India plans to sign port deal with Iran
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NEW DELHI: India will push ahead this week with plans to build a port in southeast Iran, two sources said, with Prime Minister Narendra Modi keen to develop trade ties with Central Asia and prepared to fend off US pressure not to rush into any deals with Iran.
India and Iran agreed in 2003 to develop a port at Chabahar on the Gulf of Oman, near Iran’s border with Pakistan, but the venture has made little progress because of western sanctions on Iran.
Also read: Indian PM Modi to visit China next week: Beijing
Now, spurred on by Chinese President Xi Jinping’s signing of energy and infrastructure agreements with Pakistan worth $46 billion, Mr Modi wants to swiftly sign trade deals with Iran and other Gulf countries.
Chabahar port, not far from Gwadar, is central to Indian plans to circumvent Pakistan and open up a trade route to Afghanistan
“Shipping Minister Nitin Gadkari will travel on a day-long tour to Iran to sign a memorandum of understanding for development of Chabahar port,” a shipping ministry source with direct knowledge of the matter said. The deal would be signed on Wednesday, he said.
Encouraged by the prospect of a deal between world powers and Tehran by June 30 on Iran’s nuclear programme, after which sanctions could be eased, India recently sent a delegation to Iran to scout for trade, energy and infrastructure deals.
The United States cautioned India and others last week against strengthening ties with Iran ahead of a final agreement. But Indian officials said New Delhi could not ignore its national interest and noted a report that a US energy delegation was visiting Iran.
“We don’t want to miss this opportunity and will move as expeditiously as possible,” the shipping ministry source said. India’s cabinet approved the plan to develop Chabahar port last year.
Iran has also proposed a free-trade agreement with India, a trade ministry source said. Rupee-denominated trade with Iran, started in 2012 because of complications arising from sanctions, has almost doubled Indian exports to Tehran in the past two years to $4bn.
Now Indian exporters want to build on that, using a free-trade zone being developed near Chabahar to export more to the Commonwealth of Independent States, made up of former Soviet Republics, said Mumbai-based Khalid Khan, regional head of the Federation of Indian Export Organisations.
“It will be Modi’s gift to Iran and Indian exporters,” he said of the port project.
India wants to build the port as it would cut transport costs and freight time to Central Asia and the Gulf by about a third.
The port is also central to India’s efforts to circumvent Pakistan and open up a route to landlocked Afghanistan where it has developed close security ties and economic interests.
India has already spent about $100 million to construct a 220-km road in Afghanistan to link up with Chabahar port. Last week Mr Modi assured Afghan President Ashraf Ghani of India’s commitment to building the port.
Chabahar is just along the coast from Gwadar port in Pakistan that is being developed with China’s help, said Robin Mills, head of consulting at Dubai-based Manaar Energy.
“So there is a strategic element for the Indian side”.
Iran could rapidly develop as a destination for global investors if western sanctions are lifted and Mr Modi wants to fast-track the port project before Tehran has time to rethink.
Published in Dawn, May 6th, 2015
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Comments (195) Closed
May 06, 2015 06:20am
Good thinking
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May 06, 2015 06:47am
Good going India and CEO of brand " India" Mr. Modi. Your moves are faster than any other leader of world. It was in Pakistan interest to open up route for trade with Iran , Afghanistan and other country in that region by charging transit route but they choose standstill. Now India will develop chabahar port to bypass Pakistan and will also connected to middle east along with Iran, Afghanistan. As everybody know security conditions are far better in Iran chabahar port than gwadhar port, it will shadow the importance of gwadhar port. And who knows in future Chinese may also prefer chabahar port over gwadhar port due to security concern.
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May 06, 2015 06:50am
India should expedite it
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May 06, 2015 06:58am
Modi cannot take credit for this project as it was conceived by the previous Govt. It will allow, not only India but also landlocked Afghanistan, to have access to Central Asia. It is a master stroke. No need to listen to US.
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May 06, 2015 06:58am
This is a loss for Pakistan. If Pakistan were to allow the Indian goods to travel to Central Asia through its roadways/railways, it could have firstly collected:- an entry tax or other such duty/tax. Collected toll tax and improved their roadways. The amount of both would be significant. Also it could have come with norms where Pakistan transportation services would have to be used, giving a boost to the Pakistani industry therein.
Flip side- it may affect Pakistani exports to Afghanistan. But then, Pakistan should weigh both the pros and the cons, and the need for the same has greatly increase. The port and the FTA would be a win win situation for Iran and a loss for Pakistan. Pakistan should now consider opening trade routes, say through railways/roadways and hope to gain from tax/tolls/gains in transportation business and other incidental activities.
Pakistani authorities need to think like a businessman and adapt. Should try to salvage and gain from whatever that may be left.
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May 06, 2015 07:04am
India as any other country should, thinks first about its interest. India has maintained good relations with almost all countries due to that, as Indians are not biased or prejudiced. Iran and Israel might be enemies, but both are close to India, so goes for Arabia. Also not to forget USA and Russia.
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May 06, 2015 07:09am
trade with india is always benefits bcos matured polititians, democracy stable system and honesty. no country in the world has even raise a question that india is supporting and exporting terrirsm.india has good relations with all countries .largest democracy in the world. investment or trade with india never go in risk factor. investment in unstable countries always go in risk factor bcos of law and order and also concern govt. policy that world has noted too. wherever you go indians are working hard and and mixed with society in friendly manner.
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May 06, 2015 07:12am
Jundullah will never let Chabahar be built.
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May 06, 2015 07:13am
"People..why bring Pakistan in everything,Pakistan blocked the traditional trade route so what do you think what India will do and don't believe it will be costly,do you want to know how? The good will be just an extra carriage on the shipment which are already operating on the sea route of India and Iran and trading in sea route is always cheap and if we would be following the traditional route it will be costly because we have to take the goods across Hindu Kush so height will make it costly,other thing roads connecting Kabul and central Asia is not good and also will be security problems which will bring extra costs and also it will reduce the probability of drug trading...let China pump the oil across the Himalayas it may save the time but it's costly..Let the gates open"
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May 06, 2015 07:16am
Will not be the same. Iran has history of troubles with UN, and her Arab neighbors, and India's only goal is to counter Pak China alliance and have presence close to mid east.
