Middle Corridor vs. INSTC: The New Silk Road Rivalry

There’s a new game in town: the Middle Corridor. It’s a trade route connecting Central Asia to Europe via the Caspian Sea and the Caucasus, bypassing Russia. It’s heavily promoted by the US and EU. India, however, has been a long-standing partner in the INSTC (International North-South Transport Corridor) with Iran and Russia. The war in Ukraine has made the INSTC more relevant because it offers a route to Europe that avoids the Red Sea and the Suez Canal. So, where does India stand? We are investing in both. We are building Chabahar Port (part of INSTC) and we are talking to Central Asian nations about the Middle Corridor. It’s about derisking. We don’t want to be reliant on a single route that could be blocked by a conflict. This corridor competition is healthy for India because it gives us leverage. Everyone wants our cargo to go through their route.