A full container train loaded with newsprint and other paper products from Russia is on its way to India through the eastern branch of the North-South transport international corridor, central Asian media reports quoting RZD (Russian Railways) Logistics.
The train started from Oktyabrskaya Railway’s Nigozero station and will follow the international north-south transport corridor’s (INSTC) eastern route via Kazakhstan, Turkmenistan, and then from Iran to Chennai, the reports said. Another report in Businessline said that from Iran, the consignment will follow the sea route to the Chennai port. RZD Business Active provided thirty-two 80-foot flatcars to transport fifty-three 40-foot containers of newsprint.
India had imported 1.5 million tons (MT) of newsprint in 2018-19, 1.3 MT in 2019-20 and 1 MT in 2020-21, as the Indian Printer and Publisher had reported earlier. Total consumption was 2.5 MT in 2018-19 , 2 MT in 2019-20 and 1.5 MT in 2020-21. The deficit was met through domestic production.
Another report by Statista says the value of newsprint imported to India stood at Rs 2,567 crore (US$ 980 million) in FY 2022, Rs 2,199 crore (US$ 698 million) in FY 2021, Rs 4,952 crore (US$ 296 million) in FY 2020 and Rs 6854 crore (US$ 344 million) in FY 2019. The Businessline report says this is the second such consignment from Russia to India via the INSTC. In June last year, RZD Logistics and Nurminen Logistics sent a train with thirty-two 40-foot containers from Vuosaari in Finland to Mumbai via the Bandar Abbas port.
The INSTC route, through ports in Iran and Azerbaijan, halves the transport time as it avoids the circuitous sea route through the Suez Canal. “This route option should become an opportunity to receive the necessary cargo guaranteed and on time in order to support the guidelines set by the government of the Russian Federation to increase twice the capacity of the INSTC,” Russian Railways Logistics said in a press release.
Sergey Levin, deputy general director for Commercial Activities of Russian Railways Logistics told the Central Asian media in the past year, that it worked hard to make transportation along the North-South corridor an affordable and effective alternative for domestic shippers.
According to Andrey Kochkin, deputy head of the International Transportation Department of Russian Railways Business Asset JSC, negotiations are underway within the framework of the project to increase shipments on the eastern route via Sarakhs to India and Iran.
