Alat Free Economic Zone and TRACECA Secretariat consider signing a memorandum

The Alat Free Economic Zone (AFEZ) and the Permanent Secretariat of the Intergovernmental Commission (PS IGC) TRACECA are considering signing a Memorandum of Understanding and Cooperation, which would define key areas of joint work.

According to Report, citing TRACECA, the discussions took place during a meeting between TRACECA Secretary-General Zhasurbek Choriyev and Chairman of the Board of the AFEZ Authority Valeh Alasgarov.

During the meeting, the parties also discussed prospects for establishing practical cooperation between TRACECA and the AFEZ Authority.

The talks focused in particular on developing practical cooperation and establishing regular data exchange on the types and characteristics of cargo transported along the TRACECA route. This would help increase the transparency of freight flows, enable a more accurate assessment of the corridor's potential, and help develop competitive proposals for investors, carriers, and cargo owners.

The Secretary-General also presented TRACECA initiatives aimed at simplifying transport procedures and promoting multimodal transportation within the Europe–Caucasus–Asia corridor. It was noted that TRACECA member states are continuing work on the main provisions for the TRACECA Business Council, which is expected to serve as a platform for involving the private sector in corridor projects, as well as on the TRACECA Corporate Partnership Programme.

Following the meeting, the parties confirmed the similarity of their approaches to developing the region's transport and logistics potential.

The Alat Free Economic Zone is located in close proximity to the Baku International Sea Trade Port and at the intersection of the East–West and North–South international transport corridors. The approved master plan covers 719 hectares, while a total of around 6,500 hectares has been allocated for the development of the AFEZ, with more than 1,000 hectares reserved for future expansion.

A 5-hectare logistics centre is currently operating within the zone, with an annual capacity of handling 500,000 tonnes of cargo transported by road. The zone also has access to railway infrastructure.

Construction of a new international airport is ongoing nearby. The cargo and business terminals are planned to become operational no later than the first quarter of 2027, with an initial cargo-handling capacity of 500,000 tonnes per year and the potential to increase this figure to 1.5 million tonnes annually.