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Weekly digest of key events in Azerbaijan’s transport sector

Transport Materials 21 May 2023 14:20 (UTC +04:00)
Sadraddin Aghjayev
Sadraddin Aghjayev
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BAKU, Azerbaijan, May 21. It became known that the European Bank for Reconstruction and Development (EBRD) and the Azerbaijani Investment Holding signed a document providing for cooperation in the field of cargo transportation, Trend reports.

The document was signed within the framework of the 32nd Annual Meeting of the EBRD Board of Directors.

In addition, this week it was reported that Uzbekistan intends to open its terminal in the Baku Port. This year this country is going to increase supplies through the ports of Azerbaijan and Georgia to 1.5 million tons. Uzbekistan is reorienting cargo in the Azerbaijani direction, thus developing the potential of the Middle Corridor.

Uzbekistan is actively using the transport potential of Azerbaijan, the possibilities of the Baku International Sea Trade Port, in particular for the import of sugar. This year Tashkent plans to double the supply of sugar - up to 300,000 tons. The transportation of raw sugar through the territory of Azerbaijan amounted to 130,000 tons in 2022. In general, the volume of transportation of export-import cargo of Uzbekistan through the Baku Port increased by 65 percent and amounted to more than 900,000 tons last year.

Uzbekistan also supports Azerbaijan's initiative to launch the Zangazur corridor. Thanks to this project, the transportation of Uzbek goods through the territory of Azerbaijan will increase many times. Deputy Minister of Transport of Uzbekistan Abdusamat Muminov noted that Uzbekistan has always supported and will continue to support Azerbaijan's initiatives to develop transport links.

According to the Deputy Minister, the Zangazur corridor is a very important project. The advantage of this transport route lies in its geographical convenience. If other routes pass through the highlands, then this corridor is more gentle, so it becomes possible to transport more cargo in a shorter period.

This week, the EU is aiming at cooperation with Azerbaijan in the framework of the development of the Middle Corridor. In cooperation with the Baku Port, the European Union aims to establish a stable transport system within the Middle Corridor. It was pointed out that Azerbaijan has created a stable infrastructure for the transportation of goods from East to West and in the opposite direction.

Meanwhile, cargo transportation by all means of transport in Azerbaijan amounted to 71.2 million tons from January through April 2023, which is 5.9 percent higher in comparison with the same period of 2022.

A total of 55 percent of all cargo was transported by road during this period, 32.9 percent by pipeline, 8.3 percent by rail, 3.7 percent by sea and 0.1 percent by air. Passenger traffic in Azerbaijan exceeded 578.6 million people during the reporting period, which is 19.2 percent more compared to the same period in 2022. Most of the passengers (87.1 percent) were transported by motor transport, 12.4 percent by metro, 0.5 percent by other means of transport.

Besides, this week, TRACECA member countries will discuss the prospects for the use of electronic permits. As many as 13 TRACECA member countries approved the Regulation and work plan of the meeting of the working group on digitalization of the Europe-Caucasus-Asia corridor. They agreed to study in detail the approaches and recommendations of an independent consultant on the formation of a digital corridor and organize a special meeting to discuss the prospects for the use of electronic permits between countries.

Moreover, TRACECA is preparing proposals for launch of the pilot cargo transport of semi-trailers with interchangeable tractors in order to attract cargo from Europe to the Europe-Caucasus-Asia routes.

Taking into account the availability of interested carriers for the shipment of goods from EU countries to Central Asian countries via TRACECA routes, the intergovernmental secretariat has prepared a brief overview of the implementation of this transportation, as well as a draft agreement on this issue.

It is necessary to focus on the issues of legal regulation and practical possibilities of cargo transportation by semi-trailers with interchangeable tractors units having a different country of registration, the readiness of state bodies and interested organizations to assist in the implementation of pilot cargo transportation.

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