Instructions: For each question, read the Assertion (A) and Reason (R) carefully. Choose the correct option:
Assertion (A): IMEC is expected to reduce logistics costs and transport time significantly across the India-Middle East-Europe trade corridor.
Reason (R): IMEC integrates railways, roadways, energy pipelines, and undersea cables to boost connectivity.
Show answer & explanation
Correct answer: A
Explanation
Correct Answer
Both A and R are true, and R is the correct explanation of A.
Explanation
Assertion (A) is correct because the primary goal of the India-Middle East-Europe Economic Corridor (IMEC) is to boost trade among member countries, reduce logistics costs, and decrease transport time by approximately 40 percent. It provides a faster and cheaper alternative route for transporting goods from India to Europe.
Reason (R) is also correct and provides the perfect explanation for the assertion. The reduction in transport time and cost under this corridor is achieved because it is a multi-modal connectivity network. It includes not just sea routes, but also integrates state-of-the-art railway lines, efficient roadways, energy pipelines for electricity and clean hydrogen, and undersea high-speed data cables for swift digital connectivity. This integration of infrastructure directly makes transport faster and seamless.
Key Points
Announcement: The official announcement of IMEC was made during the G20 Summit held in New Delhi in September 2023.
Two Corridors: It includes two distinct corridors - the Eastern Corridor (connecting India to the Arabian Gulf) and the Northern Corridor (connecting the Arabian Gulf to Europe).
Signatory Countries: This historic agreement was signed by India, the United States, Saudi Arabia, the United Arab Emirates (UAE), the European Union, France, Germany, and Italy.
Additional Facts
This project not only provides a secure and reliable route for global trade but will also help in reducing greenhouse gas emissions. The transit of clean energy through pipelines makes it an eco-friendly trade route, aligned with future global sustainable development goals.
Important Questions and Answers
Question: At which international forum was the India-Middle East-Europe Economic Corridor (IMEC) launched?
Answer: During the G20 Summit held in New Delhi in the year 2023.
Question: Which technology is being used to strengthen the digital and communication systems under IMEC?
Answer: High-speed undersea data cables.