Kazakhstan’s transport renaissance paved way for global trade connectivity

Kazakhstan is evolving its role as a strategic transport hub amid shifting global trade and geopolitical dynamics, further developing infrastructure along key trade routes. Cargo transportation through the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor, increased[1] by 63 per cent from January to November 2024, reaching 4.1 million tonnes. Container traffic rose 2.6 times during the same period, amounting to 50,500 twenty-foot equivalent units (TEUs).

The route's annual capacity has expanded to 6 million tonnes, including 100,000 TEUs of container shipments. To enhance its competitiveness and reduce delivery times between Europe and Asia to 15 days, the Trans-Caspian Transport Corridor Coordination Centre was launched during the year, involving Kazakhstan, Azerbaijan, Georgia, Turkiye, and China. Kazakhstan's extensive road network, supported by over 450,000 trucks, is critical for domestic cargo transportation.

However, the infrastructure faces challenges from heavy vehicles, necessitating improved monitoring systems. By 2025, the country plans to install 220 automated measurement stations (AMS) to monitor vehicle weight and dimensions, including installations in Astana, the Kostanay Region, and the Big Almaty Ring Road. Facilitating international cargo transportation

Earlier in December, Kazakhstan and China launched[2] the exchange of digital foreign permit forms (FPFs) for international cargo transportation, replacing the traditional paper-based system. The digital system aims to streamline cross-border logistics and simplify procedures for carriers. Altai Ali, chair of the Committee for Automobile Transport and Transport Control, said the importance of facilitating international transport by increasing permit availability and exploring alternative routes, despite criticism from some sectors.

In 2023, Kazakhstan and China exchanged a record 190,000 FPFs, including 30,000 digital forms under the new system. It marks a significant increase from the 50,000 paper permits exchanged two years ago. Kazakhstan's international road transport participation grew from 31 per cent in 2021 to 52 per cent in 2023, with a total exchange of 364,705 FPFs this year across 42 nations.

The transition to digital permits was made possible by an agreement signed during President Kassym-Jomart Tokayev's state visit to China in May 2023. Key transit centre in Central Asia The Kazakh government is prioritising[3] the development of transport and logistics hubs to establish itself as a key transit centre in Central Asia and the Caspian region.

At a meeting led by Prime Minister Oljas Bektenov on 10 December, officials discussed progress on major cross-border infrastructure projects aimed at boosting trade, attracting investment, and increasing export potential. Key initiatives include the development of five cross-border hubs connected by rail and road, designed to accelerate trade, expand transport capacity, and simplify logistics. These include the Khorgos hub, crucial for trade with China, and the Caspian hub, essential for the Middle Corridor, with facilities for container storage and transhipment.

The Central Asia International Industrial Cooperation Centre near the border with Uzbekistan is set to deepen trade relations and increase mutual trade turnover, while the Industrial Trade and Logistics Complex along the Kyrgyz border will streamline goods consolidation and distribution.

Infrastructure projects, such as the Eurasia Cross-Border Trade Centre near Russia and upgrades to the Podstepnoe-Fedorovka highway and Darbaza-Maktaaral railway, will further enhance connectivity. Ports in Aktau and Kuryk are undergoing modernisation, including dredging operations and new terminals, to increase capacity to 30 million tonnes annually by 2030. In addition, the Khorgos hub is advancing with plans for a cargo-passenger airport and modernisation of the Altynkol railway station.

The hub network aligns with strategic efforts to optimise East-West, North-South corridors and the TITR, connecting Kazakhstan to key markets in China, the Persian Gulf, the Caucasus, and Europe.

The European Union is investing[4] in the Middle Corridor[5] through its Global Gateway initiative, aiming to enhance connectivity and infrastructure within Central Asia and beyond.

[Edited By Brian Maguire | Euractiv's Advocacy Lab[6] ]

References

1. ^ increased (astanatimes.com)
2. ^ launched (astanatimes.com)
3. ^ prioritising (astanatimes.com)
4. ^ investing (www.euractiv.com)
5. ^ Middle Corridor (www.euractiv.com)
6. ^ Euractiv's Advocacy Lab (www.euractiv.com)