Trans-Caspian Corridor - The Times Of Central Asia

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SPECA Countries’ Digitalization of Multimodal Data Exchange along Trans-Caspian Transport Corridor

An international seminar on “Trade Facilitation and Digital Transformation of Multimodal Data and Document Exchange along the Trans-Caspian Corridor” was held in Aktau, Kazakhstan on June 11-12. Participants included the Ministry of Trade and Integration of Kazakhstan, the United Nations Economic Commission for Europe (UNECE), the International Association “Trans-Caspian International Transport Route” (TCITR), and partners including the German Society for International Cooperation (GIZ) and the Permanent Secretariat of the Intergovernmental Commission of the Transport Corridor Europe-Caucasus-Central Asia. The seminar followed the adoption of the SPECA Roadmap for Digitalization of Multimodal Exchange of Data and Documents along the Trans-Caspian Transport Corridor, using UN legal instruments and standards, at the Presidential Summit of participating States of the United Nations Special Programme for the Economies of Central Asia (SPECA), back in November 2023, The workshop in Aktau, which brought together experts in trade, transport, and digitalization from fifteen countries, focused on the digitalization of multimodal exchange of data and documents along the Trans-Caspian Transport Corridor, particularly in the ports of Baku (Azerbaijan), Aktau (Kazakhstan), and Turkmenbashi (Turkmenistan). During the event, reports were given on the implementation of UN standards for digitalization of international supply chains, port community systems, interoperability, and multimodal data exchange. A visit to Kuryk, organized by the Kazakh side, included a presentation of the port’s digitized system as well as ongoing work on transhipment and storage of cargo. The United Nations Special Program for the Economies of Central Asia (SPECA) was launched in 1998 to strengthen sub-regional cooperation in Central Asia and its integration into the world economy. SPECA countries include Afghanistan, Azerbaijan, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan. Kazakhstan's trade turnover with SPECA countries in 2023 amounted to $9 billion.

Transport and Logistics EU Cooperation Trans-Caspian Corridor

EU and Kazakhstan Launch Coordination Platform of Trans-Caspian Transport Corridor

On 12 June, the European Commission and Kazakhstan launched the Coordination Platform for the Trans-Caspian Transport Corridor, also known as the Trans-Caspian International Transport Route (TITR) or the Middle Corridor, in Astana. According to Kazakhstan’s Ministry of Transport, the newly established Coordination Platform will improve the safety and sustainability of the Trans-Caspian Transport Corridor and turn it into a multimodal and competitive route linking Europe and Asia in 15 days or less. The event was attended by representatives of Central Asian countries and other states sited along the corridor, as well as international financial institutions and non-EU G7 countries. Emphasizing the critical development of transport infrastructure and strengthening transport links for the regions’ economic growth and prosperity, Marat Karabayev, Minister of Transport of Kazakhstan, stated: “The establishment of the Coordination Platform provides us with a unique opportunity to join forces, exchange experience and perspectives to reach common goals. I would like to note that our partners from Armenia, Azerbaijan, Georgia, as well as Turkey have been invited to join this effort, which plays an important role in terms of achieving major and sustainable goals for the development of the Trans-Caspian International Transport Route.” The Minister of Transport expressed gratitude to the European Union for its invaluable support and efforts towards the development of Central Asian countries. Speaking at the event, Henrik Hololei, Hors-Classe Adviser at the Directorate-General for International Partnerships in the European Commission, stated: "The Coordination Platform created for the Trans-Caspian Transport Corridor marks a significant step forward in our cooperation to bring Central Asia and Europe closer together. Sustainable transport connections are crucial for consolidating the region’s economic growth and connectivity with Europe." Ms. Maja Bakran, Deputy Director General for Mobility and Transport at the European Commission, then added: “The Coordination Platform will be instrumental in making the Trans-Caspian Transport Corridor a multimodal, modern, competitive, sustainable, predictable, smart and fast route linking Europe, the Caucasus and Central Asia. The coordination efforts among the various stakeholders will drive forward deeper connections and contribute to sustainable economic development of the region.” The Platform’s key objectives are to promote the corridor and coordinate efforts on the implementation of priority hard and soft infrastructure projects in Central Asia. It will also boost and coordinate investments in rail, road, and port infrastructure.

China International Transit Trans-Caspian Corridor Strategy Economy Export/Import Security Transport Investments

How the Trans-Caspian Corridor will Revitalize Trade between Asia and Europe.

Kazakhstan's Transport Minister, Marat Karabayev has stated that geopolitical tensions are disrupting traditional logistics chains and jeopardizing global trade. As reported in an article published in the Chinese business publication, "South China Morning Post, " he claimed that developing the Trans-Caspian transport corridor is essential for increasing transit potential. Karabayev believes the Trans-Caspian international transportation route is an effective alternative to traditional maritime routes. The overland corridor connects Southeast Asia and China with Europe, crossing Kazakhstan, Azerbaijan, Georgia, and Turkey. Last year, cargo traffic along this route exceeded 2.7 million tons, up 86%. "Kazakhstan can play a key role here. As the largest country between Asia and Europe, it is an important transit hub for trade between the two continents. Kazakhstan accounts for about 80% of all land transit traffic from China to Europe,” said Karabayev. He noted that the Trans-Caspian corridor has undergone a steady development over the past decade. In recent years, geopolitical changes have given it additional impetus, especially since the number of container ships crossing through the Suez Canal in 2023, decreased by 67% and the cost of sea transportation from Shanghai to European countries has almost tripled in recent months. Given that overland transit would reduce costs and become a more viable logistical option, Kazakhstan is committed to improving infrastructure and terminal facilities, increasing rolling stock, removing administrative barriers, and creating favorable carrier conditions. "However, for the Middle Corridor to achieve its goals, we need the support and participation of other countries," advised Karabayev. "Austria, Germany, Latvia, Latvia, Lithuania, Estonia, and Hungary have expressed interest in joining the Trans-Caspian International Transport Route Association. The EU recently announced an investment of 10 billion euros ($10.85 billion). In addition, a roadmap for development until 2027 has been agreed with Azerbaijan, Georgia, and Turkey.”

