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June 28, 2001
1930 IST

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Iran hopeful of Indo-Pak deal on gas pipeline

Iran is hopeful that India and Pakistan will reach an agreement on the proposed Iran-Pakistan-India gas pipeline during the visit of President Pervez Musharraf to New Delhi, an Iranian spokesman said on Thursday.

He said Iran is sending Deputy Foreign Minister for Economic Affairs Mohammed Hossein Adeli to Islamabad to hold talks on laying the 2500km pipeline.

"The visit will take place in the near future," he added.

The project has been a major topic of discussion between India and Iran over the past decade, but New Delhi has been apprehensive of the Iranian proposal that the pipeline should pass through Pakistani territory in view of the cost factor.

But Pakistan has from time to time given assurances about the pipeline's security given that Islamabad could earn as much as US$400 million a year in transit fees.

Observers say the gas pipeline may emerge as a symbol of peace and enhanced economic co-operation in the region.

Meanwhile, an Iranian English daily, describing the proposed gas project as the "peace pipeline", has expressed confidence that it would not only break the ice between India and Pakistan, but also promote regional cooperation.

UNI

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