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Ukraine to Reduce Cargo Transportation Tariffs on Silk Road

Ukraine to Reduce Cargo Transportation Tariffs on Silk Road

The Ukrainian Ministry of Infrastructure is taking measures to reduce the tariffs for the transportation of goods on China-Ukraine-European Union route within the “Silk Road” project.

The corresponding agreement was reached by Ukraine and China after negotiations between government delegations and signing of the subcommittee protocol on trade and economic cooperation. Ukraine and China have agreed to apply the mechanisms of public-private partnerships for infrastructure projects in Ukraine. China has proposed the use “Silk Road” fund for financing such projects.

The Ministry noted the importance of the participation of Chinese companies in goods transport through the port Chernomorsk through the territory of the Silk Road countries including Georgia, Azerbaijan and Kazakhstan. Within the framework of the joint creation of the Silk Road Economic Belt, Ukraine is taking measures to optimize and reduce rates for multimodal transport on China-Ukraine-European Union route.

Earlier, Azerbaijan, Kazakhstan, Georgia and Ukraine signed a protocol on competitive, preferential tariffs for cargo transportation on the Trans-Caspian international transport route — “Silk Road”.

The Trans-Caspian International Transport Route is designed to provide transport connections between the East and West of Eurasia. It will enable the countries to reduce the costs of international cargo transportation.

Azerbaijan, which is already known with its energy projects, will contribute to global transit as a center of new Silk Road with important Trans-Caspian Transport Route. The first test container train on route Shihezi (China)-Dostyk-Aktau-Alat, arrived in Baku international sea trade port on August 3, 2015.

In order to increase the transportation volume through the route, in May, delegations of Azerbaijan, Kazakhstan, Georgia and Ukraine signed a protocol providing competitive preferential tariffs on the Trans-Caspian route. The tariffs came into force from June 1.

Source: azernews