Page 54 - GEORptOct22

9.1.2 Transport sector news
USAID to support creation of common Trans-Caspian transit space
Georgia railway profits at record high
Georgia’s rail freight rose by over 13% in 1H22
USAID is to offer technical assistance to countries on the Trans-Caspian route to create a common transit space across the region, Trend reported on September 18, citing a USAID Kazakhstan official.
USAID is set to provide support to state border and customs authorities as well as transportation stakeholders with the aim of institutional strengthening and the enhancing of technical operations. A single transit authorisation agreement will be adopted with the help of this programme in order to establish a regionally uniform transit system.
USAID recently finished a study tour of Kazakhstan, Azerbaijan and Georgia to look for ways to boost trade along the Trans-Caspian route.
It examined the pricing policies of each port, the methods used by the ports and learnt about utilised digitisation projects.
A delegation of 40 customs officials and government authorities of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan responsible for handling transportation issues, as well as members of the Central Asia Transport and Logistics Partnership, visited the ports of Alyat and Kuryk on the Caspian Sea and Batumi Port on the Black Sea.
Participants agreed that trade liberalisation and customs harmonisation were essential for luring more commerce and transportation activity and boosting logistics throughout the corridor.
"The goal of the mission was to increase collaboration among government authorities and transport operators from Central Asia, Azerbaijan, and Georgia, and lead to improved dialogue among ports’ administration, private sector companies and customs agencies. The delegation learned about the opportunities to increase transit traffic via Caspian and Black Sea seaports and about port legislation, regulations, and tariffs. The Mission will identify loopholes and recommend actions to simplify procedures at the Central Asian ports," the USAID Kazakhstan official said.
USAID will collaborate with pre-existing multilateral stakeholders, governments, and international organisations through USAID's Trade Central Asia Activity to coordinate responses, encourage policy development and communicate standards for establishing and putting into practice best international trade practices.
Georgian Prime Minister Irakli Garibashvili said the profit of Georgian Railways had hit a "record high" of GEL161mn ($59 mn) in the first half of the year. During the August 15 cabinet meeting, the prime minister announced that the increased freight traffic through Georgia had increased revenues for the company.
"More freight has been going through Georgia, the volume of shipments and the revenues of the Georgian Railway have increased and reached record-high figures over the past six months," Garibashvili said. The prime minister also added that the total operating income of the railway company had amounted to GEL311mn ($114mn) in 1H22.
Georgian Railways has registered the highest rail cargo volume in the past seven years, the country's national railway company reported.
The railway transported 6.8mn tonnes of cargo during the first half of the year, which is a 13.3% increase y/y. The profit obtained from transportation exceeded GEL191mn ($70mn). The company characterised these results as "the highest for the last seven years".
The company stated that the growth had been recorded in the directions of
54 GEORGIA Country Report October 2022 www.intellinews.com