After a four-year gap, the Shipping Corporation of India (SCI) is set to begin sailing to Iran in order to transport oil cargo, according to Reuters.
This follows recent PTI news that Dharmendra Pradhan, Oil Minister for India, had announced that Iran has stopped shipping free crude oil to India.
B.B. Sinha, Chairman of SCI, said: “It is not yet decided which SCI-owned vessel is going to Iran. Fleet expansion is necessary as India's foreign trade is also increasing with a growing economy.”
PTI previously reported that India is to invest US$500 million in order to develop Iran’s Chabahar Port, thereby opening up a route to Afghanistan and Central Asia.
Narendra Modi, Prime Minister for India, said that this is an important deal, which will mark the beginning of economic growth in the region.
In preparation for the lifting of economic sanctions, which took place in January, 2016, Iran was planning an immediate return to the maritime industry.
However, despite the lifting of sanctions, Iran were said to be struggling to increase oil exports as a result of most of its tankers storing crude.
An estimated US$120 billion was said to be available once the sanctions were lifted.