Jaishankar avers Chabahar port can boost connectivity & economic potential of SCO region

India's External Affairs Minister S. Jaishankar said that the Chabahar port can help in unlocking the economic potential of SCO region. Speaking virtually at the Shanghai Cooperation Organisation (SCO) meet on Tuesday, the EAM said: "Our total trade with SCO Members is only $141 billion, which has potential to increase manifold. Fair market access is to our mutual benefit and the only way to move forward". The SCO meet was hosted by Chinese Premier Li Keqiang. The connectivity projects in the SCO region must respect the territorial integrity of nations and focus on the interests of central Asian nations. 

"Will unlock the economic potential of this region in which Chabahar port and the International North South Transport Corridor could become enablers. Connectivity projects should respect the sovereignty and territorial integrity of Member States and respect international law," the EAM said.

The SCO consists of eight members which are -- India, Russia, China, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan and Uzbekistan. Four nations -- Iran, Afghanistan, Belarus and Mongolia -- have an observer status, these are nations who are interested in becoming full time members of the SCO." In 2021, the decision was made to start the accession process of Iran to the SCO as a full member, and Egypt, Qatar as well as Saudi Arabia became dialogue partners," according to the UN. The SCO began in 2001 as a multilateral organisation aimed at fighting regional terrorism and extremism. The SCO is the world's largest regional organisation as its member states represent 30 percent of the world's GDP and 40 percent of the world's population. 

The rationale behind Chabahar port

Chabahar is the only oceanic port Iran has and the port is being financed by India and Iran. It is located on the gulf of Oman, and it will give the landlocked Afghanistan access to the Indian Ocean. Currently, Afghanistan depends on Iran's Bandare Abbas for 70 percent of its trade but as Bandare Abbas is located on the Persian Gulf, it does not have a direct access to the Indian ocean. A major hindrance between India-Afghanistan trade is that Pakistan does not allow India transit access through land. Chabahar is India's attempt to bypass Afghanistan. 

The plans to develop Chabahar port predate the Islamic revolution in Iran. Back in 1973, Iran's shah (the monarch) Reza Shah announced $8 billion investment to develop the port and since that time, some geopolitical development or domestic development in Iran keeps delaying the completion of the port. US' unwillingness to negotiate with Iran on the nuclear deal might lead it towards a more harsh part vis-a-vis its bilateral relationship with Iran, which would only complicate matters for India. The US has already in the past asked India to stop importing energy from Iran. In September, on the sidelines of the SCO summit, PM Narendra Modi met with the Iranian President Ebrahim Raisi to review the progress in development of the port.