Opinion | Russia and India are Writing a New Logistics Chapter in Bilateral Relations
Summary
The article, authored by Oleg Poleev (CEO, RZD Logistics JSC), outlines recent advances in Russia–India logistics driven by development of the International North–South Transport Corridor (INSTC). It focuses on the Eastern branch — a rail–sea corridor through Kazakhstan, Turkmenistan and Iran — and reports measurable gains: much faster transit times, steep cost reductions and rising cargo volumes in 2025 versus 2024. The piece highlights growing trade diversification (industrial, agricultural and pharmaceutical goods), infrastructure modernisation, paperless processes and closer cooperation among corridor states and railways.
Key Points
- The INSTC Eastern route (Russia–Kazakhstan–Turkmenistan–Iran–India) is expanding fast and is in high demand.
- Transit times have fallen dramatically: examples cited include 16 days from Moscow region to Bandar Abbas and 11 days from Chelyabinsk — roughly three times faster than at launch; target is 10 days from Moscow to Bandar Abbas.
- Service net cost along the Eastern route has dropped by around 60% since the project began.
- Volume on the Eastern route rose 1.9x January–September 2025 compared with the same period in 2024.
- Trade between Russia and India is diversifying: a wider range of imports/exports — including construction materials, textiles, rice, plastics, paper, lumber and foodstuffs — is moving via the corridor.
- Pharmaceutical shipments are identified as a high-potential segment; the corridor is said to be ready to handle temperature- and condition-sensitive cargo.
- Operational improvements include paperless documentation, special tariff arrangements, increased container-train frequency and infrastructure upgrades across participating countries.
- RZD Logistics is the nominated operator on the Eastern INSTC route and reports active coordination with partner railways to shorten times and reduce costs.
Context and Relevance
The article situates INSTC progress within a broader goal: India and Russia aim for a $100 billion bilateral trade turnover by 2030. For logistics and supply‑chain professionals, the developments signal new routing options that can shorten lead times and lower costs for India–Russia trade. For shippers and forwarders, the corridor’s readiness for pharma and high‑tech cargo widens opportunity, while exporters should watch tariff and paperless-process changes that could simplify cross‑border movements. Policymakers and infrastructure investors will also find the data on throughput and cost reductions relevant when prioritising future projects and partnerships.
Why should I read this?
Short version: if you move goods between India and Russia (or plan to), this matters. INSTC’s Eastern route is cutting time and cost, opening up reliable lanes for everything from rice and textiles to pharma and machinery. The article gives quick, concrete figures and a clear line on who’s making it happen — saves you the legwork of trawling reports.
Author (style note)
Punchy, industry-facing opinion by Oleg Poleev — CEO of RZD Logistics JSC, the operator nominated for the INSTC’s Eastern branch. The piece combines operational metrics and strategic framing: read the detail if you need the data to plan routes, investments or partnerships.