BAKU, Azerbaijan, October 12. The Czech business eyes new opportunities along the Middle Corridor, Minister of Transport of the Czech Republic Ivan Bednárik said in an exclusive interview with Trend ahead of his visit to the South Caucasus and Central Asia.
He pointed out that the South Caucasus and Central Asia are becoming increasingly important in connecting Europe and Asia, and the Czech Republic can offer expertise and technologies in rail transport, logistics, urban mobility and civil aviation.
"My visit, accompanied by a business delegation, has a clear objective: to strengthen cooperation in transport and logistics and create new business opportunities for Czech companies and their potential partners in Azerbaijan, Kyrgyzstan and Kazakhstan. In all three countries, our programme therefore includes a series of ministerial meetings, business forums and meetings with representatives of state institutions and companies. Azerbaijan is a rapidly developing country with a stable political and economic environment. The opportunity to invest in such a country is welcome news for any investor," added the minister.
Bednárik pointed out that in Azerbaijan, he wants to build on the memorandum that Minister Rashad Nabiyev and he signed in May this year and identify concrete steps for cooperation.
"Our priorities are the development of the Trans-Caspian Transport Corridor, the modernisation of railways and urban transport, particularly the metro, the development of air connectivity and the implementation of modern transport technologies," the minister said.
Czech perspective on Middle Corridor development
The Czech minister noted that the Middle Corridor strengthens the resilience of supply chains between Europe and Asia.
"Azerbaijan is an important regional partner for the Czech Republic. Transport is one of the key areas of our cooperation, particularly in the context of the growing importance of the Trans-Caspian International Transport Route, one of the main freight routes between Europe and Asia. From the Czech perspective, this corridor is important because it broadens our connections with the region and strengthens the resilience of supply chains between Europe and Asia. We therefore want to strengthen logistics links in this area and open up new opportunities for Czech companies. In addition to rail transport and urban mobility, we are also interested in opportunities for cooperation in aviation and modern transport technologies," Bednárik added.
The minister noted that all the challenges related to the Middle Corridor in logistics, customs procedures and coordination, are interconnected and need to be addressed comprehensively.
"However, I consider eliminating bottlenecks, speeding up procedures and ensuring sufficient capacity at container and multimodal terminals to be essential. We also need to improve existing transport infrastructure, rather than relying on a single mode of transport, and provide alternative routes for moving goods. Tools to facilitate cross-border procedures and sufficient capacity at multimodal terminals are equally important. Logistics and freight transport will therefore be among the subjects of my discussions with Azerbaijani institutions, the EU Delegation in Baku and representatives of the transport sector," he explained.
Bednárik noted that although the importance of the Trans-Caspian Transport Corridor is growing rapidly, its further development requires investment in infrastructure, the modernisation of logistics and customs processes, and closer cooperation among the countries along the entire route.
"This also applies to the countries of the European Union. That is why, this spring, I initiated a European discussion on strengthening the competitiveness of rail freight and improving the coordination of international transport corridors. I am also working to address bottlenecks during the Czech presidency of the International Transport Forum (ITF) at the OECD. Creating a unified digital and logistics space with interoperable transport systems along European transport corridors will certainly be a lengthy process. It is important for the Czech Republic and Azerbaijan to cooperate and coordinate more closely in this area. This is something I want to emphasise through the agenda of my mission and cooperation involving Czech companies and researchers," he said.
Transport cooperation beyond Middle Corridor
Bednárik pointed out that he also sees considerable potential in urban and regional rail transport.
"Czech companies have expertise in railway electrification, rolling stock, traffic management and modern technological solutions for aviation and rail transport. They also offer comprehensive solutions for urban mobility and air connectivity. We also see promising opportunities in zero-emission technologies, including hydrogen-powered transport, and in sustainable urban mobility through modern trainsets, metro trains and electric buses. This trend is developing rapidly in Europe. For example, the Czech company Škoda Group is one of Europe’s leading manufacturers of battery-powered trains and supplies many European countries. There are also successful Czech companies offering technologies for urban and suburban bus transport. A key topic for us is the modernisation of the Baku metro, where Škoda Group can offer its expertise. We also see opportunities in regional electric multiple units and the associated technical facilities," said the Czech minister.
He believes that civil aviation is another promising area.
"We want to discuss opportunities to develop direct air links between Baku and Prague, as well as cooperation in airport infrastructure, training and technologies for safe air traffic management. ERA, for example, could build on its existing activities in Azerbaijan," noted Bednárik.
The minister went on to add that the Czech side sees considerable potential for closer cooperation with Azerbaijan in rail freight and logistics.
"The CEO of ČD Cargo, the largest Czech rail freight operator, will be joining me in Baku. The company provides its services not only in the Czech Republic, but also in Slovakia, Hungary, Poland, Austria and Germany. We would also welcome discussions with our Azerbaijani partners on the possibility of establishing a joint logistics operator offering competitive door-to-door rates, coordinated multimodal services and simplified transit procedures," he added.
Moreover, Bednárik pointed out that Czech rail operators, including ČD Cargo and EGT Express, as well as relevant industry and logistics associations, have extensive experience in international freight transport and could contribute to the development of integrated logistics services.
"We also see prospects for new partnerships in air connectivity and urban mobility, which OMNIPOL Group and Škoda Group will present. The planned Czech-Azerbaijani business forum, to be held in Baku on 12 October, will provide a good opportunity to establish concrete business contacts," he concluded.