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Malaysia and Global South Nations set to benefit from expanded North-South transport Corridor

From Baltic to Indian Ocean: Russia’s North-South Corridor opens doors for Malaysian trade

Malaysia, along with other Global South and Islamic world countries, stands to gain significantly from the expansion of the North-South International Transport Corridor (ITC), a major Eurasian infrastructure initiative set to reshape freight logistics from 2025 onwards, according to Bernama.

Russia’s upcoming five-year "Efficient Transport System" project aims to enhance the speed, volume, and reliability of freight movement, creating a seamless transport network linking Europe to South and Southeast Asia.

Key upgrades include modernising seaports, inland waterways, and border infrastructure, which could reduce freight inspections to just 10 minutes and boost overall capacity by 1.5 times.

A critical milestone is the construction of the Resht-Astara railway, completing a key missing link in the western route around the Caspian Sea. Backed by Russian financing, this section will connect Russia, Azerbaijan, and Iran, streamlining cargo movement from Northern Europe to the Persian Gulf and South Asia, with full operations expected by 2028. 

Meanwhile, Azerbaijan and Russia have ratified a transit cooperation agreement, and discussions are underway for an alternative Imishli-Parsabad rail line, which could handle 30 million tonnes of cargo by 2030, including grain, metals, and petrochemicals.

The 7,200-km corridor offers major efficiency gains, slashing St. Petersburg-to-Mumbai delivery times from 30-45 days to just 10-20, with 30-40 per cent lower costs.

Photo: iStock