BAKU, Azerbaijan, October 2. The declining water level and shallowing of the Caspian Sea could pose a serious challenge to the sustainability of the Middle Corridor and transportation costs for Azerbaijan and other countries in the region, Director of the TALAP Center for Applied Research and Kazakhstan member of the CAMCA Network Rahim Oshakbayev said Friday at the CAMCA Regional Forum, Trend’s correspondent reports from the event.
He said the condition of the Caspian Sea is one of the issues requiring particular attention as Azerbaijan and Kazakhstan cooperate on the development of the Middle Corridor.
“One of the key issues we are currently discussing with Azerbaijan is the challenge related to the Caspian Sea. Over the past 20 years, since 2001, the coastline in the northern part of the Caspian Sea has retreated by up to 56 kilometers. Over the past five years, the shallowing process has accelerated, reaching about 30 centimeters per year,” Oshakbayev said.
According to him, continued declines in the Caspian Sea water level could become one of the factors directly affecting the operation of the Middle Corridor.
“If this process continues, the sustainability of the Middle Corridor and its operating costs could become a major challenge for the countries of the region. Therefore, the condition of the Caspian Sea is an important factor that needs to be taken into account in the long-term development of the Middle Corridor,” he said.
Oshakbayev also emphasized that the Middle Corridor has developed significantly in recent years.
“This is a favorable period for the Middle Corridor. Over the past two years, cargo transportation volumes along this route have increased more than 2.3-fold. This is a major achievement. Kazakhstan’s freight and logistics sector is also seeing very rapid growth,” he said.
At the same time, the expert noted that the Middle Corridor still has greater potential in the global freight transportation system.
According to him, about 88 percent of overland freight transportation between China and Europe is still carried out along the route passing through Russia, Belarus and Poland.
“For Kazakhstan, the Middle Corridor is important in terms of diversifying transportation routes. At the same time, it is essential to ensure the long-term sustainability of this route,” Oshakbayev added.
He also said economic growth in the CAMCA region has been high in recent years, although part of this growth has been driven by new opportunities created by global and regional crises.
“The average rate of economic growth in the region is more than twice the average growth rate of the global economy. Countries such as Kyrgyzstan and Armenia have recorded growth of more than 12 percent. In Kazakhstan, average growth is above 6 percent. At the same time, high oil prices have also affected economic indicators,” he said.
Oshakbayev noted that one of the key issues for countries in the region is to use the opportunities that have emerged to ensure long-term and sustainable economic development.
