Modi to visit Iran for talks on economic, trade ties

Tehran, May 19: Indian Prime Minister rendra Modi will make an official visit to Iran on May 22 in a bid to spruce up bilateral ties with Iran by signing major economic cooperation agreements, the Iranian president’s office on Thursday announced.

During the visit, both sides will ink a number of agreements to deepen their mutual ties in the post-sanction era, a statement from President Hassan Rouhani’s office said.

The documents will encompass economic, trade, investment, transportation, ports developments and culture science sectors.

During his two-day visit to Tehran, Modi will be accompanied by a high-ranking politico-economic delegation.

Among the agreements to be signed, development of Iran’s southeastern Chabahar port city by India was of high importance. India said it was ready to invest in the development of Chabahar.

In May 2014, India and Iran signed a Memorandum of Understanding to jointly develop the port once the intertiol sanctions against Iran were lifted.

Both sides agreed as per the MoU to allow India lease two docks at the port for a period of 10 years, a move that was meant to cut India’s crude oil and urea transportation costs by around 30 percent.

Chabahar is located in the Gulf of Oman bordering Pakistan. India’s move to develop Chabahar port, if implemented, would eble New Delhi to dodge Pakistan and establish a strategic connectivity to Afghanistan as well as Central Asia. Concurrent with Modi’s visit, the Afghan president will also arrive in Tehran to sign a trilateral deal regarding Iran’s Chabahar Port. (IANS)