The National Chamber of Entrepreneurs of Kazakhstan’s deputy head Dana Zhunusova has called for delivery of Ukrainian goods through an alternative route because of the Russian sanctions on Ukrainian transit goods, the CFTS reports.

According to Zhunusova, the government of Kazakhstan has requested that the Russian government consider the possibility of transportation of a number of strategically important goods on transit through the territory of Russia. This category of goods includes only the industrial goods, on which technological production process in Kazakhstan are critically dependent.

However, according to her, a Russian decision after consideration of this request does not guarantee free passage of goods.

In this context, the issue of an alternative route for delivery of goods from Ukraine to Kazakhstan through Black Sea and Caspian Sea ports has again been raised in the National Chamber of Entrepreneurs of Kazakhstan.

"Yes, it is necessary to admit that not everything is smooth on this route, but, nevertheless, the prospects and potential of a route through the port of Aktau is very high. About 70% of the goods from Turkey to Kazakhstan and Kyrgyzstan already pass through this route. We are now proposing that it should also be used for transportation of goods from Ukraine," Zhunusova said. According to her, it is necessary to increase the competitiveness of the alternative route to avoid complete dependence on the historical route.

As reported, a Russian presidential decree published on 3 July extended the restrictions on transportation of Ukrainian goods on transit to Kazakhstan and imposed similar restrictions on transportation of Ukrainian cargoes to Kyrgyzstan.

Furthermore, the decree imposed a complete ban on transit of the goods to which the Russian "embargo" applies, as well as goods that are subject to import duties other than zero in Russia.

Ukraine’s First Deputy Prime Minister/Minister of Economic Development and Trade Stepan Kubiv and Deputy Minister of Economic Development and Trade/Trade Representative of Ukraine Natalia Mykolska met in Kyiv with Kazakhstan’s Ambassador Samat Ordabayev on Tuesday, 5 July, to try to resolve the problematic situation involving Ukrainian transit goods. 

"Kubiv and Mykolska called on Kazakhstan to demand that Russia lift the restrictions on transit of Ukrainian goods," the Ministry of Economic Development and Trade said.

According to the ministry, the unjustified economic actions by Russia has already led to reduction of Ukrainian exports to Kazakhstan by 47.9% in the period of January-April 2016, compared with the corresponding period of 2015. 

As CFTS reported, the Ministry of Infrastructure and the Ukrzaliznytsia public railway company jointly launched the trial run of a container train on the Ukraine-Georgia-Azerbaijan-Kazakhstan-China route, which which is considered an offshoot of the New Silk Road, on 15 January. The train reached China on the sixteenth day (in the early hours of 31 January 2016). Its route passes through the port of Batumi, Alat, Aktau Port, Beyneu, Zhezkazgan, and Balkhash-1. This is an alternative route for delivery of cargoes from the West to the East – through Ukraine, Georgia, Azerbaijan, and Kazakhstan to China – bypassing the territory of Russia.