Trans-Caspian route: Azerbaijan can take the lead in cargo transportation

Editor's note: Rauf Agamirzayev is an expert on transport and logistics issues.

The opening of the Suez Canal in 1869 gave an impetus to global trade and maritime transport, reducing the transit time by one week, which made the canal even more relevant. After 150 years, the Suez Canal expansion project was implemented. Initially, it allowed 47 ships to pass daily, and later, this number doubled. However, over the years, we have witnessed new initiatives in our region. In the last 10 years, China has announced its 'One Belt, One Road' initiative, which is aimed at diversification to reduce dependence on maritime routes.

The initiative includes 60 countries and various routes. When it comes to our region, the northern route lies solely through Russia, the central route through China, Kazakhstan, Russia, Belarus, and the southern route through China, Kazakhstan, Uzbekistan, Turkmenistan, Iran, and Turkey. Additionally, the Trans-Caspian transport route was formed. Each of these routes has its own advantages, but there is another reality in the region. Iran has been under sanctions for 45 years.

With Russia also under severe sanctions over the past two years, the only corridor not affected by sanctions is the Trans-Caspian transport route passing through Azerbaijan. Furthermore, some incidents have occurred in the Suez Canal over the years. In 2021, the famous Ever Given ship ran aground, blocking the canal for nearly a week. Additionally, attacks on civilian ships by Houthi rebels have affected 50% of shipping since last year. As a result, many commercial ships are now choosing different routes.

The direction of flows is currently changing in the region. Based on investment-intensive, long-term projects, we are witnessing an increase in cargo and interest in this direction. The countries involved in the Trans-Caspian transport route include Kazakhstan, Azerbaijan, Georgia, Turkey, Ukraine, and partner countries such as Bulgaria and Romania. This is a multimodal route. Although various analysts have previously considered some elements of this multimodality to be negative, Azerbaijan has managed to turn this negative into a positive over the years.

Firstly, we have eliminated our dependence on external sources. Azerbaijan is now a shipbuilding country. It can meet its own needs and provide services to interested Caspian countries. Azerbaijan also has 165 years of maritime experience in the Caspian Sea. Azerbaijan holds a dominant monopolistic position in the Caspian with a fleet of nearly 200 ships. We have ships sailing in the Caspian Sea, Black Sea, and Mediterranean Sea. Ferry services in the Caspian have existed since the 1960s. While oil was previously transported only by tankers, now various types of cargo can be transported, especially by combining railways with ships, ferries, and ro-ro vessels. This facilitates the transportation of vehicles. In recent years, Azerbaijan has produced RoPax-type combined ships capable of transporting both rail and road cargo, as well as passengers.

The most transported goods are fertilizers, petroleum products, cars, metals, etc. What advantages does the Trans-Caspian transport route offer compared to other routes? Our advantage is that our route is shorter. Our advantage is that the route passes through countries that are not under sanctions and has the ability to transport various types of cargo. This includes pipeline transport, air transport, sea, combined rail, and road transport, increasing the diversity of the Middle Corridor.

Other projects being discussed and implemented include fibre-optic cables. At the same time, negotiations are ongoing for the export of green energy to Europe. This will lead to diverse, multi-modal corridor operations between Azerbaijan, Kazakhstan, Uzbekistan, and Turkmenistan. This will connect Europe and Asia with different types of cargo and various means of transport.

Different projects are being implemented to improve the corridor. Last year, a Middle Corridor multimodal company was established between Azerbaijan, Kazakhstan, and Georgia. Work is being done to simplify the transition and eliminate bureaucratic obstacles in the corridor. Economic ties between China, Azerbaijan, Europe, Turkey, and Central Asia are increasing. This can also be seen between Azerbaijan and Central Asian countries.

The increase in economic ties between Turkey and Central Asian countries will directly affect the cargo turnover. Azerbaijan is located at the shortest distance from Europe. Additionally, Azerbaijan is actively working on diversification. This decision is aimed at minimizing potential risks.

We need to expand our efforts in this direction a bit more. For example, we need to establish another railway connection with Georgia. The railway between Balakan and Dadabrig-Chikharo should be connected. If the railway goes as far as the border, connecting it on the other side would be the right decision in terms of diversification.


Statistics show that there is growth dynamics in the Trans-Caspian transport route. The Baku-Tbilisi-Kars railway, opening on 20 May 2024, will result in an increase in a cargo turnover of nearly 5 million tons due to modernization. This is a continuation of the positive trend. Currently, we see that 2.7 million tons of cargo are being transported, which is far below its potential, meaning our capabilities are much greater. Additional work needs to be done in this direction.

Some projects in Georgia need to be completed. This will ensure rapid connections along the East-West corridor. Additionally, reception capacities at each port need to be increased, including at Aktau-Kuryk, Alat, Poti, and the planned Anaklia port. Georgia's railway rolling stock needs to be updated to meet the current requirements for transporting cargo quickly. Bottlenecks at border crossings need to be eliminated, and station reception capacities should be proportional. If there are any problems, preventive measures should be taken, with commissions already organized to address them.

As the projects along the corridor are completed, we will see an increase in cargo growth dynamics and attractiveness. There is a need to increase the number of ships not only in the Caspian but also in the Black Sea. Projects being implemented in the Balkans, namely in Bulgaria, Romania, Serbia, and Hungary, will lead to an increase in reception capacities and growth dynamics for this corridor in Europe.

I would like to mention one more point. Occasionally, we see proposals on social media accounts to connect the Caspian shores with tunnels or bridges. However, I think this is a bit utopian and unrealistic because there is no 300 km-long tunnel or bridge in the world. If such a project were to be implemented, it would require a lot of time and investment. A more realistic approach would be to increase the number of ships. Azerbaijan has both the experience and production capacity in this matter. Azerbaijan can take the lead in this work.

(If you possess specialized knowledge and wish to contribute, please reach out to us at opinions@news.az).

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