Iran said that Chabahar was not a rival of the Pakistani Gwadar and invited Pakistan to participate in its development. Pakistani analysts supported this view and said that Gwadar had an advantage in being a deep-water port and that the expansion of Chabahar would indeed increase gwadar`s trade. Larger-scale vessels that cannot dock at Chabahar could dock at Gwadar and transfer the cargo to Chabahar.  Sartaj Aziz, Pakistan`s foreign policy adviser, said Pakistan could link the port of Gwadar to Chabahar.  Indian Transport Minister Nitin Gadkari said the port would strengthen India`s trade relations with Iran, Afghanistan, Central Asian countries and Russia. Chabahar is important for India to free itself from the encirclement by China, w… Iran`s Sistan and Baluchestan province, where the port of Chabahar is located, is also the scene of the insurgency activities of the Jundallah insurgent group, which claims to be fighting for the rights of Sunni Muslims and the local Baloch ethnic group.  In 2010, Jundallah fighters sent a suicide bomber to a Shiite mosque in Chabahar, killing 38 people.  However, without the development of the port of Chabahar, these road links were not saturated.  Despite the intentions, India`s involvement in infrastructure development in Iran was minimal, perhaps due to Western pressure to impose sanctions. It is also assumed that Iran has a preference for Iranian entrepreneurs over Indians.   The initiative was resumed in August 2012 at a trilateral meeting on the sidelines of a non-aligned summit.
 In November 2018, the United States exempted the Chabahar multinational port project from its sanctions against Iran because of its economic importance to Afghanistan.  In October 2017, the first shipment of wheat from India was shipped to Afghanistan via the port of Chabahar.  In December 2018, India resumed port operations.  Given that 90% of iran`s population is concentrated in the western part of the country, the eastern part is relatively less developed. Iran intends to change this with the development around the port of Chabahar, with a free trade area and road and rail links between Chabahar and Central Asia. Its plan is to use the port of Chabahar as a gateway to Central Asia and to preserve the port of Bandar Abbas, which currently manages 85% of Iran`s maritime trade, as a hub for trade with Russia and Europe.  ”The Chabahar agreement will expand trade, attract investment, build infrastructure and create jobs for our youth,” said Prime Minister Narendra Modi. The development of the port of Chabahar was considered crucial for India, as New Delhi will not only bypass Pakistan and access world markets, but also counter China`s growing influence in the Indian Ocean region. But the project`s land route through Afghanistan remains a security issue.
India has been uneasy in observing Chinese funding for a strategic port in Gwadar, Pakistan, which New Delhi believes will allow Beijing access to the Indian Ocean region. In response, New Delhi began negotiations with Tehran more than a decade ago to develop the port of Chabahar to counter Chinese movements in what is considered part of India`s sphere of influence. But the Chabahar project fell through the ice after the Trump administration abandoned the nuclear deal with Iran in May 2018.