Azerbaijan places significant emphasis on fostering relations with Central Asian countries, particularly its engagements with the Turkic states in the region. In recent years, there has been a steady exchange of visits between President Ilham Aliyev and leaders from Central Asian nations.
President Ilham Aliyev’s participation in the Shanghai Cooperation Organization (SCO) Summit in Astana, Kazakhstan, on July 3-4 underscores Azerbaijan’s growing international influence. This marked his fourth visit to Kazakhstan in the last two years and highlights Azerbaijan’s deepening ties with SCO member states, including Kazakhstan.
Azerbaijan’s participation in its second SCO Summit underscores the elevated level of relations between Azerbaijan and member states, including Kazakhstan.
Cooperation in the East-West and North-South transport corridors represents a pivotal area of collaboration between Azerbaijan and SCO member states. Positioned strategically, Azerbaijan’s substantial investments in transportation infrastructure hold the potential to position the country as a pivotal transportation and logistics hub in Eurasia.
Anna Alshanskaya, Head of the Economic Policy Analysis Department at the Institute of Strategic Studies under the President of the Republic of Kazakhstan, emphasized in a press release the significant attention being given to the development of the Trans-Caspian international transport route (Middle Corridor).
Alshanskaya noted that bolstering transport corridors enhances both countries’ roles as pivotal transport hubs, fostering connectivity between Europe and Asia and yielding economic benefits. She highlighted the strengthening commercial and economic relations between the nations, underpinned by regular high-level meetings of heads of state.
“The imperative of streamlining export and import processes remains crucial today, with the Shanghai Cooperation Organization offering valuable opportunities to enhance bilateral relations,” emphasized Alshanskaya.
In light of evolving regional dynamics and post-war realities, the Zangazur corridor opens new prospects for Central Asia, including Kazakhstan, aligning interests between the two countries.
Commendable efforts are underway in constructing the Trans-Caspian fiber-optic cable mainline, integral to the “Digital Silk Way” project, facilitating international transport-communication corridors between Azerbaijan and Kazakhstan.
It is worth noting that on September 28, 2022, a memorandum was signed between ‘AzTelecom’ and ‘Kazakhtelecom’, marking a strategic partnership aimed at laying a fiber-optic communication line across the Caspian Sea. This initiative underscores Azerbaijan and Kazakhstan’s commitment to enhancing regional connectivity through advanced telecommunications infrastructure.
The Joint Governmental Commission on Economic Cooperation, established in 1999, continues to serve as a cornerstone for bilateral relations. Its 20th meeting, held recently in Astana, highlights ongoing efforts to deepen economic ties and foster mutual development strategies.
Parliamentary relations between Azerbaijan and Kazakhstan are robust, supported by active friendship groups within legislative bodies of both nations. These groups play a crucial role in promoting bilateral dialogue and legislative cooperation.
The enduring historical ties between Azerbaijan and Kazakhstan are reinforced by a substantial Azerbaijani community of up to two hundred thousand residing in Kazakhstan. Their contributions across diverse sectors such as science, art, agriculture, and business underscore the depth of socio-cultural integration between the two countries.
In addition to bilateral engagements, Azerbaijan and Kazakhstan are actively expanding cooperation within the Organization of Turkic States (OTS). The recent non-official Summit in Shusha on July 6 focused on strengthening intra-Turkic relations, culminating in the signing of the Garabagh Declaration. This initiative aims to foster stability and collaboration across political, economic, transportation, defense, humanitarian, educational, and cultural domains among member states.
The OTS member countries collectively possess extensive resources, encompassing over 4.5 million square kilometers in territory, a combined GDP exceeding 1.5 trillion dollars, and a population surpassing 160 million. Trade within the organization amounts to 42.3 billion dollars annually, contributing significantly to global trade flows.
Economic ties between Azerbaijan and Kazakhstan are particularly dynamic, with 182 Kazakh-invested commercial entities registered in Azerbaijan across key sectors such as industry, agriculture, construction, transportation, trade, and services. In 2023, bilateral trade reached 598.47 million dollars, reflecting sustained economic collaboration and mutual benefit.
