December 1, 2021

The World Stock Markets Tips & Targets, News, Views & Updates

The World Stock Markets Tips & Targets, News, Views & Updates

Chabahar sees increase in traffic as Taliban backs trade via port

NEW DELHI: The Chabahar port in Iran developed by India seems to be resuming normal operations after assurances by the Taliban that they want good diplomatic and trade ties with India and that they were going to support the role of the port in facilitating regional and global trade. After operations were hit initially by the return of the Taliban in Afghanistan, the port is now seeing an increase in traffic with Russia emerging, along with India, as a key contributor to this transit trade surge.
Developed by India to boost regional connectivity, while bypassing Pakistan, the port is seen as a more “economical, stable and secure route’’ for access to India and to the global market by Afghanistan and landlocked Central Asian countries.
Despite instability in Afghanistan, traffic at Chabahar is increasing, official sources said. While operations were affected by the Taliban takeover of Kabul on August 15, work resumed on September 2 and the Shahid Behesti Terminal since then is said to have handled cargo from Russia, Qatar, Romania and Australia. The cargo has included food products like barley, wheat and corn.
The increase in traffic followed assurances by then head of Taliban political office Sher Abbas Stanekzai in late August that Taliban wanted to have good trade and diplomatic ties with India and his appeal to traders to use the port.
Since September this year, Russia has sent 8 shipments to Chabahar comprising, among other things, 5.3 lakh tons of wheat.
In the past 2 months, the port is also said to have facilitated exports to UAE, Kuwait and, for the first time, to Bangladesh. The Indian government sees it is as a significant achievement. As per latest government data, the port has handled shipments and transshipments from Russia, Brazil, Thailand, Germany, Ukraine, Qatar, Australia, Kuwait, Romania, Bangladesh and UAE. Commodities mostly handled included wheat, maize, barley, corn, sugar and livestock.
India had earlier proposed the inclusion of the port in the International North South Transport Corridor linking Mumbai to Moscow.
Last year, the port had facilitated transshipments of Afghanistan’s dried fruits to
Tianjin Port, China and of Iran’s aquatic products to Thailand. Indian authorities have in the past described these shipments as significant milestones for Chabahar in facilitating trade between Central Asian countries and Afghanistan with countries in South and Southeast Asia and the Far East “by establishing container transportation services’’.
Iran is also learnt to have also agreed “in principle’’ to allow Afghan traders to
export fresh and dried fruits to India via the Dogarun-Chabahar route which was shut after the Taliban takeover.
In the first week of October 2021, Iran’s Tasnim News had reported thate Tehran had agreed to evaluate Taliban’s proposals for the transportation of Afghanistan’s trade cargoes and export of fresh and dried fruits to India via the Chabahar route. It reported Iran and the Taliban had agreed to maintain round-the-clock operation at the Islam Qala-Dogarun border crossing and take practical measures to improve and develop the land routes at the border crossing.

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