Talks with Iran focus on security, energy, connectivity

India and Iran on Thursday held extensive discussions on key bilateral and regional issues, including security, energy and connectivity, as New Delhi looked at “re-energising” its ties with Tehran after the lifting of sanctions by the Western countries against it.

During the 13th round of India-Iran Foreign Office Consultations, chaired by foreign secretary S. Jaishankar and Iranian deputy minister for Asia and Pacific affairs Ebrahim Rahimpour, the two sides reviewed the entire gamut of bilateral ties, official sources said.

Apart from taking stock of cooperation in connectivity and energy, the two discussed regional security issues and development in the region. “Iran is an important economic and security space for us as also amongst the most important sources of energy,” MEA spokesperson Vikas Swarup said, noting that after the lifting of sanctions against Tehran, New Delhi was looking at “re-energising” ties with its long-standing partner. Sources were cited by news agencies as saying they discussed the possibility of a preferential trade arrangement and India’s participation in Farzad B gas block. Under pressure from the US and other Western powers, India had relegated its second-biggest oil supplier by cutting down purchases from 21.2 million tonnes in 2009-10 to 11 million tonnes in 2013-14.

Imports have been of that order in the last three years.

Indian firms have so far shied away from investing in Iran for fear of sanctions by the US and Europe. It was deterring New Delhi from claiming rights to invest nearly $7 billion in the biggest gas discovery ever made by an Indian firm abroad. But after the lifting of sanctions, India is making a renewed pitch for rights to develop 12.8 trillion cubic feet of gas reserves ONGC Videsh Ltd had found in 2008.

Noting that the first phase of the Chahabahar port contract was in the final stages of negotiation, they also hoped for an early conclusion of the contract. They also discussed a possible double taxation avoidance agreement and the Bilateral Investment Promotion and Protection Agreement, sources said. Mr Rahimpour later met external affairs minister Sushma Swaraj.