The bad news is the cargo will pass through Afghanistan and we all know what safety conditions are their, India will sink its own ambition and will be financially in trouble.
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May 06, 2015 07:21am
Now Dhubi port, Gwadar port, and Chabahar port can fight for the same business. It is healthy competition.
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May 06, 2015 07:39am
Why can't we facilitate Indian ships to use Gawadar also? How long will the two countries be at loggerheads? Our politicians and 'thinkers' are big loosers.
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May 06, 2015 08:04am
This is very good decision of our great prime minister.
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May 06, 2015 08:15am
At long last,India seems to have an government that works and acts FAST!
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May 06, 2015 08:22am
GOod going Bharat..keep it up
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May 06, 2015 08:24am
very low cost supply chain entry to Afghanistan......
If there is any one who is excellent in building low capital intensity port is Indian Engineering Skill
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May 06, 2015 08:36am
Pakistan would be at lost. Pakistan leaders especially nawaz government has done its best to cut all relation with Iran. Only Pakistan to blame
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May 06, 2015 08:37am
'' India to sign port deal with Iran, ignoring U.S. warning ''
''New Delhi could not ignore its national interest and noted a report that a U.S. energy delegation was visiting Iran''
India don't care what other nation thinks, India has already spent about $100 million to construct a 220-km (140-mile) road in western Afghanistan to link up with Chabahar port.
"It will be Modi's gift to Iran and Indian exporters''
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May 06, 2015 08:46am
China will ruin its investment in Pakistan, our leaders are not on same page and the Chinese deal is another nail in our national coffers.
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May 06, 2015 08:47am
Yesterday Iranian ambassador was sitting with Baba Ramdev to promote Yoga and ayurved in Iran.
Indian science in expansion mode.
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May 06, 2015 08:48am
Way to go Modiji. Keep at it!
One feels that this new government of Iran provides a hope to the middle east. These
persians have produced scientists, mystics, poets unlike the Saudis and the rest.
They have the ability to lead the world out of this mess of religious wars.
No better way than economic intermeshing amongst all countries including India,
China, Afghanistan and Pakistan.
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May 06, 2015 08:49am
Hit the iron when it is red hot. Good work by Narendra Modi and Govt.
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May 06, 2015 08:57am
Now Modi going to visit China, he threatened China before.
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May 06, 2015 08:59am
Now Pakistan will persue Iran-Pak pipeline project.
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May 06, 2015 09:06am
@Santram Please don't blindly give credit to the PM Modi... please remember this agreement was signed in 2003
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May 06, 2015 09:08am
All the more reason for Pakistan to wake up from its slumber and expedite the Gwadar Port and the CPEC Project. The window of opportunity does not arise frequently and every effort must be made to develop and market our infrastructure with Chinese and other friendly Governments assistance. FDI should be pursued and aggressive policies towards projecting Pakistan as investment haven need to be employed. Industry, logistics, support and infrastructure needs rapid development, otherwise we will be left behind again in this rat race. Inaction is not an option. Wake Up Pakistan.
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May 06, 2015 09:20am
Smart move
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May 06, 2015 09:20am
Smart move
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May 06, 2015 09:22am
Smart move
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May 06, 2015 09:24am
Great leader..
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May 06, 2015 09:25am
Mumbai to Chabahar is 1440 miles than plus 200 miles to Afghanistan,total comes to 1640 miles,while distance from Amritsar to Khyber Pass is only 440 miles.Indians are very cost effective in nature,while trade is still done between Afghanistan and India through transit from Pakistan.Media is saying about circumvent Pakistan being the only reason for India to project through Iran.Even if believed it's a circumvent,still it's a very expensive circumvent .
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May 06, 2015 09:48am
good competition between chahbahar and gwadar. keep it up both country to progress.
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May 06, 2015 10:00am
For every Gwadar , there shall be Chabahar. A tale of 2 ports - one a symbol of abject surrender of sovereignty and the other a symbol of partnership and constructive collaboration.
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May 06, 2015 10:03am
Will not be the same. Iran has history of troubles with UN, and her Arab neighbors, and India's only goal is to counter Pak China alliance and have presence close to mid east.
The bad news is the cargo will pass through Afghanistan and we all know what safety conditions are their, India will sink its own ambition and will be financially in trouble.
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May 06, 2015 10:03am
Pakistan takes each decision keeping only India in mind but India has global ambitions and doesn't limit itself to thinking about just one country. Hope our leaders (both civil and military) would learn something from this.
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May 06, 2015 10:04am
even arab countries respect india and interesting in doing business with india why ? stable democracy, equal rights to all citizens progress in 67 yrs after independence even govt changes.riskfree investment and a country not based on religion. all are happy in india.
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May 06, 2015 10:17am
Good move. Afghanistan stands to gain the most from the development of Chahbahar Port, which is closer than Karachi. The rapprochement between the US and Iran will transform the region and turn it into an economic hub. Herat is already the most industrialized city in Afghanistan and this development will boost trade and commerce in southwest Afghanistan, which borders energy rich Iran and Turkmenistan. A win win situation for Afghanistan.
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May 06, 2015 10:19am
Right move at the right time.
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May 06, 2015 10:19am
Iran is all weather friend of India!
Pakistan could have go this business opportunity and built one road that connects Ind/Pak/Afghan/Iran. Rather Pakistan helping China to build the port and highway all the way from China. India will find its own way to progress.
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May 06, 2015 10:24am
This is to counter China's influence in the Gulf.
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May 06, 2015 10:36am
To circumvent Pakistan? Very bad intention. Pakistan will not allow to happen that. That port is bound to fail. Only silk route is real trade route.
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May 06, 2015 10:46am
I think it will be fast tracke than any project than ever. Funds already released to see this project materlised ASAP...SOS.
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May 06, 2015 10:47am
With Gawadar & Chabahar Ports with free Zone facilities....I wonder who will go to Dubai then?????
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May 06, 2015 10:50am
Going to make Port in the other country and promoting and supporting terrorism in Pakistan to stop Pakistan's development and progress.
