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Georgian railway's experiences with belt and road initiative: Advantages and disadvantages

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  • Gondauri, Davit

Abstract

Georgia's railway network is a key segment of the TRACECA, the shortest route from the Caspian Sea and Central Asia to the Black Sea and the Mediterranean Basin. Georgian Railway Corridor has a number of advantages over pipeline, alternative railways and auto transport. Changing the quality of crude oil does not occur during rail transportation, no pipelines for oil products. The Russian rail routes have a competitive disadvantage compared to Georgia as Novorossiysk Port is typically frozen in winter and operations are frequently delayed. The Russian and Iranian routes are significantly longer than the Georgian route, which increases costs, risks, and transportation time. The railway route running through Iran is less attractive than the Georgian route due to the tense political relations between Iran and the West. Railway transportation is considered safer and more environmentally friendly than road transportation. Expensive bulk transportation - in cases of bulk transportation, the railway is considered cheaper than the road.

Suggested Citation

  • Gondauri, Davit, 2022. "Georgian railway's experiences with belt and road initiative: Advantages and disadvantages," Discourses in Social Market Economy 2022-4, OrdnungsPolitisches Portal (OPO).
    • Handle: RePEc:zbw:opodis:20224
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    1. Davit Gondauri & Manana Moistsrapishvili, 2019. "Statistical and Financial Analysis of Georgian Railway`s Main Performance Indicators in 2006-2019," International Business Research, Canadian Center of Science and Education, vol. 12(10), pages 64-74, October.
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      Keywords

      Georgian railway; BRI; TRACECA; EVA; CAGR; GDP;
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