Iran-Pakistan-India (IPI) gas pipeline is still on the table, but New Delhi feels time is not ripe

New Delhi
3 April 2010

The Iran-Pakistan-India (IPI) gas pipeline project is still on the table but New
Delhi suspects that the time to take the project forward has not presented itself so far
because of attendant circumstances, such as the economic viability of the project itself
and the issue of sanctions on Iran.

Sources here said the IPI project has not been set aside, but they conceded that India
has not pursued negotiations with vigour in the last few years. In contrast, Pakistan has
gone ahead and concluded negotiations with Iran for buying piped gas.

There appears to be a recognition in official circles that Iran continues to remain an
important country for India in terms of regional security, particularly in view of attempts
being made by the US and its NATO allies to reinsert Taliban elements in the governing
structures in Afghanistan.

India is not oblivious of or insensitive to Iran, a source said, adding that New Delhi sees
Tehran "in 360 degrees, in its entirety". The source also noted that there was no
pressure from the US on India to keep off Iran.

Indian and Iranian officials are discussing the development of Iran's Chabahar port,
which would give India access to Afghanistan through Iran. The discussions relate to
issues such as whether the port would be a special economic zone, sources said.

India has built the Zaranj-Delaram highway in Afghanistan, which is to be linked to the
Chabahar port. Although connectivity is not difficult, there is no forward movement
because the discussions on port development are inconclusive.

The Indian ambassador in Tehran will represent India at the nuclear summit to be hosted
by the Persian Gulf nation later this month. India will also participate in a G-15 meeting
to be held in Iran in June.

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