Türkiye-Iraq Development Road Project forges new trade path

Under the auspices of President Recep Tayyip Erdogan and Iraqi Prime Minister Muhammed Shia Al Sudani, Iraq, Türkiye, Qatar, and the UAE have sealed a quadrilateral memorandum of understanding in Baghdad, signaling a monumental leap forward for the Development Road Project. This visionary endeavour aims to bolster connectivity and commerce by establishing railway and highway networks from Basra's Grand Faw port, traversing key Iraqi cities, and culminating at the Turkish border.

The Development Road Project is set to revolutionise regional trade, with its vast network spanning from Basra to Mosul and eventually linking to Türkiye. The route, designed by the Italian company PEG Infrastructure, will enter Türkiye via Ovakoy after Mosul. Once completed, the 1,200-kilometre (745-mile) road and railway infrastructure will serve as a critical conduit between the Turkish border and Mersin Port, facilitating trade routes to Europe via Istanbul.

"At a time when global and regional conflicts are escalating, the implementation of this project will demonstrate its significance in stabilising Iraq, one of Türkiye's most crucial neighbours. It will deepen Türkiye-Iraq economic relations and create an alternative trade route regionally and globally," remarked Dr Enes Bayrakli of Turkish-German University. "This project aims to reunite Iraqi geography, which has been divided along ethnic and sectarian lines by imperialist powers post the American occupation, on the north-south axis."

The strategic infrastructure initiative not only aims to shorten travel times between Asia and Europe but also positions Iraq and Türkiye as pivotal transit hubs. The planned capacity expansion of the Grand Faw Port to 90 berths is poised to surpass Dubai's Jebel Ali Port as the largest container port in the Middle East by 2025.

"The Development Road Project will not only deepen Türkiye-Iraq relations in economic cooperation but also in the fight against terrorism and other fields. From a global perspective, the creation of alternative trade routes is of vital importance, as evidenced by the effects of tensions in the Red Sea on world trade," Bayrakli emphasised. "This project will serve Iraq, Türkiye, our region, and global trade and peace. Türkiye's ability to propose alternative trade corridor projects, including the Zangezur Corridor, indicates its re-entry into the stage of history as a pivotal actor."

Türkiye key player in linking trade between Asia and Europe

The Development Road Project presents an alternative trade route that bypasses potential disruptions in other key routes, such as China's Silk Road, which does not pass through Iraq directly. Once operational, the project is expected to significantly reduce shipping times, potentially completing shipments from the Cape of Good Hope and the Red Sea in just 25 days, down from the current 45 and 35 days, respectively.

"As many countries in the region vie for control over international trade by establishing new economic corridors, Türkiye aims to play a pivotal role in linking trade between Asia and Europe. One of the most crucial steps in this endeavor is the establishment of an economic corridor between Iraq and Türkiye," stated Iraqi expert Natheer Moaid. "The Development Road will enhance development in all countries of the region, significantly increase the volume of trade exchange with Iraq, and provide greater opportunities to facilitate the direction of Turkish exports to South and East Asia."

"The construction of a land road and railway linking the port of Basra with Turkish ports will transform Türkiye into a pivotal country in the global economy. It will also strengthen the Turkish economy by increasing tax resources and providing tens of thousands of job opportunities," Moaid concluded.

"To achieve the goals and desired results of this project, it is imperative for the two countries to strengthen diplomatic relations, secure the trade route through community development, combat violent and terrorist groups, and develop mechanisms to facilitate movement procedures between the two countries to enhance trade, tourism, and various other fields, which will benefit both countries' development and well-being."

The signing of this memorandum represents a significant milestone in the region's infrastructure development and sets the stage for enhanced economic cooperation and trade opportunities among the participating countries.