Category: Asia and Pacific

  • THE IRON SILK ROAD ADVANCES FURTHER

    THE IRON SILK ROAD ADVANCES FURTHER

     

     

     

    THE IRON SILK ROAD ADVANCES FURTHER

    By Vladimir Socor

    Friday, July 25, 2008

     

    Presidents Ilham Aliyev of Azerbaijan, Mikheil Saakashvili of Georgia, and Abdullah Gul of Turkey inaugurated on July 24 in Kars the construction work on the Turkish section of the Kars-Tbilisi-Baku (KTB) railroad. A project of inter-continental significance, connecting Europe and Asia through the South Caucasus, this “Iron Silk Road” is being built by the region’s countries through their own efforts.

    Azerbaijan is the locomotive in the KTB railroad, as in the region-wide energy projects. Baku single-handedly finances the railroad’s construction on Georgian territory, drawing on early oil revenues to invest in this strategic railroad. Azerbaijan rescued the project after the European Union, international financial institutions, and Turkey for various reasons had declined to finance the Iron Silk Road. According to Turkish Transportation Minister Bineli Yildirim, “If Ilham Aliyev had not demonstrated resolve, this project would not have been possible. Azerbaijan’s decision to finance the Georgian section is the most important step in the implementation of this project” (Trend Capital, July 14).

    The KTB project involves construction of 105 kilometers of new rail tracks from scratch, including 76 kilometers on Turkish territory to the Georgian border and 29 kilometers within Georgia. It also necessitates repair and upgrading of 183 kilometers of existing rail track on Georgian territory. The overall costs are estimated (in 2007 U.S. dollar terms) at $600 million, including $422 million for the railroad itself and nearly $200 million for associated infrastructure.

    The International Bank of Azerbaijan has provided a $200 million loan for the project on uniquely preferential terms: 25-year repayment period, at only 1 percent annual interest. Georgia will repay the loan by using part of the revenue generated by the railroad on Georgian territory.

    Azerbaijan, Georgia, and Turkey signed the intergovernmental agreement on KTB in February 2007. Construction work on the Georgian section started in November 2007, with Azerbaijan’s Azerinshaat Service company acting as general contractor.

    Speaking at the inauguration of work on the Turkish section on July 24, Saakashvili remarked that Azerbaijan is acting in practical terms as a “guarantor of Georgia’s independence,” financing the railroad now after having supplied Georgia with low-cost gas during the Russian blockade of January-February 2006. “The Georgian people will never forget this,” Saakashvili commented (Kavkas-Press, July 24).

    The railroad is scheduled for completion in 2011. It is expected to carry 1.5 million passengers and 6.5 million tons of cargo per year during the first three years of operation. Traffic is projected to increase to 3 million passengers and 15 million tons of cargo per year until 2015. This could stimulate a substantial expansion in the capacity of Turkish State Railways, which currently handles 19.5 million tons of cargo annually (Anatolia Agency, Turkish Daily News, July 20, 21).

    Functionally interrelated with the KTB, though a distinct entity, is Turkey’s Marmaray project to build a railroad tunnel under the Bosporus. With completion expected by 2010, the tunnel will enhance the KTB railroad’s commercial attractiveness. Trains will be able to travel without interruption from any point in Europe (e.g., London) continuously to the Caspian Sea.

    On the eastern Caspian shore, Kazakhstan is interested in a trans-Caspian linkup with KTB’s terminal in Baku. The KTB railroad will open direct access for Kazakhstan to European Union territory for the first time. Kazakhstan plans a massive increase in its commodity exports to Europe, including grain exports. With this in mind, Kazakhstan is completing an 800,000-ton grain-handling terminal near Baku, for trans-shipment from barges to the railroad.

    Asked about Armenia’s absence from the KTB project, President Gul commented in general terms that countries wishing to participate in region-wide projects should respect the territorial integrity of their neighbors (Zaman, July 24). This diplomatic comment reflects the ongoing feelers between Turkey and Armenia about a possible high-level meeting to ameliorate relations (see article by Gareth Jenkins below). In fact, Yerevan had actively opposed the KTB project and worked with its allies in the United States and Europe to block international funding for it.

