Chabahar, Iran. Stock Photo: Photo Tripper92\/Shutterstock<\/p>\n
India Mulls Options On Iran Port Stake Before Sanctions Kick In<\/p>\n
By\u00a0Sudhi Ranjan Sen and Mihir Mishra<\/p>\n
Apr 25, 2026 (Bloomberg) \u2013India is considering various options regarding its stake in the Chabahar port in Iran, including temporarily divesting from it, ahead of the expiry of a US sanctions waiver in coming days, officials familiar with the matter said.<\/p>\n
New Delhi is holding separate talks with the US and Iran on how to proceed on its<\/p>\n
$120 million investment in the port<\/p>\n
, the people said, asking not to be identified because the discussions are private. One of the options is to temporarily transfer the stake to an Iranian entity, one of the officials said. India doesn\u2019t plan to completely exit the port, the person said, since there are plans to expand connectivity at the harbor through a rail link.<\/p>\n
Officials had been hopeful that the sanctions waiver, which is due to expire April 26, would be extended, but rising tensions between the US and Iran made that unlikely, the person said. A final decision on the port investment hasn\u2019t yet been made, the officials said.<\/p>\n
India\u2019s Ministry of External Affairs and Ministry of Ports, Shipping and Waterways didn\u2019t immediately respond to requests for further information. Iran\u2019s Embassy in New Delhi also didn\u2019t respond.<\/p>\n
New Delhi signed a 10-year contract with Iran\u2019s Port and Maritime Organization in 2024<\/p>\n
, seeking to develop Chabahar as an alternative gateway to ship goods to Afghanistan and Central Asia, bypassing rival Pakistan. In 2018, the US gave India a sanctions waiver to operate at the port. That exemption was revoked in September 2025, but after lobbying from New Delhi, a waiver was given until April this year.<\/p>\n
India\u2019s External Affairs Minister Subrahmanyam Jaishankar told lawmakers in February that the country \u201cremains engaged\u00a0with all concerned in order to address the implications of these developments.<\/p>\n
Business Standard newspaper earlier reported that India was looking to divest its stake to an Iranian entity.<\/p>\n
New Delhi is seeking to strike a balance between Washington \u2014 where ties have come under strain during President Donald Trump\u2019s second term \u2014 and longstanding relations with Iran.<\/p>\n
Trump\u2019s war with Iran since February has added a new layer of complexity in US-India relations. Trump has ordered a<\/p>\n
naval blockade of the Strait of Hormuz<\/p>\n
to force Tehran to the negotiating table. India is heavily reliant on energy supplies through the strait and has been negotiating separately with Iran to allow its<\/p>\n
to pass through safely.<\/p>\n
The Chabahar port is a major transportation node for the North-South Transport Corridor, a network of 7200 kilometers connecting Russia and Central Asian countries. India sent over 4 million tons of food aid to Afghanistan through the port since 2018,\u00a0according\u00a0to India\u2019s External Affairs Ministry.<\/p>\n
\u00a9\u00a02026\u00a0Bloomberg L.P.<\/p>\n