Record Transit Freight Volumes: Highest Level in Five Years

Azerbaijan is further strengthening its position as an international transport and logistics hub. As a result of the development of the East-West and North-South international transport corridors, as well as major infrastructure projects implemented in recent years, transit freight volumes exceeded 9.1 million tonnes in the first seven months of 2026, reaching the highest level in the past five years. This figure represents an 11.6% increase compared with the same period last year. In particular, transit freight volumes increased by 16.5% along the East-West corridor and by 14.3% along the North-South corridor.

The results achieved demonstrate the significant progress made in recent years in the transport and logistics sector through reforms, digitalisation, infrastructure modernisation and expanded international cooperation, while also reflecting changes in global trade routes and the substantial strengthening of Azerbaijan’s strategic position and competitiveness along the Middle Corridor and the North-South Corridor.

This positive trend is a direct result of the reforms implemented in the transport and logistics sector in recent years. These reforms have focused on modernising infrastructure, enhancing operational efficiency through improved coordination among relevant institutions, advancing digitalisation and expanding international cooperation. Changes in global trade routes have also played a role. Taken together, these factors have significantly strengthened Azerbaijan’s position and competitiveness along the Middle Corridor and the North-South route.

 

Shorter Transit Times, Greater Competitiveness

One of the most significant outcomes of the reforms implemented along the Middle Corridor is the reduction in freight transit times. While shipments along the China–Europe route took 38–53 days several years ago, transit times have now been reduced to an average of 12 days. This reduction has been facilitated by the introduction of electronic permit systems and digital solutions such as e-TIR and e-CMR, real-time cargo tracking, the streamlining of customs and border-crossing procedures, and faster data exchange among government agencies.

Within this framework, Azerbaijan has implemented a number of large-scale projects, including increasing the annual capacity of the Baku–Tbilisi–Kars railway to five million tonnes, modernising border crossing points, electrifying and upgrading the railway network, constructing and rehabilitating highways, and developing airport infrastructure.

An important step in this direction is the Single Window Information System – Digital Logistics Platform, established by the Ministry of Digital Development and Transport. The platform accelerates document processing, streamlines procedures and creates a more agile logistics ecosystem for businesses. The next phase will involve integrating the platform with similar systems in partner countries along the Middle Corridor, which will further enhance efficiency along the route.

In parallel, the Ministry of Digital Development and Transport, in cooperation with international partners, is working on the phased implementation of modern digital transport tools, including e-CMR, e-Permit and e-CIM/SMGS electronic consignment notes. The implementation of these tools will expand the use of paperless technologies in international transport and enable more efficient exchange of transport data among participants in international transport corridors.

 

Maritime Transport Capabilities Strengthened

The efficient operation of the Caspian Sea segment is of critical importance to enhancing the competitiveness of the Middle Corridor. Measures implemented in recent years to strengthen the Port of Alat and maritime transport infrastructure have created favourable conditions for the uninterrupted and efficient transportation of growing transit cargo flows.

In response to growing demand, the Port of Alat’s container throughput capacity has been increased from 100,000 TEUs to 150,000 TEUs. Berth No. 7 has been commissioned, and a new-generation crane with a lifting capacity of 125 tonnes has been put into operation. The port’s current annual cargo-handling capacity stands at 15 million tonnes. Upon completion of the ongoing expansion project, the port’s annual cargo-handling and container throughput capacities are expected to increase to 25 million tonnes and 500,000 TEUs, respectively.

The growing demand for the Port is also reflected in its operational performance: last year, more than 8.2 million tonnes of cargo and 107,000 TEUs were handled through the Baku International Sea Trade Port.

Another important area in the development of the Alat transport and logistics hub is the construction of a cargo airport in Alat. The new airport will bring together the capabilities of maritime, rail, road and air transport and become part of a multimodal logistics complex, thereby enhancing cargo-handling efficiency and expanding the potential of the Middle Corridor.

At the same time, construction is continuing at Baku Shipyard on four cargo vessels under its first international commercial order, aimed at accommodating growing cargo volumes across the Caspian Sea. In addition, on 16 September 2025, Baku Shipyard LLC and AD Ports Group signed a contract for the construction of two container vessels, each with a capacity of 780 TEUs, intended for operation in the Caspian Sea. Furthermore, measures such as the development of a high-capacity ferry project, the expansion of Ro-Ro transportation, initiatives implemented in cooperation with the private sector, and the phased renewal of the fleet will further increase the capacity of the Caspian Sea crossing and strengthen the resilience of freight flows along the Middle Corridor.

These measures are already delivering tangible results. In January–July 2026, container throughput at the Port of Alat increased by 20% compared with the same period last year, reaching 72,370 TEUs, while dry cargo throughput rose by 82% to 1.4 million tonnes.

 

Cooperation along the Middle Corridor Expands

Azerbaijan is actively cooperating with partner countries along the Middle Corridor to strengthen transport connectivity, optimise border-crossing procedures and expand digital information exchange. The modernisation and capacity expansion of the Baku–Tbilisi–Kars railway, the signing of contracts for the acquisition of new-generation passenger and freight railcars, enhanced coordination among Caspian ports, and joint projects implemented under the Trans-Caspian International Transport Route are further strengthening the reliability and competitiveness of the route.

Azerbaijan is actively cooperating with all countries along the Middle Corridor to synchronise the development of transport infrastructure and enhance the efficiency of freight transportation along the route. To this end, a number of bilateral and multilateral roadmaps, agreements and memoranda of understanding have been signed, aimed at coordinating joint infrastructure projects, developing transport connectivity and improving the efficiency of freight transportation. Work is also currently underway to develop a multilateral agreement that will mark an important step towards the further development and institutional strengthening of the Middle Corridor.

 

Transit Potential Contributes to Sustainable Development

The growth in transit freight volumes not only drives the development of the transport sector but also contributes to increasing value added and expanding economic activity throughout the non-oil economy. At the same time, strengthening Azerbaijan’s transit potential reinforces its role as a reliable partner in global supply chains, enhances its attractiveness to foreign investors and further increases the country’s geoeconomic importance. Azerbaijan’s development as a transit and logistics hub goes beyond the transport sector, creating an important foundation for diversifying the non-oil economy, deepening regional economic integration and achieving long-term sustainable economic growth.