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May 06, 2015 10:51am
indeed a good decision.. let the prosperity prevail in this region...let us tell our mentors...That every nation in every region now has a decision to make. we are with you ... and we are not with the terrorists.... we have to safeguard the interest of this region as well....
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May 06, 2015 10:54am
India going to make Port in other country and stopping Pakistan's progress and development by promoting and supporting terrorism in Pakistan to not to get its own port operational and functional and not to construct its own motorways on its own soil.
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May 06, 2015 11:07am
Pakistan really needs to wake up and start working on Iran-Pakistan gas line project. It is too much to ask from this Government but Gwadar needs to be developed . It would bring much needed prosperity to Pakistan , especially Baluchistan . It goes without saying that a strong Chinese presence would definitely be good !
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May 06, 2015 11:09am
Yessssss.. Thats the way to go. Hail India-Iran friendship which is based on realities and not mountains/oceans/honey etc...
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May 06, 2015 11:10am
Goods will leave India, ships will sail through Arabian sea, ships will be unloaded on Chabahar port, again goods will be loaded on trucks and trucks will travel through entire Iran to reach Afghanistan and then these trucks travel further to reach Afghan trade hubs. While from Pakistan it takes 15 minutes from Chaman border to reach Afghanistan. So clearly this route is not for trade, but Modi G it is a bad idea. Strategic position of Pakistan is sufficient to fail this plan.
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May 06, 2015 11:10am
I hope this port would help Afghanistan to improve its economy.
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May 06, 2015 11:10am
Now where are those broad minded people who called Iran as friend.
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May 06, 2015 11:11am
Tri colour friend ship Zindabad.
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May 06, 2015 11:16am
What India would trade to Iran or other central Asian nations? Plus Gulf states would not participating with Iran and India. But China the super power have lot more to offer Gawder and Pakistan and to whole Central Asia and Gulf state.
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May 06, 2015 11:18am
Who cares??
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May 06, 2015 11:21am
The MOU between India and Iran was signed in 2003.
Iran is much older civilization and art of polity is well
know and understood by them,your last line in the article
seem to suggest that Modi Government is trying to hoodwink
Iran by touting that your paper is Iran's savior.
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May 06, 2015 11:22am
Hardly anything will materialize. USA will place a phone call and the indians will back track. Besides, once Gwadar (the only all season warm deep sea port in the region) is fully operational - Chah bahar will be redundant.
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May 06, 2015 11:26am
India is panicked. chabahar is no match to Gawadar especially when Chinese are directly involved in the project.India has built route 606 between Afghanistan and Iran but they were not expecting at that time about the Gawadar port will be materialized. Last ditch effort by India.
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May 06, 2015 11:33am
India has ignored the warning from US for this deal.
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May 06, 2015 11:43am
India doesn't need a port to transport goods. We don't want to be a "china like" economy. Our model will be IP driven .
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May 06, 2015 11:46am
@Ck It was NDA government in 2003 also.
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May 06, 2015 11:48am
There should be better infrastructure and trade routes for all countries. Be it India or Pakistan. It's good to see nations collaborating despite differences for mutual benefit. Better trade routes will minimize wastage of natual resources and time and spur growth for all. It's time to think of the world as a global village free from religious bigotry. It's time to respect all religions and nations and different ways of life.
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May 06, 2015 11:53am
@Ck Yes, but no-one dared to proceed further. What is point of signing an agreement if you cannot work on it.
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May 06, 2015 12:04pm
Shipping, economic development and transport will be competitive in that region --- signing port deal with Iran is a good move by Narendra Modi .
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May 06, 2015 12:11pm
India will forever be at disadvantage for not having a land line to Central Asia and Middle East and everything will cost more. Also, Indian trade will pass Pakistan waters or atleast maritime bondries (which will be even more costly) and Pakistan Navy can at any time block this route if Necessary.
Given the chance, the world will always pick Pakistani ports over Iranian just like NATO did after 9/11 and China is planning to do with a multi billion dollar project. Anyway, seem like a win-win for two Muslim countries.
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May 06, 2015 12:17pm
Quite a bit of wishful thinking. There won't be a non-proliferation agreement with Iran and the sanctions won't be lifted. In fact, the way Iran has been dabbling into the affairs of the countries in the ME - from Afganistan to Yemen to Lebanon - a major war may be on the horizon. indian money is going down the drain.
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May 06, 2015 12:27pm
@Rob The reason for the delay was because of the global embargo on Iran.. I am against giving Modi credit for what he did not initiate. ... that's all
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May 06, 2015 12:28pm
Although Chahbahar and Gwadar are almost facing eactother there is a marked difference in govt approach in that Pakistan may let China use Gwadar as a trade cum naval defence base but Iran is certainly not going to do it for India
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May 06, 2015 12:31pm
great move!
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May 06, 2015 12:33pm
India has a right to safeguard its economical, strategic and geopolitical intetests.World over US is doing the same.
Sanctions on Iran will go soon oneday, may be under some new T & C .
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May 06, 2015 12:51pm
Very well step by Modi. Iran needs business as their youth needs employment. Indian companies with Iranian companies make this possible.
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May 06, 2015 01:06pm
Instead of building another port for trade with Afghanistan, CIS, both Iran and India should use Gwadar Port which has already been built by China.
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May 06, 2015 01:15pm
@debadutta
afghanistan goods can be sent to india via pakistan but indian goods
are not allowed to go afghanistan via pakistan
naturally india has to find some other option and
Chabahar port is that option
Its would be pakistan loss in form of transit fees etc
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May 06, 2015 01:39pm
Trade-Route Wars? OK - still better then the real war
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May 06, 2015 01:45pm
Where are those people who call Iran a friend of Pakistan??
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May 06, 2015 02:16pm
Good for India.
Although its hard for Afghanistan to export goods via Chahbahar and then to India.
Comparatively, Afghanistan, Pakistan, India through land would be a much cheaper option.
As for having Chahbahar compete with Gwadar, depends on geopolitical situation. Iran is still isolated with relations with GCC on all time low.
Iran and Pakistan's port can have a healthy competition. Lets hope Iran does not fall into the Indian trap of being a staging ground for anti Pakistani activities.
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May 06, 2015 02:23pm
@Khan - A friend doesn't mean it can't do business with India? Pakistan also trades with India.
