TRACECA project gets boost

Transport ministers and representatives of
numerous international groups met in Baku last week for a landmark
conference seeking to expand the Europe-Caucasus-Asia transport
corridor.
During the conference, devoted to the tenth anniversary of TRACECA
and bringing together attendees from over 20 countries, including
Armenia, participants looked into ways of extending the transport
corridor and developing closer cooperation.
Speakers noted that the implementation of the TRACECA project has
been a success. For instance, while nine million tons of cargo was
transported via the route in 1998, the volume in 2008 has reached
53 million tons. Further, officials note, the project has created
tens of thousands of jobs in area countries.
Jonathan Scheele, the European Commission`s chief negotiator,
pledged that the group would continue providing support in
financing projects being created through TRACECA, given their great
importance both for the region and member states.
Azerbaijani Transport Minister Ziya Mammadov said Iran, Afghanistan
and Pakistan were now seeking to join the project.
The minister told journalists that the conference was of great
importance since it sought to develop the transport corridors of
Europe, Asia and the Caucasus; explore the integration of other
transport corridors; boost the transportation of consignments via
these routes; and increase Azerbaijan`s role in international cargo
transportation.
Armenia, which has been left out of major projects as a result of
its policy of occupation against Azerbaijan, is also clearly
indicating its interest in TRACECA.
Gagik Grigorian, the national secretary of the TRACECA project on
Armenia, who attended the meeting, said that like other
participants in the project, his country was receiving considerable
revenues from the transport corridor.
"As early as when the transport corridor was being created within
the TRACECA program, we made the proposal to overhaul the Caucasus
region`s transport infrastructure. We are committed to
participating in any relevant project and have always wanted
this."
Grigorian noted that Armenia was seeking to further integrate into
the global economy and was "looking to the future in view of the
region`s development."
"I believe that our region currently has a very good, advanced
infrastructure. But it is also important to capitalize on this
efficiently," he said.
Grigorian thanked the Azerbaijani government and the European
Commission for providing suitable conditions for a delegation from
his country to attend the TRACECA jubilee event.
Two documents were signed at the conclusion of the conference - a
declaration marking the project`s anniversary and a paper on
TRACECA`s expansion, integration into European transport corridors
and other issues, Azerbaijani First Deputy Prime Minister, Abid
Sharifov, told reporters.
The event was attended by representatives of the United Nations,
the OSCE, the European Commission, regional groups GUAM and BSEC,
the World Bank, the European Bank for Reconstruction and
Development, the Asian Development Bank, and others.
The European Commission-funded project was launched at the
initiative of former Azerbaijani President Heydar Aliyev in 1998,
with the goal to restore the historic Silk Road. TRACECA`s first
summit was held in Baku that same year.
TRACECA is currently composed of 13 states - Azerbaijan, Bulgaria,
Kazakhstan, Kyrgyzstan, Uzbekistan, Tajikistan, Turkmenistan,
Turkey, Georgia, Armenia, Moldova, Ukraine, and Romania.
Azerbaijan investing
billions in transport
The Azerbaijani government invested $2 billion in the country`s
transport sector in 2008, First Deputy Prime Minister Abid Sharifov
has said.
"The government is attaching great importance in the development of
the transport sector. More specifically, large-scale programs and
projects have been adopted and are being implemented to develop the
Azerbaijani segment of the TRACECA corridor."
Sharifov went on to say that seven new oil tankers and two ferries,
worth $200 million, have been purchased this year to increase
maritime transportation through the Europe-Caucasus-Asia
corridor.
Furthermore, $500 million has been invested in the development of
air transport. The funds were spent to buy four airbuses, six
French ATR planes and six helicopters, as well as to build four
airports in Azerbaijani regions. Moreover, Azerbaijan has signed a
contract to purchase seven Boeing aircraft totaling $726
million.
Sharifov noted that in addition to that, construction of new roads
was underway and funded by loans from international financial
institutions.
Deputy Minister of Transport Musa Panahov, for his part, said that
investments in the development of Azerbaijan`s transport sector are
forecast at 1.5 billion manats ($1.85 billion) in 2009.
"The funds will be spent both to complete the ongoing projects and
to embark on new ones," he told journalists.
The TRACECA corridor also promises excellent prospects for the
development of railway transport, notes officials. The
Baku-Tbilisi-Kars railway, which will create the shortest route to
transport cargo between Europe and Asia, will be completed as
scheduled, Azerbaijani Prime Minister Artur Rasizada said following
a meeting of the inter-governmental commission on economic
cooperation in Tbilisi last week.
"True, there were some problems with the creation of the project,
but the construction of this railway corridor will be completed in
2010, as planned," he told a joint news conference with Georgian
Prime Minister Grigol Mgaloblishvili.
Mgaloblishvili pointed out the magnitude of the railway project
noting, "Georgia and Azerbaijan, just like the third party - Turkey
- are working hard to ensure that this project, which is of
tremendous importance for the entire region, is completed within
the scheduled time frame."
Turkish Minister of Transport Binali Yildirim said construction of
the Baku-Tbilisi-Kars railway in his country`s territory has also
begun. "There are no problems with construction operations," he
said during a visit to Baku last week.
Currently, Turkey is implementing the Marmaray project, which
envisions building a tunnel under the Bosporus Straits to create a
railway link with other European countries along this route.
According to the minister, after the realization of the
Baku-Tbilisi-Kars and Marmaray projects is completed, the routes
will be linked in a single line which will allow transport
consignments from Asia to Europe along this route.
Participants in the Baku-Tbilisi-Kars project have already held
talks with China, the key cargo carrier in Asia, and the country
has already expressed interest in transporting consignments through
the route, Yildirim said.
Experts estimate that about 6.5 million tons of cargo and 1 million
passengers will be transported at the initial stage of the project,
beginning in 2011. By 2034 the figures will rise to 18 million tons
and 3 million passengers.
As part of the Baku-Tbilisi-Kars project, a new 105-km railway line
is to be built, of which 76 km will go through Turkey, while 29 km
will travel via Georgia. Moreover, a 183 km section of the railway
in Georgia, stretching from Akhalkalaki to the capital Tbilisi and
continuing through Marabda, will be overhauled in order to increase
the railway`s annual throughput capacity to 15 million tons of
consignments.
The Baku-Tbilisi-Kars project is valued at $600 million, including
expenses on infrastructure-related operations.
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