitor Pakistani &amp; Chinese activities in the Indian Ocean Region as well as Gulf. It could be convenient location for India to monitor activities of Pakistani Navy.<\/span><\/li>\n<\/ul>\n<p><b>Gateway to West Asia, South Asia and Central Asia.<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The port will familiarize India towards the markets of West Asia, the Middle East, Central Asia and Europe, projecting Indian economic and political influence towards those regions.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Strengthening of relationships between India, Iran and Afghanistan, will provide a basis for future diplomatic overtures between all three countries.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Economic integration is a cornerstone for achieving regional political cooperation and stability.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Striking a balance between India\u2019s good relationships with Israel, Saudi Arabia, the UAE and Iran, signaling to Iran.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">As the West forced ban on Iran has ended, there will be more growth of Iran bound trade.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">India has amplified its crude purchase from Iran ever since the end of the ban.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">With reducing remittance attraction and reciprocal commitment with Arab countries, Iran may get a higher role in India\u2019s economic engagement.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hence, in future, there is higher scope and benefit for mutual trade between the two countries and the new port deal is very important as a trade facilitator.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Underscores India\u2019s leadership in South Asia, serves India\u2019s objective of becoming the primary lender of credit for infrastructure projects across South and West Asia,<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It will help stave off Chinese influence in the region and therefore strengthens India\u2018s desire to be viewed as, and become, the regional leader of South Asia.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It signals India\u2019s desire to increase trade with the Central Asian states (Uzbekisan, Tajikistan, Turkmenistan, Kazakhstan, Kyrgyzstan), who, despite their historical tilt towards Russia and recent tilt towards China, have long courted India to increase its influence in their region, and balance Russian, China and Islamist influences.<\/span><\/li>\n<\/ul>\n<p><b>Conclusion<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The port would link South Asia with Central Asia, Gulf, Europe and the Caucasus, and considerably cut conveyance costs and time, thereby proving to be a win-win situation for all the participants.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Besides India solidifying its energy security by investing in Iran\u2019s oil and gas projects and gaining access to Central Asian energy reserves.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>India ships wheat to Afghanistan via Chabahar:\u00a0 Context India has begun shipment of wheat to Afghanistan through the Iranian port of Chabahar. The consignment would be the first to use the new route via Chabahar to access Afghanistan, even as India plans similar transfers in the coming months. A landmark move The shipment of wheat&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/india-ships-wheat-to-afghanistan-via-chabahar\/\">Continue reading <span class=\"screen-reader-text\">India ships wheat to Afghanistan via Chabahar:\u00a0<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[],"class_list":["post-34284","post","type-post","status-publish","format-standard","hentry","category-test-1","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704856803},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/34284","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=34284"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/34284\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=34284"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=34284"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=34284"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}