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May 06, 2015 02:30pm
There is one problem with Chah Bahar port. It is not a deep sea port. Gawadar is. In fact out of all three competing ports, only Gawadar is natural deep sea port which means it will be natural choice of large ships which happen to be more economical.
Then road to Chah Bahar passes through south western Afghanistan, a traditional Taliban stronghold. There will be challenges of security.
It will however compete with Gawadar nevertheless. Gawadar still offers benifits over Chah Bahar because nature made it in deep sea.
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May 06, 2015 02:30pm
China, Afghanistan, Pakistan, India, Bangladesh and Iran .. If these countries could put their difference aside and just focus on economic apportunities, together they could have achieved huge huge results ..
That's around 3 billions people right here ..
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May 06, 2015 02:34pm
@Ck implementing the contract is more important than signing.
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May 06, 2015 02:57pm
@Khan
Iran has many good friends but Pakistan has only china to depend at least for now.
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May 06, 2015 03:07pm
I met many Iranian students and patients at Bangalore. They are very good people and enjoying Indian life and hospitality . long live India Iran friendship.
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May 06, 2015 03:07pm
Indian deal for Iran in developing its Chabahar port and its monetary value looks impressive and realistic while Chinese $46 bn looks very much fake.Plus look what Indians had done in Irans Chabahar port and Chinese to Gwader port,for better just take a look at pictures of both Chabahar and Gwader ports in net and you will find that Chabahar looks more modern than Gwader with better connectivity to both Iran and Afganistan with India has already completed construction of a 220-km Zaranj-Delaram highway road that connects Afganistan with Iran's Chabahar port.Iran with financial aid from India is upgrading the Chabahar-Milak road etc etc.In contrast Gwader looks barren with no road connectivity at all.India is know all over the world and has reputation to do sophisticated work in a fraction of a cost.Frankly and rationally thinking Chabahar is going to be a economic miracle for Iran but the same cant be said about Gwader
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May 06, 2015 03:13pm
@Nastradama New found friends for you lol I hope you live happy ever after.!
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May 06, 2015 03:20pm
A win win situation for all parties involved. Afghanistan stands to gain the most from the development of Chahbahar, the closest sea port to Afghanistan.
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May 06, 2015 03:22pm
@not surprised
what you don't seem to have understood my friend is Gwadar is a shorter and lower cost route than Chabahar. Its a shorter route with existing infrastructure, India can pursue its own route. but the shorter route it seeks in central asia will remain blocked to india, other than a more expensive route. Cheaper routes lead to greater traffic obviously and cheaper products.
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May 06, 2015 03:34pm
Kindly let the others too to live their lives peacefully in their own country.
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May 06, 2015 03:36pm
I feel Pakistan has lost a great opportunity. They are in a very strategic location that links India,China to Middle East and Central Asia. It can allow Indian trade to use its Links and make a good financial profit in the process. Another advantage is that it can control these trade routes when and as it wishes (in the worst case scenarios). Now Pakistan has let the initiative slip and allowed IRAN to provide an alternate trade route for India. So Pakistan straightaway looses it advantage and revenue. And the point to ponder is what stops CHINA from using Chabahar port in IRAN. It can be a simple extension to it's String of pearls strategy. So IRAN is a real gainer at the expense of Pakistan.
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May 06, 2015 03:41pm
This project is not practical at all. Iran is a terrible nation and India is thinking beyond its capacity and influence. Wishful thinking. If its just to counter Pakistan/China pacts and Gwadar port, India should know its not a super power like China. They cant even control Chinese intrusion into their own territory, each time they would rather ask China "Please" don't intrude next time...."or" we will and the "or" never happened in last many decades.
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May 06, 2015 03:41pm
"India has already spent about $100 million to construct a 220-km road in Afghanistan to link up with Chabahar port". Wonder how much it will cost to build the "economic corridor".
I still believe that most economic, natural and historically tested trades routes link India, Pakistan, Afghanistan is by road, which already exist. All we need to do is make these wider, repair the pot holes and finish the asphalt.
No need to pay 20% return to finance the project.
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May 06, 2015 03:50pm
No problem, we will build another port with Russia.
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May 06, 2015 04:08pm
@KUMAIL12 Agreed....by siding with the GCC nations it has spoilt its relationship with Iran.
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May 06, 2015 04:11pm
@Nastradama And that's a good goal to pursue good relationships with people especially Iran, however do you really think Iran will circumvent Pakistan for India ?
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May 06, 2015 04:25pm
Dawn..Nothing comparable to you, you are the finest print and electronic media, I` m not of that level to suggest you anything to improve, but I would request to please add some graphics (in this case a map), that make more easy to have information.
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May 06, 2015 04:28pm
China investing in Pakistan's infrastructure development and India in Iran's. As expected the ascendance of China and India is benefiting whole of Asia.
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May 06, 2015 04:49pm
@MohiniKutir But Pakistan doesnt want to allow India the transit facilities for Afghanistan
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May 06, 2015 04:57pm
@Factual
Dredging can be done to upgrade the port it's no big deal. Port Qasim has also done that.
One interesting fact that pakistani keep ignoring that Iran has railway from chahabar to mashhad. India only needs to connect herat to mashhad by road and contrast to that Pakistan has no railways . Even China will use this route in future.
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May 06, 2015 04:58pm
Indo-Iran port signing deal's purpose is to counter Pakistan's strategic position and consequently India wants to control Central Asian countries' trade routes through Iran. Unlikely US will also support that trade route to counter China. Other factors though are also prominent but terrorism and US interests in Pakistan are the major reasons which deprive Pakistan to provide Central Asian countries, Afghanistan and Russia to use our trade routes. Geographically Pakistan's Gawdar is the most viable routes for Central Asia, Afghanistan and Russia. As Pakistan was pushed by US not to open economic routes for these countries lets see how United States would react over this deal. Sings are showing US will adopt double standards towards India.
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May 06, 2015 05:00pm
@Akram
Cheaper with no railways. Chahabar to mashhad has railways and Chinese will also use this route in future
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May 06, 2015 05:01pm
@Mo Circumventing Pakistan is not the aim of India Iran relationship. In fact India is friendly with all Arab countries. Pakistan is losing an opportunity of having a 'winner' as neighbour.
