Russia sends two coal trains to India via INSTC
RAILWAYS & METRO RAIL

Russia sends two coal trains to India via INSTC

For the first time, Russia has dispatched two trains carrying coal to India through the International North-South Transport Corridor (INSTC), which links Russia to India via Iran, according to Russia?s national railway company. The corridor, spanning 7,200km from St. Petersburg to Mumbai's port, integrates railway, roadway networks, and seaports.

The initiative is part of Russia's strategy to establish new trade routes amidst Western sanctions, redirecting trade flows from Europe towards Asia and the Middle East, as reported by RT. "Two trains loaded with Kuzbass coal are making their maiden journey to India via the INSTC's eastern branch through Kazakhstan, Turkmenistan, and Iran's Bandar Abbas port," stated the Russian Railways.

The development of the INSTC holds significant implications for India's trade landscape, especially amid Russia's constraints on sea trade due to on-going geopolitical tensions. India views the corridor as an alternative to China's Belt and Road Initiative and recently assumed management of Iran's Chabahar Port for ten years. This strategic move enhances the INSTC's importance, facilitating regional connectivity, trade with Central Asia and Afghanistan, and offering an alternative route connecting the region to Russia and onward to Europe.

Trade experts highlight that the INSTC not only streamlines access to Iran, Russia, Azerbaijan, Baltic, and Nordic countries but also positions itself as a viable alternative to the Suez Canal, which remains vulnerable to disruptions. The corridor reduces transit times to approximately 25 days compared to the usual 45 days via the Suez Canal, significantly cutting freight costs by 30%.

Moreover, the INSTC's role extends beyond trade efficiencies, potentially transforming India's energy sector by facilitating cheaper imports of coal and enhancing energy security through connectivity with Central Asian nations.

"This corridor holds immense geostrategic potential for India to expand its footprint in Central Asia," remarked Ajay Srivastava, Cofounder of Global Trade Research Initiative (GTRI). "It offers a cost-effective route for sectors like energy, pharmaceuticals, IT, agriculture, and more," added Nisha Taneja, Professor at the Indian Council for Research on International Economic Relations (ICRIER).

As India continues to navigate its energy needs and explore new trade avenues, the INSTC emerges as a pivotal asset, fostering economic resilience and strategic alliances across the Eurasian continent. (Source: ET)

For the first time, Russia has dispatched two trains carrying coal to India through the International North-South Transport Corridor (INSTC), which links Russia to India via Iran, according to Russia?s national railway company. The corridor, spanning 7,200km from St. Petersburg to Mumbai's port, integrates railway, roadway networks, and seaports. The initiative is part of Russia's strategy to establish new trade routes amidst Western sanctions, redirecting trade flows from Europe towards Asia and the Middle East, as reported by RT. Two trains loaded with Kuzbass coal are making their maiden journey to India via the INSTC's eastern branch through Kazakhstan, Turkmenistan, and Iran's Bandar Abbas port, stated the Russian Railways. The development of the INSTC holds significant implications for India's trade landscape, especially amid Russia's constraints on sea trade due to on-going geopolitical tensions. India views the corridor as an alternative to China's Belt and Road Initiative and recently assumed management of Iran's Chabahar Port for ten years. This strategic move enhances the INSTC's importance, facilitating regional connectivity, trade with Central Asia and Afghanistan, and offering an alternative route connecting the region to Russia and onward to Europe. Trade experts highlight that the INSTC not only streamlines access to Iran, Russia, Azerbaijan, Baltic, and Nordic countries but also positions itself as a viable alternative to the Suez Canal, which remains vulnerable to disruptions. The corridor reduces transit times to approximately 25 days compared to the usual 45 days via the Suez Canal, significantly cutting freight costs by 30%. Moreover, the INSTC's role extends beyond trade efficiencies, potentially transforming India's energy sector by facilitating cheaper imports of coal and enhancing energy security through connectivity with Central Asian nations. This corridor holds immense geostrategic potential for India to expand its footprint in Central Asia, remarked Ajay Srivastava, Cofounder of Global Trade Research Initiative (GTRI). It offers a cost-effective route for sectors like energy, pharmaceuticals, IT, agriculture, and more, added Nisha Taneja, Professor at the Indian Council for Research on International Economic Relations (ICRIER). As India continues to navigate its energy needs and explore new trade avenues, the INSTC emerges as a pivotal asset, fostering economic resilience and strategic alliances across the Eurasian continent. (Source: ET)

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code