7 Jul 2022 17:45

Armenia considers port of Batumi as alternative to Poti for transportation of goods to port of Kavkaz

YEREVAN. July 7 (Interfax) - The port of Batumi could be used to launch subsidized ferry transportation of goods from Armenia, if the corresponding permission is not received from the port of Poti, Armenian Minister of Economy Vahan Kerobyan said.

"We hope that a decision will be received from the port of Poti in the coming days. If not, then we will move on to plan B, and we will be able to use the port of Batumi. The task is extremely important for us, since Armenia must have good and reliable communication with the world," he said. Kerobyan at a briefing following a government meeting on Thursday.

According to him, the operator of the port of Poti, the international company APM Terminals, has not yet given permission to launch cargo transportation from Armenia on the Kavkaz-Poti ferry, since it has joined the sanctions against Russia.

"The Batumi port is managed by the Philippine company ICTSI, from where it is much easier to obtain permission. A good option is the port of Poti, but if it does not work out, then the port of Batumi will be considered," the minister said.

The Armenian government has authorized C&M International to sign agreements with the Russian Railways (RZD) and the South Caucasus Railway (a 100% subsidiary of RZD) as the operator of ferry transportation of goods of local origin between the Georgian port of Poti and the Russian port Caucasus.

Earlier, Kerobyan stated that the launch of subsidized cargo transportation from Armenia on the Kavkaz-Poti ferry was being delayed due to anti-Russian sanctions. The minister said in May that the transportation would begin no later than June 15, and this week he said that the transportation was planned to start "within a couple of weeks."

"The Armenian government will fully subsidize all the costs of ferry cargo transportation," the minister said.

It noted that in this way Yerevan would receive regular communication with the EAEU railway system, and the load at the Upper Lars checkpoint on the Russian-Georgian border would be significantly reduced.

In connection with the events in Ukraine, problems with maritime transportation have aggravated, most of the cargo from/to Armenia is now transported by land. As a result, there was an additional load on the capacity of the Upper Lars checkpoint.