Turkmenistan is working extensively to develop market relations, efficiently use natural resources and promote health and well-being of the people. This contributes to economic growth and strengthens the position of Turkmenistan in the Central Asian region. An analyst for Central Asia Vadim Shagiakhmedov commented on this in his interview with CentralAsia.news.
Turkmenistan has great opportunities thanks to its geopolitical location. Its foreign policy is grounded on good neighbourliness and mutually beneficial cooperation. This enables the country to take an active part in the economic integration of Central Asia and use natural resources and export capacity to meet the regional market demands.
Energy sector
Turkmenistan that ranks among the hydrocarbon-richest countries in the world occupies a leading position in the region in this field. It exports large volumes of natural gas and electricity to Uzbekistan and Kyrgyzstan.
Currently, Turkmenistan and Uzbekistan are working under the natural gas supply agreement. In accordance with the document, Turkmenistan exports 2 billion cubic metres of ‘blue fuel’ to the Uzbek market annually. Furthermore, Uzbekistan is one of the biggest importers of electricity from Turkmenistan and a transit country for Turkmenistan’s electricity exports to Kyrgyzstan that received 1 billion kilowatt-hours in the first half of 2023.
Moreover, the Central Asian states as transit countries play an important role in Turkmenistan’s natural resource exports to world markets.
Transport sector
In recent years, the demand for international transportation through Central Asia has increased sharply. Under these circumstances, Turkmenistan intends to make the most of capacities of the international airports and the sea harbour of Turkmenbashi. Roads and railways in the regions of the country have been modernised and brought into compliance with international standards.
Currently, the construction on the Ashgabat-Turkmenabat highway and the international airport in Jebel is underway. These projects will facilitate much more the enhancement of the reputation of Turkmenistan as a transport and logistics hub of the region.
The Turkmenbashi international port is a fast and convenient destination for goods exports from Uzbekistan and Kyrgyzstan to Russia, Azerbaijan and the European market.
The parties signed the Memorandum on the Russia-Caspian Sea-Turkmenistan-Uzbekistan-Kyrgyzstan multimodal transport corridor at the SCO Transport Forum, which was held in Tashkent in the autumn of 2023. Thus, transit freight volumes have increased. In January-December 2023, 52 container trains passed through the territory of Turkmenistan along the routes Uzbekistan-Azerbaijan-Georgia and Russia-Kazakhstan-Turkmenistan-Iran.
Together with its partners, Turkmenistan is creating a multimodal transport network along the East-West and North-South transport routes. In the future, this network will connect the Caspian, Black and Baltic Sea regions.
Turkmenistan is taking consistent measures to fulfil the tasks of promoting freight transport via the Uzbekistan-Turkmenistan-Iran-Oman and China-Tajikistan-Uzbekistan-Turkmenistan-Iran-Turkey transit corridors. All these projects certainly prove that Turkmenistan is an important link of the regional transport and logistics network.
Trade and economic cooperation
Turkmenistan has created excellent opportunities for state-owned companies and entrepreneurs. Good exports to the markets of the Central Asian states are rapidly growing. Sweets, confectionery and greenhouse products, mainly tomatoes, are in great demand in the region.
Currently, Turkmenistan meets more than half of the demand for tomatoes on the Kazakh market. Kyrgyzstan purchases greenhouse tomatoes from Turkmenistan as well. In 2023, tomatoes grown by Turkmen businessmen reached the tables of consumers in Tajikistan for the first time, and now Turkmenistan is boosting tomato exports to Uzbekistan.
The list of Turkmen exports to the regional markets is increasing thanks to the economic diversification policy of President Serdar Berdimuhamedov. Currently, this list includes household chemicals, building materials, furniture and electronic devices, along with food products.
Exports will continue growing in the future, as the Turkmen people have a saying “the prosperity of the world begins with the neighbour’s house”. Adhering to this principle, the authorities of Turkmenistan are promoting reliable economic cooperation and building good relations with all countries in the region.
