16 May, 2012, Ashgabat

Improvement of transport infrastructure as Improvement of transport infrastructure as a Key Issues of a Key Issues of

development of regional cooperation and transitdevelopment of regional cooperation and transitProspects of Transport and Transit Development in Central Asia and the Caspian RegionProspects of Transport and Transit Development in Central Asia and the Caspian Region

International ConferenceInternational ConferenceRepresentative of the Ministry of Economy and Sustainable Development of GeorgiaRepresentative of the Ministry of Economy and Sustainable Development of Georgia

Ketevan TakaishviliKetevan Takaishvili

Country ProfileCountry Profile

Area 69 700 sq km

Population 2011 4,5 mln.

Life expectancy 74.4 years

Official language Georgian

Literacy 100%

Capital Tbilisi

Currency (code) Lari (GEL)

GDP 2011 US$ 13.8 billion

GDP - real growth rate 2011 6.8%

GDP - Per Capita 2011 US$ 3,215.0

Inflation rate 2011 (average annual; e-o-p)

8.5%; 2.0%

Foreign Trade with EUForeign Trade with EU

Source: National Statistics Office of Geoegia

Trade Turnover Trade Turnover – 25.7 percent of total turnover

• Turnover – 1,753.6 mln. USD (11.5% growth)

• Export – 290.4 mln. USD (22.3% growth)

• Import – 1,463.2 mln. USD (9.6% growth)

Foreign Trade With EU 2011Foreign Trade With EU 2011

Foreign Trade EU 2004-2011

Trade Turnover Trade Turnover – 26.8 percent of total turnover

• Turnover – 2,477.4 mln. USD (41.3% growth)

• Export – 424.3 mln. USD (40.3% growth)

• Import – 2,053.1 mln. USD (46.1% growth)

Foreign Trade With EU 2010Foreign Trade With EU 2010

Diversified Trade StructureDiversified Trade StructureExport structure by country 2011Export structure by country 2011 Import structure by country 2011 Import structure by country 2011

Export structure by product 2011Export structure by product 2011 Import structure by product 2011 Import structure by product 2011

Source: National Statistics Office of Georgia

Linking Europe and Asia (Transit-2010)Linking Europe and Asia (Transit-2010)

6,602,297 tons

Part of GR network

under modernisation

Total Budget: More than 1,0 Bln USD

Turkish BorderArmenian

Border

AzeriBorder

Gardabani

Tbilisi

KhashuriZestaponi

Samtredia

Batumi

Poti

Sukhumi

Russian Border

Senaki

Marabda

SadakhloAkhalkalaki

6,699,943 tons

Ongoing railway modernisation project

Georgian Railway

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APMT Poti todayAPMT Poti todayGeneral dataGeneral data

● Water area – 65.34 ha;

● Length of approach channel –

1.6 km;

● Length of breakwater – 1.8 km;

● Operating area – 30.0 ha;

● Total Capacity – 12 million ton;

● Total length of berth’s – 2.9 km;

● Total length of railway - 17.0

km;

● Direct access to hinterland ways;

● 100 hectare of development

area;

● General and Break bulk Cargoes;

● Conventional and Project

Cargoes;

● Liquid Cargoes;

● RO-RO and FERRY Terminals;

● Container Terminals;

● Multi-Purpose Terminal;

● Water area – 65.34 ha;

● Length of approach channel –

1.6 km;

● Length of breakwater – 1.8 km;

● Operating area – 30.0 ha;

● Total Capacity – 12 million ton;

● Total length of berth’s – 2.9 km;

● Total length of railway - 17.0

km;

● Direct access to hinterland ways;

● 100 hectare of development

area;

● General and Break bulk Cargoes;

● Conventional and Project

Cargoes;

● Liquid Cargoes;

● RO-RO and FERRY Terminals;

● Container Terminals;

● Multi-Purpose Terminal;

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Port Poti – technical infrastructurePort Poti – technical infrastructure

● Length – 253 m;

● Depth – 8.4 m;

