‘Khorgos-Eastern Gate’ Intends to Create Favourable Business Environment for Investors

The Khorgos Dry Port on the border with China plans to update its operations to better attract investment to the region, reported the press office of the Kazakhstan Temir Zholy (KTZ) National Railway Company.

Photo credit: total.kz

Photo credit: total.kz

It is required to improve the structure of procedures and processes, starting from the date of application for registration and ending with a delivery of a product, its officials believe. For instance, this year the dry port plans to process about 200,000 containers, and by 2020, reach 500,000 containers annually.

“All conditions are done for transit growth. The Khorgos-Eastern Gate Special Economic Zone is crucial for the entire transport and logistics sector of Kazakhstan. Therefore, we cannot slow down tempos,” said President of KTZ Askar Mamin.

According to President of KTZ Express Sanzhar Yelubayev, which manages the Khorgos Dry Port project, the company has accelerated the volume of containers shipped by rail by almost 100 percent due to a combination of signed contracts, fair participation in tenders and direct investment.

Today, construction of 80 percent of the second complex of the Khorgos Dry Port has been finished. The works are scheduled to be completed in May 2016.

Director General of KTZ Khorgos – Gateway LLP Karl Geisen said DP World, a company contracted to provide managerial expertise, has developed and implemented modern IT technologies that will synchronise internal and external business processes of the dry port and work on the principle of “single window.” In addition, he reported that training sessions were provided for the staff on an ongoing basis, most of whom, incidentally, are residents of the adjacent Almaty region.

Furthermore, relating to the Khorgos International Centre for Border Cooperation (ICBC), six investment projects have been launched for development of export-import trading operations as well as a logistics contract worth $300 million. Another 26 projects are under consideration.

Creation of the ICBC opens up additional possibilities to expand international trade and develop tourism industry with the formation of a visa exemption territory for Kazakhstan and Chinese citizens, which is an attractive offer for entrepreneurs and tourists from near and far abroad.

Implemented by KTZ within the framework of Nurly Zhol new economic policy, the Khorgos-Eastern Gate gives a powerful impetus to the development of the transit-transport potential of Kazakhstan and allows it to fully contribute to the formation of the Silk Road Economic Belt, an initiative promoted by neighbouring China.