The first block train, which has arrived in Azerbaijan from China via Kazakhstan, opens a new and much shorter way for delivery of goods from China. The forth coming opening of the Baku-Tbilisi-Kars route and already commissioned Marmara tunnel is to ensure free circulation of railroad trains along the Beijing-London route. It is to offer new opportunities, comparable solely with energy sector revenues, for Azerbaijan as well as other countries of the region.
Infrastructure solutions realized in Azerbaijan under the leadership of Azerbaijan’s President Ilham Aliyev are aimed at creating a big logistics center in Azerbaijan to transport transit cargoes. Therefore, big investments are made into development of both motor and railroads, international airports and sea ports. The first test container train “Nomad express” running along the Trans-Caspian international transport route Shihezi (China)-Dostyq-Aktau-Alyat port arrived in the Baku International Sea Trade Port as early as August 3.
“For the first time arrival of the container train into the country from the People’s Republic of China is a long-awaited event”, Deputy Prime Minister of Azerbaijan Abid Sharifov stated at the ceremony coincided with this event. He reminded that an International Conference TRACECA – “Restoration of the Historic Silk Route”, attended by representatives from 32 countries and 13 international organizations, took place at the initiative of All-National Leader Heydar Aliyev in Baku on September 7-8, 1998. “I am very pleased that a long-awaited day, when we received the first container train from friendly China, has finally come. It is certainly a big event both for Azerbaijan and the region in general, which the project participants have been awaiting since 1998 when the basic multi-sided agreement about international transport and development of the Europe-Caucasus-Asia corridor (Basic Multisided Agreement TRACECA) was signed. Since 1998 TRACECA member states such as Kazakhstan, Turkmenistan, Georgia and Turkey have implemented large-scale projects aimed at developing the Silk Way, including important operations performed in Azerbaijan as well. Among these projects the Baku-Tbilisi-Kars railway can be referred to as the largest and most important one for the TRACECA countries”, Abid Sharifov emphasized in his speech.
He also noted that compared to other corridors, the Baku-Tbilisi-Kars railway would deliver cargoes, flowing from the East to Europe, via a much shorter route. The significance of this line is reflected in its ability to continuously, safely and timely deliver cargoes to Europe both from the People’s Republic of China and other countries of the East.
The first test container train, consisting of 41 platform cars, transported containers weighing 82 tonnes each (FEU). The total weight of the cargo, consisting of the caustic soda transported in containers weighing 21.6 tonnes each, has reached 1771.2 tonnes. The first test container train started its trip from the Chinese city of Shihezi on July 28. On July 31 it arrived in the Kazakh port of Aktau. On August 3 it arrived in the Baku international sea trade port of Azerbaijan by overcoming 4,768km (4,258 km by railway, 510km by sea). It took 6 days to deliver the cargo whereas it used to take 25-40 days before to transport similar cargoes by alternative routes via Bender-Abbas and Poti ports. The trip of the first container train along the Trans-Caspian route was organized on basis of the agreement of the Coordinating Committee for Development of the International Trans-Caspian transport route. The project is being implemented jointly with Kazakhstan Temir Zholy JSC, Chinese Railways, Azerbaijan Railways CJSC, Azerbaijan Caspian Shipping Company CJSC and Baku international sea trade port.
The project envisages attraction of transit and foreign trade cargoes, application of competitive single railway tariffs and approach to arranging of traffic in order to raise the volume of freight turnover. Operation of this route will serve an impetus to the increase of export and transit potential of the member-countries as well as a concrete power to the International Trans-Caspian transport route. An international Trans-Caspian transport route also provides attractive and beneficial opportunities for the European cargo shippers as well.
The departure of the second container train along China-Kazakhstan-Azerbaijan-Georgia-Turkey route has been scheduled for end of the year.
Addressing the event, Chairman of Azerbaijan Railways CJSC Javid Gurbanov noted that the growth of the freight turnover along the International Trans-Caspian transport route would total over 300-400 containers in 2020 and could substantially increase by 2024. He added that in its turn it would have a positive impact on the economy of Azerbaijan. According to present estimates, Azerbaijan’s economy can gain hundreds of millions from this project. As it is a rising trend, it will gradually bring the transit revenues of the country up to 1 bln. “Therefore, it is important to have every side actively involved as an availability of both easy and favorable tariffs as well as less delay is a basic issue”, he emphasized.
