The implementation of the permit system for cargo transportation between Kazakhstan and Georgia became the key topic of the extended session of the Senate Committee on Economic Policy, Innovative Development and Entrepreneurship.
This was due to the need to protect the national interests of the state, and in particular to enhance the position of domestic carriers operating in the Kazakh-Georgian sector, as well as those performing transit cargo transportation across the two countries.
It should be noted that currently transportation is carried out on a permit-free basis. This allows the Georgian side, as well as foreign companies registered in Georgia, to predominate in this market direction. For instance, in 2019, they held 69% of the total market.
After the operating principle is changed to a permit-based one, the possibility will arise to establish parity in international transportations, increase the share of Kazakhstani carriers, as well as to enhance their competitive ability.
The bill “On Ratification of the Protocol on Amendments and Additions to the Agreement between the Government of the Republic of Kazakhstan and the Government of Georgia on International Road Transport of March 6, 2007” stipulates that each cargo transportation should be issued a separate permit entitling to make one round trip run. The bill also states that the parties shall annually transfer to each other a mutually agreed number of permit forms for transportation of goods. Herewith, the forms should be stamped and signed by the competent authority that issued the permits.
The bill is submitted by the Committee on Economic Policy, Innovative Development and Entrepreneurship to the House for consideration.
