According to the results of 2023, the trade turnover of Kyrgyzstan with the countries of the Organization of Turkic States amounted to $2.6 billion. This is 20% of the total trade turnover with all countries. This was stated by the Deputy Chairman of the Cabinet of Ministers of Kyrgyzstan, Edil Baisalov, during the second forum of the Organization of Turkic Peoples.
Moreover, each member country of the union: Turkiye, Azerbaijan, Kazakhstan, Uzbekistan, and Turkmenistan, expressed a desire to deepen relations with Kyrgyzstan, and there are several reasons for this.
The first reason is the China-Kyrgyzstan-Uzbekistan railway. Once operational, this railway promises to become the shortest route to Turkey and Europe. The speed of cargo delivery will increase due to the reduced distance, which will enhance competitiveness in the international transit market. The road is expected to be built within three years, and between 7 million to 13 million tons of cargo will be transported annually by rail.
Additionally, the alternative North-South road will significantly bring Uzbekistan closer to the northern part of Kyrgyzstan, and subsequently to Kazakhstan. This will improve trade and tourism relations among the three union countries.
The fact that Kyrgyzstan borders such a trade giant as China is of great significance for the member countries of the organization. As noted by Mustafa Rifat Hisarcıklıoğlu, president of the Union of Chambers and Commodity Exchanges of Turkiye, the Chinese market cannot be ignored, as the prospects for the union countries are significant, and Kyrgyzstan, in turn, will be able to earn at least on the transit of goods.
He also emphasized that investments in Kyrgyzstan mean access to the huge EAEU market with a 180-million audience, and the creation of a customs union within the framework of Turkic states should be a mandatory issue to be resolved. One of the first steps in this direction was the creation of the Turkic Investment Fund, which will finance priority projects in the OTS countries on preferential terms.
According to official data, the total GDP of the OTS countries amounted to $1.5 trillion by the end of 2023.
"This is a huge market. We must use all resources: economic and human, to develop our cooperation. For Kyrgyzstan, this union is of particular importance because we share a common history," said Edil Baisalov.
Meanwhile, in the first four months of this year, Kyrgyzstan's trade turnover with the OTS countries amounted to $777 million 135.9 thousand.
The largest partner was Kazakhstan with $336.4 million, followed by Uzbekistan and Turkey with $218.6 million and $181.5 million, respectively. Trade turnover with Turkmenistan amounted to $37.1 million, and with Azerbaijan $3.5 million.
It should be noted that Kyrgyzstan primarily imports goods from these countries rather than exporting to them. The opposite situation is noted only with Azerbaijan, where exports amounted to $2.5 million and imports to $1 million. Kyrgyzstan mainly supplies food products and medicines and buys polyethylene, sugar, and chocolate from Azerbaijan. Vice President of the National Confederation of Entrepreneurs of Azerbaijan, Vugar Zeynalov, stated that trade turnover between the countries remains insignificant, and to correct and increase it, special attention must be paid to logistics issues.
CentralasianLIGHT.org
June 28, 2024