Inside Chabahar: India’s only western maritime corridor

India has reaffirmed its long-term commitment to Iran’s Chabahar port, underscoring its strategic role as India’s only western maritime corridor to Afghanistan and Central Asia, even as a US sanctions waiver nears expiry.

India has made it clear that it will not withdraw from Iran’s Chabahar port project, highlighting its strategic, economic, and geopolitical importance despite tightening US sanctions on Tehran. The assertion comes as a conditional US sanctions waiver for Chabahar operations approaches its expiry on April 26, 2026.

The Ministry of External Affairs (MEA) confirmed that New Delhi remains engaged with Washington to ensure continuity of operations. MEA spokesperson Randhir Jaiswal said the US Treasury issued guidance on October 28, 2025, granting a temporary waiver, and discussions are ongoing to “work out the arrangement.”

The renewed diplomatic engagement follows warnings from US President Donald Trump that countries maintaining commercial ties with Iran could face additional tariffs. While India has received a temporary exemption for Chabahar, officials have ruled out any framework that assumes an eventual exit from the project.

India’s Only Western Maritime Corridor

Located on Iran’s south-eastern coast along the Gulf of Oman, Chabahar is India’s only viable western maritime access point. The port enables direct connectivity to Afghanistan and Central Asia while bypassing Pakistan, whose land transit routes remain largely closed to Indian trade.

For decades, India’s trade with Afghanistan has been constrained by Pakistan’s control over key overland crossings. Chabahar eliminates this bottleneck by offering a sea-based route that avoids political and geographic chokepoints, allowing Indian goods to move more freely into landlocked regions.

Gateway to Central Asia, Russia and Europe

Chabahar is a critical node in the International North-South Transport Corridor (INSTC), a multi-modal network connecting India with Iran, Russia, and Europe through integrated sea, road, and rail links. The corridor is expected to significantly reduce transit time and logistics costs compared to traditional shipping routes via the Suez Canal, improving India’s access to Eurasian markets.

Beyond trade, the port also holds energy significance. It can serve as a conduit for energy imports from Iran and Central Asia, helping India diversify supply routes and reduce reliance on longer or geopolitically sensitive maritime lanes.

Geopolitical Significance

Strategically, Chabahar provides India with a foothold in a highly competitive region. The port is widely viewed as a counterweight to Pakistan’s China-backed Gwadar port, developed under the China–Pakistan Economic Corridor (CPEC). Maintaining a presence at Chabahar allows India to remain relevant in regional connectivity and maritime infrastructure rather than ceding strategic space to rival powers.

Trade, Aid and Long-Term Commitment

Chabahar’s value extends beyond geopolitics. The port has already been used by India as a logistics hub for humanitarian assistance, including wheat shipments to Afghanistan, reinforcing its role in regional aid and trade facilitation.

India’s commitment to the project is firmly long term. In 2024, New Delhi signed a 10-year agreement to operate a terminal at Chabahar through Indian Ports Global Limited and pledged investments of around $120 million. According to PTI, India is in the process of transferring the committed funds while carefully managing its exposure under the prevailing sanctions regime.

India first proposed the development of Chabahar in 2003 as an alternative route to Afghanistan and Central Asia. Despite repeated disruptions caused by sanctions on Iran, New Delhi continues to view the port as indispensable to its regional connectivity strategy.

As the MEA reiterated, India will continue engaging with the US to “work out the arrangement,” but its position remains unequivocal: Chabahar is not a short-term project, and walking away is not an option.