diff --git a/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.out b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.out
new file mode 100644
index 00000000000..77a1861fe42
--- /dev/null
+++ b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.out
@@ -0,0 +1,2 @@
+# cabal v2-build
+Warning: <ROOT>/else.project, else.project: Unrecognized section '_' on line 3
diff --git a/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.test.hs b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.test.hs
new file mode 100644
index 00000000000..7b4e550259c
--- /dev/null
+++ b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/cabal.test.hs
@@ -0,0 +1,13 @@
+import Test.Cabal.Prelude
+
+main = cabalTest . recordMode RecordMarked $ do
+  let log = recordHeader . pure
+
+  outElse <- fails $ cabal' "v2-build" [ "all", "--dry-run", "--project-file=else.project" ]
+  assertOutputContains
+    (normalizeWindowsOutput "When using configuration from: \
+    \  - else.project \
+    \  - dir-else/else.config")
+    outElse
+
+  return ()
diff --git a/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/dir-else/else.config b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/dir-else/else.config
new file mode 100644
index 00000000000..f9c44e63d5b
--- /dev/null
+++ b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/dir-else/else.config
@@ -0,0 +1,4 @@
+if false
+else
+    _
+    packages: no-pkg-here
diff --git a/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/else.project b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/else.project
new file mode 100644
index 00000000000..959c40f5660
--- /dev/null
+++ b/cabal-testsuite/PackageTests/ProjectImport/ParseErrorProvenance/else.project
@@ -0,0 +1 @@
+import: dir-else/else.config