‘Recent development’ has cast shadow on Chabahar Port's future: Parliamentary panel

Concerns arise over Chabahar Port's future due to recent developments and U.S. sanctions, warns parliamentary external affairs committee.

The "recent development" has cast a shadow on the future of Chabahar Port, a vital and strategic port for India, a parliamentary panel on external affairs has said, and welcomed that the Centre "remains engaged" with all concerned parties in order to address the implications of these developments.

The ‘Twelfth Report of the Committee on External Affairs (2025-26) on Demands for Grants (2026-27)’ of the Ministry of External Affairs (MEA) was presented in Parliament on Tuesday (March 17, 2026).

The Committee of External Affairs is headed by Congress MP Shashi Tharoor.

The observation by the panel, assumes significance as it comes amid the ongoing West Asia conflict and in the backdrop of the recent changes in U.S. sanctions or tariff policies on India's participation in the Chabahar project.

"The Committee find that for the development of Chabahar Port, an amount of ₹100 crore was allocated at BE (budget estimate) 2025-26, which was increased to ₹400 crore at RE (revised estimate). The allocated amount had been fully utilised by January 2026," the report says.

The MEA has informed the panel that "no amount has been allocated under the head during 2026-27 as India has already fulfilled its commitment of contributing $120 million" for the procurement of port equipment, according to the main contract signed in 2024.