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  • Jun 30, 2021
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Give a brief account on the recently started International North – South Transport Corridor (INSTC).

Introduction:

INSTC is a 7200 km corridor network of multi-mode including ship, rail and road. The route will be primarily used for movement of goods from India to Europe through Iran, Azerbaijan, Russia. Several bottlenecks were faced but have been successfully overcome in this route with the help of concerned nations. This route will reduce the freight-time from Europe to India.

 

Body:

Member Nations of INSTC:

India,  Iran,  Russia,  Turkey,  Azerbaijan,  Kazakhstan,  Armenia,  Belarus,  Tajikistan,  Kyrgyzstan,  Oman,  Ukraine,  Syria.

Significance

  • The project will connect India to other regions of Europe such as Baltic, Arctic & Nordic.
  • Almost 30% reduction in transport costs
  • Creates supply chain in these regions
  • Access to new markets
  • Potential Bilateral and multilateral trades along with free trade agreements

Conclusion:

The INSTC will definitely strengthens India’s relation with the countries in the Eurasia region. There are some concerns with respect to hostile countries which may affect the route. But due to participation of relatively large number of countries, even this threat is minimal.