“We will not be wrong if we say that Azerbaijan is located in the center of the world. The Great Silk Way, offering transit routes through the Caucasus, let use this advantage through the ages. I particularly would like to note an initiative of the General Director of Georgian Railways Mamuka Bakhtadze who offered to create a Trans-Caspian Committee.
It is a starting point for the Trans-Caspian route. Noteworthy is also the value of the agreement with the People’s Republic of China which has one of the most developed economies”, he continued.
Speaking about the resumed operation of the historic route, Javid Gurbanov said that about 300-400 thou containers are planned to be transported along this route till 2020.
Javid Gurbanov noted that Azerbaijan would purchase 10 new locomotives from Kazakhstan, so Azerbaijan Railways CJSC and Kazakhstan Temir Zholy JSC are to sign a relevant agreement”. He added that it is the most important event in history of independence of Azerbaijan because these locomotives, produced in Kazakhstan and USA, would be the first new locomotives to be brought to the country. Apart from this, Azerbaijan Railways signed a contract with the French company Alstom for delivery 50 more locomotives which shall be supplied in 2016. New locomotives will operate along the Baku-Tbilisi-Kars line. Addressing the event, General Director of the Baku international sea trade port Taleh Ziyadov was pleased to note that the today’s solemn event was held in the newly commissioned ferry terminal. He noted that the opening ceremony of the ferry terminal took place with the participation of President Ilham Aliyev on September 22 of the past year, and became a part of the first stage of the New Baku international sea trade port. “As early as February 2014 we set the goal to develop a Trans-Caspian route and attract freights in order to turn it into the most competitive one compared to alternative lines. Acceleration and safety of transportation were and remain main criterion”, Deputy Minister of Transport of Azerbaijan Arif Asgarov emphasized, noting the role of BTK in combining the Trans-European and Trans-Caspian transport networks into the single system of inter-modal transportations.
“By 2020 Azerbaijani railways will have been able to gain profits worth $600-700mln from transit transportation”, President of Kazakhstan Railway JSC Askar Mamin stated. He emphasized a high potential of the Trans-Caspian transport route. “We think that it is the first sign of the big project”, Askar Mamin said. According to him, the potential is estimated at over 300,000 containers by 2020. “It is a very high dynamics that will let our countries fully apply their transit capacities. Both Kazakhstan and Azerbaijan have large transport assets which keep developing dynamically. We are confident that it will promote the development and rise of competitiveness of our economy via the development of the transit potential”, President of Kazakhstan Temir Zholy noted.
Apart from this, Askar Mamin noted that Kazakhstan in its turn has been developing dynamically and “over the past five years the volume of transportation from China to Europe has been increased by 40 times”. About 2000km long new railways have been built in recent years in the direction of the Persian Gulf and the Caucasian countries”, Askar Mamin emphasized.
Addressing the event General Director of Georgian Railways Mamuka Bakhtadze emphasized Kazakhstan’s role in development of the Trans-Caspian international transport route. According to him, the route has managed to reach up to a new level just within a year and a half that has passed since the signing of the agreement on creation of the committee and activation of the mentioned project. The coordination between the project participants has been strengthened and the development of the BTK project is of no small importance in this process.
“The coordination is needed not only between transport structures but also between customs, border and other government agencies. At present, apart from the People’s Republic of China, Trans-Caspian route is of bit interest to Korea, Japan and other countries exporters of the Asian region. Thus, the Trans-Caspian route can become an important corridor in the trans-border trade”, M.Bahtadze concluded.
In this way a new route promotes the growth of the export and transit potential, and the competitiveness of the Trans-Caspian international transport route. Single competitive railway tariffs and agreed traffic arranging technologies are applied to attract transit and external trade cargoes and increase transportation volumes. In the long-term the route of running of container trains will be expanded in the direction of member states of the Coordinating Committee on Development of Trans-Caspian International Transport Route to Turkey and Europe via Azerbaijan.
