Kazakhstan Could Save Up to $16 Million Annually on Flour and Grain Exports

The Union of Grain Processors of Kazakhstan has proposed developing an alternative export route for flour and grain through Turkmenistan and creating a logistics complex at Bolashak station. This was reported by the Association of Kazakhstan Freight Railway Carriers, citing an appeal from the Union sent to government agencies.

According to the appeal, the majority of Kazakh exports, including grain and flour shipments to Afghanistan, are currently transported through Uzbekistan. The transportation cost along this route is about $55 per ton, while transit through Turkmenistan is estimated at around $47 per ton.

According to estimates by the Union of Grain Processors, the use of the Turkmen route could reduce transportation costs by up to $8 per ton of products. With annual export volumes of 1–2 million tons, potential savings could range from $8 million to $16 million per year.

At the same time, the development of the route through Turkmenistan is constrained by insufficient infrastructure at Bolashak station and limited technological equipment on adjacent sections.

To address these issues, the Union proposes establishing a modern multifunctional logistics transshipment complex. The project may include facilities for handling flour and processed products, capacities for liquid cargo operations, a container terminal, temporary storage warehouses, as well as customs and digital infrastructure.

The Union believes that the development of the Kazakhstan – Turkmenistan – Afghanistan, Iran route will help diversify export destinations and reduce dependence on individual transit countries.