The Quest For A Seaport: Afghanistan's Geopolitical Challenge

Afghanistan is a landlocked country and has historically relied on Pakistan's trade routes to export its goods. However, Afghanistan has sought to diversify its trade routes to reduce its dependency on Pakistan. Chabahar Port in Iran is the only port outside of Pakistan that connects Afghanistan to the sea. In 2003, India, Afghanistan, and Iran signed the Chabahar port agreement, allowing all three countries to utilise the port as a trade hub. The port is situated in the Sistan and Baluchestan Province in south Iran on the Gulf of Oman. Afghanistan is connected to the port through its land border with Iran. Chabahar Port is significant as it allows Afghanistan to bypass Pakistan's Gwadar seaport and its trade routes.

Chabahar Port is the only Iranian port with direct access to the Indian Ocean

Chabahar Port is a seaport located in southeastern Iran, on the Gulf of Oman. It is the only Iranian port with direct access to the Indian Ocean. The port consists of two separate ports, Shahid Kalantari and Shahid Beheshti, each with five berths.

Chabahar Port is of great importance to Iran's trade ambitions. Being the country's only oceanic port, it is vital for Iran's efforts to reduce its dependence on the congested Bandar Abbas port, which cannot accommodate large cargo ships. Chabahar Port also serves as a strategic gateway to Central Asia, providing Iran with access to landlocked countries such as Afghanistan, Turkmenistan, and Uzbekistan.

The development of Chabahar Port was initially proposed in 1973 by the last Shah of Iran, but it was delayed due to the 1979 Iranian Revolution. The first phase of the port opened in 1983 during the Iran-Iraq War, as Iran sought to reduce its vulnerability to attacks on ports in the Persian Gulf.

Chabahar Port is also significant for Afghanistan, which is a landlocked country. Afghanistan has traditionally relied on Pakistan's trade routes to export its goods. Chabahar Port provides Afghanistan with an alternative route to international markets and helps reduce its dependence on Pakistan. The port has the potential to significantly boost Afghanistan's economic growth and generate thousands of jobs.

In addition, Chabahar Port is strategically important for India, which seeks to expand its trade relations and access new markets, particularly in Central Asia. India has long sought alternative routes to bypass Pakistan, with whom it has an adversarial relationship. Chabahar Port offers India a sea-based trade route to Central Asia, bypassing Pakistan entirely.

The port has also fostered collaboration between India, Iran, and Afghanistan. In 2003, the three countries signed the Chabahar port agreement, allowing them to utilize the port as a trade hub. India has played a significant role in developing the port, investing in its expansion and committing to the construction of road and rail links.

Chabahar Port has the potential to revolutionize trade in South and Central Asia, offering a vital alternative route for countries seeking to diversify their trade away from Pakistani-controlled routes.

The port is 800km closer to the Afghan border than Pakistan's Karachi port

Afghanistan is a landlocked country and does not have any seaports of its own. It relies on neighbouring countries for its seaport services, with the ports of Karachi and Port Qasim in Pakistan traditionally being used for all sea-bound freight. However, the Chabahar Port in Iran is 800km closer to the Afghan border than Karachi Port, and has been developed as an alternative supply route.

Chabahar Port is a seaport in southeastern Iran, on the Gulf of Oman. It is Iran's only oceanic port and consists of two separate ports, Shahid Kalantari and Shahid Beheshti, each with five berths. The development of the port was first proposed in 1973 by the Shah of Iran, but it was delayed by the 1979 Iranian Revolution. The first phase of the port was opened in 1983 during the Iran-Iraq War, as Iran sought to reduce its dependence on ports in the Persian Gulf.

In 2003, India and Iran agreed to further develop Shahid Beheshti port, but sanctions against Iran delayed this plan. In May 2016, India and Iran signed a bilateral agreement for India to refurbish one of the berths at Shahid Beheshti and reconstruct a 600-metre container handling facility. The port is intended to provide an alternative trade route between India and Afghanistan, bypassing Pakistan's Gwadar seaport. Chabahar is the only port outside of Pakistan that connects Afghanistan to the sea.

In October 2017, India sent its first shipment of wheat to Afghanistan through Chabahar Port. In December 2018, India took over the port's operations. However, the re-imposition of sanctions against Iran has made foreign companies reluctant to participate in the port's expansion. In late February 2024, the Taliban-led government of Afghanistan announced an investment of $35 million in Chabahar Port, which will help reduce the country's dependence on Pakistan.

Chabahar Port is located on the Makran coast of Sistan and Baluchistan Province, next to the Gulf of Oman and at the mouth of the Strait of Hormuz. It is the only Iranian port with direct access to the Indian Ocean. Chabahar is 950km from Milak, the closest city to the Afghan border, and 1,827km from Sarakhs on the Turkmen border. The port is well-positioned to connect Afghanistan with Central Asian countries such as Turkmenistan and Uzbekistan, and has been termed the "Golden Gate" to these landlocked countries.

The development of Chabahar Port is part of a broader strategy by India to establish shorter trade routes and counter China's influence in the Indian Ocean region. It also aligns with Iran's desire to be seen as a significant regional player and enhance its transit potential. The port has the potential to become one of the largest trade hubs in the future and will connect India to Central Asian countries that are major energy producers.