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May 06, 2015 05:11pm
@Hope. Keep the hope alive... Sure your hopes will never fulfill.
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May 06, 2015 05:13pm
@MohiniKutir
"I still believe that most economic, natural and historically tested trades routes link India, Pakistan, Afghanistan is by road, which already exist. All we need to do is make these wider, repair the pot holes and finish the asphalt. "
Its not simple,widening the existing road also is like building new parallel road of similar length.So the cost will be similar and if India has spend $100 Million for 220Km then the planned construction of only CPEC road from Gwader to Xingiang is more than 2300km so you can calculate it + mountain cutting in few places like terrain,river,forest etc is extra cost against the cost of more than 2300 km road.
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May 06, 2015 05:24pm
@Ck Boss it was taken up but never executed. Modi has guts to get things executed & that is the difference between him & other leaders. Everybody can plan but execution needs lot of determination & efforts.
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May 06, 2015 05:40pm
@Akram See the cheaper route as you are telling is limited to some distance travelling only after that there is not much of a cost difference involved to cover the extra/additional length/distance. Just for example, see the rail fare that you pay; less the distance more the fare and more the distance less the fare but after some distance the fare does not vary that much to cover additional distance.
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May 06, 2015 05:43pm
@Obaid K2 That's exactly our problem, we always look to others to build for us, first America, now China and in future Russia, as you just said.
When will we learn to think, dream and stand on our own feet?
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May 06, 2015 05:55pm
@Akram You measure "cheap" in terms of distance. When you factor in the cost of "security", "cheap" is not so "cheap" after all.
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May 06, 2015 05:56pm
Giving the dire economic conditions in the Country why doesn't Pakistan open up trade with India? Rest of the world including all the Middle East Countries, West, China and Japan have? It's a win win for both countries. Any US objections to Chabahar port deal are superficial and Modi couldn't care less.
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May 06, 2015 06:00pm
@dipak : Forgetting the lessons from history when Hindu traders trying to reach Central Asian States were consumed by the high mountain range on the way. That is why the Mountain Range was named "Hindukush", meaning the "consumers of Hindus"!
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May 06, 2015 06:21pm
@anupCome out of your little cubicle and look around. There is more that IT in the world of trade. Besides the Indian IT dominance era is almost over.
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May 06, 2015 06:26pm
@Nastradama : But, that is not what Nostradamus had predicted !
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May 06, 2015 06:40pm
@Thoughtful Pakistani: Really wish to have more thoughtful Pakistanis like you so that entire South Asia progresses truly!
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May 06, 2015 06:46pm
@M.Saeed it is bit twisted history. Please read below.
"Hindu Kush" Hindu Means Hindu and Koh or Kuh Means Mountain.
"Hindu Kush" originally applied only to the peak in the area of the Kushan Pass, which had become a center of the Kushan Empire by the 1st century AD. "Kushan" was a Hindu King.
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May 06, 2015 06:46pm
@Hrleen
I agree UPA conceived lot of thing but have Italian miscarriage every time due to age & other factor.
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May 06, 2015 06:46pm
@Vijay We had one Prime Minister who said long time back......"We will eat grass...............". Come on buddy he was our PM, we are doing now what he said us to do. Simple.
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May 06, 2015 06:47pm
INDIA has seen the future thru its third eye. it has struck a deal to develop another two more ports exactly opposite other side of GWADAR PORT. this will be in middle east triangles
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May 06, 2015 06:53pm
@Sonny Afridi
Read news again about phone call.
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May 06, 2015 07:14pm
Can anyone here tell me, why is Pakistan losing out on the opportunity of transit income on Indian-Central Asia trade? Transit through Pakistan will any day beat the competition from Chabahar hands down - on price, logistics and management hassles. And given the energy needs of India, this could be as big as double digit percentage of current GDP of Pakistan.
I as an Indian, wants to understand why is Pakistan losing out on this opportunity, and making it costlier for us Indians to buy energy?
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May 06, 2015 07:16pm
@Urooj Saifi. I appreciate yr thinking. People with such a kind of mindset can bring in a paradigm shift, in building human relationship.
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May 06, 2015 07:17pm
@Khan Everyone in the security circles of pakistan knows pretty well that Iran is no friend of pakistan, there is a reason why pakistan delivered a statement that pakistan will protect Saudia arabia militarily in case of any attack on its territory that was a message delivered to Iran that if it attacks Saudi Arabia at any point in future , Iran will be sandwiched between retaliatory attacks from both sides of its borders , the gulf countries from the west and pakistan from the east thus annihilating Iran in the process.
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May 06, 2015 07:38pm
This should settle the argument as to whose side Iran is on.
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May 06, 2015 07:39pm
See how long these two countries (India & Pakistan) have come after 67 years of Independence - One is asking other country (China) to develop its port compromising its sovereignty.
While other is developing a port of other country (Iran).
This sums up where both of these countries are heading ... Time to Think Pakistan .... Time to Think ....
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May 06, 2015 08:07pm
@Sonny Afridi We are not Pakistan who will surrender before China. What China has given Pak for operating Gwadar Port for 40 years.Just peanut.Tell me a country who is willing to accept Chinese technology? Even Chinese do not use their own fighter. They sell it to Pakistan.Now people in Pakistan started believing that Chinese technology is just junk, which will not be bought by Kabadiwala.
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May 06, 2015 08:15pm
People are blaming Pakistan for India having to circumvent it and go through Iran. Pakistan has been trying to promote peace despite Indias continued occupation of Kashmir, human rights abuses, and cross-border foring killing Pakistani soldiers and civilians. India can go make.a port where it likes, it will still cost more and make exports that much more expensive. And considering the issues with Gawadar, Chabahar will take even longer. Indians and their pipedreams. Trying desperately compete.
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May 06, 2015 08:22pm
@suman How it will enroute to China....Tibet?
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May 06, 2015 08:24pm
@Karan No loss for Pakistan. Gawadar is ready for operations while this is still in conception.
Even if Pakistan provide land route, this was already in plan since 2002.
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May 06, 2015 08:28pm
@KUMAIL12 We didn't cut any relation with Iran. All countries are free to collaborate with other nation states even with bharat.
