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The US maintains a sanctions waiver on the development of the port, taking into account its importance to the development of the conflict-torn Afghan economy, but local reports suggest that indirect effects of American sanctions have slowed down the emergence of Chabahar as a fully-fledged cargo hub. Indian officials are now counting on a thaw in relations between Washington and Tehran under US President Joe Biden before moving forward with $500mn of investments centred on Chabahar, Indian press reports indicate. India is developing the Shahid Beheshti complex and one other terminal at the port under an agreement signed with Iran. Under the deal, it will operate the terminals for 10 years.
Mandaviya said the port had already commenced operations in a limited way and the growth potential was evident.
Chabahar port handled 123 vessels and 1.8mn tonnes of bulk and general cargoes from February 2019 to January 2021, he said.
“This is much higher than our expectations. Imagine the scale of operations and freight saving once it is fully operational,” the minister added.
Last year amid the coronavirus pandemic, India used Chabahar to send 75,000 tonnes of wheat as humanitarian assistance to Afghanistan and 25 tonnes of pesticide malathion to Iran to deal with a locust invasion.
As part of the agreement with Iran, India is set to provide six cranes and other equipment worth $85mn to equip and operationalise the Shahid Beheshti terminal.
India also has plans to lay around 600 kilometres of railway line from Chabahar to Zahedan, the provincial capital of Sistan-Baluchestan in Iran close to the Afghan border, at a cost of $1.6bn.
New Delhi has also proposed the inclusion of Chabahar port in the International North-South Transport Corridor (INSTC), connecting Mumbai with Moscow via Iran and Azerbaijan.
9.1.5 Tourism sector news
Iran, Russia agree visa-free group tourism using accredited companies
Hotel closure rate in Iran has hit 30% amid pandemic says federation
A deal between Russia and Iran that cancels visa requirements for tourist groups travelling under credited company arrangements has been signed by head of the Russian Federal Agency for Tourism Zarina Doguzova and Iranian Minister of Cultural Heritage, Tourism and Handicrafts Ali Asghar Mounesan.
The agreement means one tourist group will be able to travel on just one visa. The signing in Moscow was announced by Iran’s Ambassador to Russia, Kazem Jalali. "At the meeting, an action plan was signed on fulfilling an agreement between the government of the Islamic Republic of Iran and the Russian government on visa-free trips for the two countries’ citizens," Jalali wrote on his Facebook page.
Russian Foreign Ministry spokeswoman Maria Zakharova said last October that visa waivers for Iranian tourist groups would take effect in the near future.
Some 30% of hotels in Iran have shut down since the start of the coronavirus (COVID-19) outbreak in the country in February, the Federation of Hotel Owners has said.
A collapse in bookings and lack of support provided to hotel owners to stay solvent saw many hotels either forced to close or mothball operations, it added.
“The industry has suffered Iranian rial 85tn ($304mn at the free market rate) in losses because of the pandemic and the radical decline in domestic and
44 IRAN Country Report August 2021 www.intellinews.com