India, Russia strengthen logistics and supply chain cooperation with new transport corridors and trade initiatives
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India, Russia strengthen logistics and supply chain cooperation with new transport corridors and trade initiatives

At the 22nd annual India-Russia summit, India and Russia demonstrated their commitment to expanding their logistics and supply chain links, with a focus on increasing infrastructure capacity. The objectives are clear – supporting the implementation of the Chennai-Vladivostok Eastern Maritime Corridor and the International North-South Transport Corridor (INSTC) and harnessing the potential of the Northern Sea Route. During the recent 22nd annual India-Russia summit, Indian Prime Minister Narendra Modi and Russian President Vladimir Putin underlined their shared vision of building efficient and sustainable transport corridors.

This Eastern Maritime Corridor Chennai-VladivostokA vital link between India and the Russian Far East, it promises to streamline maritime trade routes by significantly reducing transit times and costs.

On the other hand, INSTITUTE is a multimodal network of sea, rail and road routes for transporting cargo between India, Iran, Afghanistan, Armenia, Azerbaijan, Russia, Central Asia and Europe. This corridor aims to reduce the time it takes for goods to travel to Europe by 40%, offering a real alternative to the traditional Suez Canal route.

This Northern Sea Route (NSR) running along Russia’s Arctic coast is also expected to play a key role in connecting the two countries. Both nations have expressed readiness to establish a joint working body within the framework of the Russia-India Intergovernmental Transport and Economic Cooperation (IRIG-TEC) to facilitate this cooperation.

In addition to these key surface routes connecting India with Russia and Europe, the summit also highlighted the importance of cooperation in civil aviation. The recent meeting of the Sub-Working Group on Civil Aviation in Moscow paved the way for increased cooperation in civil aviation security and operations.

Energy cooperation remains a key element of the India-Russia partnership. Both countries noted the importance of bilateral trade in energy resources and explored new long-term contracts to ensure energy security. Ongoing cooperation in the coal sector was also highlighted, with special focus on increasing coking coal supplies to India and anthracite coal exports from Russia.

The two nations also reiterated the need for inter-regional dialogue between the Russian Far East and Indian states, encouraging the establishment of partnership relations to promote business, trade, educational and cultural exchanges. The Russian government invited Indian investors to participate in high-tech projects in the advanced development territories of the Russian Far East, further strengthening economic ties.

In the defence sector, the partnership is evolving towards joint research, development, co-development and joint production of advanced defence technologies and systems. The establishment of a new Working Group on Technology Cooperation aims to support joint production of spare parts, components and other products under the Make-in-India programme, ensuring the maintenance of defence equipment of Russian origin.