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May 06, 2015 08:30pm
@DV : Perhaps, you will be convinced by reading "Hindu Kush means Hindu Slaughter, By Shrinandan Vyas". It contains all the proving references.
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May 06, 2015 08:30pm
Congratulations! Deal has been signed. Details awaited.
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May 06, 2015 08:31pm
@Amir Khan Pakistan is already wake up and all this is already on Pakistan radar. Bharat will never achieve this dream... rather will bankrupt using poor's money on hefty projects for the sake of regional hegemoney. Bharat, you are not yet there.
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May 06, 2015 08:38pm
India can contribute best provided hatred against Muslims propagated by Sangh privar gets changed. The problem is that consistent efforts are made to malign Muslims by projecting them as an enemy. See times of India comments and judge your self the kind of hatred.
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May 06, 2015 08:42pm
@Fakhr-e-Punjab. No, Pakistan has tactfully withdrawn from mess. Saudi can never engage in ground war. It's security is in others hand. The day it attack any country, it will face revolt inside.
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May 06, 2015 08:42pm
@Bimal william BTW, whole world is using Made in China stuff.
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May 06, 2015 08:57pm
@Ck
....."please remember this agreement was signed in 2003"
Then what was the congress doing for more than 10 years before Modi came to power?
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May 06, 2015 09:03pm
@Ck so the previous NDA govt did it. This NDA govt is taking it forward. So what? Big deal.
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May 06, 2015 09:10pm
@Man of wisdom-- Pak will not allow that--.!
What can Pak do ? Even US can not do any thingto stop it.
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May 06, 2015 09:10pm
@Abdullah Yousuf
1. Mumbai to Chabahar is 1440 miles than plus 200 miles to Afghanistan,total comes to 1640.
2. Mumbai to Amritsar- 1120 Miles, Plus Amritsar to Khyber Pass 440 Miles. Total- 1560 km
Difference- 1640-1560= only 80 km.
With this Indian strategy is good.
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May 06, 2015 09:16pm
@aamed we dream and make it come true,it takes time though....you dream that someone else will come and build something in ur country..u r not even dreaming of building by ur own,forget abt actually doing it...
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May 06, 2015 09:26pm
So Iran has been working with India for the last 2 decades to bypass Pakistan and with the northern alliance and its successor Karzai govt in Afghanistan to undermine Pakistani interests in Afghanistan (as has India). Saudi Arabia has been supporting Pakistan with huge financial lifelines through earthquakes, sanctions, floods, workers etc. So come the Yemen crisis what does Pakistan do? Ditch the Saudi's and support the Iranian position. Confused? Don't bother wasting your energy - Pakistani leaders have consistently proved to be really good at making the difficult and hard choices even if they are right. Any takers for Pakistan as a dubious "ally" or a fake "friend"? Not me thanks.
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May 06, 2015 09:28pm
@Varntvar.. There are those who do not want others to do well even at the cost of their own happiness.
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May 06, 2015 09:42pm
For sure Chbahar port is bound to overshadow Gwadar.
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May 06, 2015 09:45pm
@Karan Pakistani authorities do not think like businessmen. They leave all the thinking to India and then Pakistan does exactly opposite of what India does. This is the State policy. It completely eliminates thinking time, strengthens anti-India policies which further eliminates any need to develop pro-Pakistan policies.
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May 06, 2015 09:46pm
@Sonny Afridi Only the Chinese will use Gwadar, for bringing in and sending out goods from China by the shortest method. Why else are they investing $46billion, for Pakistan? Chahbahar port will be used by other countries, besides India, to connect to Central Asia. Central Asian countries will also use this port, as they don't trust the Pakistanis.
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May 06, 2015 09:56pm
@Viking Star it's better to talk about ourselves, ain't it, you can't even build a port in your country, you have just been given aid by Australia, still so much arrogance, amazes me, India is no China, agree, just as pakistan is no India
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May 06, 2015 09:57pm
Modi is going to aggravate Saudi and Gulf states building ports in Iran.
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May 06, 2015 10:02pm
This great news for Pakistan. Land route to Afghanistan and Central Asia is via Pakistan. The route to iran port by ship passes infront of Pakistan shores and ships can be stopped anytime. Both under Pakistan control. So that is why Pakistan navy has planned to have 32 submarines by 2030 and Ormara base is being developed. Game is over before it began. Hahahahaha.
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May 06, 2015 10:08pm
@Urooj Saifi Sir, I think Pakistani politicians are trying their best. They understand it, but decision likes this are beyond their pay grade. Any kind of development will come through economic development. Consider the case of Gulf countries. when they started making money, then petty issue got solved. Economic relations brings stabilization and keep industrial military complex in check (be it India or Pakistan). When their is money, govt would invest in education, transportation. I think all the politicians understand this, with higher level of education, people would question merits and demerits.
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May 06, 2015 10:08pm
@supernova432, you did, by commenting
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May 06, 2015 10:13pm
@Ck Yes, the agreement was signed in 2003, by BJP government. Then from 2004 to 2014 Congress government just sat on it instead of moving foreward. SO now BJP is acting.
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May 06, 2015 10:13pm
Like any independent country India made a decision that suits it's national interest. Great news for Iran as well. Too sad such a decision was not made by the Pak government.
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May 06, 2015 10:13pm
@Hrleen, Yes, the agreement was signed in 2003, by BJP government. Then from 2004 to 2014 Congress government just sat on it instead of moving foreward. SO now BJP is acting.
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May 06, 2015 10:16pm
@Ghazanfar Sanpal Less and less people around the world are buying Chines junk. That's why chinese GDP is in decline, and the Chinese are getting worried. Only Pakistan buy chinese junk. That's why the Chinese say 'Thank goodness for Pakistan".
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May 06, 2015 10:20pm
@sohail plz refer to project looking glass ...you will have a better understanding of world in transition .. india has a whole team decided to esoteric s sciences which works in real time line..
