BAKU, Azerbaijan, July 29. The route interdependence between Kazakhstan and Azerbaijan within the framework of the Middle Corridor creates a unique foundation for the joint development of artificial intelligence (AI)-based solutions in trade and transport logistics, Kazakhstan’s Vice Minister of Trade and Integration Aset Nusupov told Trend in an exclusive interview.
“Kazakhstan and Azerbaijan are two countries whose digital ecosystems are developing in similar directions. At the same time, the route interdependence of the two countries through the Middle Corridor creates unique ground for joint AI solutions,” Nusupov said.
According to him, among the most promising areas of cooperation is predictive management of cargo flows at the intersection of Kazakhstan Railways (KTZ) and the Baku International Sea Trade Port in Alat, which will help optimize schedules, minimize idle time and reduce risks for transport and logistics companies.
Other promising areas include the creation of a common platform for monitoring prices of key commodity groups to coordinate trade policies, the introduction of AI agents for processing documentation in multimodal transportation with automatic data matching from the information systems of the two countries, as well as the joint development of AI tools for assessing risks in cross-border trade.
“By synchronizing our AI systems in logistics, we will ensure that the speed of goods movement along the route increases, while unpredictability decreases. This benefits shippers across the entire region,” Nusupov emphasized.
The Vice Minister noted that Kazakhstan-Azerbaijan relations are experiencing one of the most dynamic periods in their history.
“At the end of 2024, bilateral trade turnover amounted to $536 million, and already in January-May 2026, mutual trade exceeded $150 million. This pace, if maintained, will allow us to confidently move toward the $1 billion mark,” he said.
According to him, a specific set of instruments has been developed to achieve this goal, including the Roadmap for the Development of Trade and Economic Cooperation.
As the Vice Minister noted, the document provides for diversification of the commodity basket, in particular, reducing dependence on a narrow range of export items and expanding access for Kazakhstan’s non-resource goods to the Azerbaijani market. Another area is the development of direct B2B contacts through the organization of business missions and sector-specific exhibitions, including with the participation of JSC QazTrade.
In addition, the roadmap provides for the introduction of a digital permit system for international road transportation, which has already been announced by both countries. The synchronization of digital customs clearance systems is also planned, which will help reduce administrative barriers and shorten cargo transit times.
“Thus, Azerbaijan is a strategic partner for us in logistics, trade and energy. We are convinced that the potential of bilateral relations significantly exceeds the current figures, and we have all the tools to realize it,” Nusupov said.
The Vice Minister noted that digitalization of trade is one of Kazakhstan’s absolute priorities.
“Our country is among the world’s top 25 countries in the UN E-Government Development Index (24th place out of 193 countries), while in the online services sub-index we rank third. This is not accidental. It is the result of a consistent policy,” he said.
Among the key areas of digital trade, the Vice Minister highlighted the Product Traceability Information System, which has been operating normally since December 2025. Around 2,400 participants are connected to the system, 485 agreements have been concluded, and more than 6,100 electronic invoices have been issued. According to him, the system ensures full traceability of goods — from the manufacturer to the end consumer.
In addition, the Vice Minister drew attention to the National Product Catalogue (NPC), which became mandatory for all trade participants from January 1, 2026. As of today, more than 30.5 million product items have been registered in the system, and the unique NTIN identifier has been introduced.
Nusupov also highlighted Kazakhstan’s progress in developing electronic declaration and paperless document flow, noting that all airports and airlines in the country have switched to the e-Freight system in accordance with IATA standards.
He separately focused on the implementation of digital permits for international road transportation, calling the joint initiative with Azerbaijan an important step toward eliminating bureaucratic delays on transport routes.
“For Azerbaijan, we see the greatest potential specifically in integrating digital product traceability systems and jointly using electronic document management platforms. This will reduce the time required for goods to pass through Caspian ports and make the route even more competitive,” Nusupov noted.
According to him, the first steps have already been taken toward integrating the digital trade platforms of Kazakhstan and Azerbaijan in order to simplify cross-border trade and reduce administrative procedures.
“The introduction of a joint digital permit system for road freight transportation is a clear example of how platform integration works in practice: queues disappear, waiting times are reduced, and supply chain predictability increases. I am convinced that in a world full of instability and shocks, this is exactly what businesses urgently need,” Nusupov noted.
According to him, the next logical step is the integration of information systems in the field of customs administration.
