Uzbekistan: Joint transport venture with Afghanistan

Uzbekistan and Afghanistan have established a joint company Sogdiana Trans to organize multimodal cargo transportation and expand transit routes through Afghanistan with access to the ports of Pakistan. The new operator will deliver goods to both bilateral destinations and import products from Russia, Belarus, Kazakhstan and the Baltic states to Kabul. The logistics scheme involves road transportation on the Kabul – Mazar-I – Sharif-Kabul section and a railway connection from Mazar-I-Sharif, located in the immediate vicinity of the border with Uzbekistan. At the first stage, the transportation volume of 150 thousand tons per year is announced, which creates a verifiable base for scaling the service and loading the corridor.

The creation of Sogdiana Trans fits into a broader architecture of regional connectivity, where the Trans-Afghan route plays a key role as the shortest route to the sea for Central Asia. In April last year, the countries of the region agreed on the development of the corresponding corridor; in parallel, specialists from Uzbekistan and partner organizations are working on the project of the Trans-Afghan Railway. In July, an agreement was reached to develop a feasibility study that will determine the route configuration and financing parameters. The preliminary length of the railway is estimated at more than 640 kilometers: from Termez via Naibabad, Maidanshahr and Logar to Kharlachi in Pakistan. The project cost is estimated at $ 4.6 billion. The capacity at the initial stage is projected to reach 3 million tons per year, with a potential increase to 15-20 million tons by 2035-2040. At the same time, an alternative line through Afghanistan from the border with Turkmenistan is being developed with the participation of Kazakhstan, which diversifies export channels and reduces the risks of isolated bottlenecks.

For Uzbekistan, a joint operator is a tool for accelerated integration into international logistics chains, improving the reliability of supplies and developing the export base. Consolidation of road and rail segments within a single provider reduces transaction costs, simplifies insurance and rolling stock turnover planning, and increases the predictability of schedules. For Central Asian businesses, a new delivery "shoulder" is being formed to the port infrastructure of South Asia, which can redistribute flows by cost and time, strengthen the competitiveness of non-primary exports and integrate producers into global value chains. The corridor development vector increases the importance of Termez and Mazar-I-Sharif hubs as logistics hubs, and joint investments in transport and related infrastructure form a multiplier effect for employment and service.