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May 06, 2015 10:29pm
@Zak If that what u think then are pakistani ships going fly in the air. They will that same water so watch out or you can use 'That great corridor' and send your shipment...ha ha ...game is onnn
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May 06, 2015 10:33pm
@Abdullah Yousuf Almost 80% of refinery capacity of India is located in Peninsular India. major heavy industry is located in Gujarat, MP, Karnataka & Maharashtra , so measuring distance from Amritsar to Afghania won't be good way to justify cost argument
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May 06, 2015 10:34pm
@Mekal Faruki good point. After this , Iran will control India's relations with Israel. It will have to be one or the other, can't be both, as they tried to kill each other's officials.
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May 06, 2015 10:54pm
Hmm, just remembering the other article from dawn: "No free Chinese lunch"
http://www.dawn.com/news/1179363
Quoting from this article:
"For instance, the Southern Expressway connecting Colombo to Galle, financed by the Asian Development Bank and Japan, cost $7 million per kilometre. By contrast, the Outer Circular Highway connecting the airport to the Galle Expressway, financed by a Chinese loan and awarded without competition to a Chinese firm, is going to cost $72m per kilometre."
ADB-Japan Combo, road construction cost: $7 million per kilometer
Chinese Firm Circular Highway connecting the airport to the Galle Expressway, $72m per kilometer
Thats 10 times expensive then one from Japan.
And from this article:
"India has already spent about $100 million to construct a 220-km road in Afghanistan to link up with Chabahar port"
So with that rate India is constructing with a cost around 0.5m (Half a million) per kilometer.
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May 06, 2015 10:54pm
So India is 14 times cheaper then Japan-ADB and 140 times cheaper then Chinese.
Effectively with this rate it means Chinese are not giving $46 billion, they are really giving $46billion/140 = 329 million approximately.
That means they are giving a loan of $46Billion, collecting interest on that but effectively giving stuff worth $329 million, and that also to their own construction companies.
Woohoo excellent deal for Chinese, it beats the Coal Scam of India hands down
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May 06, 2015 10:55pm
Here is my take on issue with Pakistan and Pakistani populous. They have only tunnel vision and it comes from the security perspective. They are a scared nation and a scared nation always think from the security perspective. For them,everything starts from security and ends up in security and hence they value their army too much. India on the other hand has economic vision and every decision is based on cost and benefit analysis. NS keep talking about Talks with India but has nothing to offer in return. Why would someone give you anything if you have nothing to give in return. A passage to India to central Asia could have been something Pakistan could offer to start the talks but they just can't think about it. Pakistanis want Kashmir/Siachen/Sir Creek without offering anything. It won't work. Pakistan can not force India for talks by proxy or direct war. It would backfire. Pakistan already has lost a lot of credibility and can not afford further isolation.
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May 06, 2015 11:03pm
Vaidehi Razmi is Iranian and Dalia Wahdan an Egyptian, both professors, the latter being my office mate too. Husband of the former is joining as well. Excellent women, both from Pune university. You find them, Iranians, Afghans, other Middle East and Asians etc, all over the place here; many came to study, have earned their degree, settled down in jobs and life. Speak a lot of Hindi and dance a lot. They have such immense freedom here, seems they never want to return, but they are very much loved in return. I speak so much Farsi thanks to them. Good fun. Larger cities like Delhi Bombay Calcutta Madras Bangalore Hyderabad and a dozen odd, full of expatriates. But very welcome and absorbed here...
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May 06, 2015 11:21pm
So! Iran and India do some 'deal' over whatever, and whichever 'port' etc etc ..... D'uh!! So much for so-called Unity of Islamic Countries (be they 'Shia' or 'Sunni' etc) -- against their 'common enemies' ... should one Laugh or Cry now...? Of course, some one in Pakistan will surely say that Iran TOO is now under the 'influence' of Israel/India!?! Very Sad...
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May 06, 2015 11:28pm
@Ck by Atal behari Bajpai my friend..The same NDA govt...
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May 06, 2015 11:28pm
@Man of wisdom
If you stop that, we can stop water to flow to Pakistan. Don't think, everything is in your hands. LOL...
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May 06, 2015 11:33pm
If India and Pak could work together, we could make the Indian subcontinent better than Europe in terms of quality of life. However we don't and end up spending our time and money on alternate plans (plan B) and huge defense expenditure.
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May 06, 2015 11:38pm
@Jawad U Rahman : Do you have it in you to build a port for iran ?
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May 06, 2015 11:39pm
Good move...It will open the various political, economic & strategic options to India,Iran, Afghanistan, Central Asia & Europe... India done the great job to refuse the US warning for not to sign the pact....
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May 06, 2015 11:46pm
Where are GCC countries fighting with Iran,,,pressurizing Pakistan to support against Iran? India's export to GCC countries are 75 Billion USD. However Pakistan's export is 3.01 billion USD
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May 06, 2015 11:48pm
Another useless MOU. Iran would soon realize that Modi Government is in fact an agent of USA. This port would never become functional. India would add delays, complications all at the behest of the USA and the Jewish lobby.
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May 06, 2015 11:53pm
It would have been far more fruitful if India and Pakistan have cooperated with each other. They could have provided transit access to each other, Pakistan to India for Iran and Afghanistan, India to Pakistan for South East Asia, Nepal and Bangladesh; win-win situation for all.
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May 07, 2015 12:07am
At first, india should decide if this is to counter Pakistan or china??? lolz........
Secondly, china will develop it and will use it for eyeing india and you think it will not benefit us?? it's doing our work too, whereas India will develop it and then use it on their own to keep an eye on both of us....only if iran can allow indian navy with big things!
plus gwader is in pakistan, our land, whereas in iran???? What if there is there is a fight b/w you too???
lastly, there is a reason all the Arabs and Pakistan don't trust Iran, long story, anyways best of luck with Iran, lolz......
p.s., chabahar can never ever ever dominate gwader...why??? because china has dominated the whole world and you think it can not overtake a port? and with this thing in iran gulf states are already out of the game!
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May 07, 2015 12:18am
@Zak It could also be other way round. India can use both countries to its advantage.
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May 07, 2015 12:25am
@Einstein Babar . Good point, however, given the animosity between the two countries, which is not going to fade away in the near future, I think it is prudent to develop alternatives.
I think what the Indian planners fear is Pakistan's ability to choke the land route to Afghanistan at will.
