At the ongoing G20 Summit in New Delhi, Indian Prime Minister Narendra Modi is set to unveil the ambitious Rail and Shipping corridor along with other key stakeholders the US, EU, Saudi Arabia, and the UAE. This ambitious project of a rail-shipping corridor aims to establish India as a significant global hub for international business and commerce by linking India, the Middle East, and the EU.
The project is presently not proceeding within the I2U2 framework (India, Israel, the US, and the UAE) while efforts are on to strengthen relations between Israel and Saudi Arabia. However, Israel is expected to be incorporated into the framework at a later stage. This initiative is expected to establish a comprehensive railway and shipping corridor, ushering in new frontiers of progress in commerce, energy, and digital connectivity.
The rail-shipping corridor project aims to establish railway connections between Arab countries in the Levant and the Gulf, with additional plans to link to India through Gulf seaports. This ambitious initiative has been under discussion for the past 18 months within the I2U2 forum, consisting of the US, Israel, the UAE, and India. Formed in late 2021, this forum serves as a platform for strategic infrastructure discussions in the Middle East and seeks to counter China’s expanding influence in the region.
The concept of connecting the Middle East through railways was initially proposed by Israel during these discussions, with the idea of leveraging India’s expertise in large-scale infrastructure projects. The Biden administration subsequently expanded the project to include Saudi Arabia. This joint infrastructure endeavour could be a significant initiative in the Middle East, aimed at countering China’s growing influence in the region, especially within the context of China’s Belt and Road Initiative. India and other global players are now actively engaging in projects to safeguard and bolster global trade routes from the increasing Chinese influence.
John Finner, the Principal Deputy National Security Advisor of the United States said that this initiative aims to bridge infrastructure gaps by providing high-quality, transparent, and sustainable infrastructure. It will not be imposed but rather it will operate on a voluntary basis, catering to the specific needs of each sector. Unlike China’s ‘Belt and Road Initiative’ (BRI), this endeavour prioritises quality over coercion, in contrast to BRI, which has burdened many countries with debt and lacked transparency, often leading to forced participation.
The US plans to sign a joint infrastructure plan with India, Middle Eastern countries and the European Union aimed at connecting them https://t.co/jz3Izr56Ot
— Bloomberg (@business) September 9, 2023
He further said that this is being done under Joe Biden’s policy towards West Asia. John Finner highlighted that the interconnection of three major world regions would foster prosperity and address infrastructure deficits in low and middle-income nations. He said that the US has pledged wholehearted cooperation in this initiative, emphasising its potential to alleviate international tensions. He confirmed that the US views this initiative as a positive agenda, characterised by consensual collaboration.
According to reports, President Joe Biden and Prime Minister Narendra Modi are set to unveil this project as part of the Partnership for Global Infrastructure Investment. This initiative, centred around a railway and maritime corridor, seeks to enhance trade among the participating countries.
The importance of India’s participation in this project lies in India’s expertise in operating complex networks in challenging situations. Laying down railway tracks across the desert in the gulf and the other difficult terrains is where India will be at the forefront.
