Business
Iran to launch three new cross-border rail routes to boost regional connectivity
The new initiatives come amid a broader push by Iran to expand its international railway footprint as part of its regional connectivity and trade facilitation strategy.
Iran’s National Railway Company (RAJA) is preparing to launch three new international railway routes connecting the country to Turkey, Afghanistan, and Turkmenistan, in a move designed to strengthen regional trade and passenger mobility.
Jabbar Ali Zakeri, CEO of RAJA and Deputy Minister of Roads and Urban Development, announced the initiative during an interview with Mehr News Agency, stating that the new rail links will bolster Iran’s role as a regional transport hub and support its broader economic and diplomatic outreach.
One of the main projects is a direct passenger rail service between Tehran and Ankara, Turkey, which will extend the current Tehran–Van route. Zakeri said discussions with Turkish authorities on operational and financial details — including ticket pricing — are underway, and the service is expected to be launched within the next two months.
Another strategic route will connect Tehran and Mashhad with Herat in western Afghanistan, marking a significant step in cross-border mobility between the two neighbors. Initial operations will reach Rozanak, just outside Herat, while a 70-kilometer rail segment—currently under construction by Iranian contractors—will eventually link the line directly to Herat city. Launch of the route is pending resolution of travel document protocols and cross-border coordination.
The third route will establish passenger rail service from Mashhad to Marv in Turkmenistan, with the long-term aim of integrating Iranian rail lines with Uzbekistan and Tajikistan. The move is seen as part of Iran’s strategy to deepen economic ties with Central Asia and position itself as a key transit corridor in the region.
The new initiatives come amid a broader push by Iran to expand its international railway footprint as part of its regional connectivity and trade facilitation strategy.
In May 2024, Iran and Afghanistan reopened the Khaf–Rozanak railway, a section of a larger project aimed at linking eastern Iran with western Afghanistan. Iranian officials have expressed interest in accelerating work on the Herat–Rozanak–Khaf corridor, which is considered critical for trade and transit to landlocked Afghanistan.
In addition, discussions are ongoing between Iran, Pakistan, and Turkey under the framework of the Economic Cooperation Organization (ECO) to revitalize the Istanbul–Tehran–Islamabad (ITI) freight corridor. Test runs have resumed in recent years, though regular service still faces logistical and political hurdles.
Iran has also made progress on north-south connectivity, particularly through the International North-South Transport Corridor (INSTC), which aims to connect India, Iran, and Russia via multimodal routes. The Rasht–Astara segment, which would complete Iran’s portion of the corridor, is currently under development with support from Russia.
The Chabahar–Zahedan railway, backed by Indian investment, is another high-priority project for Iran. Once completed, it will link the strategic port of Chabahar to Iran’s rail network and provide Afghanistan and Central Asia with direct sea access.
With sanctions continuing to limit air and banking sectors, Iran views regional rail as a relatively insulated and strategic lever for economic resilience, especially in its relationships with neighbors such as Afghanistan, Turkmenistan, and Turkey.
These new rail corridors are expected to increase not only the movement of passengers, but also facilitate trade, tourism, and regional cooperation, reinforcing Iran’s vision of becoming a central node in Eurasian transit networks.
Business
Afghanistan, Iran explore expansion of trade and transit via Chabahar Port
Officials described the visit as part of ongoing efforts to strengthen regional cooperation and establish reliable, cost-effective transit corridors for Afghan exports and imports.
The Ministry of Industry and Commerce of the Islamic Emirate of Afghanistan says a technical delegation has completed a visit to Iran to assess transit and trade opportunities, emphasizing the expansion of commercial activity through the strategic Chabahar Port.
Abdul Salam Javad Akhundzada, the ministry’s spokesman, told Afghan Voice Agency (AVA) that the delegation examined Iran’s major transit routes, including the ports of Chabahar and Bandar Abbas, and held meetings with Iranian officials to discuss ways to strengthen trade connectivity between the two countries.
According to Akhundzada, the Afghan team conducted a comprehensive review of port operations, transit facilities, and transportation infrastructure, with its findings shared with Industry and Commerce Minister Nooruddin Azizi.
