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ANKARA: Kars Warms To Hub Role As Railway Bypassing Armenia Nears En

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  • ANKARA: Kars Warms To Hub Role As Railway Bypassing Armenia Nears En

    KARS WARMS TO HUB ROLE AS RAILWAY BYPASSING ARMENIA NEARS END

    Today's Zaman, Turkey
    May 2 2013

    It is still hard to compare it to examples in other developed Turkish
    provinces but the centuries-old streets of Kars are now frequented
    by young and ambitious entrepreneurs more than ever before, giving
    early signals of an economic recovery which locals have long hoped for.

    Underlying these growing hopes for an economic leap are some ongoing
    infrastructure projects in this long-neglected corner of the country.

    Standing out among other examples, such as Eastern Turkey's largest
    airport terminal, is a railway project.

    The local government shares a similar optimism to this end. The
    Baku-Tbilisi-Kars (BTK) railroad, which is currently under
    construction, has started attracting investors from around the
    region to Kars months ahead of its planned completion in December,
    Kars Governor Eyup Tepe told Today's Zaman in Kars on Wednesday.

    The completion of the BTK project, popularly known as the Iron
    Silk Road, is of crucial importance to Kars, once a critical trade
    hub sitting at the crossroads of Caucasus trade. A relatively
    underdeveloped province near the Armenian border, problems between
    Ankara and Yerevan, along with the lack of new border gates to benefit
    from trade with Georgia and Azerbaijan, have long undermined Kars'
    potential to grow.

    "We have faith that the BTK will see the region regain its historic
    importance to eventually prosper. ... We are establishing an Organized
    Industrial Zone [OSB] on an area of nearly 1 million square meters
    in Kars to serve as a logistics center for the BTK," Tepe said. He
    said the details of the project would be made public in July.

    The governor added that an Azerbaijan-based company had earlier told
    him that they planned to build their own logistics center in Kars
    and had requested an area of around 130,000 square meters. "This will
    possibly be allocated to them separate from the planned OSB. ... We
    are currently working on the details here," Tepe said.

    Ankara is now expected to finalize the procedures to publicize the
    land for the new OSB in Kars. Part of the land is currently a pasture
    in Kars, where animal husbandry is widespread. The BTK will connect
    to both one of Turkey's busiest ports, Ceyhan in Adana, as well as
    the Ä°stanbul Bosporus undersea tunnel project Marmaray, due to enter
    into service this October, strengthening Kars' aspiration to use its
    geopolitical position to become a global commercial transportation
    hub. The province already undertakes a similar role in energy:
    The South Caucasus pipeline (Baku-Tbilisi-Erzurum) that supplies
    Azerbaijani gas to Turkey travels via Kars.

    Also commenting on the issue, Kars Mayor Nevzat BozkuÅ~_ told Today's
    Zaman that the planned OSB has attracted the interest of local firms
    as well. Underlining that they are ready to provide the necessary
    incentives for the firms that invest in the OSB, BozkuÅ~_ said they
    expect the planned OSB to attract new investors both from abroad
    and Turkey.

    The owner of a large Turkish logistics firm, who was accompanying Tepe
    and BozkuÅ~_ on Wednesday and spoke on the condition of anonymity,
    said he was also interested in joining the OSB project. "We could
    use Kars as a hub to transfer goods between Ceyhan and Central Asian
    markets," he said.

    'Russian-backed Abkhaz railway no alternative to BTK'

    The BTK remains a critical project for the countries involved as
    it will connect Europe to Central Asia while dissolving the Russian
    railway monopoly in the Caucasus.

    Three years after its kick-off, the project was about 60 percent
    complete in 2011. It, however, fell behind schedule due to prolonged
    procedures in the Public Procurement Authority (KÄ°K).

    The BTK's trial runs are expected to start in the first half of next
    year. The envisaged annual number of passengers to be carried by the
    BTK railroad line is 1.5 million while the projected annual amount
    of freight is 3 million tons.

    Some have argued that the planned rehabilitation and expansion of
    the Abkhaz railway, a Russian railway that connects it with Armenia,
    threatens to undermine the strategic importance of the BTK. Tepe did
    not join in commenting that the Abkhaz project would be either an
    alternative or a rival to the BTK. "The BTK's projections go well
    beyond that of others in this region. ... We are preparing for a
    project that will serve a much wider region than this Russian-backed
    project," he said. Tepe also added that the BTK is approaching
    completion at full speed while the Abkhaz plan will take time to
    develop.

    Observers earlier argued that the BTK appears to be the new playground
    of a diplomatic battle between Russia and Turkey to gain geostrategic
    advantage in the Caucasus. Armenia and Azerbaijan have already
    chosen their own sides, leaving the new Georgian government largely
    indecisive.

    Georgia's new government said in December that it had agreed to
    finalize the construction of tunnels along the Kars-Akhalkalaki segment
    of the BTK. A day later, citing economic concerns, Tbilisi said it
    would review the BTK in December. The construction of the tunnels,
    however, began last month.

    http://www.todayszaman.com/news-314291-kars-warms-to-hub-role-as-railway-bypassing-armenia-nears-end.html

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