Written by 12:00 Logistics News

China and Kazakhstan to jointly develop Trans-Caspian transport route

Trans-Caspian transport route-2

Trans-Caspian transport route: prospects for its development

The Trans-Caspian transport route connects China to Europe and Central Asia. It passes through the Caspian Sea, Turkey, and the southern Caucasus. This route is of strategic importance to the region, especially in the context of disrupted supply chains and the consequences of geopolitical conflict. Kazakhstan and China plan to join forces to promote the route and expand their capabilities as part of the TTR development strategy.

According to official data, as of the beginning of 2023, transportation time through Kazakhstan has decreased from 12 days to 6 days compared to the previous period. Experts expect this time will be about five days by the end of this year. Analysts see a similar trend in other sections of the route, so the transportation time from Chinese hubs to the Black Sea ports is from 19 to 23 days. Earlier, it was 38-53 days. According to forecasts, during 2023, delivery time should be reduced to 14-18 days.

The agreement between Kazakhstan and China provides for the improvement of customs clearance. Representatives of the countries will work on simplifying procedures for carriers. It is planned to introduce specific volumes of cargo transported along the route. The agreement is under development.

Trans-Caspian transport route

Kazakhstan’s contribution to the development of the Trans-Caspian transport route

For its part, Kazakhstan’s authorities intend to modernize the railroad and improve its infrastructure. It will help increase the number of shipments through the country. As part of this initiative, experts plan to update rolling stock. Production processes in the ports of Aktau and Kuryk will be optimized. The government also plans to establish a large container center in Aktau, modernize loading and unloading equipment, and improve terminal operations. In the port of Kuryk, construction of a berth should start soon, and a new terminal for grain handling and storage is expected to be launched.

Kazakhstan is attracting other countries to develop TTR. State representatives met with Azerbaijani business people to discuss plans for a joint project in March 2022. First, the parties discussed options to expand the oil transportation route. In addition, the meeting raised the issue of improving the approach to developing tariffs for the transportation of goods. The authorities paid special attention to modernizing the approach to customs documentation. The countries want to create a unified system of procedures, which will speed up clearance.

The government of Kazakhstan notes the importance of developing the Trans-Caspian transport route. The participating countries should make joint efforts to popularize the corridor. The TTR has every chance of becoming one of the best routes for the fast delivery of goods from China to Europe.

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