    Yerevan had hoped to force a change of route, diverting the KTB line from Kars to Gyumri in Armenia. This would have made no economic sense inasmuch as the Kars-Gyumri line (existent, but closed by Turkey due to Yerevan’s occupation of Azerbaijani lands) is a sideline, of merely local interest. Earlier, and similarly, Yerevan and allied groups in the West had unsuccessfully opposed the Baku-Tbilisi-Ceyhan oil pipeline.

    Thanks to KTB, Azerbaijan and Turkey will be linked with each other by railroad for the first time, albeit through Georgia. In addition, Baku and Ankara intend to connect Nakhchivan, the Azerbaijani exclave, with Turkey’s railroad system. President Aliyev and Turkish Prime Minister Recep Tayyip Erdogan agreed during their recent meeting in Nakhchivan to go ahead with this project (Trend Capital, July 14).

    In a related development, Turan Air company in Baku inaugurated on July 21 regular direct flights between Haidar Aliyev International Airport and Kars (Day.az, July 21). Azerbaijan, Georgia, and Turkey are beginning to form what amounts to a common economic region, increasingly connected with Europe and potentially with Central Asia, on either side of this region’s territory.

  • TURKEY AND ARMENIA: FROM SECRET TALKS TO “SOCCER DIPLOMACY”?

    TURKEY AND ARMENIA: FROM SECRET TALKS TO “SOCCER DIPLOMACY”?

     

     

    TURKEY AND ARMENIA: FROM SECRET TALKS TO “SOCCER DIPLOMACY”?

    By Gareth Jenkins

    Friday, July 25, 2008

     

    On July 24, the presidents of Turkey, Georgia and Azerbaijan formally inaugurated the Turkish section of the Baku-Tbilisi-Kars railroad, which will eventually provide the first ever rail link between the three countries. Speaking at the groundbreaking ceremony, Turkish President Abdullah Gul declared, in an unmistakable reference to Armenia, that “this project is open to all countries in the region who wish to contribute to good, neighborly relations, peace and prosperity” (NTV, CNNTurk, July 24).

    Armenia and Turkey do not have any official diplomatic relations and the border between the two countries has been closed since 1993, following the war in Nagorno Karabakh between ethnic Armenians and the Azeri government in Baku. In recent years, hopes of an improvement in relations between Turkey and Armenia have been frustrated by continuing differences over the status of Nagorno Karabakh and—more intractably—the treatment of ethnic Armenians during the final years of the Ottoman Empire, culminating in 1915-16 in the massacre and deportation of virtually the entire Armenian population of Anatolia.

    As a result, Ankara has consistently excluded Armenia from its plans to make Turkey into an energy and transportation hub. The Baku-Tbilisi-Ceyhan (BTC) oil pipeline and the Baku-Tbilisi-Erzurum (BTE) natural gas pipeline both pointedly circumvent Armenia. The 76 kilometer (48 mile) Turkish section of the Baku-Tbilisi-Kars railroad is currently expected to be completed in late 2010 or early 2011 at a total cost of $241 million. The initial target is for the railroad to carry 1.5 million passengers and 6.5 million tons of freight in the first year after it comes into service (Today’s Zaman, July 25).

    In addition to connecting Turkey, Georgia and Azerbaijan, Ankara hopes that the railroad will form another link in a rail network that will eventually connect, via Turkey, China and Central Asia to western Europe. The Marmaray Project to bore a rail tunnel under the Bosporus and connect the Asian and European shores of Istanbul is currently scheduled for completion in 2011.

    Armenia opposed the building of the Baku-Tbilisi-Kars railroad, pointing out that there is already a railway running from Tbilisi to Kars via the Armenian town of Gyumri, although it has been out of use since the closure of the Turkish-Armenian border in 1993.

