Optimizing trade flows will strengthen Central Asia’s role in global supply chains
The China – Kyrgyzstan – Uzbekistan railway will significantly reduce transportation time between China, Central Asia, Europe, and the Middle East. This was stated in an interview with the leading news agency of the People’s Republic of China, Xinhua, by Ravshan NAZAROV, PhD in Philosophy, senior researcher at the Institute of State and Law of the Academy of Sciences of the Republic of Uzbekistan, UzA reports.
According to him, this railway will directly connect the key economic centers of the three countries and also expand the route to Kazakhstan, Russia, and Europe, providing fast communication through our region with the Middle East and other territories.
Mr. Nazarov emphasized that within the framework of the Belt and Road initiative, this railway will fill the gaps in the cross-border transport network of the region, promoting the integration of logistics and strengthening the infrastructural and economic connectivity of the countries participating in the initiative. Also, optimizing trade flows will strengthen Central Asia’s role in global supply chains and contribute to the development of closer trade and cultural ties.
“This project will help reduce the number of transshipments, simplify border control, minimize the risk of damage to cargo, and significantly reduce logistics costs”, the expert noted. “In logistics, the efficiency of international cargo transportation will increase, allowing companies to deliver large cargo volumes faster. This railway will serve the development of industry, agriculture, and energy by directly connecting Uzbekistan with China and Europe and significantly improving export operations’ efficiency”.
Trade in agricultural products between the two countries will become more convenient, the development of a cold chain system will make it possible to export perishable goods, and the energy and mining industries will become more competitive in the international market due to reduced transport costs.
Implementing this initiative will not only stimulate economic growth, but will also create the basis for social development in the countries where it will take place. The China – Kyrgyzstan – Uzbekistan railway route was selected considering geological conditions, construction costs, economic potential, and regional connectivity. The route avoids high seismic risk areas and complex construction sites, passing through economically active and densely populated regions, which will help support the local economy and international trade.
Photo credit: UzA.
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