Transport and logistics capabilities of Azerbaijan have great significance to Kazakhstan - experts

Economy Materials 27 August 2022 09:36 (UTC +04:00)
Sadraddin Aghjayev
Sadraddin Aghjayev
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BAKU, Azerbaijan, August 25. The transport and logistics capabilities of Azerbaijan are important for Kazakhstan today expert in economics Aslan Asimzade told Trend.

According to him, it involves the Baku-Tbilisi-Kars railway (BTK), which allows the connection of Europe with Asia.

"On the other hand, the geographical location of Azerbaijan in the North-South corridor is also an important factor. Kazakhstan can be an important partner for Azerbaijan to enter the markets of Central Asia, and Azerbaijan can be an important partner for Kazakhstan to enter the European markets. For this reason, the signing of certain commercial and economic documents between two countries has a big significance. Among the signed documents, the documents regarding cargo transportation need to be highlighted," Asimzade said.

"Azerbaijan and Kazakhstan are important partners of The Belt and Road Chinese Initiative, a global infrastructure development strategy. Therefore, it's essential for both countries to expand their transport logistics capabilities and exchange experience in these issues. All the documents signed at the first meeting of the Kazakh-Azerbaijani Business Council contribute to the implementation of the above-mentioned factors and a significant increase in economic relations between the two countries, including foreign trade turnover and investment," he stated.

In addition, according to the indicators for 2020, the foreign trade turnover between Azerbaijan and Kazakhstan amounted to $142 million.

"Kazakhstan ranks approximately fourth among the CIS Commonwealth of Independent States countries in terms of foreign trade turnover with Azerbaijan. Of course, this is a very important and high indicator. However, I think that today Azerbaijan and Kazakhstan have the opportunity to realize the high economic potential of foreign trade turnover of several billion dollars. Azerbaijan knows that today the main area determining the sustainable development of countries is investments. Direct investments with technology transfer are crucial. For this reason, it's essential that Azerbaijani investors invest in Kazakhstan, and Kazakh investors invest in Azerbaijan," the expert informed.

"Kazakhstan is making serious progress in high tech. In this case, the mentioned technologies and their transfer may be vital to us. These technologies can also be used within the framework of the high agricultural potential of Karabakh. The use of high tech in agriculture can lead to an increase in productivity and more sustainable food security. Kazakhstan has extensive experience in this field. For this reason, it's important for Azerbaijan to study Kazakhstan's experience in this area," Asimzade added.

Another expert in economics Emin Garibli said that Kazakhstan is one of the largest countries in the Caucasus region, and the improvement of foreign economic relations will lead to an increase in trade turnover between the two countries.

"The documents signed during the first meeting of the Kazakh-Azerbaijani Business Council indicate that the trade turnover between both countries will increase. In addition, mutual investments and the economy should be expected to grow. Kazakhstan and Azerbaijan have a large amount of resources - both in terms of capital and positions in the global economy," Garibli said.

An important factor, according to him, is that both Azerbaijan and Kazakhstan are located in such a way that routes connecting Europe with Asia pass through their territories.

"The improvement of foreign economic relations will increase trade turnover between these continents. In addition, the current geopolitical situation in the world indicates that the corridors passing through the territories of Azerbaijan and Kazakhstan have great chances of further rapid development. Kazakhstan is looking to start exporting its oil products through the territory of Azerbaijan, which, first of all, will improve Azerbaijan's position in the world economy. Frequent meetings are held between the two countries, the economies of the countries are diversifying, institutions are being created to combat the challenges that both states face," Garibli added.