TITR - The Times Of Central Asia

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Middle Corridor

Dredging Project in Kazakhstan’s Kuryk Port Completed

Kazakhstan Temir Zholy, the country’s national railway company, has announced the early completion of dredging works at the Caspian Sea port of Kuryk. The project was completed by its general contractor, Jan De Nul Kazakhstan LLP, in just four months. The dredging operation involved removing over 990,000 cubic meters of soil from the port’s seabed using the Vesalius, the most powerful dredger in the Caspian Sea. As a result, the water depth in the port’s operational area and approach channel has been increased to 7–8 meters. This enhancement allows for an increased draft of vessels entering the port, enabling them to achieve full loading capacity. The project significantly boosts the port's terminal capacity, further strengthening its role as a vital transit hub on the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. This strategic route connects China and Europe via Central Asia and the Caucasus. The Kuryk port currently handles up to 6 million tons of cargo annually, including 4.1 million tons through its railway terminal and 1.9 million tons via its automobile terminal.

Transport cooperation

Kazakhstan, Hungary, and China Establish Cargo Terminal in Budapest

Kazakhstan Temir Zholy (KTZ, Kazakhstan’s national railway company), L.A.C. Holding (Hungary), and Xi'an Free Trade Port Construction and Operation Co., Ltd (China) have signed a memorandum to establish a joint inter-modal cargo terminal in Budapest. The document was signed on November 20 as part of the state visit of Kazakhstan's President Kassym-Jomart Tokayev to Hungary. The planned terminal will leverage the strategic location of the Hungarian capital in the heart of Europe and its developed transport network for multimodal transportation across the continent. The terminal will have a capacity of 230,000 TEU annually and will increase the number of container trains between China and Europe, including transit along the Trans-Caspian International Transport Route (TITR). The new terminal is expected to reduce delivery times and transportation costs. KTZ continues to expand its terminal network along key transport corridors to strengthen Kazakhstan's position as a key transit hub in Eurasia. On November 12, Kazakhstan, Azerbaijan, and China signed an agreement to establish an inter-modal cargo terminal in the Port of Alat in Baku, Azerbaijan. Commenting on the signed Memorandum at a press briefing in Budapest, Tokayev said this initiative will strengthen trade and transport ties between the participating countries. “New opportunities are opening up for the development of infrastructure, logistics, and international trade. Eighty-five percent of land transit shipments between Asia and Europe pass through Kazakhstan. In the near future, the volume of cargo transportation along this route will reach 10 million tons,” Tokayev said.

Infrastructure Development

Kazakhstan’s Caspian Sea Ports Increase Cargo Transportation

Kazakhstan’s Ministry of Transport has announced that from January to October 2024, the country’s Caspian Sea ports transported 6.2 million tons of cargo, reflecting a 3% increase compared to the same period last year. Transit cargo shipments saw even stronger growth, rising by 18%. Truck transshipment via the Kuryk port’s ferry complex increased by 22%, while container transportation through the Aktau port surged by 84%, with approximately 27,000 containers moved along the East-West transit route. During the same period, the Sarzha terminal at Kuryk port handled 55,000 tons of cargo, including non-ferrous metals, fertilizers, and barley, destined for Turkey and Iran. In October, a new grain terminal with an annual capacity of 1 million tons was inaugurated at the Kuryk port. Efforts to enhance the port’s capacity continue. The Times of Central Asia previously reported that Kazakhstan’s Ministry of Transport has undertaken dredging operations at the Kuryk port to ensure sufficient depth for ship access, bolstering the capacity of the Trans-Caspian International Transport Route (TITR). The dredging project will support further expansion of Kuryk’s terminal capacity, currently set at 6 million tons annually—4 million tons through its railway terminal and 2 million tons via its automobile terminal.

