Azernews.Az

By Vugar Khalilov

The first container block train from Finland heading to the Indian port of Nava Sheva will pass from Azerbaijan, ADY Container has reported on its website.

The container block train running via the International North-South Transport Corridor (INSTC) is a joint project of Russian Railways (JSC RJD Logistics), ADY Container LLC and Tarkib Trans Co and will cross from the territories of these countries respectively, the report added.

It noted that the transportation is considered as a pilot project by the INSTC member countries and may become regular depending on the results of the current pilot block train.

“The rail platforms, which were sent to Finland for container loading, are owned by ADY Container LLC. Such an act for the implementation of this project has been undertaken by the company in order to stimulate the organization of regular transcontinental block trains within the INSTC. The containers will be transported to the port of Nava Sheva by multimodal means – rail, road, and ship. Unlike sea transportation, the container block train on this corridor will significantly shorten the transit time. Overall, the block train will travel 7200 km”, ADY Container added.

INSTC, which links Northern Europe, Russia, and India, creates a unique opportunity for Azerbaijan to enhance its transit potential and importance simultaneously.

“The western wing of this corridor passes through Azerbaijan's territory. Given the recent threats to the global supply chain from the Suez Canal, the role of this corridor for transcontinental freight may gradually increase”, the report said.

INSTC is a 7,200-km-long multi-mode network of ship, rail, and road routes for moving freight between India, Iran, Afghanistan, Azerbaijan, Russia, Central Asia, and Europe.

The route primarily involves moving freight from India, Iran, Azerbaijan, and Russia via ship, rail, and road. The objective of the corridor is to increase trade connectivity between major cities such as Mumbai, Moscow, Tehran, Baku, Bandar Abbas, Astrakhan, Bandar Anzali, etc.

Dry runs of two routes were conducted in 2014, the first was Mumbai to Baku via Bandar Abbas and the second was Mumbai to Astrakhan via Bandar Abbas, Tehran and Bandar Anzali. The study aimed to identify and address key bottlenecks. The results showed that transport costs were reduced by $2,500 per 15 tons of cargo.

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