Iran starts transfer of Russian goods to India by using new trade corridor
Tags: International News
Iran started its first transfer of Russian goods to India, using a new trade corridor that transits the Islamic Republic.
The cargo will pass through the International North-South Transport Corridor (INSTC).
The cargo ship left St. Petersburg for the Caspian Sea port city of Astrakhan.
It will reach the northern Iranian port of Anjali and then by road to the southern port of Bandar Abbas on the Persian Gulf.
From Bandar Abbas it will reach India by ship at Jawaharlal Nehru Port Trust (JNPT).
International North–South Transport Corridor (INSTC)
It is a multi-modal transport established by Iran, Russia and India on 12 September 2000 in St Petersburg.
It is a 7,200 kilometre long multi-mode network of shipping, rail and road transport for freight.
India, Iran, Afghanistan, Azerbaijan, Russia, Central Asia and Europe are involved in the corridor.
Its main purpose is to promote transportation cooperation among the Member States.
It connects the Indian Ocean to the Caspian Sea via the Persian Gulf to Russia and northern Europe.
Significance of INSTC
It aims to reduce the cost of movement of goods between India and Russia by about 30 percent and reduce transit time by more than half.
It will provide an alternative connectivity initiative to countries in the Eurasian region.
It has the potential to transform countries' economies into specialized manufacturing, logistics and transit hubs.
It opens a sustainable alternative route for India to trade with Afghanistan and Central Asia.
Please Rate this article, so that we can improve the quality for you -