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Pakistan Joins Transport Corridor Between Indian Ocean and Eastern Europe

Uzbekistan’s Ministry of Transport has announced that Pakistan has officially joined the memorandum of understanding on establishing and developing the international transport corridor "Belarus–Russia–Kazakhstan–Uzbekistan–Afghanistan–Pakistan–Indian Ocean." The Pakistani Ministry of Communications signed this memorandum on September 18. The process of creating this multimodal transport corridor began in August 2022, at a meeting between the Uzbek government and the Eurasian Economic Commission – the governing body of the Russian-led Eurasian Economic Union that also includes Armenia, Belarus, Kazakhstan, and Kyrgyzstan. In November 2023, the transport ministries of Russia, Kazakhstan, and Uzbekistan signed a memorandum of understanding, launching the project's active phase of work. The group's first meeting on developing the proposed multimodal transport corridor was held in April 2024 in Termez, Uzbekistan. During that meeting, Belarus joined the memorandum, while Afghanistan and Pakistan announced the beginning of internal procedures for joining the project. At that meeting, a roadmap was signed, including specific plans for the development of cargo transportation, analysis of cargo flows, introduction of electronic digital documents, and optimization of customs procedures. The participating countries expect that the new corridor will become an important link in Eurasia's transport system, providing convenient and efficient routes for the transit of goods and strengthening economic cooperation.

China Germany Air Transport Bilateral Cooperation Airports International transport

Kazakh-German Consortium to Build Cargo-Passenger Airport in Khorgos–Eastern Gate SEZ

On September 16, Kazakhstan’s Ministry of Transport and Kazakh-German consortium SKYHANSA signed a framework agreement on a project to construct a cargo-passenger airport in the special economic zone (SEZ) Khorgos-Eastern Gate on the border between Kazakhstan and China. The document was signed as part of the official visit of Germany’s Federal Chancellor Olaf Scholz to Kazakhstan. The Khorgos–Eastern Gate SEZ is located in Kazakh territory, one kilometer from the state border and China’s border city, Khorgos. The SEZ is strategically located on the route of the Western Europe – Western China highway. It is also a central hub on the Trans-Caspian International Transport Route (TITR) that connects China and Europe. The SEZ includes a dry port and a multimodal logistics zone. The first stage of construction of a China-Kazakhstan industrial park on the territory of the SEZ began in November 2023. The Kazakh-German project involves the construction of an airport with a passenger terminal capable of handling up to 500 passengers per hour, a cargo terminal capable of handling up to 250,000 tons per year, a fuel storage facility capable of holding 550,000 tons, a technical center for servicing aircraft, and tourism, shopping, and entertainment facilities. Private investments in the project are expected to exceed $500 million, and more than 300 permanent jobs will be created. The administration of Kazakhstan’s Zhetysu region, where the SEZ is located, has now allocated a land plot for the airport's construction, and the investor plans to begin construction works after concluding the Investment Agreement.

multimodal transportation Middle Corridor TITR International transport Trans-Caspian International Transport Route Trans-Caspian Trade Route

200th Container Train from China Arrives in Kazakhstan’s Aktau Port on Middle Corridor

A container train from China arrived last week in the port of Aktau on Kazakhstan’s Caspian coast. Kazakhstan’s national railway company, Kazakhstan Temir Zholy, announced that it was the 200th container train since the beginning of 2024. Last year, 11 container trains went through Aktau Port along the Trans-Caspian International Transport Route (TITR), known as the Middle Corridor. The Middle Corridor is an 11,000-kilometer international multimodal transport corridor that runs from China to Europe via Kazakhstan, the Caspian Sea, Azerbaijan, Georgia, the Black Sea, and Turkey. The container train originally departed from the Kazakhstan terminal in Xi'an (China). From Aktau, it will depart for Azerbaijan on a barge across the Caspian Sea. The Kazakh terminal in Xi'an is an important logistics hub that consolidates cargo from various provinces of China. It has given a new impetus to the development of the TITR. In November 2023, Kazakhstan and China signed a number of agreements to develop the TITR, including a route for China-Europe container trains. Middle Corridor Multimodal Ltd. is a joint venture that was established at the Astana International Financial Center, bringing together the railway administrations of Kazakhstan, Azerbaijan, and Georgia to manage the route on a parity basis. The Kazakhstani terminal in the dry port of Xi'an opened in February 2024. It consolidates 40% of all container trains heading towards Kazakhstan, which has contributed to a significant increase in transit traffic along the TITR. Transportation along the TITR is growing steadily. In 2023, 2.8 million tons of cargo were transported along the route, compared to about 1.7 million tons in 2022. In the first seven months of 2024, the traffic totaled 2.56 million tons. By 2027, the capacity of the TITR is planned to increase to 10 million tons.

