Explanation:

TIR Carnets, 1975 (TIR Convention) is an international customs transit system under the auspices of  the United Nations Economic Commission for Europe (UNECE) with the widest geographical coverage. It is more than a transport convention.

• The TIR is managed and developed by International Road Transport Union (IRU) which is the world road transport organisation.
• The TIR procedure facilitates movement of goods under customs control across international borders without the payment of the duties and taxes.

Statement 1: The TIR system secures customs duties and taxes and provides a robust guarantee mechanism, thereby reducing trade transaction costs, and facilitating higher growth of intra-regional and inter- regional trade. It does not eliminate those taxes and duties, which are otherwise dealt by trade agreements and WTO rules.

Statement 2: On the eastern front, it will help India integrate with Myanmar and Thailand, as well as Bangladesh, Bhutan and Nepal. On the western front, it will enable India to move cargo along the International North-South Transport Corridor via Chabahar port in Iran, to access landlocked Afghanistan and the energy-rich Eurasian region.