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May 07, 2015 12:32am
@Euro What navy? Pakistan doesn't have a strong navy. India just need to move two of ist carriers and destroyers out to the area and its game over. India is a emerging powers house who everybody wants to do business with. Get upto speed with the times!!!!
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May 07, 2015 01:04am
@Ck
You are right it was first planned in 2003 by Mr Vajpayee, and now Mr Modi is taking it further
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May 07, 2015 01:06am
India is also planning to build roads and railway line along Iran/Afghanistan border all the way to the central asia. It's not about Pakistan. India needs to have easy access to energy. In return India can trade with other nations. It's win-win for all.
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May 07, 2015 02:27am
@Zak
who said Iran and Israel are enemies, they are friends behind the door... Please wake up
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May 07, 2015 03:02am
Let me give my view also :)
Chahbar port is not going to add any value since Iran already has other ports and we have seen how much trade was done there...
1. Gwadar port is mainly for Pakistan and China
2. Afghan main trade cities are Kabul and kandahar both are near from Pakistan
3. Afghans will deal in any case from Karachi port since many Afghans are operating shipping companies in Pakistan
4. In the end Gwadar will benefit them because Iran doesnt allow afghans to operate shipping companies
5. Seems Iran is easy no way; doing biz in Iran is extremely difficult
Indian trade through this port will be max 10 billion usd in next 6-10 years after opening it
China Pakistan corridor trade is expected 100+ billion usd
chinese companies never had a threat from India because both countries have different mode of marketing. India is service and low tech items. China is all about bulk high tech items very limited in services
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May 07, 2015 04:05am
@Reader
The CPEC will cost $30 billion. So it is 30/140=214 million.
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May 07, 2015 04:16am
the US always does deals that are in its interest and therefore India too should sign the agreement with Iran. Pakistan cannot remain a spoiler by not allowing access to Afghanistan from India. Asia in the 21st century will be all about trade and India is looking East to bangladesh,Myanmar and Thailand. It will be possible on the west too with this Port project
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May 07, 2015 05:17am
@Zak Stopping other country ship amounts to war which neither of countries can afford.
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May 07, 2015 05:41am
@aamed There is no doubt that we (Indians) are making a serious effort to compete in this world. We believe we progress only by competing. We have no intentions to be lackeys.
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May 07, 2015 05:51am
Theirs always a but. India could have traded through Gwadar easily and cheaply if it wants good relations with Pakistan. Iranian border is much closer to Gwadar and Afghanistan. Supplies to India from Mid-East through Gwadar can reach India faster from Pakistan than any other route. India is competing control routes but in a War situation Pakistan can easily block supply through Iran port. India rather build a trade rout or road through Pakistan and Iran will be ever so fast. Pakistan has also good relations with Iran and all Mid-East. China is like no other. Who said Pakistan don't have friends.
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May 07, 2015 05:58am
End of the day, India and Pakistan need to work together rather against each other. Both countries can be benifited more in trade with central Asia and Iran. Both countries can compliment each other. As far as Modi is concerned, Iran is a Muslim country with good principle. Look at their nuclear deal with the world. China is becoming an emerging power. So, he is not special. Yes, India and Pakistan are special.
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May 07, 2015 10:49am
@Vasan
Iran is all weather friend of India
Russia is all weather friend of India
Afghanistan is all weather friend of India
Saudi is all weather friend of India
Israel is all weather friend of India
Bangladesh is all weather friend of India
Bhutan is going to be all weather friend of India
Nepal is going to be all weather friend of India
Shri lanka is going to be all weather friend of India
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May 07, 2015 11:36am
@Chinese China and that too hightech??.I dont think so,You are good at manufacturing but very very poor in engineering in which India is best.
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May 07, 2015 12:18pm
@Ck Ignorance is not appreciated , the plan was proposed in 2003 during the regime of BJP lead government , then for 10 long years cong dared not to touch it, now Modi definitely deserves the credit to execute the plan prepared by his own mentor atal bihari vajpayee
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May 07, 2015 12:40pm
The reason as to why India is ahead of Pakistan. They think and plan on long term basis while we remain confined only to short term benefits and that too for a few loved and preferred ones only.
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May 07, 2015 01:10pm
The thing to note and remeber is that China is developing a port in Pakistan. And India is developing a port in Iran. The point being that both Pakistan and Iran are the pawns where India and China play their game of interests.
Ever wonder if a day will come when Iran or Pakistan will be developing a port somewhere. That is called being on the world stage. Pakistan has a long long way to go...... as hey say and miles to go.......
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May 07, 2015 01:13pm
Chabahar port city in Iran is already a well modern established city with huge iranian investment since last 20 years and now it is just getting ready to fly after removal of sanctions
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May 07, 2015 01:41pm
Think about only 'Interests'.
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May 07, 2015 02:24pm
@Ck There you see it was signed in 2003 but it took 12 years to start
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May 07, 2015 03:04pm
@Hope. What is your point? To be connected to central asia, India, Pakistan all needs to pass through Afghanistan. If Afghanistan is not stable it is a bigger problem for Pakistan. Anyway it is cheaper to move goods to Iranian port for India then to go through Pakistan. Also given Pakistan does not give the access, it is a no brainer for us to leverage the port in Iran. Not sure why any Pakistani should be concerned. Healthy competition is good for everybody. Let us compete on creating more ports, more land routes.
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May 07, 2015 05:26pm
@suman now lets wake up...
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May 07, 2015 07:08pm
@Karan - tax alone dies bot build nations. There are various other factors this trade as not allowed. The biggest and most important one is India subsidies to uts farmers and thu their goods are cheaper. Allowing the land route our farmers will be pressured tremendously. Open ur eyes in 3D its the 21st century. Also India acted first to block pakistan so Pakistan acted in response which is in favorbof Pak farmers now but not unfairly but in a fair way
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May 07, 2015 07:53pm
@Abdullah Yousuf : 100% risk and no option to use 10 164o vs 440 no.
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May 07, 2015 08:30pm
Iranians are more rooted in ancient Persian culture - part of Aryan civilization, US also supports Chabahar notwithstanding the posture for public consumption.
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May 07, 2015 10:40pm
Parallel move by India to off set Chines access to Gawadar port.
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