Kazakhstan cuts tariffs to boost Trans-Caspian freight traffic

Kazakhstan has agreed to reduce tariffs for the use of fitting platforms along the Trans-Caspian International Transport Route (TITR), a move that will benefit Azerbaijan and Georgia as part of ongoing efforts to enhance regional railway cooperation.

During the General Meeting of the Working Group of the Legal Entities Union of the International Association "Trans-Caspian International Transport Route" (TITR IA) held in Baku, it was confirmed that Azerbaijan Railways (ADY) and Georgian Railways (GZhD) would receive a 30 per cent discount on the established tariff rates for using fitting platforms within their territories, Caliber.Az reports.

Furthermore, Kazakhstan has agreed to fully exempt these charges within its own territory.

This decision follows a proposal from ADY and GZhD to Kazakhstan Temir Zholy JSC (KTZ), the national railway company of Kazakhstan, which manages Kazakhstan's railway infrastructure. The request was aimed at reducing operational costs on the TITR route, a key corridor for international freight transport linking Central Asia with Europe via the Caspian Sea.

Gaidar Abdikerimov, the General Secretary of the Trans-Caspian International Transport Route (TITR), confirmed the agreement during a meeting held on March 3, 2025. Abdikerimov highlighted that the reduction in tariffs would prevent an increase in transportation costs along the route, ensuring the competitiveness of the TITR.

"At the working group meeting on TITR development, KTZ shared its plans to form a unified pool of wagons, including fitting platforms, for use along the route," Abdikerimov explained. "ADY requested KTZ to allocate these platforms from Kazakhstan's inventory fleet to operate on the territories of Azerbaijan and Georgia."

In October 2023, Azerbaijan, Georgia, and Kazakhstan signed an agreement to establish the Middle Corridor Multimodal Ltd., a joint railway company aimed at enhancing the efficiency of transit transportation along the corridor.

In 2024, freight traffic along the Trans-Caspian route surged by an impressive 62 per cent, reaching 4.5 million tons. With ongoing initiatives to further develop the route, the throughput capacity is expected to increase to 10 million tons by 2027, marking a significant milestone in the region's transportation infrastructure.

By Vafa Guliyeva