Austrian expert: Baku and Alat are natural gateways for transport flows between Central Asia and Europe – INTERVIEW

The Middle Corridor is becoming an increasingly significant element of the global logistics system, connecting transport flows between Asia and Europe through the Caspian Sea. In the context of growing geopolitical instability and disruptions in traditional supply chains, this route is gaining strategic importance as an alternative, resilient, and flexible path for international freight transportation.

Thanks to its unique geographical location and stable political environment, Azerbaijan plays a key role in the development of the Middle Corridor, as confirmed by President Ilham Aliyev’s statement at the 6th Caspian Business Forum. The country’s strategic vision and investments in infrastructure are making this route increasingly attractive to European and Asian companies.

In an interview with AZERTAC, Enikö Györfi, transport and logistics expert and Head of the Eurasian-China Relations Department at ÖBB Rail Cargo Group, shares her insights on the evolving approaches to developing logistics routes, the prospects of the Middle Corridor, and the cooperation between European operators and regional partners, reflecting current trends and challenges in the global transportation industry.

-You are the head of the Eurasian-China Relations department. How have priorities and approaches to building logistics routes changed over the past few years, especially after the disruptions in global supply chains?

- Over the past few years, disruptions in global supply chains – from the COVID-19 pandemic to geopolitical tensions – have fundamentally changed logistics priorities. For ÖBB Rail Cargo Group, resilience and diversification of routes have become the central pillars of our Eurasian strategy. Today, our focus is not only on the traditional northern corridor but increasingly on developing and strengthening alternative connections such as the Middle Corridor, which ensure continuity and flexibility for European industry.

-How do you assess the potential of the Middle Corridor (Trans-Caspian International Transport Route) in the context of increasing geopolitical instability and growing interest in alternative routes between China and Europe?

- The Middle Corridor has developed from being an alternative into a strategic core route between Asia and Europe. Given the recent geopolitical instability, interest from both shippers and governments in this corridor has grown significantly. While challenges remain – particularly with regard to harmonization, transit times, and costs – the corridor has the potential to become a sustainable, competitive and reliable bridge linking Europe and Asia. For ÖBB Rail Cargo, it is therefore a route of strategic importance.

-In what capacity, in your opinion, does Azerbaijan currently act in the logistics ecosystem of the Middle Corridor - as a transit country, a hub or a full-fledged logistics center? Do you think that Azerbaijan's infrastructure - in particular the port of Alat and railway connections - is ready to scale up cargo transportation volumes along the Middle Corridor?

-Azerbaijan is much more than a simple transit country. Thanks to the investments in the Port of Alat and the modernization of the national railway system, Azerbaijan is positioning itself as an important hub in the logistics ecosystem of the Middle Corridor. The location at the crossroads of East–West and North–South corridors gives Azerbaijan the potential to evolve into a full-fledged logistics center. In our view, the infrastructure – especially at Alat – is well prepared to handle larger volumes, provided that further coordinated investments are made in capacity and digitalization.

-How is the interaction structured between European railway operators, such as ÖBB, and Middle Corridor partners, including Azerbaijan and Kazakhstan? How important is it for European operators (including ÖBB) to strengthen their presence in hubs such as Baku or Alat? Are there any plans to increase their presence in the Caucasus region?

-European rail operators like ÖBB Rail Cargo Group cooperate closely with Middle Corridor partners through both bilateral agreements and in the framework of the Trans-Caspian International Transport Route Association. For us, hubs such as Baku and Alat are strategically important: they are the natural gateways for traffic flows between Central Asia and Europe. Strengthening our presence there – presently through strategic partnerships and in the long-term maybe also through representative offices or joint ventures – is part of our strategy to integrate the corridor into our European network.

-Is ÖBB Holding AG considering launching regular services or pilot projects on the route via TITR with the participation of Azerbaijan? Does ÖBB have plans to invest in or provide technical assistance for the development of logistics hubs in Azerbaijan or at other key points on the route? Can you share any current or planned ÖBB projects related to transit via the South Caucasus or the Caspian region?

-ÖBB Rail Cargo is actively operating with block trains via the Middle Corridor in cooperation with partners in Azerbaijan, Türkiye and Kazakhstan. The goal is to test regularity, transit times, and reliability, and then to scale up into regular services. While ÖBB is not a direct investor in infrastructure in Azerbaijan, we see great potential in supporting logistics hubs through technical know-how, operational cooperation, and joint service design.

-What forms of partnership do you think are most effective for accelerating the development of the Middle Corridor - public-private partnerships, consortiums or intergovernmental agreements?

-The development of the Middle Corridor can only succeed through a multi-layered partnership model. Public-private partnerships are important to mobilize investment; intergovernmental agreements are necessary to harmonize regulations and border processes; and consortium models can help operators to pool resources and ensure efficiency. From our perspective, the most effective way forward is a combination of these – underpinned by a strong political commitment from all countries along the corridor and supported by European institutions such as the EU’s Global Gateway initiative.

-How do sustainability and decarbonization issues influence the strategic planning of logistics corridors such as TITR? Could the route via Azerbaijan be positioned as a “green corridor”?

-Sustainability and decarbonization are at the core of ÖBB Rail Cargo’s corporate strategy. Rail transport already offers six times lower energy consumption and drastically reduced emissions compared to road. The Middle Corridor, especially via Azerbaijan, could be positioned as a “green corridor” if further measures are taken – such as electrification, use of renewable energy at ports and terminals, and the deployment of digital systems to improve efficiency. This would not only increase competitiveness but also align the corridor with the European Green Deal and global sustainability goals.