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With the establishment of a direct container line between Iran 's Chabahar port and India’s Kandla port, the time distance between the two countries will be decreased to less than two days.

Chabahr port as one of the important ports of southern Iran is located on the northern coast of the Gulf of Oman. It has crucial functions in Iran’s trade ties due to its strategic location and easy access to international waters. Meanwhile, its proximity to Afghanistan, Pakistan and Middle Asia and future linkage to the country’s railway network will add weight to its position for transportation of goods to aforementioned places. Also, as the sole Iranian ocean port, it serves as a hot spot location and will be crucial to the North - South corridor. Moreover, being on the east-west transit route, the port is of considerable economic and geographical significance in transportation and transshipping.

A Memorandum of Understanding (MOU) on sisterhood relationship and developing cooperation between Iranian port, Chabahar and Sweden port ,Malmo, was signed in the presence of Abbas Ahmad Akhoundi, Iranian Minister of Road & Urban Development.