As China offers funds to Iran, India set to fast-track Chabahar pact

[thestringshredder]

China is quietly intruding into India's geopolitical space in Iran. It recently offered Tehran credit facility of Euro 60 million — almost equal to the proposed Indian investment in the revamp of Chabahar port — which may muscle out India from the project.

Beijing's covert credit offer is seen by the Indian foreign office as a first step by China before it bids to finance the port project. "China could finance the project to keep India out of Chabahar and protect its investment in Gwadar port (in Pakistan)," it informed the shipping ministry.

The Ministry of External Affairs has therefore suggested to the Prime Minister that an inter-ministerial task force be constituted, comprising the finance, external affairs, shipping and commerce ministries to fast-track an agreement with Iran to "prevent any backsliding".

New Delhi's worry is that there is no official confirmation from Tehran on the pact and unless the shipping ministry moves fast, there is a likelihood of losing out to Beijing. It has told the shipping ministry to hasten its promise to form a Special Purpose Vehicle (SPV) between Kandla Port Trust and Jawaharlal Nehru Port Trust for executing the project and to finalise the final costs for approval of the Cabinet Committee on Security.

The MEA wants these steps to be completed ahead of a proposed visit by an Iranian delegation next month.

Despite strong pressure from the US, India announced in May that it could pump in $100 million for the upgrade of the Iranian port. The breakaway from the US line was done to secure a route for movement of Indian goods to Central Asia and to counter joint forays by China and Pakistan into the Indian Ocean following Islamabad's decision last February to hand over Gwadar port to China.

The transfer of deep-water Gwadar, 76 kms from Chabahar, was seen by India as another step in China's String of Pearls strategy to build a network of military and commercial facilities extending from the Chinese mainland to Port Sudan, and including a port in Sri Lanka's Hambantota, with similar projects underway in Myanmar and Bangladesh.

Link - As China offers funds to Iran, India set to fast-track Chabahar pact - Indian Express

 

[Sarjen]

Ha ha ha you got to be kidding me....

 

[indoPunjabi]

Thanks to handicap indian diplomacy, incompetent beurocrats, slow decision making and Manmohan Singh that development of chabahar port is still on paper.

Unlike indian government China don't take ages to sign agreement and dispatch the funds :banghead:

 

[Albatross]

India is under immense pressure from both US and Israel to stay away from any financial deals with Iran and thus reduced its oil imports from Iran by 40 % in 2012 which was very displeasing for Iran . Now if Iran gets a chance to establish good relation with China translating into much needed foreign reserves and future weapons sale as well I dont think Iran will waste any time in dumping India and joining china .

Plus Pak-Iran gas pipeline project from which india backed off also will be pivotal in establishing close relation between Pakistan,Iran and china and as china is interested in buying both gas and oil from Iran via pipelines running through Pakistan I see things changing much sooner than anticipated on our western borders .

 

[Kiss_of_the_Dragon]

Beijing's covert credit offer is seen by the Indian foreign office as a first step by China before it bids to finance the port project. "China could finance the project to keep India out of Chabahar and protect its investment in Gwadar port (in Pakistan)," it informed the shipping ministry.

Oh no, how dare we chineses are so evil? not only we and Pakistan cut off India from having direct access to Afghanistan and Central Asia but we're cutting India's indirect road via Iranian port...poor girl.

 

[Kaniska]

India is under immense pressure from both US and Israel to stay away from any financial deals with Iran and thus reduced its oil imports from Iran by 40 % in 2012 which was very displeasing for Iran . Now if Iran gets a chance to establish good relation with China translating into much needed foreign reserves and future weapons sale as well I dont think Iran will waste any time in dumping India and joining china .

Plus Pak-Iran gas pipeline project from which india backed off also will be pivotal in establishing close relation between Pakistan,Iran and china and as china is interested in buying both gas and oil from Iran via pipelines running through Pakistan I see things changing much sooner than anticipated on our western borders .

I think you are correct with most of your assessment...If China would really want a move then I feel Iran will prefer China rather than India due to its political and financial allignment with China rather than India....

Indian does not provide any benefit to Iran wrt China...Indian offer may sounds good wrt any other nation apart from China of course...

 

[SirHatesALot]

Ha ha ha you got to be kidding me....

If china did offer them financial help for this,then Chinese will say "ha ha ha in your face"

 

[GR!FF!N]

so,China did care about Chahbahar after all.but I think the report skipped one important part.Chahbahar project is already on.this port is already got connected to the city of Zaranj in Afghanistan's southwestern province of Nimruz.also,India is finalising a rail track of 900 km from Hajigak province of Afghanistan.Ball is already in spin.too much activity is already on.and remember,its not a military port.It'll be Iran's Free Trade Zone.

