In an important move, India may look to send its first cargo ship via the Northern Sea Route (NSR) to Russia next year. Russia’s Arkhangelsk region has held discussions with New Delhi on ways to tap the route’s economic potential.Aleksandr Tsybulsky, governor of the Arkhangelsk region, said the NSR, also referred to as the Arctic Route, is assuming a new level of importance for India. He made the remarks in an interview with RT, the state-funded news television network, on the sidelines of the ‘Arctic – Regions’ Forum held last week, where India was a key partner.According to Tsybulsky, India sees “huge possibilities” in using the route.Why is the Northern Sea Route important? Let’s take a look:
Why the Northern Sea Route matters
The Russian Arctic region is rich in hydrocarbons, including LNG, as well as natural resources such as nickel, copper, platinum, palladium and rare earth elements.Located along Russia’s Arctic coastline, Arkhangelsk lies on the Northern Dvina River and serves as a major cargo centre connected to the Northern Sea Route.Also Read | 100% tariffs: Why India may ignore Trump threat and continue buying Russian crude oilThe NSR stretches about 5,600 km across Russia’s Arctic waters. Much of the route remains covered by thick ice for most of the year, although climate change and the retreat of sea ice have extended the period during which vessels can navigate it.Ships with specialised ice-strengthened designs are needed to operate along the route. Russia’s nuclear major Rosatom, which manufactures such vessels, is expected to sign a memorandum of understanding with India for the NSR.The discussions between India and Arkhangelsk cover a range of possibilities, according to an ET report. These include constructing ships for India at shipyards in the region, using Arkhangelsk’s port infrastructure to handle cargo moving from India and shipments headed to India, as well as exploring the possibility of locating manufacturing facilities around ports in the region.The opportunities under discussion include “building ships for India at shipyards in the Arkhangelsk region, to using our port facilities to deliver cargo from India, and to export cargo to India, and technological options such as placing and locating production around the ports of the Arkhangelsk Region,” Tsybulsky told RT.S. Venkatesapathy, joint secretary in India’s Ministry of Shipping, also took part in the forum.For Indian ships, the Arctic route could reduce the sailing distance by as much as 40% and cut around two weeks from journeys to northern and eastern Europe compared with conventional shipping through the Suez Canal, where disruptions linked to the Iran war are affecting traffic.Also Read | Beijing’s billion-barrel weapon: Why India must prepare for China-driven oil pricesRussian President Vladimir Putin recently said Moscow was witnessing “growing interest” from countries such as China and India in tapping the economic opportunities presented by the NSR.Russia is making substantial investments in infrastructure along the Arctic route, while Moscow is pleased with the interest shown by international partners, Russian Deputy Foreign Minister Alexander Grushko said at the Forum last week.Cargo movement along the Chennai-Vladivostok corridor, also known as the Eastern Maritime Corridor (EMC), has increased 70%. The NSR is expected to provide another boost to trade between India and Russia.
