Kazakhstan’s exports to Azerbaijan gain ground
Exports from Kazakhstan to Azerbaijan have increased 15 times since the beginning of 2022. Trade turnover reached a record high of US$175 million. This figure was much lower in the same period of 2021, totaling US$12 million. 60 to 70 percent of domestic exports are accounted for oil and petroleum products, ore and metal goods, construction materials, as well as products of the timber and chemical industries. Experts attribute the increase in supplies to the improvement of economic and transit conditions between the two countries. In addition, cargo flows receive new directions amid the current geopolitical situation. Business is striving to choose the best and safest routes.
“Of course, exports of Kazakhstan grew primarily because of the export of energy sources. I believe that this trend will continue in the near term. The volatility is associated with the conflict in Ukraine. In general, the current state of the economy suggests that the rise in energy prices and their maintenance on current stable level will continue at least until the end of the year,” said Elshad Mammadov, an economist.
At the moment, Kazakhstan and Azerbaijan aim to build up multimodal transportation. The shipment along the Trans-Caspian route is burgeoning as well.
“The Eurasian Economic Integration will get new incentives. To summarize all the aforementioned, in terms of the exporting agenda, I think Kazakhstan will place an emphasis on greater economic integration with its neighborhoods. In this context, the deepening of trade and economic relations between our countries is appropriate for both Azerbaijan and Kazakhstan,” added Elshad Mammadov.
Cargo transportation along the Trans-Caspian route grew by 123 percent in the first quarter of 2022, reaching 266,000 tonnes. Container transfer increased by 19 percent compared to last year.
Translation by Saniya Sakenova
Editing by Saule Mukhamejanova