Azerbaijan's investments in non-primary sectors of western Kazakhstan amount to $300 million
By Aygul Salmanova
The total volume of Azerbaijani investments in non-primary sectors of the economy of the western regions of Kazakhstan in recent years amounted to $300 million.
This was announced by Akim (head) of the Kazakhstani region Mangistau Eraly Tugzhanov at the event in honor of the 25th anniversary of the establishment of diplomatic relations between Kazakhstan and Azerbaijan.
“Meanwhile, over 800 companies with Azerbaijani capital work in Kazakhstan, and more than 70 Kazakhstan companies successfully operate in Azerbaijan. In Mangistau region, 52 joint ventures with Azerbaijan have been registered in various sectors of the economy,” Tugzhanov said.
For January-October of 2017, the foreign trade turnover of Mangistau region with Azerbaijan amounted to $41.2 million in the total volume of trade, including exports amounting $26.1 million and imports worth of $15.1 million. The turnover between the two countries is about $140 million.
Elkhan Zeynalov, the head of the Consulate General of Azerbaijan in Aktau, who also attended the event, in turn, noted that it is planned to open a large transformer plant at the expense of Azerbaijani investments in the amount of $50 million next year.
One of the most important aspects of cooperation between the two countries is the transit potential. The Caucasian route, passing through Azerbaijan, will provide Kazakhstan with an access to European markets. In turn, Kazakhstan assists Azerbaijan to enter the markets of Central Asia and China.
In August 2015, the first container train arrived at the Baku International Trade Port of Alyat through the Trans-Caspian International Transport Route (TMTM), following the Shikhaz-Dostyk-Aktau-Alyat route. In November 2015, within the specified route, a second container train was launched towards the port of Lianyungang - Istanbul.
Particularly important aspect of bilateral cooperation is the work of the seaports Kuryk and Alyat. The ferry complex in the port of Kuryk is oriented to transshipment of oil products, grain, chemicals, fertilizers and other cargo. This year Kazakhstan, Azerbaijan and Georgia agreed on the conditions for carrying out the transportation of goods by rail and ferry in the directions of Alat-Aktau-Alat and Alat-Kuryk-Alyat.
For 10 years the joint Azerbaijan-Kazakhstan enterprise Baku Grain Terminal LLC has been operating in Baku for receiving and transshipping Kazakhstani grain. Its production capacity is 300 tons per hour, and the annual transshipment volume reaches 500,000 tons of grain.
Along with the provision of high-quality grain to Azerbaijan, the Baku terminal serves as an important link in the re-export of Kazakh grain to the states of the Caucasian and Black Sea regions, as well as to the EU countries.
Diplomatic relations between the two countries were established in August, 1992. Both countries are full members of the Commonwealth of Independent States (CIS), Turkic Council, Joint Administration of Turkic Arts and Culture, Organization of Islamic Cooperation and the Organization for Security and Co-operation in Europe (OSCE).
The contacts on energy issues, oil transportation, agriculture, and the use of the Caspian Sea as an important international traffic artery constitute the main part of the cooperation between the two countries.
The two countries have already signed over 100 agreements, which constitute legal basis for negotiations between the countries. More than 20 of those are in the field of economy.
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