THE Iranian government has allocated Rials 150 trillion ($US 300m) to private sector manufacturers to strengthen the country’s rail fleet with new locomotives and coaches.
According to the Tehran Times, Dr Jabbar Ali Zakeri, deputy transport minister and director general of Iranian Islamic Republic Railways (RAI), says the funding will be provided through a special government deposit mechanism aimed at mobilising private capital and upgrading rail infrastructure, under the country’s Seventh National Development Plan.
Zakeri says the finance will support the purchase or refurbishment of 80 locomotives and 130 coaches, which will improve service quality and increase capacity, and support the government’s broader development objectives.
He reports that Iran has also been seeking to strengthen cross-border transit services with neighbouring countries, positioning the country as a regional hub to increase trade flows.
“Transport performance should not be assessed solely on transit volumes,” says Zakeri. “Exports, imports and transit freight must all be taken into account, as this approach directly affects the economics of transport companies, producers and logistics operators.”
Cross-border progress
Zakeri says several cross-border rail projects are progressing. Work has started on the line between Shalamcheh and Iraq, while the Kermanshah - Eslamabad-e Gharb line, also connecting with Iraq, is expected to open soon.
On the western corridor, Zakeri says construction is underway on the Tabriz - Marand - Cheshmeh Soraya line, which will provide a direct link between Sarakhs in northeastern Iran and Turkey.
In northern Iran, rail connections at Jolfa, Astara, Caspian Port, Amirabad Port, Incheh Borun and Sarakhs are already in service, according to Zakeri, who adds that improved facilities following the connection of the Lotfabad border crossing to Turkmenistan have helped increase inbound cargo volumes along that route.
On the eastern corridor, Zakeri says the Khaf - Herat line is now operational, helping to significantly boost trade with Afghanistan. Freight volumes on the route have risen from about 15,000 tonnes in 2024 to around 400,000 tonnes last year, with 1.2 million tonnes forecast for 2026.
Links to Pakistan
Zaferi says connectivity with Pakistan is also being strengthened, as Iran is constructing the Zahedan - Mirjaveh line to facilitate wagon interchange between the two countries. Operations on the new Chabahar - Zahedan line are expected to begin in the first half of this year.
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