For increasing trade and attracting freight flows from Asia, the Baltic States are now focusing on implementing projects in Kazakhstan. The past years have been marked by agreements and launch of projects between the two parties, bilateral (or multilateral) interests aiming at consolidating and developing economic and commercial relationships.
The negative effects of the financial crisis in the Baltic States have determined governments to reconsider various foreign political aspects, and to set the authorities’ priorities which are economic growth, new market opportunities, and attracting foreign investors. For all three countries, Kazakhstan is one of the most important trade partners in Central Asia and the trade mainly focuses on the transit and logistics services based on the railway system. An example is the launch of container railway transport services between the Lithuanian Port of Klaipeda to the city of Chongqing (China), through Almaty (Kazakhstan), which reduces the travel time of goods to 8 days (to Almaty) and to several weeks to China.
One of the greatest challenges of the Baltic States is to attract freight flows from China, but the problem is not the competitiveness of the transit routes developed through Poland and Germany, but the transport of goods to the Nordic countries of Europe”, declared Andris Maldups, Head of Transit Policy Department within the Ministry of Transport, Latvia.
Thus, to boost the growth of freight volumes and to attract flows from China, Latvian Railways (Latvijas Dzelzcels) and Kazakhstan Railways plan to implement as many projects as possible. “For the Latvian railway company, KTZ is a partner that has always contributed to the considerable growth of freight volumes. At the moment, the freight transport of Latvijas Dzelzcels is dominated by the freight from Russia which represents 65% of total volumes”, declared the company’s President, Ugis Magonis. As part of the development programmes, LDz Cargo logistika has signed a cooperation agreement with Kedentransservis operator. Under the agreement, LDz Cargo logistika becomes the official agent of the operator in Latvia with the right of signing railway transport contracts in behalf of Kedentransservis whose main activity is the organisation of container transport services between China and Europe.
Another project with significant impact in developing the relationships between the Baltic States and Asia is the launch of new connections between Lithuania and Kazakhstan. “The freight railway transport system between the two countries was initiated at the end of September and is dedicated to the transport of car components for the new assembly plant of Peugeot Citroen in Kostanay (Kazakhstan). The new service consolidates the offer of the Lithuanian railway company with transport services to the east”, declared the CEO of the Lithuanian Railways freight transport division, Stasis Gudvalis.
As regards the relationship with Estonia, Kazakh President Nursultan Nazarbayev said (during a meeting with the Estonian Prime Minister) that his country is interested in the transit opportunities and port projects. Moreover, companies from Estonia are interested in the special economic areas offered by Kazakhstan.
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