Transports Internationaux Routiers (TIR) | IAS Target IAS Target

Transports Internationaux Routiers (TIR)

The Convention on International Transport of Goods Under Cover of TIR Carnets (TIR Convention) is a multilateral pact that was concluded at Geneva on 14 November 1975 to harmonize and simplify the administrative formalities of international road transport. The 1975 convention replaced the TIR Convention of 1959, which itself replaced the 1949 TIR Agreement between a number of European countries. The conventions were adopted under the auspices of the United Nations Economic Commission for Europe (UNECE).

Members countries 76 (including EU)
Location Geneva
Languages English, French, Russian, Italian, Polish, Portuguese, Romanian, Turkish

Importance of joining TIR

  • TIR helps India in implementing the WTO’s Trade Facilitation Agreement
  • TIR provides facility to move goods in sealed vehicles or containers
  • TIR providing customs authorities with the required security and guarantees
  • Advantage for trade and commerce. This will save significant time and money by streamlining procedures at borders, reducing administrative work and cutting border waiting times.
  • The TIR Convention will also aid India’s current national and multilateral connectivity-related initiatives like AAGC, International North-South corridor, BBIN and other connectivity to improve cross border road transport, facilitating overland trade integration with both eastern and western neighbours.
  • In light of the expected increase in world trade, further enlargement of its geographical scope and the forthcoming introduction of an electronic TIR system (so-called "eTIR-system"), it is expected that the TIR system will continue to remain the only truly global customs transit system.
  • Signing TIR, eliminating the frequent inspection of goods at intermediate borders due to reciprocal recognition of Customs controls.
  • It plays an important role in boosting regional connectivity and facilitating cross-border trade flows, according to connectivity experts.
  • The TIR system not only covers customs transit by road but a combination is possible with other modes of transport (e.g., rail, inland waterway, and even maritime transport), as long as at least one part of the total transport is made by road.
  • The TIR Convention will help Indian traders to have access to fast, and reliable international system for movement of goods by road or multi- modal means across the territories of other contracting parties.

India and TIR

  • India will become the 71st signatory of the convention.
  • In 2017, India's Union Cabinet approved the signing of the TIR Convention as it eyed seamless trade connectivity with both Southeast Asia and Eurasian region
  • Aligning with the TIR system will also enable India to take full benefit of the Eurasian Economic Union (EEU)