DP World expert tells about prospects of "Khorgos - Eastern Gate" SEZ
"Khorgos-Eastern Gate" SEZ was created for increase in export and transit capacity of Kazakhstan in the Eurasian region, development of competences of the global logistics and attraction of foreign investments.
Thanks to the agreement between JSC "KTZ and DP World Oil Company, since 2015 work on effective project implementation was conducted. Deputy director general on commerce of DP World Hicham Belmaachi told BNews.kz about the level of development of SEZ, what new technologies and clients were attracted in the project and the prospects of the zone.
The DP World Company is the largest world port operator who is based in an emirate free economic zone "Dubai – Jebel Ali". The company manages 60 operating terminals in thirty one countries of the world with a scope of six continents. DP World is under control of the largest world investor and the developer of the Dubai World company belonging to the government of the UAE.
In 2013 JSC KTZ National Company and the DP World company signed the agreement on cooperation on management of the Special economic zone "Khorgos-Eastern Gate" created for the purpose of increase in export and transit capacity of Kazakhstan in the Eurasian region, development of competences of the sphere of global logistics, attraction of foreign investments.
- How do you estimate the level "Khorgos-Eastern Gate" SEZ development?
- The project approaches to it completion. We put it into operation in the next 2-3 weeks. All infrastructure is almost ready. We will be ready to meet investors. It is necessary to notice that an important part of SEZ is a railway terminal. There all activities began on July 29, 2015. With might and main there is an overload of trains which go from China to Kazakhstan.
- Within the contract with KTZ on SEZ, KTZ shall build dry port, and the management of DP World promised to bring new technologies in the project and to bring the clients and partners. Could you tell us please, what technologies you enclosed in development of SEZ and what the situation with clients is?
- According to the agreement, DPW involves the employees on the territory of Kazakhstan to work on a special economic zone. They impart experience. Now in the territory of SEZ there are 5 specialists from DP World which are a part of a management. Each specialist is involved in different departments. Also DP World organized trainings for the Kazakhstan specialists abroad. Groups of people were sent to India and Dubai already several times. There they got acquainted with an internal process and returned with new knowledge.
The most important value of this agreement with KTZ is experience exchange, a cooperation. The construction and involvement of the employees is the first stage. The second stage is already involvement of new clients. DP World presents the project SEZ "Khorgos" to the partners abroad. All transactions on transportation of freight will take place according to international standards the same as in Dubai, Australia and Hong Kong. So process of cargo deliveries will be completely changed.
- When you began work in the project what it was necessary to face? What is a difference between a situation in Kazakhstan and the European standards in work of SEZ?
- Frankly speaking, I arrived to Kazakhstan from the very beginning of the project when there were nothing. It was big plus. The biggest problem was to gather all representatives and to discuss the idea. We were lucky that the project is under the auspices of the government, and it was created according to the presidential decree. It helps with communication with people. Based on SEZ work experience in Dubai which we want to apply also in Kazakhstan there shall be a possibility of discussion of any situations and acceptance of the common decision. Let's say there are some obstacles from the law. The government of the country listens and gives the chance to make changes.
- What economic prospects of development of SEZ you see?
- Throughout a large number of years there was a lot of talk on revival of the Great Silk way. I think, now ideal time for all countries involved in this process, in development of the Great Silk way to gather and pay special attention to SEZ. I can give an example. If you are in the east of Asia and want to dispatch the cargo to Europe, then you will face that 90% of transportations are maritime transports, other 10% are air transportation.
The railway track isn't especially developed. Now, thanks to development of infrastructure, support of a management of Kazakhstan and China and application of international standards, the project will help us to provide a third of rail haulings as an alternative. Rail hauling is quicker, than sea, and cheaper, than air transportation. SEZ "Khorgos" is in the important strategic place. Potential at this project just unimaginable.
- Thanks for a conversation!