Eastern Maritime Corridor Enhances India-Russia Trade Efficiency

Why in the news?

The Eastern Maritime Corridor, connecting Chennai and Vladivostok, has significantly reduced shipping time and costs, boosting trade between India and Russia. It facilitates quicker transport of key commodities, especially crude oil, strengthening bilateral economic and strategic ties.

Eastern Maritime Corridor Enhances India-Russia Trade Efficiency

Significance of the Eastern Maritime Corridor:

  • The Eastern Maritime Corridor connects Chennai to Vladivostok, covering 5,600 nautical miles.
  • It has reduced shipment time to 24 days from the earlier 40+ days via the St. Petersburg-Mumbai route.
  • The corridor ensures savings on both time and transportation costs, significantly enhancing trade between India and Russia.
  • Key commodities like crude oil, coal, LNG, fertilizers, and containerized cargo are being transported through this route.

Trade Dynamics Between India and Russia

  • Top Imports: Crude oil, coal, fertilizers, vegetable oils, and iron & steel are leading imports.
  • Top Exports: Processed minerals, iron & steel, tea, marine products, and coffee dominate India’s exports.
  • India surpassed China in 2024 to become the largest buyer of Russian oil, aided by discounted prices and logistical improvements via the corridor.
  • Indian ports such as Chennai, Paradip, Vizag, and Tuticorin are key docking points for shipments, depending on cargo type.

Eastern Maritime Corridor (EMC):

  • The Chennai-Vladivostok route links Russia’s east coast with South India, reducing cargo transit time by 16 days and distance by 40%.
  • The EMC spans 5,647 nautical miles (10,458 km), significantly shorter than the 8,675 nautical miles (16,066 km) via the Suez Canal.
  • EMC saves 5,608 km in distance, lowering logistical costs and improving efficiency.
  • The route passes through the Sea of Japan, East/South China Seas, Malacca Straits, Andaman Sea, and Bay of Bengal, with port options en route.

Suez Canal:

  • Located in northeastern Egypt, the Suez Canal links the Mediterranean Sea (Port Said) with the Indian Ocean via the Red Sea.
  • It provides a critical shipping route between Europe and Asia, avoiding the need to circumnavigate Africa.

Sources Referred:

PIB, The Hindu, Indian Express, Hindustan Times