BAKU, November 2025 – Azerbaijan is undertaking a major upgrade of its section of the International North–South Transport Corridor (INSTC), including modernization of railway segments such as the Bilajari–Yalama line, electrification, modern signalling and communications, and restoration of older tracks.

As part of this effort, Azerbaijan and Iran are cooperating on the development of a new cargo terminal at Astara (on their shared border), which is expected to be operational in 2026 a key node that will enhance transit freight capacity across the corridor.

Azerbaijani authorities have set a target for the corridor to handle at least 5 million tonnes of freight per year by 2028, with a long‑term ambition to expand capacity up to 15 million tonnes annually.

These upgrades and capacity goals align with Azerbaijan’s broader strategy to position itself as a major logistics and transit hub linking Northern Eurasia, Russia, Central Asia, Iran, and the Persian Gulf, thus strengthening connectivity between Europe and South Asia.

If the planned infrastructure upgrades and international connections are realized, this enhanced corridor could significantly improve transit throughput, reduce transit times, and boost regional trade though actual outcomes will depend on completion of remaining route links (including in neighbouring countries), demand for transit, and broader geopolitical and economic factors.

Source: Google News