BAKU, Azerbaijan, August 7. The possibilities of signing a memorandum of understanding and cooperation, which will determine the main directions of joint activities between the Alat Free Economic Zone (AFEZ) of Azerbaijan and the Europe-Caucasus-Asia Transport Corridor (TRACECA), have been discussed.
This was announced by AFEZ, following a meeting between Valeh Alasgarov, Chairman of the Board of the AFEZ, and Jasurbek Choriyev, Secretary General of TRACECA.
During the meeting, the prospects for establishing practical cooperation between TRACECA and the AFEZ Authority were discussed.
Special attention was paid to the establishment and regular implementation of information exchange on the types and nature of cargo transported along the TRACECA route.
Following the meeting, the parties confirmed that they share similar approaches to the development of the region's transport and logistics potential.
The Alat Free Economic Zone is located near the Baku International Sea Trade Port, at the intersection of the international East-West and North-South transport corridors. The approved master plan of the zone covers an area of 719 hectares. In total, approximately 6,500 hectares of land have been allocated for the development of the Alat Free Economic Zone, of which more than 1,000 hectares are intended for future expansion.
Currently, a 5-hectare logistics center with an annual processing capacity of 500 thousand tons of cargo transported by road is operating in the zone. The center also has access to railway infrastructure.
At present, the construction of a new international airport is underway. It's planned to commission the airport's cargo and business terminals no later than the first quarter of 2027. At the initial stage, the terminal's annual cargo handling capacity is expected to be 500 thousand tons, and at a later stage - 1.5 million tons.
The location of the AFEZ on transport corridors also expands its development prospects as a regional logistics and production center.
This has been recently announced by Valeh Alasgarov, chairman of the Alat Free Economic Zone (AFEZ), in an exclusive interview with Trend.
According to him, the geographical location of Azerbaijan creates a significant advantage for the Free Economic Zone in terms of access to various transport routes.
"The Alat Free Economic Zone is adjacent to the Baku International Sea Trade Port and is located at the intersection of international transport corridors such as North-South and East-West. This creates the opportunity for investors to use both sea, rail and road transport," said Alasgarov.
He noted that the expansion of transport connections creates additional opportunities for export-oriented production enterprises operating in the Free Economic Zone.
"After the Zangezur corridor is opened, of course, this will create new opportunities for us to transport any cargo. The new route will shorten the distance of transportation and accelerate it, and further reduce transportation costs," the chairman emphasized.
According to Alasgarov, in this regard, the integration of the Free Economic Zone into various international transport routes can expand the logistical capabilities of both investors and production enterprises.
He also noted that the establishment of export-oriented enterprises is given priority in the Alat Free Economic Zone. Currently, various projects are being implemented in the zone by companies from Türkiye, China, Israel, European countries, and local Azerbaijani companies.
It's expected that new projects related to the establishment of large industrial enterprises in the Alat Free Economic Zone will be announced soon. It is reported that these projects will further increase the investment attractiveness of the Alat Free Economic Zone and give impetus to the expansion of export-oriented production.
