home . news & publications . Investment News . Azerbaijan, Georgia, Kazakhstan to Establish Railway Consortium

Azerbaijan, Georgia, Kazakhstan to Establish Railway Consortium

Azerbaijan, Georgia and Kazakhstan have agreed to establish a railway consortium to ensure smooth movement of Chinese goods to Europe via the Trans-Caspian International Transport route.

This was announced by Bakytzhan Sagintayev, the First Deputy Prime Minister of Kazakhstan, who led a governmental delegation visiting Tbilisi, Georgia, on February 17. The Trans-Caspian route was one of the main topics of discussions held between representatives of the Georgian and Kazakh governments.

Sagintayev said the railway departments of the three countries agreed that this railway consortium will provide the movement of goods from Chinese ports to the Georgian port of Batumi and then - to Turkey and further to Europe.

"This is a very profitable transit route for all parts, and we all are very interested in establishing such a consortium," he noted.

The Trans-Caspian route connects China with Europe via the territory of Kazakhstan, Azerbaijan and Georgia. This is a multimodal corridor which uses railway, maritime and road transport for transportation of goods.

The official further added that given the route’s profitability, Kazakhstan is eyeing to be an active part in it, and his country is not going to abandon its assets in the Batumi port and the Batumi oil terminal, since it is connected with the Trans-Caspian route.

Dmitry Kumsishvili, the Georgian Deputy Prime Minister, Minister of Economy and Sustainable Development, said Georgia is interested in increase of volume of Kazakh goods which will pass through this route.

Today Azerbaijan is also determined to use its transportation potential by turning into the transport hub between East and West. Many countries including Turkey, Ukraine, Georgia, Kazakhstan and China are interested in the opportunities to reach markets of interest by means of Azerbaijan, which makes the transportation more convenient, fast and cost-efficient.

The Trans-Caspian route enjoys an opportunity to become attractive and profitable for consignors from European countries. This route will transport approximately 300,000-400,000 containers by 2020, bringing hundreds of millions of manats in profit to Azerbaijan.

Three test container trains have already been sent from China to Europe via this corridor. This project, being very profitable, has involved even Ukraine, the territory of which will make the delivery of goods to customers even faster.

Azerbaijan, Kazakhstan, Georgia and Ukraine have signed a protocol on setting preferential tariffs for cargo transportation via this route, and the final document on resolving the technical problems is expected to be signed this February. Signing of this document will likely lead to full commercial operation of the Trans-Caspian route in March.

Experts believe that there will not be an alternative to the Trans-Caspian route in the coming decade.

The expert also expressed confidence that the commissioning of Baku-Tbilisi-Kars railway will accelerate cargo delivering from Turkey to the Central Asian markets via the Trans-Caspian transport corridor.

 

Source: AzerNews
Back to top

subscribe

events view our upcoming events.

network follow us.



   facebook  linkedin  twitter

 bp
anglo-asian ata-holding
azpetrol statoil
bny_melon azertrans
chevron_logo conocophillips
  ibar exxonmobil
 solar-turbines boeing-logo-website
 
  
 
           
        
   
 
 
         pg
    ekvitasocaraqs            
          ge