Transport and Logistics Investment Group of companies of the Republic of Kazakhstan
INBUSINESS: PTC Holding will build a port terminal in Georgia
This is a very significant project for the economy of Kazakhstan – alternative ways of cargo transportation are emerging for the business of Kazakhstan.
The signing ceremony of the investment partnership agreement between Kazakhstan’s PTC Holding LLP and Georgian partners took place in Tbilisi today. This document will allow the construction of a modern multimodal transport and logistics terminal in the city of Poti near the Black Sea to begin, reports inbusiness.kz .
In the near future, this will create jobs for one hundred people and strengthen the economies of both countries, expand the possibilities of logistics routes. Moreover, the new terminal will reduce transit time and reduce the cost of cargo transportation, since the bulk of cargo transportation from Asia will go by sea, and as you know, sea transportation is the cheapest. The project will give ordinary citizens more affordable prices, a wide range of goods and the fastest delivery of goods from the manufacturer to the destination country.
“For PTC, this is an expansion of business, as we have recently been paying attention to container transportation. We have built the largest terminal at Dostyk station, the capacity of this terminal is about 320 thousand containers per year. Last year we passed about 100 thousand, this year it will be a little more. We have opened a company in Shanghai, and now we are registering a company in Istanbul. Thank you to our partners from Georgia for trusting us for choosing us. This is a logistical continuation of our work to use the transit potential of our country. I hope that this is just the beginning, then we will jointly deepen and develop the logistics business, these are great opportunities both for Kazakhstan and for other countries,” said Daniyar Abulgazin, a shareholder of PTC Holding LLP.
According to Timur Karabayev, Chairman of the Board of PTC Holding LLP, today, provided that Kazakhstani goods and raw materials are sold and transported to world markets via the Black Sea, the logistics fee rate does not always satisfy the client. But when there is a reverse loading of goods from Southeast Asia to Kazakhstan, the cost of transportation from Kazakhstan significantly decreases.
“We believe that, probably, this is one of the most serious arguments – why there should be such a transport terminal. We are glad that we managed to reach an agreement with our partners and participate in this project with capital, competencies and opportunities. The transport corridor will run from Kazakhstan through the Caspian Sea, Azerbaijan, Georgia, the Black Sea, and cargo can reach anywhere in the world. The cargo flows back to the port of Poti and from there goes by rail to Kazakhstan and Central Asian countries,” Timur Karabayev stressed.
The fact that it is extremely important to unlock the potential of TM, which involves the creation of unified transport operators and the formation of a closed logistics cycle, as well as the active participation of private domestic business in this process, has been repeatedly said by the President of Kazakhstan Kassym-Jomart Tokayev over the past year. In particular, during his visit to China in May, he explicitly stated that “the development of the Trans-Caspian route is important for boosting transit between Europe and Asia.”
During the signing ceremony, it was noted that this will be a terminal with a capacity of 80 thousand containers per year, of which 50 thousand will be on the TMTM route and 30 thousand on the CASCA. It will be the end point of the Trans-Caspian International Transport Route, thereby increasing the attractiveness of Georgia as a country through which the international transport corridor passes, including the port infrastructure, as volumes are growing and there are certain issues regarding infrastructure capacity.
The project will stimulate development and, according to preliminary estimates, the volume of investments will amount to $ 10 million by the end of the year.
The planned name of the terminal is Poti TransTerminal JSC.
The project area will be 8 hectares, where 7 tracks with a total length of 300-400 m, a container platform with the possibility of simultaneous storage of 4 thousand containers will be placed. It is planned to install a gantry container crane and reach stackers from machinery and equipment to ensure the operation of the terminal. In addition, it is planned to purchase a locomotive adjacent to the Poti station in order to form full trains and direct them between Poti and Alat, increasing the speed of cargo processing and sending them to the Black Sea.
“Today PTC-holding has infrastructural capacities. Cargoes that are sent from China will enter Poti, in parallel, Kazakh exporters have the opportunity to transport grain cargoes, aluminum, copper and other goods for shipment to Europe. Moreover, all Central Asian countries can be involved in this route,” said Olzhas Arykbayev, Development Director of PTC Holding LLP.
According to Olzhas Murzabekov, the regional representative of NC Kazakhstan Temir Zholy JSC in Georgia and Azerbaijan, PTC Holding is a strategically and time–tested reliable partner for KTZ, and this project will allow in synergy to solve the issues of exporters that are very acute today.
“There should be many such projects in the future. Ensuring these volumes will mostly affect the bilateral economy of Kazakhstan and other countries,” he said.
As the parties noted, this is a very important event for both countries. Firstly, these are important investments in the economies of Kazakhstan and Georgia. The Government of Georgia creates favorable conditions for foreign investors. Secondly, investments in logistics are very important for Kazakhstan. As you know, the Silk Road traditionally passed through both the Kazakh steppes and the South Caucasus. And now this process is continuing, new logistics routes pass through Kazakhstan, through the Caspian Sea, Azerbaijan, Georgia and further to Europe. Kazakhstan attaches great importance to the development of the Trans-Caspian transport route, especially recently, and the number of goods that pass along this route is significantly increasing.
“There is an instruction from the president to expand this route. I am sure that thanks to such businessmen who are making a great contribution today, we will cope with the tasks set. There are already good positions and assets in Kazakhstan. In Georgia, this is the Batumi oil terminal, a seaport through which we ship transit cargo and Kazakh cargo to Georgia and Europe. The construction of a new terminal will diversify this business. Undoubtedly, this will affect both tariffs and the amount of cargo that will pass through Georgia,” said Malik Murzalin, Ambassador Extraordinary and Plenipotentiary of the Republic of Kazakhstan to Georgia.
According to Mamuka Merkviladze, a shareholder of Invest Group Georgia LLC, the corridor is very important and it needs to be developed.
“It is a very good precedent when the business of both countries reunites and does a good job, jobs are created, states are coming closer,” the shareholder shared his opinion, thanking PTC Holding, which trusted Georgian partners.
According to Aidar Dzheksembiev, CEO of LX PANTOS CO., LTD. In the Republic of Kazakhstan, this is a very significant project for the economy of Kazakhstan, because alternative ways of cargo transportation are emerging for the business of Kazakhstan.
“Traditionally, we now use two routes – the Trans-Chinese and Trans-Siberian railway. Additionally, the Trans-Caspian route appears, which will stimulate business development and bilateral relations between Georgia and Kazakhstan, as well as the Central Asian republics. There are already intentions of our customers to use this route, the PTC terminal in the city of Poti. A preliminary agreement has been concluded to work with LG Group of companies (Korea, Vietnam, Indonesia), household appliances, various equipment, and machine kits will be transported.
We chose PTC because it is a dynamically developing company, there are very few people like it in Kazakhstan who know how to do business both in Kazakhstan and outside the country. Skilful leadership and skillful management of the company allow us to trust it and work with it as a strategic partner,” he concluded.
«PTC Holding» LLP - is a transport and logistics investment group of companies, an international provider of integrated logistics services in the oil and gas and container sectors, the largest owner and operator of railway rolling stock and infrastructure in Central Asia. Provides a full range of transport and logistics services.
We create real value for our customers and partners through innovative solutions, sustainable results, and long-term growth..
PTC in numbers
15.6million tonstraffic volume of the year 2022
1placeoperational wagon fleet in Central Asia
1446humannumber of personnel
16enterprisesin Kazakhstan, Russia, China,
Georgia and Turkey