(MENAFN- AzerNews)
Elnur Enveroglu read more With 360 days into the Russian invasion of Ukraine, the outcome
of the war remains unclear with almost all the strategic transport
corridors from the east to Europe via Russia and Ukraine, remaining
paralyzed with no light at the end of the tunnel.
At this critical juncture, owing to strategic thinking and
future-oriented calculations of the Azerbaijani state – the
location of the Middle Corridor between the east and west - has
taken on greater and greater importance.
The implementation of the Middle Corridor project from China to
Europe via Central Asia, Azerbaijan to Turkey, and the
Mediterranean and southeast Europe has already taken shape and
certain segments are almost operational.
On February 18, speaking at the Munich Security Conference, the
Azerbaijani president in a comment on the issue in question
mentioned“some advantages, especially with respect to connectivity
projects. Azerbaijan for many years invested in the creation of
modern transportation and logistics and infrastructure. And now,
the diversion of cargo transportation from Central Asia across
Azerbaijan to Europe creates additional opportunities'.
It is in some cases the shippers that need to find a safe and
fast transport route to save money and time. In this regard, the
routes passing through Azerbaijan, one of them being the Middle
Corridor, are becoming more attractive in many aspects.
One of the reasons that make the Middle Corridor or the
Trans-Caspian International Transport Route (TITR) attractive is
the fact that it is going to show itself as a consolidating
network, which today represents the interests of a number of
countries and companies on the new Silk Way. Aiming to coordinate
the interaction of all the participants in the transportation of
goods and containers along the route from Asia to Europe and in the
reversed direction, including needed informational support, TITR is
looking forward to creating a competitive environment.
As for the importance of the Middle Corridor, it can be
emphasized that Azerbaijan can benefit more from it.
When Azerbaijani President Ilham Aliyev mentioned the importance
of the Middle Corridor at the plenary meeting on“Eurasia's Middle
Corridor: From Pathway to Highway” held as part of the World
Economic Forum in Davos, he highlighted opportunities for
investment in Azerbaijan through accessing two corridors
simultaneously.
“We think that the transportation not only will be helping
us to diversify our exports, so, we will export the services.
However, at the same time being on route on the Middle Corridor, at
the same time being on route of the corridor North-South creates
additional opportunities for business in Azerbaijan. Soon there
will be the inauguration of a free zone in Baku, which is just next
door to the seaport. And we hope that this free zone will be a
place of manufacturing and the place where companies will find
itself appropriate to invest.”
The Middle Corridor is not considered significant in Azerbaijan
but many foreign business sectors and investors think it a
lucrative option. In this regard, IFC seems to be one of the most
interested parties in the development of the Middle Corridor, as
well as in the passage of this route through Azerbaijan.
In her comments on the prospects of the Middle Corridor Rana
Karadsheh, Regional Director of the International Finance
Corporation for Europe gave an appraisal on fostering partnerships
among Azerbaijan, Georgia, Kazakhstan, and Turkiye.
According to her, while global supply chains are still adapting
to the disruptions, caused by the COVID-19 pandemic, on the other
hand, the Russian invasion of Ukraine has further complicated
matters.
“The Trans-Caspian International Transport Route or the Middle
Corridor could serve as an alternative route. It could strengthen
ties between Azerbaijan, Georgia, Kazakhstan, and Turkiye as well.
As for IFC, it is looking at opportunities to support
infrastructure through the expansion of transport infrastructure in
Azerbaijan,” she added.
As for other parties who believe that the Middle Corridor will
contribute to safe transportation and increased investment, the
European Investment Bank (EIB) also favors the opening of a new
transport route. Thus, the EIB confirmed that on sustainable
connectivity, it is looking to focus on operations related to the
(Trans-Caspian International Transport Route) Middle Corridor which
is closely aligned with the European Global Gateway strategy and
that is complementary to the substantial EIB support already
provided on the East-West corridor in the South Caucasus.
As per the final reports received from the Working Group and the
International Association Trans-Caspian International Transport
Route, record growth in traffic along the TITR route over the past
year has reached 1.5 million tons of cargo, which was 2.5 times
higher compared to 2021. In addition, the volume of container
traffic amounted to 33,020-foot equivalent containers (TEU), which
is 33% more than in 2021.
A plan for the volume of cargo transportation along the route
for 2023 was approved, and agreements were reached on the issues of
running a regular shuttle train on a fixed schedule and creating a
single transit product.
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