Asia

Iran and India sign port deal, other economic agreements

Associated Press
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Indian Prime Minister Narendra Modi, left, walks with Iranian President Hassan Rouhani during an official welcoming ceremony at the Saadabad Palace in Tehran, Iran, Monday, May 23, 2016. (Iranian Presidency Office via AP) (The Associated Press)

Indian Prime Minister Narendra Modi, third left, reviews an honor guard as he is welcomed by Iranian President Hassan Rouhani, second left, during an official welcoming ceremony at the Saadabad Palace in Tehran, Iran, Monday, May 23, 2016. (Iranian Presidency Office via AP) (The Associated Press)

Indian Prime Minister Narendra Modi, third left, and Iranian President Hassan Rouhani, left, review the honor guard during a welcoming ceremony at the Saadabad Palace in Tehran, Iran, Monday, May 23, 2016. (Iranian Presidency Office via AP) (The Associated Press)

India says it will invest up to $500 million in a deal to develop a strategic port in Iran and plan a number of projects they say are worth hundreds of millions of dollars in joint projects.

The deal and plans were announced Monday during a visit by an Indian Prime Minister Narendra Modi, the first such trip in more than a decade.

The two countries signed a number of agreements including the development of Chabahar port in southeast Iran, expanding a trade route for the land-locked countries of central Asia that bypasses Pakistan.

Modi said about $500 million is available from India for the project and that the oil and gas industries are key components to the future economic cooperation between Tehran and Delhi.