Geographic Focus: Turkmenistan and Uzbekistan

 Project Budget: EURO 475,000

Contractor: West-East GmbH

Implementation timetable: August 1995 through January 1998

Background and Objectives. Even on the main TRACECA routes, fuel, lodging, breakdown services, repair shops, and telecommunication facilities are of low quality and rare. It is not obvious that the new entrepreneurs are emerging fast enough to establish service industries to support the road freight business in the TRACECA region, and in particular roadside support facilities such as are common in the EU. Therefore, pilot operations were set up to introduce service concepts common in the EU.

To that end, (i) the actual roadside services available in the region were assessed, (ii) a market survey was carried out as well as an assessment of the potential business opportunities for road freight transport support services, (iii) service concepts and site locations with high development potential were identified, and (iv) the necessary investment by local and international entities was promoted.

Key Issues and Achievements. EU operator-investors with appropriate specialist management skills were involved in the realisation of the proposed facilities. A team of European, Turkmen and Uzbek experts was set as a Consultative Committee to match local with outside participants, the former represented by appointees of the Ministers of Automotive Transport of Turkmenistan and the Republic of Uzbekistan. The research confirmed that there are no comprehensive repair and maintenance facilities where transporters most need them along the TRACECA Route and that the existing traffic volume would support the needed cash flow for operating road side services, provided these offered added value at strategic locations, reliably and at affordable prices. The concept of "caravanserai" for trucks was proven to be viable. With the help of the Consultative Committee four sites were selected to build ‘one-stop’ road side service stations, each comprising many different business activities, including refuelling, motel, parts, repair, tyre service, food, telecommunications, secure parking and banking facilities. Several reports and manuals have been issued comprising business studies for the caravanserai, and working manuals for the use of local entrepreneurs. Over 45 European and international companies were presented the caravanserai project during Transport Conferences in Tashkent and Ashgabat. This interest lead to the generation of specific plans for roadside services, including business and financial plans and a suitable architectural concept.