Tehran: India and Iran today signed 12 agreements with Iran, including a pact to operate a strategic port in Chabahar on the Persian Gulf nation's southern coast. The key trading port will open the Indian economy to central Asia, specifically Afghanistan and will bypass Pakistan.
"Chabahar can become a very big symbol of co-operation between Iran and India. The Chabahar port can serve as a point of connectivity between different countries, specially India and Afghanistan," Iranian President Hassan Rouhani said in a joint press conference with PM Narendra Modi in Tehran.
Describing the signing of pact a key milestone, the Prime Minister said that to develop Chabahar port, India will provide $500 million.
"In our meeting today, we focused on the full range of our bilateral engagement. The bilateral agreement to develop the Chabahar port and related infrastructure is an important milestone. The Trilateral Transport & Transit Agreement to be signed later today will open new routes for India, Iran & Afghanistan to connect," Modi said in a joint media conference with Rouhani here.
"The outcomes and agreements signed today open a new chapter in our strategic partnership," he added.
India will invest billions of dollars in setting up industries - ranging from aluminum smelter to urea plants - in Iran's Chabahar free trade zone.
Further, he said that India and Iran shared interest in the growth and prosperity of each other and that it was a privilege for him to visit the Islamic republic. "India and Iran are not new friends. Our 'dosti' (friendship) is as old as history," he said.
"As friends and neighbours, we have shared interest in each other's growth and prosperity, and joys and sorrows," he added.
Praising the Persian heritage, the PM said, "The beauty and richness of the Persian heritage has attracted the world to Iran. For me, visiting Iran is indeed a great privilege."
PM Modi said India and Iran will consult each other closely and regularly on combating threats of terrorism, radicalism, drug trafficking and cyber crime.
The inking of a commercial contract to build and run the strategic port of Chabahar will help India gain a foothold in Iran and win access to Afghanistan, Russia and Europe, thus circumventing Pakistan, Road Transport, Highways and Shipping Minister Nitin Gadkari, who is also in Tehran, said.
"The distance between Kandla and the Chabahar port is less than the distance between New Delhi and Mumbai, and so what this agreement does is to enable us quick movement of goods first to Iran and then onwards to Afghanistan and Russia through a new rail and road link," he explained.
Prime Minister Modi is in Iran for a two day visit. Earlier this morning, he was given a guard of honour in the presence of President Hassan Rouhani. Modi and Rouhani discussed trade, energy and strategic ties. It was followed by the delegation level talks between the two sides.
Hours after reaching Tehran on Sunday evening, PM Modi visited Bhai Ganga Singh Gurudwara in the Iranian capital where he met members of Indian community.
PM Modi will wind up his two day state visit to Iran by meeting the Supreme Leader of the host nation, Ayatollah Ali Khamenei.
