In a significant diplomatic move aimed at bolstering bilateral trade, Iranian and Indian officials have agreed to revive a joint trade working group that has remained dormant since 2015. The decision came during a meeting on Thursday between Mohammad Sadegh Mofatteh, Iran's Deputy Minister of Industry, Mining and Trade for Commercial Affairs, and Amardeep Singh Bhatia, India's Deputy Minister of Commerce and Industry.
The working group, which previously held three successful rounds of talks, had been suspended due to political tensions and international sanctions. Its revival is expected to clear the path for smoother trade exchanges by addressing outstanding obstacles between the two nations.
Mofatteh stressed the need to expand UCO Bank's services to Iranian businesses, suggesting that banking facilities be extended to cover sectors such as mining, electricity, construction, and services, with transactions in Indian rupees. He noted that expanded banking cooperation could significantly boost Iran's export share to the Indian market.
Another key point of discussion was the establishment of a regular shipping link between Indian ports and Iran's strategic Chabahar port. Currently, there is no scheduled maritime route between the two sides, with the sole service operated by Iran's national shipping line running only on an ad-hoc basis. Mofatteh proposed a weekly or bi-weekly service, arguing that such a connection would not only facilitate trade but also unlock investment potential in Chabahar's development.
The talks mark a fresh attempt by both countries to overcome political headwinds and tap into the vast economic synergies that remain underutilized. Observers view the revived working group and proposed shipping route as practical steps that could breathe new life into a trade relationship long overshadowed by geopolitical challenges.
