Iran allocates over 110 hectares in Chabahar for Afghan economic activities

Iran has reportedly allocated more than 110 hectares of land at the strategic port of Chabahar for Afghanistan’s economic and commercial activities, in a move aimed at strengthening bilateral trade and industrial cooperation.

According to Iranian media reports, Mohsen Zanganeh, head of the Iranian Parliament’s Special Commission for Supporting Production and Supervising the Implementation of Article 44 Policies, announced the development following economic consultations between the two countries on Thursday.

Zanganeh said the proposal to set aside land for Afghanistan in the Chabahar Free Trade Zone was raised by Afghanistan’s industry minister.

“Under an agreement reached, we have agreed to allocate 10 hectares of land at Chabahar Port and approximately 100 hectares in the Free Trade Zone for Afghan investment. This arrangement will enable Afghanistan to invest in the designated area and facilitate its access to open waters.” said Zanganeh. 

He added that Afghan officials had requested additional space within the port itself, but limited coastal land had made the request difficult to accommodate. The two sides reached a preliminary understanding and are expected to continue discussions.

The talks also covered expanding industrial cooperation, establishing a joint industrial park and increasing bilateral trade to $10 billion.

Located on the Gulf of Oman, Chabahar Port offers Afghanistan a potential gateway to international markets and could help diversify the country’s trade and transit routes.

The proposed arrangement could create new opportunities for Afghan businesses, strengthen regional connectivity and support the expansion of commercial ties between Kabul and Tehran.