The collaborative vision that emerged in early 2022 among Kazakhstan, Azerbaijan, and Georgian railways has materialized into a groundbreaking reality. These nations have formally inked a deal to establish a joint venture, ‘Middle Corridor Multimodal Ltd.’ The venture aims to streamline services on a one-stop-shop principle, ensuring delivery time guarantees, and pursuing a coordinated strategy to enhance multimodal services along the China–Europe and Turkey–China routes.
The genesis of the Middle Corridor railway joint venture concept can be traced back to 2022, arising amidst the early months of the conflict in Ukraine, which brought heightened attention to the Trans-Caspian route in Eurasian transport. Recognizing the inefficiencies and bottlenecks along the corridor, the joint venture seeks to enhance the route’s efficiency, offering a more streamlined solution for companies seeking alternatives to routes passing through Russia and dealing with logistical challenges arising from sanctions.
Gaidar Abdikerimov, Secretary-General of the Trans-Caspian International Transport Route Association (TITR), unveiled in April 2022 that the formation of a joint venture was underway, with plans for its completion by the beginning to the middle of 2023. In June, Kazakhstan and Azerbaijan announced their agreement to establish a unified Middle Corridor operating company, expressing expectations for Georgia to join the collaboration soon. This consolidated company will focus on tariff unification, managing all cargo along the Middle Corridor, and reducing transit times to an impressive 10-15 days. As these plans now solidify, the focus turns towards assessing the transformative impact this long-anticipated venture will have along the Trans-Caspian route.
Image source: https://www.railfreight.com/beltandroad/2023/10/27/the-first-middle-corridor-joint-venture-has-just-been-established/