“According to estimates, the implementation of digital interaction within the EAEU alone will reduce the duration of customs procedures by 20–25%. Together with Azerbaijan, as a key transit partner along the Middle Corridor, the effect will become even more significant,” he emphasized.
Among the promising areas of integration, the Vice Minister identified the real-time exchange of data on cargo flows through the ports of Aktau and Alat, mutual recognition of electronic accompanying documents, the creation of a single digital “window” for processing multimodal shipments along the Kazakhstan–Caspian Sea–Azerbaijan–Georgia–Europe route, as well as the integration of platforms for monitoring price trends in the commodity markets of the two countries.
“Our task is to create such a digital environment where the goods are ‘visible’ to the systems of both countries from the moment of shipment until delivery. This will allow us to speak the same language, which, in my view, is especially symbolic given the Turkic foundation of our nations,” he emphasized.
Speaking about the use of AI, Nusupov noted that Kazakhstan seeks to use technologies to address specific practical tasks of business and the state.
“As you may know, our President declared this year the Year of Digitalization and Artificial Intelligence. It is very important for us that artificial intelligence solves specific practical tasks of business and the state, including those related to digital infrastructure. It is enough to provide several specific examples from recent years,” he said.
According to him, the National Product Catalogue already has built-in AI that processes hundreds of thousands of applications for product registration. At the moderation stage alone, there were 749,000 applications, which the system processes automatically. This represents a fundamentally different level of speed and accuracy compared with manual processing.
“We should not forget that even virtues have their downsides, which is why we take a pragmatic approach to cybersecurity issues. We have introduced an AI agent for processing information security events. It analyzes the flow of events, identifies anomalies, filters false positives and forwards only confirmed threats to specialists. As a result, the number of false alerts has been reduced by 70%, while the workload of SOC analysts has been reduced from thousands of events to 10–20 priority incidents per day. This has allowed us to move from a reactive model to proactive cyber protection,” Nusupov said.
He added that Kazakhstan is in the process of implementing an AI agent for attribute-based classification within the General Classifier of Goods, Works and Services. It independently analyzes vast volumes of technical specifications, matches product items, and creates and verifies nomenclature cards. More than 160,000 attribute cards have already been created, and mapping of over 20,000 ENS TRU items with the classifier has been completed.
The Vice Minister added that Kazakhstan is also studying the experience of countries where AI is already used for risk analysis, cargo profiling and predictive customs control.
“Kazakhstan has the resources for this: the national Alem.Cloud cluster, created on the instructions of the Head of State, has entered the TOP-500 list of the world’s supercomputers (ranked 86th). Once again, I would like to emphasize that our approach is progressive, but at the same time pragmatic. We are not trying to replace ourselves with AI agents. They serve us in achieving a higher goal,” Nusupov said.
The Vice Minister also emphasized that the Middle Corridor, or the Trans-Caspian International Transport Route (TITR), has become one of Kazakhstan’s main strategic assets of the past decade.
“The figures speak for themselves. Over three years, from 2022 to 2025, the volume of transportation along the route increased more than fivefold. By the end of 2025, total cargo traffic reached 4.5–4.7 million tonnes, of which container transportation amounted to 76,900 TEU (36% more than a year earlier),” Nusupov noted.
He reported that in the first quarter of 2026, 125 container trains passed along the route, which is 34.4% more than in the same period last year. During the same period, 85 trains operated on the Xi’an–Alat Port route (twice as many as a year earlier). Delivery times along the route were almost halved, decreasing from 28–32 days to 11–13 days.
“The importance of the corridor for Kazakhstan-Azerbaijan cooperation can hardly be overstated. It is precisely through Azerbaijan that the key section of the route on the western leg passes. The Baku Port in Alat is currently the largest on the Caspian Sea, with a capacity of up to 15 million tonnes and plans to expand it to 25 million tonnes. Kazakhstan, in turn, is rapidly developing the ports of Aktau and Kuryk: the capacity of port infrastructure is planned to be increased to 30 million tonnes per year,” Nusupov said.
The Vice Minister noted that President Kassym-Jomart Tokayev, during Kazakhstan’s chairmanship of the EAEU in 2026, identified logistics as the second of five priorities for integration.
