Chabahar Port Explained: Why It Matters to India
India says it remains engaged with all stakeholders on Chabahar Port in Iran. Here is why the port matters to New Delhi.
Chabahar is a port on Iran’s coast that India operates through India Ports Global Limited. It gives India a trade route to Afghanistan and Central Asia that bypasses Pakistan.
The port has been in operation since 2018. Under a 10-year contract signed in May 2024, India committed USD 120 million to run the Shahid Beheshti terminal.
The project hit a snag when the US conditional sanctions waiver for Chabahar expired on April 26, 2026. India says it is engaging stakeholders to manage the impact.
Recent US strikes on Iran damaged a surveillance tower at the port, but the MEA says the terminal itself is intact. The port remains central to India’s regional connectivity plans.
The port was conceptualised to support Afghanistan’s reconstruction and boost India’s trade links with Central Asia. India fulfilled the final tranche of funding in August 2025.
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