Furthermore, bilateral cooperation in the energy sector continues to thrive, with Azerbaijan facilitating the transit and processing of Kazakh crude oil through strategic pipelines like the Baku-Tbilisi-Ceyhan route. This partnership underscores Azerbaijan’s role as a regional energy hub and enhances Kazakhstan’s global oil market access.
“SOCAR Midstream Operations” LLC began transporting 125,000 tons of oil per month from Kazakhstan’s Tengiz field via the Baku-Tbilisi-Ceyhan pipeline in March 2023. The first loading of Kazakh oil from Aktau port to the “President Heydar Aliyev” tanker took place on March 21 last year, and the second loading to the “Shusha” tanker on March 28.
Relations between Azerbaijan and Kazakhstan are successfully developing not only in all areas but also in the energy sector. The roadmap signed between SOCAR and “KazMunayGaz” in 2023 has created broad opportunities for expanding bilateral relations. Mutual beneficial cooperation, oil processing, transit, and economic-commercial relations are accelerating Azerbaijan’s rapid development, transforming it into a regional energy hub.
It is worth noting that on December 2023, a trilateral meeting was held in Baku between Azerbaijan, Kazakhstan, and Uzbekistan, where the prospects for exporting electricity from Europe through Azerbaijan’s territory were discussed, resulting in the signing of a joint communiqué. The document highlighted cooperation in energy exchange focusing on renewable energy sources, green hydrogen and ammonia development, export, and the creation of corresponding infrastructure. The communiqué also outlined joint projects such as the Caspian-Black Sea-Europe export corridor and the prospects for the Nakhchivan-Turkiye-Europe energy corridor. Therefore, as President Ilham Aliyev stated during his speech at the OTS Summit in Shusha, ‘Our strategic partnership in the energy sector, including our cooperation in renewable energy and energy efficiency, is of great importance.’
According to the Ministry of Energy of Kazakhstan, there are currently 133 facilities producing alternative energy in the country, including 48 wind, 43 solar, 39 hydroelectric, and 3 biogas power stations. These facilities have a total production capacity of 2.5 gigawatts. In the second half of 2023 alone, these stations generated a total of 3.35 billion kilowatt-hours of energy.
According to the United Nations Industrial Development Organization (UNIDO) report, Kazakhstan, located in a region with significant wind flows in the northern hemisphere of our planet, has the potential to produce a large volume of wind energy. Experts from the organization noted that this potential amounts to 1820 billion kilowatt-hours. The Kazakh government plans to install power stations producing a total of 1 million kilowatt-hours of wind energy in 46 districts by 2030 and work is already underway in this direction. With 3000 hours of sunlight per year, Kazakhstan provides favorable conditions for substantial solar energy production, with a potential of 1 billion gigawatt-hours of solar energy production in the country.
As evident, Kazakhstan’s significant potential for large-scale alternative energy production underscores the necessity of its export. The fiber-optic telecommunication route through Azerbaijan’s territory, connecting Europe and Asia via the Caspian Sea, will not only benefit OTS member countries but also contribute significantly to the economies of all regional states. The implementation of such global-scale projects is a result of Azerbaijan’s pragmatic policy. The mutually beneficial cooperation among Turkic states will pave the way for the creation of a major alliance in the near future and enable them to exert influence in global geopolitical processes. Azerbaijan will play a leading role not only in the transit of goods from Asia to Europe but also in the transit of energy.
In conclusion, the comprehensive and dynamic partnership between Azerbaijan and Kazakhstan exemplifies a strategic alignment deeply rooted in historical ties, mutual economic interests, and shared regional aspirations. From high-level political engagements and infrastructure projects to robust trade relations and cultural exchanges, both nations continue to strengthen their cooperation across multiple fronts. As pivotal players in regional and international forums such as the Shanghai Cooperation Organization and the Organization of Turkic States, Azerbaijan and Kazakhstan’s collaborative efforts not only foster economic growth but also contribute to stability and connectivity across Eurasia. Looking ahead, their enduring friendship and proactive diplomacy are poised to further elevate bilateral relations, offering promising prospects for continued mutual benefit and regional integration.
Source: Economic dynamism: Azerbaijan-Kazakhstan relations flourish across sectors (azernews.az)
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