(Image source from: AFP)

American restrictions will not affect India's Chabahar Port in Iran, as stated by the Ministry of External Affairs (MEA) today. Last year, the Indian government entered into a ten-year agreement with Iran, under which the state-owned India Ports Global Ltd (IPGL) committed to investing 370 million dollars in Chabahar, which is an important port for India.

The MEA's statement comes during intense discussions between India and the US to finalize a significant trade agreement. "We are still working with the US to finalize the trade deal. Both parties are continuing their talks. For any further updates, please consult the Ministry of Commerce," said the spokesperson for the MEA. In 2018, the initial Trump administration also granted a unique exemption allowing Indian firms to continue developing Chabahar, despite the US imposing extensive sanctions on Iran, as the main port at Bandar Abbas was at full capacity.

Last month's US action regarding Chabahar Port was part of broader UN sanctions imposed on Iran due to its nuclear activities. The MEA mentioned that India is also evaluating the effects of US sanctions on Russian oil firms. "We are looking into the effects of the recent US sanctions on Russian oil companies. Our decisions naturally consider the changing situation of the global market," the MEA stated. "Our stance on the broader issue of energy sourcing is well-known. In this effort, we are focused on ensuring affordable energy from various sources to fulfill the energy security needs of our 1.4 billion citizens," the spokesperson added.