All Silk Roads Lead to Tehran

Sanctions aren't the answer. If Washington is serious about building a new economic and security architecture across South and Central Asia, it can’t avoid working with Iran.

BY NEIL PADUKONE | JANUARY 23, 2012

Speaking last September on the sidelines of the U.N. General Assembly, Secretary Hillary Clinton articulated the U.S. government's vision of a "New Silk Road" running through Afghanistan. In a throwback to the circuit that once connected India and China with Turkey and Egypt, she argued in favor of a network of road, rail, and energy links that would traverse Central Asia and enable Turkmen gas to fuel the subcontinent's economic growth, cotton from Tajikistan to fill India's textile mills, and Afghan produce to reach markets across Asia.

By enhancing economic integration, the strategy aims to boost local economies and stabilize the region. There are certainly doubts about the plan's feasibility. But at least, after years of endlessly repeating the myth that Afghanistan is the "graveyard of empires," this new Silk Road recognizes that, from the times of the ancient Persians to Alexander the Great, and through the Mongols, Mughals, and Sikhs, Afghanistan was at the center of global exchange.

This effort has the dual benefit of distributing the Afghan burden away from Pakistan, which has long been America's only link to Central Asia. For decades, Washington's dependence on Islamabad has amounted to U.S. support for a Pakistani military-economic complex that has played a bloody double game in Afghanistan, uses terrorists and militants as strategic weapons, and has proven the world's most flagrant nuclear proliferator. And it's working: By late 2011, increased use of the Northern Distribution Network (NDN) through Central Asia shifted NATO's dependence on Pakistan from bearing nearly 70 percent of its supplies and fuel in previous years to less than 30 percent today. But the NDN comes with pitfalls of its own, giving Russia and Kyrgyzstan increased leverage over U.S. supply lines, forcing the United States to turn a blind eye to unsavory dictators in Uzbekistan and Tajikistan, and costing three times more than shipping from the Arabian Sea.

Yet there is an important stretch of this new Silk Road that is conspicuously overlooked: Iran. Because Iran lies strategically between Mesopotamia, Anatolia, the Caucasus, the Caspian Sea, Central and South Asia, the Persian Gulf, and the Arabian Sea, a broader network of trade is nearly impossible without it. Even the original Silk Road had Persia as a central pillar, including the key trading posts of Gedrosia in modern Baluchistan, Hecatompylos in today's Semnan Province, and Traxiane, currently Khorasan province.

Today, the Iranian "Eastern Corridor" in particular has the potential to reshape Afghanistan's strategic future. Constructed by India in September 2008, the road passes from Chabahar Port on the Arabian Sea through Iran's relatively stable Sistan-Baluchistan and Khorasan provinces, and onward to the town of Milak on the Afghan border. From there it connects with the Indian-built Zaranj-Delaram highway in western Afghanistan's Nimruz Province, which subsequently links to the Afghan Ring Road. New Delhi, Tehran, and Kabul have planned a railway line along the entire route to facilitate trade -- particularly of Afghanistan's estimated $1 trillion in minerals -- to and from Central Asia. New Delhi -- like Ankara and others -- is coming up with "creative" ways to engage with Iran while insulating itself from punitive action by the United States, including building new, independent corporate entities that do not participate in Western markets.

At 135 miles, the Chabahar road to the Afghan border is far shorter than the nearly 1,100-mile trip from Karachi to the Torkham border in northeastern Pakistan, and even shorter than the 500 miles from Karachi to the Chaman border in northwest Pakistan. Thomas Barfield, author of the comprehensive Afghanistan: A Cultural and Political History, puts it succinctly: the "new transport corridor" through Chabahar "ends Pakistan's monopoly on seaborne transit trade to Afghanistan ... [making] Iran the most efficient transit route into Central Asia."

In contrast to the zero-sum logic that defines the current escalation of tensions between the United States and Iran over the Islamic Republic's nuclear program, the two countries share substantial interests in increasing regional trade and stability. Tehran hopes to stabilize Afghanistan and export its own natural gas and petroleum -- 16 percent and 10 percent of the world's total reserves, respectively -- to the world. Indeed, its existing infrastructure -- albeit in need of much improvement -- is better suited to bring Turkmen natural gas to market than alternate plans to construct new pipelines across Afghanistan, Pakistan, and India, or all the way through the Caspian, Caucasus, and Turkey.

However, Washington so vehemently sought to shut Tehran out of any regional plans that it even preferred to endorse the Taliban in an effort to stabilize and develop energy pipelines through Afghanistan in the mid-1990s. At the time, Iranian Deputy Minister of Oil Ali Majedi stated, only slightly hyperbolically, "the total cost for [shipping Central Asian hydrocarbons through] Iran would be $300,000. How does that compare with [well over] $3 billion for a pipeline through Turkey?"

KEVIN LAMARQUE/AFP/Getty Images

 

LOGICAL123

3:00 PM ET

January 23, 2012

Please don't ask logical questions!

The Obama administration lives in a dreamworld. It thinks that it can eliminate from consideration, the largest country in the Middle East, other than Saudi Arabia which is mostly desert. Iran has the third largest oil resources in the world and the second highest gas reserves. It has an educated population of about 75 million and a growing industrial power despite all the sanctions. So, Obama and his cohorts can dream as much as they want. Iran cannot be ignored.

 

TIMING

3:38 PM ET

January 23, 2012

nahhhh

I think the US is best off working with the EU, Israel, Canada, Australia, and many many others ....

iran, turkey, afghanistan can all be one happy group and we'll be glad to trade with them...how's that? :-)

No matter how you spin it fella, iran aint and shouldn't be getting nukes! What don't you understand??

 

TIMING

5:10 PM ET

January 23, 2012

a loud hard slap to obama's face

Here we go....

http://www.debka.com/article/21673/

 

STEVE - SAN JOSE

9:44 PM ET

January 23, 2012

fair Negotiation is the key to resolving the Iranian crisis

The gradual phased sanctioning with the final target date of June is not going to be implemented by EU, specifically by Italy, Spain, Portugal, and Greece. Their economies are in the toilet as it is and sanctioning Iranian oil will flush them down the septic tank. This is nothing but just a symbolic stand by EU.
There is even talk of Iran stop selling oil to EU ASAP before the EU has time to secure alternative sources to gradually phase out their reliance on Iran.

Also, India just announced that they would be buying Iranian oil and pay mostly by gold and some in Rupee.
http://www.debka.com/article/21673/

China has vowed the same policy, paying in gold and Yen. Both governments of India and China are awash with gold.
Russia is already trading with Iran in Ruble. Turkey will be using a government owned bank to handle all transactions. South Africa, South Korea, and Japan will also continue to buy Iranian oil. As a result of above actions, the effect on Iranian economy will be minimal at best. It is just a feel-good action with no real chance of achieving any thing.

So, what is use? Why not negotiate with no precondition and in good faith. It will benefit all involved parties and bring more security to all nations of ME. No body likes to be bullied since that will only bring about resentment.

Meanwhile, I am buying gold since the price is definitely going further up soon.

 

WILLIAMGAU8086

12:17 AM ET

January 24, 2012

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