    It is currently unclear what concessions Gul envisaged when he apparently made Armenian participation in the new rail project conditional on Yerevan making a contribution to “good, neighborly relations, peace and prosperity.” For the moment at least, the respective positions of Turkey and Armenia on issues such as Nagorno Karabakh and the massacres and deportations of ethnic Armenians in the late Ottoman Empire appear so far apart as to be irreconcilable. Even if the two countries could reach some form of understanding over the latter, a solution to the problem of Nagorno Karabakh is beyond Turkey’s control as it depends on an agreement between Armenia and Azerbaijan. There is currently no indication that one is imminent.

    Nevertheless, there have recently been signs of a slight thaw between Turkey and Armenia. Even though the border between the two countries remains closed, there are now regular flights between Turkey and Armenia by both the privately-owned Turkish Atlas Jet and the Armenian state-owned carrier Armavia.

    On July 18, Turkish Foreign Minister Ali Babacan appeared to confirm rumors in the Turkish media that diplomats from Turkey and Armenia had met in Switzerland for several days of informal talks about ways of improving ties. “Such talks are held from time to time,” said Babacan. “We have problems about current issues and disagreements about the events of 1915. It is essential that these problems are handled through dialogue” (Today’s Zaman, July 19).

    The Turkish Ministry of Foreign Affairs (MFA) also issued a statement admitting that in recent years there had been occasional informal contacts between Turkey and Armenia and noting that Turkey had been one of the first countries to recognize Armenia when it declared its independence from the Soviet Union in 1991. “Meetings between members of the foreign ministries of the two countries are part of these contacts. We believe that no different meaning should be attributed to these meetings,” said the MFA statement (Today’s Zaman, July 19).

    A previous series of informal discussions in 2005 failed to produce any result. In recent years, hopes of an improvement in relations have been complicated by events such as the motion brought before the U.S. Congress in fall 2007 calling on the United States to recognize what happened to the Armenians in 1915 as a genocide and the racist murder in Istanbul in January 2007 of Turkish-Armenian journalist Hrant Dink.

    But, even if diplomats from Turkey and Armenia remain reluctant to be seen meeting with each other, the two countries will come together in the most public of ways later this year. On September 6, the Turkish and Armenian national soccer teams are due to meet in Yerevan in the first ever match between the countries after they were both drawn in the same group in the qualifying stages for the 2010 soccer World Cup in South Africa. Armenian President Serzh Sarksyan has already invited Gul to Yerevan to watch the match. Gul has yet to reply to the invitation. Given the often extreme mutual antagonism between nationalists in both countries, traveling to Yerevan would require Gul to display both personal and political courage; as it would for Sarksyan to attend the return match in Istanbul. But there is also little doubt that, even if it did not produce any immediate results, such “soccer diplomacy” could contribute to a further easing of tensions and perhaps lay the foundations for an eventual reconciliation.

  • U.S. HELSINKI COMMISSION TO HOLD HEARING ON HUMAN RIGHTS AND DEMOCRATIZATION IN AZERBAIJAN

    U.S. HELSINKI COMMISSION TO HOLD HEARING ON HUMAN RIGHTS AND DEMOCRATIZATION IN AZERBAIJAN

    234 Ford House Office Building
    Washington, D.C. 20515-6460
    Hon. Alcee L. Hastings, Chairman
    Hon. Benjamin L. Cardin, Co-Chairman
    For Immediate Release
    www.csce.gov
    Media Contact: Lale Mamaux
    202.225.1901
    July 24, 2008

    (Washington, D.C.) Congressman Alcee L. Hastings (D-FL), Chairman of the Commission on Security and Cooperation in Europe (U.S. Helsinki Commission) and Co-Chairman Senator Benjamin L. Cardin (D-MD), will hold a hearing entitled, “Human Rights and Democratization in Azerbaijan.” The hearing will be held on Tuesday, July 29 at 3:00 p.m. in room B-318 of the Rayburn House Office Building.

    Azerbaijan has one of the fastest growing economies in the world and plays a pivotal role in diversifying sources of energy. A moderate Muslim country, Azerbaijan enjoys good relations with the United States. On human rights, however, the Organization for Security and Cooperation in Europe (OSCE) and the Council of Europe have numerous concerns, including freedom of the media, political prisoners and the conduct of elections.

