India and Iran work on a digital tool to push trade

  • November 2, 2022
  • News

India and Iran have successfully settled the first pilot run of a digital intermodal TIR transport to push trade through the International North-South Transport Corridor (INSTC) between India and Russia. Generally, the container would take up to 5 days to release after arriving at Iran’s Bandar Abbas port, but through implementation of the digital tool, it was released in a day. The project was completed in collaboration with the Indian and Iranian customs authorities.

As per the reports, TIR is the only transit system across the globe that allows goods to be transported from the origin country to the destination country in sealed load compartments controlled by customs through a recognized multilateral system. TIR is considered the most reliable, and safest way to transport goods across multiple borders as it saves time and costs for customs experts. TIR digital tool includes the customs authorities who expedite the customs and other port procedures. INSTC has been able to streamline the higher trade between Russia and India via Iran amid the Russia-Ukraine war. The 7,200 km long grid of highways, rail, and sea routes under INSTC provides direct connectivity between Russia and India. Iran shipping lines activated a working group for movement along INSTC in April. It connects the Indian Ocean via the Persian Gulf to the Caspian Sea to Russia and Northern Europe, providing a no-stop connectivity route.

There are plans to connect the northern route through the Russian Arctic with INSTC for goods transportation.