 

[Albatross]

so,China did care about Chahbahar after all.but I think the report skipped one important part.Chahbahar project is already on.this port is already got connected to the city of Zaranj in Afghanistan's southwestern province of Nimruz.also,India is finalising a rail track of 900 km from Hajigak province of Afghanistan.Ball is already in spin.too much activity is already on.and remember,its not a military port.It'll be Iran's Free Trade Zone.

I love your sincerity with your state but the moment india walked out of IPI gas project and opted for nuke deal and later cut iran oil imports it sent a bad message to iran . The connectivity you are talking about in that way chabar is also connected to black sea , turkey , iraq and what not but the basic infrastructure on port itself is far from complete leave alone rail tracks .

But you are right ball is already spinning and its clearly out of indians hands and as some body mentioned here at the current stage China is a far far better option for Iran than india as china can face US and Israeli pressure something a third world country like india cant .. I know it painful but its true so be realistic .

 

[senkakudefender]

^ Really they threaten us with puppies, we sign up with their worst enemy - JAPAN. Griffin is right the Iranians are shia. They hate pakistan so if A = B & B = C then A = C. I let you guess what C is.

 

[senkakudefender]

GPL for .

Here

TEHRAN - An Indian economic delegation has just arrived in Iran with the aim of finalizing negotiations to invest $100 million in Iran’s southeastern Chabahar port, the Tasnim News Agency reported.

The delegation is led by the deputy director of the Shipping Corporation of India, according to the report.

Indian investors had previously announced readiness to participate in the Chabahar-Mashhad railroad project, which extends from southeast to northeast for 1,000 kilometers.

New Delhi is ready to invest in Iran's Chabahar port to turn it into a hub for the transit of its goods and products to the other countries, Indian External Affairs Minister Salman Khurshid has said.

Iran and India have agreed on transit of Indian goods to Afghanistan via Chabahar in a bid to ease its exports to Afghanistan, the Indian Express newspaper quoted an informer Indian source as saying on condition of anonymity.

The source said that the reason behind expediting choosing Chabahar as the port for transit of its export commodities is attributed to China's decision to assume the management of Pakistan's Gwadar port.

The Indian Express also reported that India is planning to invest $100mln for development of Chabahar port and turning it into a hub for this purpose.

Chabahar and Gwadar ports are located in a common coast and they are 70 kilometers away from one another.

India aims to invest $100m in Iran?s Chabahar port - Tehran Times

Read TehranTimes.

 

[GR!FF!N]

I love your sincerity with your state but the moment india walked out of IPI gas project and opted for nuke deal and later cut iran oil imports it sent a bad message to iran . The connectivity you are talking about in that way chabar is also connected to black sea , turkey , iraq and what not but the basic infrastructure on port itself is far from complete leave alone rail tracks .

But you are right ball is already spinning and its clearly out of indians hands and as some body mentioned here at the current stage China is a far far better option for Iran than india as china can face US and Israeli pressure something a third world country like india cant .. I know it painful but its true so be realistic .

you're missing the point.India is defiant on Indo-Iran relationship.oil cut is needed as there is no way to pay the price of the imports.and FYI,even China cut its import of Iranian oil.but it doesn't nullify other sectors.China is merely proposing to invest into this port.don't get your hope so much high.and as the article says,India fast tracks the project,didn't pulled itself out.Indo-Iran relationship is in the right track.and India barely bows to the external pressure,least to USA.please don't mixed us with you guys.and for Indo-Iran relationship....

http://english.farsnews.com/newstext.aspx?nn=13920409001102

http://www.presstv.ir/detail/2013/06/05/307288/india-eager-to-invest-in-irans-chabahar/

http://www.presstv.ir/detail/2013/06/29/311446/iran-critical-for-india-energy-security/
@senkakudefender

thanks for the article..thats what I hate about Indian media,always try to sensationalize the issue.

 

[Samlee]

^ Really they threaten us with puppies, we sign up with their worst enemy - JAPAN. Griffin is right the Iranians are shia. They hate pakistan so if A = B & B = C then A = C. I let you guess what C is.

Who On Earth Told You That Iran Hates Pakistan.Honestly The Kind Of Delusions You Indians Live In

 

[Cheetah786]

India screws Iran every chance she gets from voting against it to cutting down oil imports to please Yanks. But at the same times pretend to be best friends when it benefits her. The best you and genius GR!FF!N can come up with is Iranians hate pakistan wtf pakistan has to do with this Indians playing Iran for a fool and getting caught . Nice try playing a sectarian card

. Griffin is right the Iranians are shia. They hate pakistan so if A = B & B = C then A = C. I let you guess what C is.

^ Really they threaten us with puppies, we sign up with their worst enemy - JAPAN

Billions invested in china by Japaneses companies clearly you dont understand companies are in business to make money not to please you.

 

[BeyondHeretic]

do you mean iran is begging for 60 million euros?