India’s $500m port deal with Iran a masterstroke — and a tough balancing act

© Robert Hale

India has sealed its trade route into central Asia and Russia with a deal to develop Iran’s Chabahar port. India has pledged to spend $500m and has a plan to invest a further $16bn in the city’s free-trade zone. The project, which has been on the drawing board since 2004,  has become increasingly important for both countries as Iran strives to reduce the power of China and Russia in its economy, while India is keen to reduce its reliance on Pakistan ...