International North–South Transport Corridor

The International North–South Transport Corridor (INSTC) is a 7,200-km-long multi-mode network of ship, rail, and road route for moving freight between India, Iran, Afghanistan, Armenia, Azerbaijan, Russia, Central Asia and Europe. The route primarily involves moving freight from India, Iran, Azerbaijan and Russia via ship, rail and road. The objective of the corridor is to increase trade connectivity between major cities such as Mumbai, Moscow, Tehran, Baku, Bandar Abbas, Astrakhan, Bandar Anzali, etc. Dry runs of two routes were conducted in 2014, the first was Mumbai to Baku via Bandar Abbas and the second was Mumbai to Astrakhan via Bandar Abbas, Tehran and Bandar Anzali. The objective of the study was to identify and address key bottlenecks. The results showed transport costs were reduced by “$2,500 per 15 tons of cargo”. Other routes under consideration include via Kazakhstan and Turkmenistan.

‘East-West balance on New Silk Road can never be reached’

Traditionally, the volumes of rail freight going from east to west are higher than in the opposite direction. Industry players have worked hard to restore this balance with success. But, the balance will never be 50-50, warns the Infrastructure Economics Center.