Challenges and Prospects of Developing the Chabahar Port

Despite the significant potential of the Chabahar port, challenges have hindered its full development since the initial agreement in 2016. The uncertainty caused by US sanctions on Iran, disagreements between India and Iran on legal frameworks, and short-term partnership renewals have deterred investors and shipping companies from committing fully to the project. However, with the recent signing of a 10-year contract to operate the port, there is renewed optimism for broader cooperation between India and Iran, although the threat of US sanctions remains a looming concern for future operations and investments at Chabahar.