The Chabahar–Zahedan railway will connect the port to Afghanistan, Uzbekistan and Russia

The Chabahar–Zahedan railway is a proposed 628-kilometre-long railway line connecting the Iranian port of Chabahar to Zahedan, the capital of the southeastern Sistan and Baluchestan province. The Chabahar port is the only Iranian seaport with direct access to the Indian Ocean, and the railway line is expected to provide a direct trade route to Afghanistan, Uzbekistan, and Russia.

The Chabahar port is located on the Gulf of Oman and is approximately 170 kilometres west of the Pakistani port of Gwadar. In 2003, India, Iran, and Afghanistan signed the Chabahar port agreement, allowing all three countries to utilise the port as a trade hub. The port is also intended to provide an alternative trade route for India to Afghanistan, bypassing Pakistan's Karachi port.

The Chabahar–Zahedan railway project is aligned with India's interest in creating an alternate trade route to Afghanistan and Central Asia, bypassing Pakistan. The railway line is expected to connect with the Zahedan-Bafgh-Tehran main line, providing direct freight services to landlocked countries such as Kazakhstan, Turkmenistan, and Afghanistan. The railway project is also part of Iran's larger plan to develop the railway network in the eastern part of the country.

In 2016, India and Iran signed a bilateral agreement for India to refurbish and reconstruct parts of the Chabahar port. Additionally, India committed to investing $8 billion in the Chabahar port and industries in the Chabahar Special Economic Zone. However, India's involvement in the Chabahar–Zahedan railway project has faced challenges due to concerns over U.S. sanctions. In July 2020, Iran announced its decision to proceed with the construction independently, citing delays in funding from India. Despite this, Iran has expressed interest in attracting new investors, including China, for the project.

The Chabahar–Zahedan railway is a significant development for the region, providing enhanced connectivity and trade opportunities for Afghanistan, Uzbekistan, and Russia. It is expected to boost economic growth and reduce dependence on Pakistan for trade.

The US has exempted the port from sanctions against Iran due to its economic importance to Afghanistan

Afghanistan is a landlocked country and has relied on Pakistan's trade routes to export its commodities. Chabahar Port in Iran is the only port outside of Pakistan that connects Afghanistan to the sea.

In 2016, India, Iran, and Afghanistan signed a series of agreements that ensured India's investment in the Chabahar Port project. The port, along with an attached railway project, allows Indian goods to reach Afghanistan and Central Asian countries without having to cross the Pakistani border, which is often closed due to political tensions.

In November 2018, the US exempted the Chabahar Port project from sanctions against Iran. A State Department spokesman said that the exemption was in recognition of the port's importance to landlocked Afghanistan, and in support of the country's economic growth and development. The US also wanted to strengthen its close partnership with India.

The Chabahar Port project is expected to have a tremendous impact on Afghanistan's economic growth. It will reduce the country's dependency on Pakistan's trade routes, which has been challenging for Afghan traders. The port will also create thousands of jobs and is expected to double the country's exports value.

The US sanctions against Iran have not included the Chabahar Port because Afghanistan's development and economic growth are at the core of the United States' South Asia strategy. However, the sanctions have impacted India's ability to obtain financing for the development of Chabahar Port and have limited operations at the port.

The port is seen as a way for India to counter China's influence in the Indian Ocean region

Afghanistan is a landlocked country and does not have a seaport. However, it has been able to rely on its neighbouring countries' seaports for trade.

One of the alternative ways for the country to reach Central Asian markets is through Iran. In 2003, India, Afghanistan, and Iran, under the North-South Transport Corridor framework, signed the Chabahar port agreement, allowing all three countries to utilize the Chabahar port as a trade hub. The Chabahar port is located in Iran's southeastern Sistan and Baluchestan province on the Gulf of Oman.

The Chabahar port is seen as a way for India to counter China's influence in the Indian Ocean region. India has been making a concerted effort to spread its influence across Asia, both to its east and west, countering China at every step. The Chabahar port provides India with a route to Afghanistan and Central Asian markets, without having to join the Chinese-promoted 'One Belt, One Road' (OBOR) initiative.

The Chabahar port is also seen as a counter to the China-Pakistan Economic Corridor (CPEC), which is part of China's Belt and Road Initiative (BRI). India's involvement with the Chabahar port serves as a key strategy to buttress its superpower status by widening its regional market presence and using an Indo-Iranian alliance to buffer China and Sino-Pakistani cooperation. The port will also connect India to Central Asian countries that are major energy producers in the region. It is estimated that the port will help India halve the time and cost of doing business with Central Asian countries.

In May 2024, India signed a 10-year deal with Iran to operate and develop the strategically important Chabahar port. Indian Ports Global Limited (IPGL) will invest around US$120 million in the port and around US$250 million in credit to reinforce India's connectivity to Central Asia, Afghanistan, the South Caucasus, and the greater Eurasian region. The Chabahar port deal between India and Iran can help India gain connectivity to Eurasia and counter China's growing regional influence.

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