Oil payment, other issues with Iran resolved: Indian minister
India has resolved most of the pending issues with Iran particularly those relating to oil payment, said the country’s finance minister.
Arun Jaitley, who is in Washington to attend the annual meeting of the International Monetary Fund and the World Bank, made the remarks following a meeting with his Iranian counterpart Masoud Karbasian, PTI reported.
“There were several pending issues with Iran particularly relating to oil payment. Most of them have been resolved,” he told reporters.
India is Iran’s second-biggest oil buyer after China and was among a few which had continued to import crude despite Western sanctions.
Jaitley said India has a very stable relationship with Iran. “It’s very strategic for us, because Chabahar Port is not only going to service Iran, but also going to service Afghanistan,” he said.
In 2003, India and Iran had agreed to develop strategic Chabahar Port in the southeastern Iranian province of Sistan-baluchestan. The port is easily accessed from India’s western coast, bypassing Pakistan.
An agreements on Chabahar Port was inked in May 2016 following detailed discussions between Prime Minister Narendra Modi and Iranian President Hassan Rouhani.
Based on the deal, India is to equip and operate two berths in Chabahar Port Phase-i with a capital investment of $85.21 million and annual revenue expenditure of $22.95 million on a 10-year lease.
Ownership of equipment will be transferred to Iranian side on completion of the 10-year period or for an extended period, based on mutual agreement.
The development of the port will help Indian companies enhance engagement in Iran and gain access to Afghanistan and Central Asia. In the long run, Chahabar will also serve as the point of origin for the proposed Iran-omanindia pipeline.
According to India’s Economic Affairs Secretary Subhash Chandra Garg, the Iranian minister did not raise the issue of US President Donald Trump’s new Iran policy during his meeting with Jaitley.
“We discussed more on Chabahar Port, the trilateral agreement and expediting that kind of work,” Garg said.