WANA (May 31) – Located in northeastern Iran, Golestan Province, the Incheh-Borun Free Trade and Industrial Zone has surpassed 3 million tons in annual rail transit, emerging as a strategic hub along the North–South Corridor. It now plays a key role in linking Russia to India and China via the secure Turkmenistan border—a route that could transform Iran into a new gateway to Eurasia.

 

Though its full potential is yet to be defined, signs suggest that this border zone in Golestan Province is becoming one of West Asia’s most critical transit chokepoints. Amid global struggles for shorter and safer trade routes, Iran is stepping beyond a passive role and becoming a strategic actor in global trade.

 

Incheh-Borun is not merely a local or provincial project; it is a key player in the multi-billion-dollar North–South Corridor. This route has the potential to reshape the Saint Petersburg–Mumbai axis and elevate Iran from a raw material exporter to a regional and interregional smart transit hub.

 

With its strategic location near Turkmenistan, access to railways, roads, and land borders, proximity to the Caspian Sea and Turkmen port, and its stability and security, Incheh-Borun is now considered one of the safest regional routes for connecting China, Russia, Central Asia, and India.

 

A Transit Leap: 3 Million Tons in One Year

According to the Director General of Northeast Railway Zone 2, over 3 million tons of goods will be transited via Incheh-Borun’s rail route this year, six times more than the previous year. This record is significant, considering the country’s total rail transit goal this year is 8 million tons.

 

He emphasized that each transit shipment has five to six times more economic value for Iran than domestic cargo. Infrastructure development, logistics centers, and cooperation with CIS countries—including Russia, Turkmenistan, Kazakhstan, and China—were identified as key factors behind this growth.

In recent years, the number of trains dispatched from Russia to Bandar Abbas via Incheh-Borun has steadily increased for cargo destined for China, India, Saudi Arabia, and other countries.

 

Iran-Tajikistan Rail Cooperation Begins

On Thursday, May 29, Iran’s Deputy Minister of Roads and CEO of Iranian Railways, Jabbarali Zakeri, and the Director of Tajikistan’s State Railway Institute signed a memorandum of understanding.

 

The agreement, aimed at boosting rail diplomacy, regional economic growth, and international rail transport, allows Iranian wagons to operate within Tajikistan’s rail network.

 

According to transportation and transit expert Mehdi Bagheri, the deal marks a major step toward commercializing the East–West and North–South corridors passing through Iran.

 

Linking the Eastern Caspian to Global Trade

The Incheh-Borun Free Trade and Industrial Zone, located along the eastern Caspian Sea, was once a missing piece in the puzzle—now it is coming to life. According to the Governor of Golestan Province, this is the first of the country’s new free zones to enter the implementation phase, with more than 60 companies applying to invest.

 

A fenced area of 4,000 hectares and new logistics projects have created favorable conditions for both domestic and foreign investors. From reviving the suitcase trade to the active participation of Turkmen private businesses, all efforts point toward making Incheh-Borun the economic hub of eastern Iran.

 

Iran–Russia Strategic Link

As part of the 20-year comprehensive cooperation agreement between Iran and Russia, the Incheh-Borun Free Zone has become a central node linking Eurasia to South Asia.

 

Experts highlight that Russian coal is now being transported to China via Iran without relying on state budgets, presenting an unmatched opportunity for rebuilding Iran’s rail infrastructure.

Eurasia analyst Dariush Safarnejad stated: “Russia wants to shift its export route to China through Iranian railways. This means stable transit revenues for Iran without infrastructure costs.”

 

A Safer Alternative to the Risky Caucasus Routes

With traditional transit routes from Russia to Europe via the Black Sea and the Caucasus facing political and military challenges, Iran—particularly the eastern branch of the North–South Corridor through Incheh-Borun, has gained strategic significance.

 

According to Iran’s Ambassador to Russia, Kazem Jalali, over 1.8 million tons of goods transited this eastern corridor in 2024, with a potential capacity of 15 million tons. If European access is restored, Iran could become not only the second Suez Canal but also the primary transit highway of the century.

 

Golestan’s Opportunity Is Iran’s Opportunity

Due to shared cultural, religious, and linguistic ties between Golestan Province and Turkmenistan, regional diplomacy is becoming a strong complement to official diplomatic efforts.

 

In a recent meeting with Turkmen officials, Golestan’s deputy governor for economic affairs stressed forming expert working groups and signing bilateral agreements.

 

At a time when global powers are redefining geopolitical borders and trade routes, Iran has the opportunity to leverage its geographic advantages to play a global role, starting from a border province. The Incheh-Borun Free Zone is more than just an economic project; it’s a tool of national power, security, and social capital for the Iranian people.