Page 20 - ITLN November - December 2023 for the magzter

Guest Column
Vikash Khatri

INDIA-MIDDLE EAST-EUROPE

ECONOMIC CORRIDOR

TO REDUCE SUPPLY CHAIN

RISK AND TRANSIT TIME

India-Middle East-Europe
Economic Corridor is expected
to redefine the trade route
between Europe, the Middle
East and South Asia. It will be
a true multimodal network that
shows real collaboration.
Vikash Khatri

A
few weeks back India Middle East Europe
Economic Corridor (IMEC) was announced
in a successful G 20 event hosted by India.
This corridor is expected to redefine the
trade route between Europe, the Middle East and South
Asia. It will be a true multimodal network connecting
Mumbai to Piraeus by ocean and rail along with roads for (BRI) project, but nowhere does its policy document
connecting deep parts of Europe. The project shows the mention BRI. BRI is a country-centric initiative with
real collaborative approach between many countries. its own limitations, while IMEC is a joint initiative of
IMEC corridor will start from Mumbai and connect many developed and developing economies with a
Dubai in the first leg by ocean. From Dubai, it will clear objective of boosting trade and strengthening
connect Haifa by rail, travelling through UAE, Saudi the supply chain.
Arabia, Jordan and Israel. From Haifa once again it will A project of this magnitude can have a significant
move to ocean mode and will reach Piraeus in Greece. impact in terms of geopolitical strategies, Global trade
This proposed corridor will provide an alternative to the and supply chain. It seems to be a well-thought strategic
existing ocean route to Europe, which passes through the triumph for participating nations, but we don’t have a
Arabian Sea, Gulf of Aden, Red Sea, Suez Canal and the deep understanding of geopolitics. Definitely from the
Mediterranean Sea. supply chain point of view, it will be a growth enabler.
As per many analysts, the proposed IMEC is a In the IMEC corridor Mumbai – Piraeus section will
counter to China’s ambitious Belt and Road Initiative have a new connectivity route and any leg post Piraeus

Origin Destination Distance by Rail 40' TEU Rail Freight (USD) Distance by Ocean 40' TEU Ocean Freight (USD)
Shanghai Prague 10453 10495 20576 4564
Xian Prague 9080 9116 23634 5649

Wuhan Prague 9815 9855 21573 4446
Bejing Prague 9317 9355 21979 5045
Urumqi Prague 6558 6584 26131 9055
Average 9044.6 9081 22778.6 5751.8
Average freight per container per KM 1.00 0.25
Rail Freight to Ocean Freight Ratio 04:01
*International Scientific Conference of the Faculty of Transport Engineering presented by Helena B, Edward Band Vladimir M
**Data Period 2016-17
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