    With an upcoming presidential contest in October, Azerbaijan has an opportunity to hold an election that meets OSCE commitments, as well as implement other reforms. The hearing will examine the state of human rights and democratization in Azerbaijan and discuss how U.S. – Azerbaijan cooperation could help promote advances.

    WITNESSES

    The Honorable David Kramer, Assistant Secretary of State for Democracy, Human Rights and Labor

    His Excellency Yashar Aliyev, Ambassador, Republic of Azerbaijan

    Mr. Chris Walker, Director of Studies, Freedom House

    **Additional witnesses may be added

    The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, is a U.S. Government agency that monitors progress in the implementation of the provisions of the 1975 Helsinki Accords. The Commission consists of nine members from the United States Senate, nine from the House of Representatives, and one member each from the Departments of State, Defense and Commerce.

  • Turkey and Kyrgyzstan Sign Agreement on Military Aid

    Turkey and Kyrgyzstan Sign Agreement on Military Aid

    Kyrgyzstan, Bishkek, 24 July / corr. Trend News R.Meshedihasanli / The governments of Kyrgyzstan and Turkey signed in Ankara an agreement on free military aid and the Kyrgyz Defense Ministry and the Turkish General Headquarters signed a protocol to grant financial aid to the Kyrgyz Armed Forces.

    Abilov, the Kyrgyz Plenipotentiary Ambassador to Turkey, and Major General Alpaslan Erdogan, the head of defense planning and resource management department of the Turkish General Headquarter, signed these documents.

    Within the framework of these international agreements, the Turkish Government issues grant in the amount of 1,312,425 the Turkish liras (more than $1mln) to the Kyrgyz Government, which will be directed to the assistance in development of bilateral relations between two countries,” The Kyrgyz Defense Ministry told Trend News.

    Source: news.trendaz.com, 24.07.08

  • Turkey, Georgia, Azerbaijan launch joint rail link

    Turkey, Georgia, Azerbaijan launch joint rail link

    By Hatice Aydogdu

     

    KARS, Turkey, July 24 (Reuters) – Leaders of Turkey, Georgia and Azerbaijan launched a railway project between the three countries on Thursday, building on links already forged by gas and oil pipelines.

     

    At a railway station in the eastern Turkish border town of Kars the presidents of the three countries held a ground breaking ceremony for the $290 million Turkish section of the railway.

     

    The three countries are already linked by the BP-led Baku-Ceyhan oil pipeline and the Baku-Tbilisi-Erzurum gas line but trade links between Turkey and the Caucasus region are limited.

     

    Turkish President Abdullah Gul, Georgia’s Mikheil Saakashvili and Azerbaijan’s Ilham Aliyev placed three sections of railway track on a large map of the region in a symbolic launch of the project as confetti showered down.

     

    A tender last September for construction of the 76-km (47-mile) Turkish stretch of the railway was won by the Ozgun Yapi-Celikler joint venture with a bid of $289.8 million, the lowest of 14 bids.

     

    The project involves new track construction and renewal of existing track, and is expected to be completed in 2011. (Writing by Daren Butler; Editing by Jon Boyle)

  • Turkish stretch of railway linking Turkey, Georgia, Azerbaijan launched

    Turkish stretch of railway linking Turkey, Georgia, Azerbaijan launched

    ANKARA, Turkey: The Associated Press – The presidents of Turkey, Georgia and Azerbaijan have launched the construction of the Turkish stretch of a railway linking their nations.

    The US$600 million rail line will connect the Azerbaijani capital, Baku, with the eastern Turkish city of Kars, via the Georgian capital, Tbilisi.

    The project is one of several linking oil-rich Azerbaijan and Central Asia with Turkey and European markets while bypassing Russia.

    A groundbreaking ceremony in Kars Thursday marked the start of the 50 mile (76 kilometer) Turkish section of the 110 mile (180 kilometer) railroad.

    “We are launching the iron Silk Road,” Turkey’s Abdullah Gul said. “It will link China in Asia to London.”

    The Silk Road was an ancient Asian trading route. The railway will be operational in 2011.

    Source: International Herald Tribune, July 24, 2008