India, Feb. 1 -- In a departure from the past and an ominous sign for the project's future, the Indian government did not allocate any funds for the Chabahar port in Iran amid US sanctions on the Islamic Republic.

In the last few years, India has been making an annual outlay of Rs.100 crore to the project in the Sistan-Balochistan province on Iran's southern coast, being a major partner in the development of the port.

US sanctions on Iran affect India's Chabahar project despite a temporary waiver for it until April 2026.

As of now, India has not officially pulled out of the Chabahar project, but this pause in funding comes also amid tightened US sanctions and massive tariffs on India. Half of the 50% tariffs on India already are for it...