“I can say without exaggeration that the Middle Corridor is a joint project of Kazakhstan and Azerbaijan, and our interests in its development fully coincide. I would even say that this is a shared legacy that we will be able to proudly leave for future generations,” Nusupov said.
He added that the joint development of logistics structures between Azerbaijan and Kazakhstan remains one of the promising areas.
“There is no doubt that interest in joint logistics structures is high on both sides. Already today, maritime transportation of Kazakhstan’s oil along the Aktau–BTC route (Baku–Tbilisi–Ceyhan pipeline) is carried out on a parity basis: on the Kazakh side by the National Maritime Shipping Company Kazmortransflot, and on the Azerbaijani side by ASCO. This is an existing model of joint logistics that needs to be expanded to new segments,” the Vice Minister noted.
He added that in 2023, KazMunayGas and SOCAR signed a Memorandum on strategic cooperation for the transit of Kazakhstan’s oil, and in 2024 they signed an Agreement on the phased increase of transit volumes through the BTC pipeline. The volume of supplies along this route is growing: 1.06 million tonnes in 2023, 1.42 million tonnes in 2024, and 1.3 million tonnes in 2025. From January to May of the current year, the volume has already reached 0.6 million tonnes.
“As for the container and dry cargo segments, Kazakhstan and Azerbaijan have signed a Roadmap for the synchronized elimination of bottlenecks and the development of the Middle Corridor for 2022–2027. The document directly provides for the development of joint logistics solutions,” the Vice Minister noted.
Among the key areas, he highlighted the development of port infrastructure. In particular, a new container hub is being created at the Port of Aktau, which will increase capacity from 70,000 to 240,000 TEU by the end of 2026. Meanwhile, the Port of Alat plans modernization with an increase in cargo handling capacity to 25 million tonnes.
Nusupov also noted that the European Union’s allocation of €2 billion for the development of Middle Corridor infrastructure provides additional momentum for the implementation of joint investment projects.
“Thus, such solutions are a logical next step. Both countries have infrastructure, benefit from growing cargo flows, but more importantly, both states are building the future based on their shared past,” the Vice Minister emphasized.
Nusupov also spoke about the role of the National Product Catalogue in the development of digital trade.
“The National Product Catalogue is, without exaggeration, a large-scale infrastructure project for Kazakhstan’s trade. I would like to emphasize that the NPC is not a one-time control measure. It is an element of a new trade architecture being formed in Kazakhstan. The NPC is a unified digital database where each product receives its own ‘passport’,” he said.
The Vice Minister explained that the catalogue contains product names and characteristics, as well as a unique national NTIN code (a 13-digit identifier by which a product can be recognized in any government or commercial system). Previously, different government systems used at least five separate reference directories (ENS TRU, KZ TIN, HS Code, OKED, and KPVED).
“Because of this, the same product could have different names in customs, statistics and public procurement systems. This inconsistency led to data duplication, errors and difficulties in traceability. The NPC solves the problem of this so-called ‘digital Babylon’. It brings data together in one place, makes it unified and reliable. This significantly simplifies business operations and makes the market more transparent,” Nusupov said.
According to him, the implementation of the NPC is especially important for large product ecosystems, where goods turnover is rapid and their origin and characteristics are often “blurred.”
“The NPC brings the market to a qualitatively new level of transparency. A single source of data, unified logic and identifiers create a trusted environment for everyone — from manufacturers and businesses to end consumers. As you know, the catalogue is currently actively developing. More than 30 million products have already been registered in it,” Nusupov said.
He emphasized that, when implementing the NPC, Kazakhstan is building the system in a way that ensures digitalization does not create additional barriers for businesses.
According to the Vice Minister, this includes the phased introduction of a digital product passport without suspending companies’ operations, the use of a temporary XTIN code until a permanent NTIN identifier is assigned, as well as a simplified registration procedure with the number of mandatory fields reduced to seven. At the initial stage, an electronic digital signature is not required for registration.
In addition, Nusupov noted that significant attention is being paid to interaction with businesses during the development of the system. According to him, around one hundred meetings have already been held, and most of the existing solutions are the result of consultations with manufacturers and industry associations.
He also recalled that in January this year, a memorandum was signed with the Ministry of Finance and the National Chamber of Entrepreneurs “Atameken”, providing for transition periods for various categories of market participants. According to him, this time is being used for awareness-raising efforts, dialogue with businesses and registration of participants in the system.
