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Allocation of 110 hectares of land in Chabahar Port to Afghanistan for investment
Economy

Allocation of 110 hectares of land in Chabahar Port to Afghanistan for investment

منبع تصویر: hamshahrionline.ir

By Euronews Farsi Editorial 2 min Read time 28,270

The allocation of more than 110 hectares of land in Chabahar Port to Afghanistan is part of Iran's efforts to attract cargo from landlocked countries and transform southern ports into key nodes of regional corridors. Mohsen Zangeneh, the head of the Special Commission for Production Support in the Parliament, emphasized that this action does not mean relinquishing sovereignty over Iranian territory and aims to create commercial and transit infrastructure for Afghanistan.

Development of Commercial Infrastructure and Economic Impacts

Zangeneh stated that 10 hectares of land within the Chabahar Port area and about 100 hectares in the free zone will be allocated for Afghan investment. The goal of this plan is to provide logistical facilities and a dry port to facilitate Afghanistan's access to open waters. According to him, this plan not only benefits Afghanistan but also brings economic advantages to Iran and aligns with the policy of attracting domestic and foreign investors.

This action, as an opportunity to create economic infrastructure and increase trade exchanges, can help boost Iran's economy. In port economics literature, such contracts can be defined in various forms, including leasing port land, granting usage rights, and concession agreements.

Challenges and the Future of Iran's Trade

Despite the potential benefits, the details of the contract and Afghanistan's commitments have not yet been publicly disclosed. Meanwhile, a successful example in this area is the agreement between Iran and Kazakhstan to construct a transport and logistics terminal at Shahid Rajaei Port, which was concluded under a Build-Operate-Transfer (BOT) contract.

Stabilizing cargo flow and linking part of regional trade to Iran's infrastructure can bring additional economic advantages to the country. Especially as Afghanistan and landlocked countries seek access to maritime trade, Iran can play an important role.

However, given the wartime conditions and the pressures of U.S. sanctions, the realization of these goals and the revenue that will come to Iran remain uncertain. New U.S. sanctions against Iran increase the costs and risks of conducting transactions with this country for investors and shipping companies, which may impact Iran's economic interactions in the future.

Source: hamshahrionline.ir