The Arctic – Regions Forum in Arkhangelsk held a discussion on the development of the Northern Sea Route export infrastructure and expansion of the Trans-Arctic Transport Corridor’s capacity at a joint meeting of the State Council Commission on International Cooperation and the Commission on Export and Northern Sea Route and the Arctic.

Arkhangelsk Region Governor Alexander Tsybulsky noted in particular the immense potential of the Trans-Arctic Transport Corridor under current geopolitical conditions.

“Rechanneling our exporters to unknown and remote markets is always a challenging task. This is why it is extremely important for us to create an infrastructure that would help our exporters. I believe that the Northern Sea Route and the Trans-Arctic Transport Corridor will play a significant role exactly in this filed,” the Governor emphasized.

According to him, the Trans-Arctic Transport Corridor can boast its considerable advantage – security. The instability in the Red Sea has already changed the behavior of global operators, with part of the cargo bypassing the Suez Canal through the Cape of Good Hope. On the other hand, unless Russia provides alternative routes via the Arctic, it may face an attempt of its logistic isolation.

In addition, Alexander Tsybulsky suggested that in order to increase interest in the Northern Sea Route from foreign partners, shippers from Russian regions and friendly countries should engage in using the Arctic Express No. 1 multimodal route. This project is being implemented as part of the Russian-Chinese development initiative Polar Silk Road, which connects Moscow and St Petersburg with Arkhangelsk via railway and on with the Chinese ports of Shanghai and Ningbo by sea.

The meeting participants also discussed the importance of setting up bonded warehouses – facilities to store goods outside the customs territory where cargoes may be kept for the time being without duties and taxes paid. Such free customs areas will boost the appeal of the Arctic logistics both for importers and Russian exporters, Alexander Tsybulsky said.