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Kaluga Region, China and South Korea: International Logistics Corridor Opened

On January 26-27, 2016 a delegation of Kaluga Region Government headed by Alexey Laptev, First Deputy Governor of Kaluga Region, is to visit Dalyan, China, with a business mission.  The visit itinerary includes negotiations with government institutions of China and South Korea. The business mission objective is to promote cooperation in the field of trade, transport and logistics. A memorandum on establishment of Kaluga – Dalyan logistics corridor is to be signed between Kaluga region and Dalyan Group.  

An official ceremony dedicated to departure of the first container train on Dalyan – Vorsino route is to be held within the framework of the business mission. This will be an official launch of new Silk Road project.  The new route is to connect the rapidly developing North-East Asia region with partners and customers in Europe via the Russian territory.  Thus, Vorsino Freight Village multimodal transport and logistics center  is to become an important element to the New Silk Road project development.

A cargo transit from Nord-East China and South Korea via the port of Dalyan and Chinese Eastern Railway and Trans-Siberian Railway will be organized. The new way will be used both for transportation of finished products and components/materials for production facilities operating in Russia and the EU.

The new transportation route provides the following advantages: Russian companies will be able to export more products to Asia, a new major distribution center will be established, the existing production facilities may be expanded, and new ones will be established (increase in the amount of investments in Kaluga Region), new companies from Asian countries will come to the Russian and European markets. 

For instance, Samsung Electronics plant located in Vorsino industrial park, Kaluga Region, manufactures TV sets and home appliances supplied both to Russian customers and abroad (Ukraine, Belarus, Middle Asia and Trans-Caucasian countries, Kazakhstan and Mongolia). Components from China and South Korea are widely used at the plant. Currently components from Asia are delivered by sea transport, which takes more than 50 days.  The delivery period will be shortened by more than two times when the project is implemented.