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BLOG / Caspian-black Sea corridor

1 July, 2021

In our series, it has been noted several times, that Georgia is the gateway through which its adjacent countries can connect each other and manage to conduct regional economic activities. Previously we have talked about the south-north route, which we conventionally named the vertical corridor. As for today, we would like to introduce you to another crucial and more global route that is the Caspian-black Sea corridor. Let us see what importance it bears for the region and what an existential role it plays for the Central Asian and Caspian basin countries. Today we will discuss only the automotive route, i.e., a central motorway that crosses Georgia and ის the main driver of the region’s trade and logistics.

For those landlocked countries of this part of the world, that do not have access to the coastline, the Caspian-black Sea corridor is the only shortest way to get to the coastline and reach ports, therefore execute export-import on a global level. More than half of the Caspian-Black Sea corridor is made by Georgia’s central Motorway. In comparison to its south-eastern neighbours, Georgia stands in an advantageous position by controlling over 130km of coastline with two main ports on it: Batumi and Poti ports.

Freights coming from the eastern region reach these ports using the Georgian highway, which makes part of the European international line E-60. Developing this route has been in its active phase for the last 10 years. The infrastructure, turnover capacity, security have been gradually improved and enhanced.

According to the official logistics strategy of the Ministry of Regional Development and Infrastructure of (http://www.economy.ge/?page=news&nw=1614) the completion of works on the main sequences of East-West central express highway is slated by the end of 2023. In its final phase, the line will help increasing national and international cargo turnover and transform our country to even more competitive in terms of international logistics.

It’s worth mentioning that currently, we are witnessing a steady annual growth of Transcaucasia cargo turnover through the Caspian and Back Sea corridor. To emphasize the international importance of the road, we can at least highlight ties between Azerbaijan and Turkey. Two strategic partners are trading between each other mainly by land and so far, the only way to do so is transiting Georgia. Often, Azerbaijan benefits from the business favorable customs conditions of Georgia and re-exports goods deriving from turkey, instead of transport them directly.

In a broader context, the central Georgian motorway could be much more impressive and carry a global character. According to the vision of many international scholars, considering the geographical position, our country is one of the most competitive ones in terms of logistics today. Caspian – Black Sea corridor unifies in itself several global vectors: These are: Azerbaijan-Turkey-Euro Union vector; Asia-Russia-Euro Union Vector and Asia-Iran-Turkey-Euro Union Vector. this means that goods transported by lands and deriving from or destined to the above-mentioned regions will transit Georgia by all means.

After all, to put aside discussions about international meaning, the central highway is vital for Georgia’s native transportation net and economic logistics activity, since exactly it links the main cities and economic urban centres of our country.

And hence, today's blog depicted the global image of Georgia’s central highway and now you are aware of the importance of the route crossing Georgia horizontally. For the next time, we would like to introduce you to the figures and dates related to the Caspian-black Sea corridor, share visions about its best possible future, risks, and alternative routes.

Let us brainstorm together about the logistics and transport potential of our Country.

Stay tuned!