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India-Middle East-EU corridor to have multiple routes, but hurdles remain

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India-Middle East-EU corridor to have multiple routes, but hurdles remain

  • Days after India, U.S, Saudi Arabia, UAE and other countries launched the India-Middle East-Europe Economic Corridor (IMEC), officials said many of the details are still being ironed out.
  • Multiple route options are being considered that will include ports like Haifa in Israel and Piraeus in Greece.
  • The IMEC MoU was signed by India, the U.S., Saudi Arabia, UAE, European Union, Italy, France and Germany, in the presence of all their leaders.

Key Highlights

  • Among the ports that could be connected on the west coast of India are Mundra (Gujarat), Kandla (Gujarat), and Jawaharlal Nehru Port Trust (Navi Mumbai).
  • In the Middle East, at least five ports have been shortlisted to be connected to the Indian ports which include Fujairah, Jebel Ali, and Abu Dhabi in the UAE as well as Dammam and Ras Al Khair ports in Saudi Arabia.
  • It is to be noted that apart from government-owned ports, both Mundra port in India and Haifa port in Israel are privately controlled by the Adani Group, and have been highlighted in proposal documents.
  • While IMEC has been proposed to counter the Belt and Road Initiative proposed by China, Chinese presence cannot be wished away along the IMEC route,
  • This is because Piraeus port is controlled by China Ocean Shipping (Group) Company which is a Chinese state-owned company.
  • Currently, all trade between India and Europe happens via the sea route, that passes through Suez Canal, controlled by Egypt.

India Middle East Europe Corridor

  • it is a network of transport corridors comprising railway lines and sea lanes to promote economic integration between Asia, the Arabian Gulf, and Europe.
  • The proposed corridor will comprise two separate corridors- the Eastern corridor and the Northern corridor.
    • The Eastern Corridor will connect India to the Arabian Gulf
    • The Northern Corridor will connect the Arabian Gulf to Europe.
  • It will involve transit by ship between India and Saudi Arabia, followed by a rail link to the UAE and likely to Jordan from where the shipment will move by sea to Turkey and further by rail.
  • Along with the railway track, cables for energy and digital connectivity as well as a pipeline for clean hydrogen export will be laid.
  • India, US, UAE, Saudi Arabia, European Union (EU), Italy, France and Germany are Member nations.
  • It is part of the Partnership for Global Infrastructure Investment (PGII)
    • It is a collaborative effort by G7 nations to fund infrastructure projects in developing nations.
  • PGII is the G7 bloc’s counter to China’s Belt and Road Initiative.
  • PGII is part of G7’s vision of Build-Back-Better framework.

Prelims Takeaway

  • Belt and Road Initiative
  • Partnership for Global Infrastructure Investment (PGII)

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