RZD Logistics launches new railway container service on eastern branch of North-South ITC
Potential cargo base: agricultural products, wood, industrial commodities, fertilizers
RZD Logistics says it commences transportation by full container trains from Russia to India by the eastern branch of the North-South international transport corridor (ITC) involving transport infrastructure of Russia, Kazakhstan, Turkmenistan, Iran and India.
The first container train has left the Chekhov station near Moscow. This intermodal transportation includes a sea leg with the end point at the Indian port of Nhava Sheva (Mumbai). Expected transit time - 35-37 days, route length – over 8,000 km. The key driver of the project is the balanced tariff policy of all the participants.
According to Dmitry Murev, General Director of RZD Logistics, Russian Railways registered a 26-pct increase of the North-South ITC traffic, year-on-year.
When speaking at the 6th Caspian Summit in June 2022, Russian President Vladimir Putin said that Russia is expanding port infrastructure in the Caspian region. “First of all, we are talking about building the International North-South Transport Corridor …. This is a truly ambitious project, a 7,200-kilometre-long transport artery from St Petersburg to ports in Iran and India,” emphasized the President.
“An agreement between the Caspian littoral states on transport cooperation, which came into force last year and is aimed at turning the Caspian Sea region into a major international logistics hub, is designed to facilitate a faster launch of this corridor,” said Vladimir Putin.
In 2021, cargo turnover between Russia and India rose by 46.5%. It is evident that the two countries should continue their economic cooperation through involvement of intermodal logistic services on the North-South route. Apart from expansion of the trade, that will contribute to further infrastructure development including creation of new border checkpoints, cargo consolidation terminals and closer interaction between customs, phytosanitary and other regulators.
