Despite the Ports and Maritime Organization of Iran reporting a six percent growth in the performance of Iran’s ports during the first nine months of 2023, there remains a lack of clarity regarding the findings of their investigation and the current status and challenges faced by port activities in Iran.

As per the statistics from the Ports Organization, the unloading and loading of non-oil goods in Iran amounted to 82.77 million tons, indicating an increase of 8.6%.

The volume of unloading and loading of oil goods from April to the end of December 2023 witnessed a 3.5% increase, reaching a total of 90 million tons.

In the container operations department, this organization also asserted a growth of 4.3% compared to the same period in the previous year.

These export statistics are presented, although economic experts have emphasized that the declared export amount is inconsistent with the trade balance of the regime during the last year.

In preceding years, the regime aimed to accelerate the development of southern and eastern ports through collaboration with China, India, and Pakistan.

In recent days, coinciding with a trip by India’s Foreign Minister to Iran, the announcement of a new contract for the development of Chabahar port, a focal point of negotiations between the two countries, was made. 

This is despite India’s failure to fulfill its obligations regarding the proper development of the port, and the cessation of India’s activities in Chabahar port in past years, despite initial investments and preparations made by Indian companies, due to sanctions and local challenges. 

Nevertheless, the Deputy Minister of Roads and Urban Development disclosed on December 18 that a new round of negotiations with the Indians has taken place over the last eight months.

The commitment to recommence Indian investment in Chabahar comes at a juncture when some experts opine that the execution of the prior agreement between the two countries, and the cessation of Indian investment after fulfilling only a portion of the obligations outlined in the first phase of the agreement, has inflicted substantial losses upon Iran.

The primary challenge hindering the utilization of the designated capacity of Chabahar port, as well as several other Iranian ports like Bushehr, Deylam, and Ganaveh, is the absence of rail network connections.

Despite the regime’s commercial policies shifting towards a sea-oriented economy in the last decade, following projected patterns, the inadequate infrastructure across various sectors has resulted in the actual capacity utilization of Iran’s ports falling below anticipated levels.

Another factor that has impeded the achievement of the sea-oriented economy program at the desired and defined level is the insufficient utilization of the capacity of all the northern and southern ports in Iran.

The Ports Organization disclosed in December 2022 that a substantial 80% of cargo movement in the ports is concentrated solely in Shahid Rajaei and Imam Khomeini ports, leaving the remaining 19 ports to account for only 20% of the share.

Meanwhile, Qeshm ranks third with 4.6%, followed by Bushehr at 2.9%, Chabahar at 2.7%, and Khorramshahr at 2.1%, occupying the fourth to sixth positions, respectively. Despite Iran having multiple ports in the north, only 14% of their total capacity is utilized. Remarkably, a significant 86% of the capacity of these ports remains unused.

Considering the statistics, it should be noted that, in addition to the regime’s inability to balance the capacity of all ports, what sets Shahid Rajaei and Imam Khomeini ports apart from others is the presence of docks controlled by entities such as the Islamic Revolutionary Guards (IRGC). State-run media has repeatedly highlighted their illegal use over the last two decades, in addition to challenges related to sanctions.

One instance of illicit activities involves the allocation of port areas and wharves to specific individuals without conducting auctions and tenders, a practice that has been repeatedly highlighted by the media.