Suez Canal blockage proves relevance of alternative Russia-Iran-India trade route, Foreign Minister Lavrov says

1 min


116
17 shares, 116 points
Suez Canal blockage proves relevance of alternative Russia-Iran-India trade route, Foreign Minister Lavrov says

The traffic jam in the Suez Canal that threatened to further shatter global trade has shown the importance of alternative routes, like the one linking Russia and India via Iran, Russian Foreign Minister Sergey Lavrov has said.

The multinational trade link, officially known as the North–South International Transport Corridor (ITC), is one of the major infrastructure projects in the region, the Russian diplomat said in a recent interview to IRNA news agency. He added that the route could be a “basis for the creation of a single ‘seamless’ transport, logistics, and economic space” between Iran and Russia, which will host most of the corridor’s land route.
Also on rt.com Russia may offer effective alternative to Suez Canal, and it’s NOT Northern Sea Route – tycoon 
“Addressing such a task appears especially relevant at the moment when the recent incident with the blocking of the Suez Canal has highlighted the need for reliable land transport routes,” Lavrov said. 

In March, the narrow but vital waterway along Egypt, which accounts for about 15% of global shipping traffic, remained blocked for six days after a massive container ship got stuck there. The blockage of the shipping artery resulted in losses for shippers and forced some to reroute their vessels. It also put more pressure on supply chains, which were previously crippled by the coronavirus pandemic. 
Also on rt.com Russia promotes Arctic sea route as viable alternative to blocked Suez Canal
Both Russia and Iran have been investing in infrastructure projects that are necessary for the implementation of the North–South ITC. According to Lavrov, Russia launched relevant plans and programs, including for the Caspian Sea region. Meanwhile, Tehran is building approaches to the Anzali Free Trade Zone, which has maritime links with ports in the Caspian Sea basin.

Advertisements

“This will substantially boost the competitiveness of the North–South ITC and its attractiveness for shippers,” the foreign minister noted. 

The 7,200-kilometer-long trade route is set to connect Russia, India, Iran and Azerbaijan. Trade via the North–South ITC is expected to benefit companies, allowing them to lower shipping times and cut transportation costs.

For more stories on economy & finance visit RT’s business section

RT
This article originally appeared on RT Business News

Advertisements

Like it? Share with your friends!

116
17 shares, 116 points

What's Your Reaction?

hate hate
0
hate
confused confused
0
confused
fail fail
0
fail
fun fun
0
fun
geeky geeky
0
geeky
love love
0
love
lol lol
0
lol
omg omg
0
omg
win win
0
win

0 Comments

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.