Middle Corridor's Role To Grow With Kyrgyzstan And Uzbekistan Joining In - Analyst

(MENAFN- Trend News Agency) BAKU, Azerbaijan, July 2. The inclusion of Kyrgyzstan and Uzbekistan in the Trans-Caspian International Transport Route (TITR, or Middle Corridor) will enhance its strength, further bolstering its relevance in the global cargo supply chain, an expert, Vakhtang Chrdileli, said in his analytical article for the Smart Press portal, Trend reports.

"Recently, China, Kyrgyzstan, and Uzbekistan signed an agreement to commence construction of a new 454-kilometer railway in October 2024 in the amount of $4.7 billion, half of which will be funded by China. This project aims to facilitate the transportation of goods from China to Kyrgyzstan and other Central Asian nations, onward to the Middle East, including Türkiye, and further into the European Union. Thus, the new railroad not only enhances connectivity within Asia but also plays a pivotal role in the Middle Corridor, linking China to Europe via the South Caucasus countries of Azerbaijan and Georgia," the expert stated.

He highlighted that the primary 280 kilometers of this new railroad will traverse Kyrgyzstan's territory, featuring a dedicated unloading base. This facility will facilitate the transition of trains from the European gauge (1.435 mm), used in China, to the broader gauge standard in post-Soviet countries (1.520 mm).

"China expects that this railroad will handle approximately 15 million tons of cargo and 300,000 passengers annually. Its establishment will significantly improve transportation and logistics dynamics in Central Asia. China will enhance its influence in the region and gain an alternative route to Europe, the Middle East, and the Persian Gulf," noted the analyst.

According to initial assessments by Kyrgyz experts, Kyrgyzstan stands to gain approximately $200 million annually from the operation of the new railroad.

The analyst also highlighted that for Uzbekistan, the new railroad will facilitate increased sales of Uzbek products in the vast Chinese market and elevate Uzbekistan's role as a regional logistics hub.

"Given current geopolitical tensions, especially the escalation in the Middle East, the Middle Corridor has gained heightened relevance. With shipping in the Red Sea effectively halted, global trade is seeking alternative cargo transportation routes. One significant option is the Middle Corridor, a multimodal route spanning China, Kazakhstan, Azerbaijan, and Georgia, connecting to the EU and Türkiye. The inclusion of new countries in the TITR project will fortify its infrastructure," emphasized the analyst.

He highlighted that cargo containers transported from China to Georgia via the TITR require approximately 10 days. This significantly shorter transit time underscores the Middle Corridor's capability to expedite cargo shipments between Asia and Europe compared to alternative sea routes that circumvent the Red Sea and circumnavigate Africa.

Currently, the TITR project includes representation from 25 companies spanning 11 countries.

By the end of 2023, the Middle Corridor had transported 2.7 million tons of cargo, marking an 86 percent increase from 2022. Projections for 2024 anticipate reaching 4.2 million tons.

TITR saw its 10th anniversary in 2024.

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