China Infrastructure Infrastructure Development roads Western Europe-Western China. International transport European Union

Kazakhstan’s Longest Road Tunnel Opens on Western Europe – Western China Transport Corridor

On September 12, a new tunnel was opened at the Shakpak Baba pass in Kazakhstan’s southern Turkestan region. As the Kazakh Ministry of Transport reported, it is the longest automobile tunnel in Kazakhstan. The two-lane tunnel is 840 meters long, 11 meters wide, and 8 meters high. Control centers on both sides of the tunnel monitor lighting, ventilation, and traffic lights. The tunnel's opening will facilitate traveling and cargo transportation during winter. At the tunnel's opening ceremony, Kazakhstan’s Deputy Minister of Transport Satzhan Ablaliyev stated: "The opening of this tunnel is an important event for Kazakhstan's transport infrastructure. It will not only improve the region's year-round transport accessibility but will also significantly increase traffic safety in this difficult section. The tunnel will prevent drivers from being trapped in the snow on the Shakpak Baba pass in winter. In addition, the main traffic flow will now be redirected to bypass the village of Shakpak Baba, increasing safety in the village." The tunnel is part of the Kazakh section of the international road transport corridor Western Europe-Western China. With a total length of 8,445 km, the corridor runs 2,233 km through Russia, 2,787 km through Kazakhstan, and 3,425 km through China. In July, Kazakh Minister of Transport Marat Karabayev announced that in 2024, Kazakhstan planned to repair and construct 12,000 kilometers of road.

International Transit China Afghanistan Agriculture Railway Agricultural Export International transport Rail cargo Wheat export Grain export railroads

Special Report: Prospects Look Good for Kazakh Wheat Exports

According to the International Grains Council, Kazakhstan's wheat harvest for the 2024/2025 season is expected to reach 16 million tons. As the harvesting campaign begins, the country's lack of elevator capacity and the problem of mainline railroads are concerns. Idle trains are still a problem, which leads to the introduction of regular restrictions and bans on the acceptance and shipment of wheat due to congestion on the railroad. Market participants note that the railroad cannot cope with the volume of shipments during the autumn rush, with its infrastructural ceiling on shipments at only 1 million tons of grain per month. This leads to a collapse at border railroad crossings and, consequently, a price drop in the domestic market. One obvious solution is to expand Kazakhstan's elevator capacity and grain storage facilities; this is one of the reasons for the increased load on the railroad infrastructure. Thus, according to the Ministry of Agriculture, 191 licensed grain-receiving enterprises have a total storage capacity of more than 13.2 million tons. In addition, agricultural producers have storage capacities for 15.8 million tons of grain, which, as the ministry assures, is enough to store grain considering the projected harvest. Also, according to the ministry, the construction of new grain storage facilities and the expansion of existing ones are envisaged. In 2024-2026, it plans to operate five granaries with a capacity of 30,200 tons. The national railway company Kazakhstan Temir Zholy (KTZ) has already established a grain headquarters, involving representatives from local executive bodies, the National Chamber of Entrepreneurs "Atameken," and shippers. This headquarters ensures adequate transportation for the upcoming season's harvest. As Salamat Abzhaliyev, Deputy General Director for Marketing and Planning of KTZ-Gruzovye Transportations LLP, noted during the briefing held at the end of August, for seven months of the current year, the total volume of grain loading on the network of railroads of the country amounted to 4.7 million tons. Only in Kazakhstan did wheat transportation increase by 3%, amounting to 1.1 million tons. An important factor affecting the efficiency of transporting grain and milling products is the availability of specialized wagons. In addition to boxcars, grain carriers are designed to transport these specific cargoes. Today, the total fleet of boxcars and grain cars on the railroad is about 16,000 and 12,000, respectively. According to KTZ, this fleet is sufficient to fulfill all agreed transportation plans. According to forecasts of the International Grain Council, the export of Kazakhstani wheat in the 2024/2025 season is projected at 10 million tons. During the first six months of the year, 2.4 million tons of wheat have already been shipped. The main buyers of domestic grain are traditionally Uzbekistan, China, Tajikistan, Italy, and Afghanistan. Grain exports to China have grown 5.7 times in the last three years, which makes China a key export destination. China is ready to accept large volumes of grain from Kazakhstan. Today, the country buys about 10 million tons of wheat worldwide, including from Kazakhstan. However, further development of trade is constrained by limited transportation...

Transport Export/Import multimodal transportation International transport international cargo Trade North-South International Corridor New rail routes

New Container Transport Route Connects India and Uzbekistan

JSC “Uztemiryulkonteyner” reports on its Telegram channel that container transportation had been launched on a new multimodal route connecting India and Uzbekistan. It was reported that transportation from the Indian ports of Mundra, Nhava Sheva, and Chennai to Uzbekistan was successfully organized using a new multimodal route. The cargo was delivered by sea from India to the Iranian port of Bandar Abbas and then by rail to the Sergeli station in Uzbekistan. The containers are first transported from the Bandar Abbas port to the Sarakhs station on Iranian platforms, reloaded onto JSC “Uzbekistan Railways” platforms, and sent to Uzbekistan via Turkmenistan. According to JSC “Uztemiryulkonteyner”, a freight train consisting of 20 20-foot containers took 20 days to cover the distance. The total length of the railway is 2673 km. In the future, the transportation period is planned to be reduced to 15 days.