Azizi praised the delegation’s efforts and reiterated Kabul’s commitment to improving regional trade and logistics. “We are working seriously to expand trade routes and create greater facilities for Afghan traders,” he said, noting that leveraging regional transit opportunities remains a priority for Afghanistan’s economic development.
Officials described the visit as part of ongoing efforts to strengthen regional cooperation and establish reliable, cost-effective transit corridors for Afghan exports and imports.
The renewed focus on Chabahar—seen as a vital alternative to Pakistan’s ports—comes amid the continued closure of key Afghan-Pakistani border crossings due to recent security tensions.
Khan Jan Alokozai, a board member of the Afghanistan Chamber of Commerce and Investment, told AVA that the closures have disrupted trade flows through Pakistan, particularly at Karachi port. He urged that “trade and economic issues should be kept separate from political disputes” to ensure stability in regional commerce.
However, Alokozai added that if tensions with Pakistan persist, Afghanistan will prioritize alternative routes through Iran and Central Asia, including expanding cooperation via Chabahar, which provides access to global markets through the Arabian Sea.
The Chabahar Port, developed with Indian assistance, has long been viewed as a key regional hub offering landlocked Afghanistan a direct maritime link bypassing Pakistan.
Business
Ariana Airlines slashes cargo fees to boost Afghanistan’s trade
Ariana Airlines has been directed to acquire a dedicated cargo aircraft as soon as possible.
In a significant development aimed at facilitating trade, the Economic Deputy of the Office of the Prime Minister, Mullah Abdul Ghani Baradar, announced new measures regarding cargo transport costs using Ariana Airlines.
Under the new decision, the cost of transporting export goods via Ariana Airlines has been reduced to $1 per kilogram, while the fee for importing commercial goods has been set at $0.80 per kilogram.
The Economic Deputy has also instructed the Ministries of Finance, Transport, and Civil Aviation to provide a 90 percent discount on their service fees for Ariana Airlines, further supporting the company’s operations.
In addition, Ariana Airlines has been directed to acquire a dedicated cargo aircraft as soon as possible to increase its capacity for transporting both export and import goods, thereby streamlining trade operations across the country.
Officials say these measures are expected to have a positive impact on Afghanistan’s economy, enhancing trade efficiency, boosting exports, and improving access to imported goods.
Business
Another US sanctions waiver for Iran port boosts India’s Afghanistan plan
According to reliable sources, the existing waiver expired on Tuesday, but following intensive negotiations, India succeeded in obtaining an extension from Washington.
India has secured an extension of the US sanctions waiver for Iran’s Chabahar Port until early next year — a move that strengthens New Delhi’s regional connectivity strategy by providing a crucial gateway to Afghanistan, Central Asia, and parts of Eastern Russia.
According to reliable sources, the existing waiver expired on Tuesday, but following intensive negotiations, India succeeded in obtaining an extension from Washington. Indian officials emphasized the port’s strategic importance for the effectiveness of its regional connectivity and humanitarian initiatives.
Economic Times (ET) had earlier reported that New Delhi was seeking the extension after previously receiving a waiver valid until October 28. The US had initially planned to revoke the exemption by September 29 before allowing India to continue its operations under the renewed waiver.
In May 2024, India signed a 10-year agreement to operate the Chabahar Port with Iran’s Port and Maritime Organisation through Indian Ports Global Limited. The port has been central to India’s efforts to expand economic and humanitarian cooperation with Afghanistan, including the recent delivery of ambulances gifted during the Afghan foreign minister’s visit to New Delhi earlier this month.
The Islamic Emirate has also expressed interest in effectively utilizing the port to enhance its international engagement and trade access.
There are ongoing plans to link Chabahar Port with the International North-South Transport Corridor and with Central Asian nations. Uzbekistan — the world’s second doubly landlocked country after Liechtenstein — supports the initiative as part of its multipolar connectivity vision and seeks to diversify beyond China’s Belt and Road Initiative.
Sources further indicated that Russia, too, is exploring ways to use the Chabahar Port through Kazakhstan and Uzbekistan to facilitate trade with India and other Asian markets.
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