● Storage area – 13 200 sq. m;

● Equipment – 2 MHC (100 ton each);

● Handling capacity – 250 000 TEU/y;

● Length – 253 m;

● Depth – 8.4 m;

● Storage area – 13 200 sq. m;

● Equipment – 2 MHC (100 ton each);

● Handling capacity – 250 000 TEU/y;

● Length – 211 m;

● Depth – 8.2 m;

● Storage area – 16 300 sq. m;

● Equipment – 3 (40-ton) portal cranes

● Handling capacity – 200 000 TEU/y;

● Length – 211 m;

● Depth – 8.2 m;

● Storage area – 16 300 sq. m;

● Equipment – 3 (40-ton) portal cranes

● Handling capacity – 200 000 TEU/y;

● Total area – 8.97 ha;

● Car parking – 654 slots (15 500

m2);

● Stripping area – 240 TEU (12 900

m2);

● Storage:

Empty – 1700 TEU (5 high, 18 880

m2);

Full – 432 TEU (3 high, 15 630 m2

● Total area – 8.97 ha;

● Car parking – 654 slots (15 500

m2);

● Stripping area – 240 TEU (12 900

m2);

● Storage:

Empty – 1700 TEU (5 high, 18 880

m2);

Full – 432 TEU (3 high, 15 630 m2

Statistics of Poti PortStatistics of Poti Port

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Cargo composition

Turnover (in ,000 tons)

Batumi International Container Terminal Batumi International Container Terminal (BICT)(BICT)

BICT operates container terminal at berths 4 and 5 of the Batumi Port

Terminal Area: 13.6 hectaresContainer yard: 3.6 hectares at present and 13.6 hectares when fully developed

Container Terminal, Berths 4 and 5Length: 284 metersControlling depth: 11.7 meters

Customs Warehouse with 625 m² area

Handled Containers:2008 - 44 197 TEU2009 - 8 813 TEU2010 - 16 318 TEU2011 - 45 439 TEU

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Batumi Port - Ongoing DevelopmentsBatumi Port - Ongoing Developments

Construction of new quay wall

and yard at berth 12● Construction starts in 2012;

● Construction to be completed in June

2013;

● Planned length – 282 m;

● Planned depth – 13 m;

● 3 X LHC 550 LIBHERR harbor cranes;

● Rail line – 260 m;

Construction of new quay wall

and yard at berth 12● Construction starts in 2012;

● Construction to be completed in June

2013;

● Planned length – 282 m;

● Planned depth – 13 m;

● 3 X LHC 550 LIBHERR harbor cranes;

● Rail line – 260 m;

Construction of new container

yard

● To be completed in January 2013;

● Planed area – over 15 ha;

● Equipment – 13 RTG;

● New rail line – 1.2 km;

● New road – 1.2 km;

● Annual throughput – 400 000 TEU;

Construction of new container

yard

● To be completed in January 2013;

● Planed area – over 15 ha;

● Equipment – 13 RTG;

● New rail line – 1.2 km;

● New road – 1.2 km;

● Annual throughput – 400 000 TEU;

In May 1993 during the Brussels Conference the European Union initiated a programme on the development of the Transport Corridor Europe – Caucasus – Asia (TRACECA)*.

On 8 September, 1998 at the Summit in Baku thirteen countries signed the Basic Multilateral Agreement (TRACECA MLA), hence expressing their desire to develop economic relation, trade and transport communications in the regions of Europe, the Black Sea, the Caucasus, the Caspian Sea and Asia.

The MLA was signed by Armenia, Azerbaijan, Bulgaria, Georgia, Iran, Kazakhstan, Kyrgyzstan, Moldova, Romania, Tajikistan, Turkey, Ukraine, Uzbekistan. Lithuania is an observer. Afghanistan (in 2003) and Pakistan (in 2004) officially applied for TRACECA MLA full membership. Turkmenistan is a member of EU TRACECA Programme since 1993.

