Iran and India are set to strengthen their trade ties with the upcoming launch of a joint shipping company, according to Iranian Minister of Roads and Urban Development Mehrdad Bazarpash.

The announcement came alongside the signing of a separate contract for equipping and operating a container terminal and cargo barges at Iran's Chabahar Port with an Indian company.

This move highlights both countries' commitment to developing their infrastructure and boosting regional trade.

"We have regular planning in the development of rail, road and sea infrastructure and the growth of transit in different sectors in Iran continues," Bazarpash said.

The new shipping line will operate alongside an existing direct container shipping route connecting Iran, India, and China.  Bazarpash emphasized the increasing importance of Chabahar Port, particularly after the completion of the Chabahar-Zahedan railway section later this year.

"Chabahar port plays a strategic role in the eastern branch of our north-south corridor," Bazarpash explained, "and after the completion of the railway section, this port will play a greater role in the country's transit development plan."

The value of the contract between Iran and India for the Chabahar Port project has also risen to $370 million. (ILKHA)