Kazakhstan, China Introduce Digital Cross Border Permits to Facilitate Shipments

Kazakhstan and China have begun exchanging digital foreign permit forms (FPFs), which allow carriers to go overseas with cargo.

According to the ministry’s statement, the electronic system was formally inaugurated after testing the first freight vehicle on Nov. 27.

According to Altai Ali, chair of the Committee for Automobile Transport and Transport Control, the introduction of a digital form facilitates the process of cargo transportation.

“Those involved in the shadow market are now attempting to generate a buzz around it, claiming it was a hasty decision. However, practice shows and figures speak for themselves that the number of forms needs to be increased, and the process of international transportation needs to be simplified as much as possible. It is important not to interfere with carriers, but to create conditions for them, including working out alternative routes and providing foreign permit forms,” Ali said.

Since the beginning of this year, a record 190,000 permit forms for the movement of goods have been exchanged with China. The relevant departments of the two countries discussed an additional FPF exchange of 40,000 units. Thus, 30,000 FPF units were exchanged under the new system in digital format, with a further 10,000 paper FPFs exchanged on Nov. 29.

Over the past two years, the exchange of paper permits with China has increased from 50,000 to 230,000.

In general, Kazakh carriers’ participation in international road transport has risen from 31% in 2021 to 52% by 2023. Kazakhstan currently exchanges foreign permits with 42 nations. This year saw a record exchange of 364,705 FPFs, said Ali

The transition to the digital format of the FPF exchange became possible thanks to the document signed in May 2023 as part of the state visit of President Kassym-Jomart Tokayev to Xian.

The volume of cargo transportation along the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor, increased by 68% to 3.8 million tons in January-October. 

Also, the European Union strengthens connectivity within the Central Asian region through the Global Gateway initiative. Its strategy is to invest in infrastructure projects worldwide, with its long-term objective to enhance the capacities of the Middle Corridor.

The Middle Corridor connects Southeast Asia and China with Europe. It traverses Kazakhstan, the Caspian Sea, Azerbaijan, Georgia, and Türkiye before reaching the European Union countries.