10 year contract was signed for development of Shahid Beheshti Port Terminal at Chabahar Port.

• This will enhance regional connectivity; facilitate trade and investment opportunities between India, Iran and Afghanistan.
  • Chabahar is one of the overseas port that will be managed by India. The other is Sittwe port in Myanmar.

About Chabahar Port

• It is located in Sistan and Baluchestan province on the Makran coast in South-eastern part of Iran, on the Gulf of Oman and outside Strait of Hormuz
• It is the only deep-sea port in Iran with direct ocean access.
• There are two terminals in Chabahar Port project i.e. Shahid Beheshti and Shahid Kalantari. 
• Port is part of proposed International North-South Transport Corridor (INSTC). 
  • INSTC is a 7,200-km-long multi-mode transport project linking Indian Ocean and Persian Gulf to Caspian Sea via Iran and onward to northern Europe via Saint Petersburg in Russia.

Significance of Chabahar Port for India

• Counter- balance Pakistan’s Gwadar Port and China’s Belt and Road Initiative and provide access to Afghanistan and Central Asia.
• Easy access from India’s west coast i.e. Kandla Port (Gujarat) are only 550 Nautical Miles from Chabahar.
• Shorter route will aid to unlock India’s trade potential with European countries.