International Transit Freight transit Trans-Caspian Corridor

Test Run of Trans-Caspian Route from China to Europe via Kazakhstan

At a meeting of the Kazakh-Chinese commission on road transportation on 24 May in Aktau, Kazakhstan’s Ministry of Transport reported on a test run of the transit of goods along the China-Kazakhstan-Azerbaijan-Georgia route through the seaports of Kuryk and Baku across the Caspian Sea. On 23 May, the first three Chinese trucks, weighing 80 tons, travelled from Urumqi through Kazakhstan to the city of Aktau’s Kuryk port and after being loaded onto a ferry, continued their journey to Azerbaijan, Georgia, and Europe. Praising the agreement with China on enhancing road transportation signed last year, Ali Altai, Chairman of the Committee for Road Transport and Transport Control at the Ministry of Transport of Kazakhstan, commented: “For the first time in history, vehicles from both countries can travel directly to all our major trading cities and transit through their territories. It currently takes up to 52 days for hundreds of millions of tons of cargo to be shipped by sea from China to Western countries, and up to 22 days to transport smaller volumes by rail. Road transport can reduce the delivery time to 12 days, on a ‘door to door’ basis without intermediate loading/unloading.”

Caspian Raisi Trans-Caspian Corridor

What Does Raisi’s Death Mean for the Caspian Sea Region?

By Robert M. Cutler The death of Iranian President Ebrahim Raisi in a helicopter accident on May 19 will have significant effects on Iranian domestic politics and foreign policy. These include not only Iran's relations with Armenia and Azerbaijan directly, but also indirectly through the Trans-Caspian International Trade Route (TITR, also called the "Middle Corridor") and the International North–South Transit Corridor (INSTC). Despite conspiracy theories, the only reasonable alternative hypothesis to an accidental crash is that the pilot intentionally ran the helicopter into the mountain head-on at full speed. Both possibilities may be subsumed under the category "Act of God". Raisi was working to normalize relations with Azerbaijan and was seen as a potential - even likely - future Supreme Leader of Iran, succeeding the 85-year-old Ali Khamenei, who is in poor health. Now, however, it is not out of the question that his death leads to a reorientation of Tehran's foreign policy and a wave of radicalization. The outcome will depend upon the obscure machinations of the theocratic and security-service elite, for which the formal organizational and constitutional arrangements set the framework but do not determine the result. The Iranian president is not the most powerful individual in the country's political system, but he is still influential. Raisi had sought to improve ties with Azerbaijan, including water projects on the Aras River and discussions about transportation links. These initiatives may now face delays or even reversals. Yerevan's strategic significance for Tehran's relationship with Moscow and its broader regional ambitions will not diminish; indeed, their bilateral military-industrial cooperation has only grown since Russia's re-invigoration of its war of aggression against Ukraine in February 2022. At the same time, Tehran's relations with Baku are more complicated, for myriad present-day and historical reasons, not least but not only concerning the Azerbaijani minority in Iran. The South Caucasus and Trans-Caspian Implications Armenia and Azerbaijan are nevertheless persevering in their bilaterally-based practical cooperation and peace negotiations, now proceeding without third-party mediation. The most recent high-level meeting in this process took place between their respective foreign ministers in Almaty on May 10–11. These significant discussions followed talks between them in Berlin in February of this year, and they took place in the context of ongoing efforts to delimit and demarcate the two countries' common border. Delimitation refers to drawing and describing lines on maps, whereas demarcation is the process of installing physical markers on the territory. Demarcation has already begun in the sensitive Tovuz region, and the Russian contingent assisting Armenian border guards under a bilateral agreement has already been withdrawn. In April, as a result of this process, Armenia returned four villages to Azerbaijan. Unresolved issues involve territorial claims against Azerbaijan in Armenia's constitution and the reopening of regional transit routes. Armenian Prime Minister Nikol Pashinyan's initiative for the necessary constitutional reforms, along with his border-demarcation initiatives and continuing peace negotiations, have provoked anti-government protests in Armenia, fueled by the irredentist and xenophobic segments of the diaspora, which are the best established, most...

Digital Trade Corridor Tez customs Trans-Caspian Corridor Kazakhstan Export/Import Digitalization international cargo

Digitalization Eases Cargo Processing on the Trans-Caspian International Transport Route

On 30 April , Singaporean company Global DTC gave a presentation of multimodal platforms Digital Trade Corridor and Tez Customs at Kazakhstan’s Ministry of Transport. The demonstration reiterated benefits afforded by digitalization in ensuring transparency and high-speed transit of goods through Kazakhstan along the Trans-Caspian International Transport Route (TITR) connecting China and Europe through Central Asia and the Caucasus. The DTC platform, and particularly its Track & Trace service, allows shippers to track the location of cargo and its customs status online, as well as update information on transport documents along the entire route. Work on the technical integration for Track & Trace in Kazakhstan and Azerbaijan has now been completed, and its integration in Georgia is ongoing. Negotiations are also underway with Chinese and European partners. The introduction of the Tez Customs platform, by offering automated, paperless customs transit clearance, registration and electronic transit declaration, has reduced processing to just 30 minutes. During the first quarter of this year, cargo traffic along the TITR increased by 33% compared to the same period last year.