Azernews.Az

The national railway companies of Russia, Kazakhstan and Belarus have signed an agreement on the establishment of a joint transport and logistics company, the Russian company reported.

The new company will transport goods within the Common Economic Space.

"The creation of the joint transport and logistics company will form the platform for the implementation of other large-scale economic projects within the Common Economic Space," the company said.

The document was signed within the International Economic Forum in St. Petersburg, in the presence of the heads of Russia, Kazakhstan and Belarus.

The rolling stock, equipment and other property of the new company will be provided by its shareholders.

According to the business plan, the total turnover of the new company will hit 4 million twenty-foot equivalent units in 2020. Additional income of the national railway companies from the infrastructure is expected to reach $1.6 billion by 2020. The cumulative contribution to GDP of the countries of Common Economic Space, according to estimates, will reach $11.3 billion in 2020, including $5 billion in Russia, $5.3 billion in Kazakhstan and $1 billion to Belarus.

To ensure the growth of domestic and international transportation, including transit, the joint transport and logistics company will invest in rolling stock, containers, terminals and IT-infrastructure. The amount of these investments will reach $6.2 billion by 2020.