“Thus, we are not simply exercising control, but building a system that is convenient for businesses, applying an industry-specific approach so that product data is reliable and immediately applicable,” Nusupov emphasized.
He stressed that the NPC is the foundation on which the entire architecture of digital trade is being built. Its impact is multi-layered. Within the country, it serves as a “single digital passport”: from the manufacturer to the point of sale, the state, businesses and consumers can see the full chain.
According to him, this forms the basis for the traceability system, which has been actively developing since December 2025.
“For trade digitalization, the NPC has become a point of integration: its connection with electronic invoices, cash registers and the public procurement portal ensures seamless data transfer between all participants. No transaction remains in the ‘shadow’. I would like to emphasize that this regulatory measure is aimed not at excessive control, but at creating a safe and trusted environment for trade,” Nusupov noted.
He also emphasized that the NPC creates new opportunities for cross-border interaction.
“A unified product identifier is a universal ‘language’ understood by any trading system. When a product is exported from Kazakhstan, its NTIN accompanies the shipment, simplifying customs clearance in the destination country, provided that identifiers are mutually recognized. Belarus and Uzbekistan have similar experience, having introduced comparable systems earlier,” Nusupov noted.
According to him, the system is continuously improved both through dialogue with businesses and industry communities, as well as through cooperation with international partners, which represents another step in Kazakhstan’s adaptation to changing global trade rules.
He emphasized that the integration of the NPC with the digital platforms of partner countries, including Azerbaijan, is considered a strategic direction.
“The logic here is simple: if Kazakhstan and Azerbaijan are key partners along the Middle Corridor, then synchronization of product identifiers means that cargo leaving our port is already ‘visible’ in the Azerbaijani side’s system before crossing the Caspian border,” Nusupov said.
He added that integration of the NPC with the digital platforms of partner countries will make it possible to implement a number of practical solutions.
In particular, these include automatic advance notification of customs authorities about incoming cargo, which will reduce processing times at ports, mutual recognition of product identifiers to eliminate duplication during document processing, as well as joint efforts to combat counterfeit products and parallel imports.
According to the Vice Minister, a unified database will reduce opportunities for unscrupulous market participants to manipulate product descriptions during customs procedures.
“Kazakhstan is actively cooperating in this area with EAEU countries, and integration with Azerbaijan is a special priority. Especially since our countries already have experience in linking digital solutions in the transport sector. This creates a strong institutional foundation. We believe that the road is mastered by those who walk it, and therefore we still have much to accomplish together,” Nusupov emphasized.
In conclusion, the Vice Minister noted that Kazakhstan and Azerbaijan, in general, have significant potential to expand cooperation in industry, energy, the agro-industrial sector, the digital economy and logistics.
“The prospects for Kazakhstan-Azerbaijan cooperation are broader than is commonly perceived. We see several key areas, each of which can make a significant contribution across a range of sectors,” Nusupov said.
According to him, one of the key areas remains the transport and logistics sector. The Middle Corridor continues to gain momentum: cargo traffic growth in the first quarter of the current year amounted to 34.4% year-on-year, while the joint development of port, railway and digital infrastructure remains a shared priority for the two countries for years to come.
He noted that significant potential also remains in the energy sector. Kazakhstan continues to transport oil through the Baku–Tbilisi–Ceyhan (BTC) pipeline: in 2024, the volume of supplies reached 1.42 million tonnes and is expected to increase in line with the agreement on the phased expansion of transit volumes. At the same time, interest in cooperation in the field of green energy is growing, where both countries have significant potential.
In addition, the Vice Minister identified the agro-industrial sector as a promising area. According to him, Kazakhstan is one of the largest producers of grain, oilseeds and meat, while Azerbaijan represents a growing market; therefore, the potential for mutual food trade remains significantly underutilized.
Nusupov also emphasized that both countries are actively investing in digitalization, and joint projects in the fields of artificial intelligence, digital trade and e-government open up almost limitless opportunities for growth.
He separately highlighted the prospects for industrial cooperation. According to him, Kazakhstan produces metals, chemical products and processed raw materials, while Azerbaijan is actively developing its non-oil industry, creating real opportunities for the formation of joint production chains.
“Kazakhstan and Azerbaijan are two states that are looking in the same direction: toward a modern, technology-driven and open economy. Our path toward $1 billion in trade turnover is a path toward a qualitatively new level of relations,” he said.
