Azerbaijan can transport 54 million tons of cargo via transport corridors annually

Emil Mammadov, Advisor to the Chairman of Azerbaijan Railways CJSC (ADY) has said that Azerbaijan can increase the total annual volume of cargo transportation via international transport corridors (North-South, East-West) to 54 million tons.

"The geographical location of Azerbaijan contributes to this. ADY contributes to the development of corridors. Regular negotiations are held with the participants of the Middle Corridor to maintain the stability of the established tariffs," Mammadov said, Report informs.

Since the restoration of independence (1991), the development of the energy sector has been considered crucial for Azerbaijan. The development of the energy sector has supported the resolution of some of the country’s key geopolitical and geo-economic challenges.

An integral part of Azerbaijan’s energy strategy was the creation of a system of transport corridors for energy exports. Creating the necessary infrastructure is an ongoing process. However, given the risk of being dependent on one sector, there is a need to diversify the national economy. The result is that a number of sectors have been identified to support the further sustainable development of Azerbaijan.

Due to its favourable location, one of the sectors identified for development is transportation. Azerbaijan proposes the development of alternative sustainable transport routes, which will enable unfettered access to major world markets.

The foundation of the North-South Transport Corridor was laid on the basis of the intergovernmental agreement signed between Russia, Iran and India on September 12, 2000. Azerbaijan joined this agreement in 2005. In total, 13 countries have ratified the agreement (the Republic of Azerbaijan, the Republic of Belarus, the Republic of Bulgaria, the Republic of Armenia, India, the Islamic Republic of Iran, the Republic of Kazakhstan, the Kyrgyz Republic, the Sultanate of Oman, the Russian Federation, the Republic of Tajikistan, the Republic of Türkiye and  Ukraine).

The aim of the Corridor is to reduce the delivery time of cargo from India to Russia, as well as to Northern and Western Europe (at present delivery time on this route is over 6 weeks, but it is expected to be 3 weeks via North-South).