Basic Multilateral Agreement – the legal basisBasic Multilateral Agreement – the legal basis

* TRACECA is ambitious EU Regional Programme under which since 1993 up to now were completed more than 65 Technical Assistance and Investment Projects with total budget more than 160 Mln EURO.

Useful Links

International Transport Corridor Europe-Caucasus-Asia International Transport Corridor Europe-Caucasus-Asia

New Silk Road (The TRACECA Corridor)

TRACECA is a complex multi-modal transport system which aims to develop economic and trade relations and transportation links between countries and regions that is a significant contribution to the revival of one of the most famous historical routes of the Silk road.

Old Silk Road - (around 200B/C)

TRACECA border crossing points in Turkmenistan:Turgundi, Andkhoy, Seraks;

Georgian Ports (Poti and Batumi)

2500-2800 km TO or FROM EUROPE and Delivery Time 12-14 days

Constanta (Romania) and Varna (Bulgaria)

ports

Significant geo-strategic location of the Me3mbers of Significant geo-strategic location of the Me3mbers of EC TRECECA Programme* and MLA Parties** with EC TRECECA Programme* and MLA Parties** with

respect to inter-regional trade routes and transport respect to inter-regional trade routes and transport communicationscommunications

*Turkmenistan is member of EC TRACECA Programme, but not signatory Party of TRACECA MLA;

**In 2003 Afghanistan and 2005 Pakistan officially were applied for TRACECA MLA full membership;

TRACECA Technical Assistance ProjectsTRACECA Technical Assistance Projects

TRACECA Investment ProjectsTRACECA Investment Projects

TRACECA Projects implementation resulted in TRACECA Projects implementation resulted in the increase of traffic flows in regionthe increase of traffic flows in region

Comparison of some of indicative transportation costs per TEU via:I – TRACECA Corridor (multimodal) *II – Pakistan-Afghanistan (Unimodal/by road)**

Main Trade Routes between Europe and Northern part Main Trade Routes between Europe and Northern part of Afghanistanof Afghanistan

$4300-4500*6200 km

II-b: Karachi-Kandahar-Herat $4900-5100 (2140km)

II-a: Karachi-Jalalabad-Kabul $3600-3800 (1500km)

I-b: Poti/Batumi-Baku-Turkmenbashi-Herat $3200-3500 (2300km)

I-a: Poti/Batumi-Aktau-Mazari Sharif- Kabul$4200-4500 (6200km)

I-c: Poti/Batumi-Turkmenbashi-Herat-Kabul $3800-4000 (3200km)

Missing Transport Links hampering further development Missing Transport Links hampering further development of Trade and Transport in the Regionof Trade and Transport in the Region

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Railway connection Tourgondi-Herat

102 km

Railway connectionKolkhosabad-Nijni Pyanj-Shirkhan Bandar-Kundus

125 km

Railway connection Atamyrat-Aqina-Andkhoy-

Shiberghan190 km

Multimodal Terminal in TourgundiMultimodal Terminal in Tourgundi

Multimodal Terminal in Tourgundi –Cont’dMultimodal Terminal in Tourgundi –Cont’d

Steps forward for efficient integration of Turkmenistan Steps forward for efficient integration of Turkmenistan transport system into TRACECA Corridor and its transport system into TRACECA Corridor and its

networknetwork

1. Accession of Turkmenistan to the TRACECA “Basic Multi-lateral Agreement on International Transport for Development of the Europe-Caucasus-Asia Corridor” (TRACECA MLA), in order to obtain fully mutual benefits from regional cooperation and facilitation of transit between Europe and Central Asia via TRACECA Corridor;

2. Rehabilitation of Railway connection Serketabad-Tourgundi;

3. Completion of Transport Missing Links in connection with Afghanistan and Iran with TRACEACA transport network (Turgundi-Herat and Atamyrat-Aqina-Andkhoy-Shibergh);

4. Application of favourable condition for transit transportation of goods to/from Afghanistan via TRACECA Corridor;

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Thank you for attention!Thank you for attention!