Middle Corridor

Kazakhstan, Azerbaijan and China Establish Joint Cargo Terminal in Baku

Azerbaijan, China, and Kazakhstan have signed an agreement to establish an intermodal cargo terminal in the Port of Alat in Baku, the Azerbaijani capital. The agreement was signed in Baku on November 12 by SK-AIH Investment Fund Ltd (Samruk-Kazyna, Azerbaijan Investment Holding), Kazakhstan Temir Zholy (Kazakhstan’s national railway company), Baku International Sea Trade Port (Azerbaijan), and Xi'an Free Trade Port Construction and Operation Co., Ltd (China). The project was made possible through Azerbaijan’s provision of a land plot, operational berths, and terminal facilities at the Port of Alat. This new terminal is expected to increase container train traffic between China and Europe along the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor, reducing delivery times, transportation costs, and transshipment time. The terminal will feature a universal cargo yard, a covered warehouse complex spanning 5,000 square meters, and a container yard with a capacity of over 1,000 containers. Kazakhstan and China plan to increase the volume of cargo transported along the TITR to 600 container trains per year by 2025–2026, with targets of 1,000 container trains in 2027 and 2,000 by 2029, according to Kazakhstan’s Ministry of Transport. In 2023, transit volumes between China and Europe through Kazakhstan reached 2.76 million tons—a 65% increase from 1.7 million tons in 2022. The TITR connects China and Europe via Central Asia and the Caucasus, bypassing Russia, offering a strategic link between the two regions.

Economic Cooperation

Alstom to Supply 117 Locomotives to Kazakhstan

Kazakhstan’s national railway company, Kazakhstan Temir Zholy (KTZ), Electric Locomotive Assembly Plant, and France’s Alstom have agreed to supply 117 freight electric locomotives by 2028 and establish service centers for them. The document was signed at Paris's November 4 Kazakhstan-France Business Council meeting. These powerful electric locomotives, capable of hauling freight trains weighing up to 9,000 tons, will replace the outdated VL-80 locomotives of the 1980 model. The new locomotives' advantages include lower cost, more economical power consumption, high reliability, and lower maintenance costs. The French bank Société Générale will provide preferential financing for the purchase of the locomotives. Kazakhstan's railways play a strategic role in its economy. The country is a key transit hub for rail cargo transportation along the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor, which connects China and Europe. Today, more than 50% of freight in Kazakhstan is transported by rail. Kazakhstan Temir Zholy, the country’s national railway company, reported transporting more than 122 million tons of cargo from January to June 2024.

Economic Cooperation

Kazakhstan and Russia Increase Rail Cargo Transportation to and from China

On October 18, Kazakhstan's Deputy Prime Minister Serik Zhumangarin, and Russia's Deputy Chairman of the Government Alexey Overchuk attended a meeting of the Intergovernmental Commission on Cooperation in Moscow, on Kazakhstan and Russia's transport and logistics sectors. As reported by the Kazakh government's press service, between January and September 2024, the volume of containers transported by rail from Russia to China through Kazakhstan, increased by 63% compared to the same period in 2023, while container transportation along the China-Europe-China route through Russia and Kazakhstan increased by 65%. During the meeting an agreement was made to further increase the flow of container trains on the China-Kazakhstan-Russia route by constructing the necessary transport infrastructure at the Selyatino rail station in the Moscow region. In April, Kazakhstan’s national railway’s company Kazakhstan Temir Zholy (KTZ), Russia’s Slavtrans-Service JSC, and China’s Xian Free Trade Port Construction and Operation Co., Ltd began construction on a new transport and logistics center, CRK Terminal, at Selyatino, aimed at ensuring the efficient handling of cargo following the route Xi'an (China) - Dostyk/Altynkol (Kazakhstan) - Selyatino (Russia). The center is set to become an essential link in developing international transport corridors and increase the competitiveness of transportation through Kazakhstan. In 2023, the volume of cargo transported by rail between China and Russia through Kazakhstan amounted to 3.8 million tons, an increase of 35% compared to 2022. Kazakhstan also remains an important transit and transport link along the Trans-Caspian International Transport Route (TITR), which known as the Middle Corridor, connects China and Europe via Central Asia and the Caucasus.