Trilateral Agreement 2016

On October 29, 2017, the trilateral transit trade and the trilateral transit route were implemented when the first shipment of wheat from India was sent to Afghanistan via Chabahar. [57] According to the Indian Ministry of Foreign Affairs, the agreement “will significantly improve the use of the port of Chabahar, contribute to Afghanistan`s economic growth and facilitate better regional service, including between India and the links with Afghanistan and Central Asia.” Arvind Virmani, a former economic adviser to the Indian government, stressed the strategic importance of the trilateral pact and said on Twitter: “The interior of the country is escaping from the hostage situation created by a militarized neighbour for its strategic purposes. The port`s increasing connectivity could allow Afghan exports to access India`s markets at a lower cost. Currently, an overwhelming amount of Afghan industrial products is transiting through Karachi, Pakistan. In February 2016, the Afghan authorities said Afghan exports via Karachi had fallen by 40% amid political tensions between Kabul and Islamabad. Among the bilateral agreements signed by India and Iran following in-depth talks between Modi and President Hassan Rouhani were one on the construction of an aluminum plant and the other on the establishment of a railway line to allow India access to Afghanistan and Central Asia. The trilateral transit agreement signed by India, Iran and Afghanistan allows Indian goods to reach Afghanistan via Iran. It connects ports on the west coast of India to the port of Chabahar and includes road and rail links between Chabahar and the Afghan border. [47] In order to allay Pakistani fears or reflections that the pact was directed against it, Rohani said that third countries could join the trilateral agreement in the future. The pact is “not against any other country… It is beneficial for the whole region” and will contribute to peace and stability, he said.

The most important agreement signed by an Indian joint venture was a Phase I development contract for the port of Chabahar on The south coast of Iran.