The resurgence of Russia’s invasion of Ukraine has sparked renewed interest in the International North-South Transport Corridor (NSTC). The concept of the NSTC was conceived in the early 2000s by Russia, India, and Iran, with the signing of an intergovernmental agreement aimed at establishing a multimodal transport corridor.

The objective was to create a transportation route connecting Russia’s Baltic Sea coast to India’s western ports in the Arabian Sea via Iran. While the NSTC was ratified by 13 countries, progress on its implementation had been sluggish for years. The western sanctions on Iran, due to its nuclear program, hindered the project’s advancement. However, the recent developments in Ukraine have brought Russia and Iran closer, providing fresh momentum to the NSTC.

Present Status of the Project

In February 2023, Russian President Vladimir Putin reaffirmed Russia’s commitment to developing the NSTC, highlighting its potential to open up new trade routes with India, Iran, Pakistan, and Gulf countries. Russia plans to enhance the ports of the Black Sea and the Sea of Azov to facilitate the North-South International Corridor.

The original plan for the corridor includes multiple branches, with one linking Russia to Iran through Azerbaijan on the western side of the Caspian Sea. Another branch runs along the eastern coast of the Caspian Sea, connecting the main corridor to road and rail networks in Central Asian countries such as Turkmenistan and Kazakhstan.

Stakes for India

India heavily relies on imports to meet about 80% of its energy requirements. The NSTC holds the promise of providing fresh avenues for energy security for the country. In recent years, India has strengthened its energy ties with Russia following the Ukrainian conflict. Moreover, the corridor can significantly boost trade between India and Central Asian nations. Recognizing the potential benefits, India is actively advocating for the connection of the Chabahar port to the NSTC, which would further enhance its trade and connectivity with the region.

Challenges to the Project

Several challenges need to be overcome for the successful implementation of the NSTC. Firstly, the construction of the Rasht-Astara railway, running along the Caspian Sea, has been delayed due to financial constraints. Additionally, the difference in rail gauges between Russia and Iran poses a significant obstacle. The gauge used in former Soviet republics, including Russia, differs from that of Iran, complicating seamless transportation along the corridor.

Furthermore, both Russia and Iran face economic sanctions, which limit their ability to make substantial investments in the project. The strained relationship between Iran and Azerbaijan adds another layer of complexity. Azerbaijan has accused Iran of interfering in its internal affairs, creating tensions that could impact the project. Moreover, the ongoing conflict between Azerbaijan and Armenia further complicates the geopolitical dynamics of the Caucasus region.

The International North-South Transport Corridor (NSTC) and its Potential
Courtesy:The Wire

Important Points:

  • 🌍 The International North-South Transport Corridor (NSTC) is gaining renewed attention due to Russia’s invasion of Ukraine.
  • 🀝 The NSTC was originally conceived by Russia, India, and Iran in the early 2000s as a multimodal transport corridor.
  • πŸ—ΊοΈ The corridor aims to connect Russia’s Baltic Sea coast to India’s western ports in the Arabian Sea via Iran.
  • πŸ“œ The NSTC was ratified by 13 countries, including India, Russia, Iran, Azerbaijan, Belarus, Bulgaria, Armenia, Kazakhstan, Kyrgyzstan, Oman, Tajikistan, Turkey, and Ukraine.
  • ⏳ Progress on the NSTC has been slow, partly due to western sanctions on Iran over its nuclear program.
  • 🀝 Russia’s invasion of Ukraine has brought Russia and Iran closer, reigniting interest in the NSTC.
  • 🏭 Russia plans to develop the ports of the Black Sea and the Sea of Azov to facilitate the NSTC.
  • πŸŒ‰ The corridor includes branches that link Russia to Iran through Azerbaijan and connect to Central Asian countries like Turkmenistan and Kazakhstan.
  • πŸ’‘ The NSTC holds significant stakes for India, as it can provide new avenues for energy security and boost trade with Central Asia.
  • 🚒 India aims to connect the Chabahar port to the NSTC, further enhancing trade and connectivity.
  • 🚧 Challenges to the project include financial issues in constructing the Rasht-Astara railway and the difference in rail gauges between Russia and Iran.
  • πŸ› οΈ Economic sanctions on both Russia and Iran limit their ability to invest in the project.
  • 🀝 Tensions between Iran and Azerbaijan, as well as the conflict between Azerbaijan and Armenia, pose additional challenges.
  • 🌐 Despite the obstacles, Russia and Iran are determined to move forward with the NSTC for Eurasian economic integration.
  • πŸ’ͺ Collaboration and investment are crucial for overcoming challenges and realizing the potential of the NSTC.
  • 🌟 The NSTC represents a renewed hope for international connectivity, economic development, and regional integration.
Why In News

Russia’s invasion of Ukraine has inadvertently reignited discussions and plans for the international North-South Transport Corridor, as neighboring countries seek alternative trade routes to mitigate their reliance on Russian-controlled territories. The escalating tensions have prompted renewed efforts to expedite the corridor’s development, fostering collaboration among nations eager to bolster their economic resilience and diversify their transportation networks.

MCQs about The International North-South Transport Corridor (NSTC) and its Potential

  1. What is the main objective of the International North-South Transport Corridor (NSTC)?
    A. To connect Russia’s Black Sea coast with India’s eastern ports.
    B. To create a multimodal transport corridor between Russia, India, and Iran.
    C. To establish a trade route between Russia and Ukraine.
    D. To enhance energy ties between Iran and Pakistan.
    Correct Answer: B. To create a multimodal transport corridor between Russia, India, and Iran.
    Explanation: The essay states that the objective of the NSTC is to build a transport corridor linking Russia’s Baltic Sea coast to India’s western ports in the Arabian Sea via Iran.
  2. What are the stakes for India in the NSTC project?
    A. Enhanced trade with Russia and Turkey.
    B. Increased energy security and trade opportunities.
    C. Strengthened ties with Central Asian countries.
    D. Access to new maritime routes in the Black Sea.
    Correct Answer: B. Increased energy security and trade opportunities.
    Explanation: The NSTC can provide new avenues for energy security for India and boost trade between India and Central Asian nations.
  3. What are the challenges to the implementation of the NSTC?
    A. Financial issues and geopolitical tensions.
    B. Language barriers and cultural differences.
    C. Lack of infrastructure and technological advancements.
    D. Climate change and environmental concerns.
    Correct Answer: A. Financial issues and geopolitical tensions.
    Explanation: The financial issues have delayed the construction of the Rasht-Astara railway, and geopolitical tensions between Iran and Azerbaijan pose additional challenges to the project.
  4. What is the potential significance of the NSTC for Russia and Iran?
    A. Strengthening economic integration in Eurasia.
    B. Expanding maritime trade with European nations.
    C. Establishing dominance over the Caspian Sea region.
    D. Gaining political influence in Central Asia.
    Correct Answer: A. Strengthening economic integration in Eurasia.
    Explanation: The both Russia and Iran view the NSTC as a potential game changer in their plans for Eurasian economic integration.

Boost up your confidence by appearing ourΒ Weekly Current Affairs Multiple Choice Questions

Loading