Besides defense deals and political pacts with other nations, India is moving forward to maintain economic relations with other international trade treaties and alliances; and in the latest development, India is preparing for setting up roots of international trade to Russia and Europe and the gulf nations.
The trade route via Iran will be the connectivity for trade allies, India and Russia as India signed a MoU with the latter to fast-track the International North South Trade Corridor. It will aid the logistics services provided by both the ‘Container Corporation of India’ and ‘Russian Railways Logistics Joint Stock Company’. With INSTC, the international trade corridor will help develop India-Russia joint projects on logistic services and also span them from the Eurasian region right up to the Indian Ocean, including Eurasia. Both nations see this as an arena to pursue improvisation and advancements in areas of container transportation and efficiency of INSTC.
The cargo shipments from India can have far delivery addresses on it as INSTC links the Indian Ocean region to the Persian Gulf via Iran and then to Russian and European markets. The cargo load from India can be taken to the Iranian port of Bandar Abbas and then to Bandar-e Anzali on the Caspian Sea by land and finally to their destinations in Russian and European markets through means of rail after being shipped from the Russian port of Astrakhan.
Talking on Iran as an intermediate, the oil minister of Iran Bijan Namdar Zanganeh has announced the acceptance of Russia’s proposal to build up a sub sea pipeline for exporting of natural gas from the Islamic Republic to India; plotting the way through the Oman Sea and the Indian Ocean region to Gujarat. The oil minister quotes Russians to be responsible for the progressions in pipeline construction, expected to be completed in two years. Post approvals and agreement formalities, the purposed India-Iran pipeline project was proposed to carry 31.5 million standard cubic meters natural gas per day.