Tehran, September 20 (MRUD NEWS)—Construction of Rasht-Astara Railway in Iran which is the missing link along the International North-South Transport Corridor (INSTC) has economic advantages in Iran and strategic advantages for the region as it facilitates international transit and trade. 

The Rasht-Astara Railway has international importance as it eases  international freight transit and movement of passengers, said Abbas Khatibi, the deputy of Construction and Development of Railways, Ports and Airports at Iran's Construction and Development of Transportation Infrastructures Company.

Construction of Rasht-Astara Railway in the western section of INSTC has huge advantages over the eastern part of the Corridor due to the necessity of the link to the Caucuses and connection from the Persian Gulf towards Georgia and the Black Sea. Moreover, the high demand in the western regions of Russia and the short route to Europe are very important, Khatibi said.

Pointing to the capacities of Astara Border in international transactions, Khatibi informed that it is predicted that in the first year of operation of Rasht-Astara Railway, 2.6 million tons of cargo and in the 20th year of operation, 6.8 million tons freight will be transferred. Similarly, passenger traffic is estimated to be 530,000 passengers in the first year and one million passengers in the 20th year of operation.  

Transport time, cost, and reliable delivery are factors influencing the attraction of freight transit. According to the studies of the Organization for Economic Co-operation and Development (OECD), the North-South Transport Corridor (INSTC) will decrease the time and costs of transit by 30 percent compared to the Suez Canal which makes this route very competitive, announced Khatibi.

Environmental considerations are one of the significant factor in the Rasht-Astara Railway project. Considering Gilan's rich environment and the population density as well as agricultural and tourism capabilities of the region, the environmental and social impacts of the plan have also been studied and investigated through cooperation with the Iran Department of Environment. So, by examining the advantages and disadvantages of the possible routes, the best route has been chosen for minimal damage to farms, agricultural lands and businesses. For this reason, construction of about 40 kilometers of bridges along the route have taken environmental issues into consideration including reducing embankment materials and eliminating the passage of trucks from the mines to the project site, Khatibi further explained.

In September 2022, following the first trilateral meeting of Iran, Azerbaijan, and Russia dedicated to the prospects of the International North-South Transport Corridor (INSTC) in Baku, the parties signed a trilateral statement for development of the INSTC.

Later in May 2023, Iran and Russia signed the agreement for financing construction of Rasht-Astara Railway.  Due to the importance of the INSTC for international transit in the region, Russia has been determined to finance this railway project with approximately €1.6 billion investments within 48 months.