After bagging the strategically important Chabahar Port in Iran, the government is looking eastwards and is in discussions with Bangladesh to develop a similar facility in Payra. India Ports Global, the joint venture between state-run JNPT and Kandla Port for overseas ports, is interested in the expressions of interest which have been invited for construction of Payra port in Bangladesh.

The Narendra Modi government has been talking about an ‘Act East‘ policy, as against the previous regime’s ‘Look East’ policy, and the moves to build maritime infrastructure in Iran in the West and Bangladesh in the East seem to be part of that approach. The move can also be construed as a reply to the aggressive play by China, which is developing a port in Colombo and Gwadar in Pakistan.

It can be noted that China has embarked on what is referred to as ‘string of pearls’ strategy, under which it is creating such assets across the circumference of the Indian Peninsula in the Indian Ocean Rim region.

Nitin Gadkari said an immediate benefit of developing the Chabahar port will be cheaper gas availability, which can help reduce the urea subsidy bill by Rs 45,000 crore.