Kazakhstan-China
29.01.2021
China to reinstate the 18 trains per day benchmark but instead an agreement in late December only increased the daily limit to 15-16 trains. The main bottleneck is on non-containerized freight wagons, mostly acutely affecting agricultural commodities.
The Kazakh grain exporter Food Contract Corporation sent 438 rail wagons to the border in October, with only 60 wagons crossing by December. Shokan Badykhan, executive director of the Grain Union of Kazakhstan, has said the problem is expected to continue throughout the first quarter of 2021 - tribunecontentagency.com reports. Trucks attempting to cross at the Nur Zholy/Khorgos road crossing have faced delays. Where previously 100-150 automobiles were passing per day, the China side of the checkpoint is now only accepting 20-30 per day. Rail freight backed up at the Dostyk and Altynkol border crossings reportedly totals more than 7,000 wagons, some of which have been waiting for up to 42 days. Freight delays started in October, with agricultural exporters hit hardest, as grain and oilseed products can spoil if not delivered on time. Freight forwarders are also exposed to losses as they fear fines from their Chinese-side buyers for failure to deliver, leading to calls for the Kazakhstan Ministry of Industry and Infrastructure Development to issue force majeure notices for Kazakh exporters.
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