Inter-sectoral cooperation “Logistics - Production - Trade” as a tool for expanding foreign trade relations

Organizers: Ministry of Transport of Russia, Directorate of International Transport Corridors, ANO

Venue: the city of Kazan, IEC KAZAN EXPO, Hall 6-7

Time: 18.05.2023, 15:10–16:00.

Moderator: Roman Aleksandrov, Chairman of the Coordinating Council, Directorate of International Transport Corridors, ANO

Speakers:

Khanifov Farit Mudarisovich, Minister of Transport and Road Facilities of the Republic of Tatarstan;

Afanasiev Denis Aleksandrovich, Deputy Chairman of the Government of the Astrakhan Region;

Veremeev Valeriy Anatolyevich, First Vice President of TransContainer, PAO;

Isaev Aleksander Sergeevich, General Director of Directorate of International Transport Corridors, ANO;

Bukhanov Maxim Dmitrievich, Deputy Director for Business Development of FESCO Integrated Transport, OOO;

Milushkin Sergey Yurievich, General Director of SEZ LOTOS, AO.

The need to develop inter-sectoral cooperation is caused by the necessity to load the established transport infrastructure with cargo flows. The International Transport Corridor (ITC) is an economic corridor, and its main elements are the economic centers of the regions forming regional and foreign trade turnover, large industrial clusters, and special economic zones. The development of logistics infrastructure can bring the economy to a completely new stage of development and make interregional ties stronger.

Farit Khanifov, Minister of Transport and Road Facilities of the Republic of Tatarstan, emphasized that in recent years the entire logistics industry has radically changed its direction. Freight turnover towards the south-eastern direction has increased. All goods exported by rail in Tatarstan pass through the Nizhnekamsk junction and then go transit through Kazakhstan. Already this year, it generates more than 16 million tons of cargo. The volume of cargo handled by the Nizhnekamsk hub, designed for a turnover of 1.5 thousand wagons per shift, has increased to 2.5 thousand wagons.

The Minister also touched upon the issue of restoring the passway for river-sea vessels along the Volga and Kama rivers, emphasizing that the necessary infrastructure exists in Tatarstan for this purpose.

Denis Afanasyev, Deputy Chairman of the Government of the Astrakhan region noted the growth of foreign trade turnover with Iran, which receives 90% of the cargo passing through the Astrakhan water transport hub. This year, a joint study of possible steps has been launched to organize a shipping line in the Caspian Sea together with Uzbekistan, Kyrgyzstan and Turkmenistan. Negotiations are underway on the joint construction of ships with Turkmenistan and Azerbaijan. Lotos, the Astrakhan SEZ of industrial production type is a promising platform for the development of foreign trade relations.

Valery Veremeev, First Vice President of TransContainer, PAO, noted that due to changes in logistics flows in 2022, the volume of container traffic of 400 TEU from unfriendly countries was replaced by approximately the same volume of cargo from countries which did not join the sanctions.

The Directorate of International Transport Corridors (DITC) was established in 2020 in order to form a system for planning and managing international transport corridors passing through the territory of the Russian Federation. One of the objectives of the DITC is to form a common understanding of the existing possibilities of transport infrastructure and of the carriers along the routes of the ITC, including the territories of foreign states, the need to create infrastructure facilities, as well as establish international transport joint ventures. According to Aleksander Isaev, the Director General of DITC, the North-South ITC is demonstrating the largest increase in cargo traffic; its cargo base will triple by 2030, from 17 million tons in 2022 to 41.3 million tons. He also emphasized plans to use the Volga and Kama Rivers for transportation of exported goods, therefore the implementation measures for the reconstruction of river locks, dredging and the construction of river-sea vessels have been started.

Maxim Bukhanov, Deputy Business Development Director of FESCO Integrated Transport, said that today FESCO is a leader in intermodal transportation, and is represented on all existing transport corridors in Russia. The growth of cargo traffic in eastern directions in 2023 has increased by 4 times in some directions. The tasks to be solved by the company are asfollows: investments in the development of infrastructure, diversification of traffic flows, ensuring the regularity and quality of service.

Sergey Milushkin, General Director of the LOTOS SEZ, said that building of infrastructure for the first stage of SEZ reconstruction is under way in the port of Astrakhan. The territory will be provided for two berths with an area of 16 hectares, which, together with the construction of anchor resident facilities, will create modern capacities for transshipment of container and general cargo along the North-South international transport corridor. The second stage involves the construction of a new cargo area and the building of about 18 berths. In total, the amount of declared investments by the current residents of the port SEZ for the implementation of projects of the first and second stages will amount to 29 billion rubles.