New Delhi. Amidst the increasing tension on many important sea routes of the world, a new discussion has emerged towards strengthening trade connectivity between India and Russia. Russian President Vladimir Putin has talked about increasing the use of international transport and shipping corridors with India. He says that economic cooperation between the two countries should not be limited to just trade but the transport network can also be strengthened.
Increasing focus on INSTC
International North-South Transport Corridor (INSTC) holds special importance in this plan. This multimodal network connects India with Iran and Russia and uses rail and road networks along with sea routes. Its aim is to make freight transportation in Eurasia more accessible and reduce dependence on traditional sea routes. India and Russia have already agreed to increase the use of this corridor.
Iran's role is important
Iran's role in developing the corridor to its full potential is important, as a large part of the route passes through its territory. Russia has expressed willingness for financial cooperation to advance the infrastructure related to this. Besides, there has been talk of carrying forward the work in the part passing through Azerbaijan also.
What is the benefit to India?
New transport options can make it easier for India to access the markets of Russia and Eurasia. Having more than one route available for the movement of goods can help reduce business risks. India and Russia have already emphasized on pursuing connectivity projects like INSTC, Chennai-Vladivostok Maritime Corridor and Northern Sea Route.
In such a situation, Putin's latest proposal is being considered an important signal regarding new connectivity for India-Russia trade. However, its full implementation will require further work on infrastructure, logistics and other outstanding issues between the countries concerned.