On 10-12 March 2024, a Turkmen delegation headed by Deputy Prime Minister and Foreign Minister Rashid Meredov paid a working visit to Austria. The visit provided an opportunity for meetings with the heads of several international organizations based in Vienna. A round table was also held at the Austrian Federal Economic Chamber on the prospects for the development of Turkmen-Austrian trade and economic cooperation.
Turkmen foreign minister had a series of meetings
- Minister of Foreign Affairs of Turkmenistan Rashid Meredov met with the Minister of Foreign Affairs of Austria Alexander Schallenberg.
- Secretary General of the Austrian Federal Economic Chamber Karl Kopf: Issues of bilateral interest were discussed, in particular, issues of enhancing trade and economic cooperation.
- IAEA Deputy Directors General on technical cooperation Hua Liu: The parties discussed the ongoing developments in the bilateral track, tasks ahead, and cooperation opportunities in areas of interest.
- OSCE Secretary General Helga Schmid: The sides discussed issues on strengthening regional cooperation, security, sustainability, women empowerment and youth engagement
- MFA Austria ’s Secretary General Nikolaus Marschik: The sides discussed bilateral cooperation, cooperation within international organizations, including UN and OSCE.
- Meeting of Co-chairs of Turkmen-Austrian Joint Commission: M.Gurdov, Chairman of Chamber of Commerce and Industry of Turkmenistan and F.Frauscher, Director General of Federal Ministry of Labour and Economy agreed on next meeting of the Commission.
- DPM, Minister of Foreign Affairs of Turkmenistan R.Meredov and the Executive Director of UNODC Ghada Waly held a meeting to review current and potential avenues of cooperation.
Round table at the Austrian Federal Economic Chamber
On March 12, 2024, the Austrian Federal Economic Chamber hosted a roundtable discussion with dozens of Austrian companies. This meeting built upon connections established during previous Austrian trade missions to Ashgabat, aiming to identify mutually beneficial business opportunities.
The opening segment focused on Turkmenistan’s economic climate, highlighting key macroeconomic indicators. The country’s GDP grew by a solid 6.3% in 2023, reaching approximately $61 billion.
Turkmenistan’s foreign trade reached US $21 billion by the end of 2023. Notably, exports significantly outpaced imports, with a volume of $11.4 billion USD, exceeding imports by 1.7 times.
The discussion emphasized Turkmenistan’s ongoing efforts to diversify its export portfolio by increasing the share of processed goods. In 2023, the country exported natural gas to China, Russia, Azerbaijan, and Uzbekistan. Additionally, the geography of exports for petroleum products, electricity, and mineral fertilizers is expanding.
Revenue generated from hydrocarbon exports is being strategically invested in developing high-value-added industries. As a result, total investments in the Turkmen economy surpassed US $11 billion by the end of 2023, reflecting a year-on-year increase of 7.8%.
By improving the investment climate, Turkmenistan attracts foreign investments in large industrial projects – these are plants for the production of ammonia, carbamide, polypropylene, polyethylene, and synthetic gasoline.
As for the Austrian business, such sectors as energy, transport, agriculture, digitalization, green economy and others hold vast potential for fruitful cooperation. In short, there is a fairly wide field for interaction between business circles, especially since the current trade do not reflect the real potential of cooperation.
While Austria ranked 28th in Turkmenistan’s foreign trade turnover in 2023, with a total volume of US $37.74 million, this figure represents a 59.5% decrease compared to the prior year. Despite the decline, the roundtable discussion highlighted potential for collaboration in the agricultural sector.
The Chairman of Turkmenistan’s Chamber of Commerce and Industry (CCI), Gurdov, specifically addressed Austrian companies. He referenced successful pre-pandemic collaborations, including joint visits to agricultural facilities and cattle breeding deliveries coordinated with the Federal Economic Chamber of Austria.
Building on this past success, Gurdov proposed further collaboration by inviting Austrian agricultural experts to visit Turkmenistan. He identified promising areas for cooperation, including the introduction of Austrian technologies and equipment for processing meat, dairy, and vegetables, as well as ice cream and confectionery production.
Transport and communications offer another promising avenue for collaboration with Austrian companies, building upon past successes.
Liebherr supplied special equipment, including large-capacity mooring cranes, port equipment and drilling units, for the Turkmenbashi port, where it is installed 42 cranes of this company. The Liebherr Service Center operates in the city of Turkmenbashi, managing over 100 installations.
This fruitful cooperation extends to projects in maritime transport services, cellular communications, and satellite systems. Turkmenistan is eager to explore further collaboration in:
- Railway transport
- Shipbuilding equipment
- Optimizing logistics capabilities of the Turkmenbashi seaport
- Telecommunications and digitalization initiatives
- A specific project mentioned was the creation of a national data center, a cornerstone for developing electronic services in Turkmenistan.
Turkmenistan invites Austrian business to oil and gas projects
Turkmenistan has extended an invitation to Austrian businesses for collaboration in its oil and gas projects, according to a recent round table discussion.
The discussions highlighted Turkmenistan’s commitment to supplying gas to Europe via the Trans-Caspian gas pipeline project. The country has made significant progress on this front and established a strong partnership with the European Union.
The construction of the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline remains a top priority for Turkmenistan. Turkmenistan welcome Austrian companies to participate in these and other gas projects, fostering international collaboration.
Furthermore, Turkmenistan expressed interest in Austrian expertise for developing oil and gas fields in the Caspian Sea.
Discussions included the potential supply of equipment from Austrian manufacturers to enhance production capacity and expand transportation infrastructure. This enhanced infrastructure would ensure the efficient delivery of Turkmen natural gas to global markets. [International Information Center of Turkmenistan].
Turkmenistan Joins International Forum on Diplomatic Training
The Institute of International Relations (IIR) of Turkmenistan’s Ministry of Foreign Affairs has been accepted into the prestigious International Forum on Diplomatic Training (IFDT).
On 12 March, a meeting at the Vienna Diplomatic Academy marked this occasion. The Turkmen delegation included Deputy Prime Minister and Foreign Minister Rashid Meredov, IIR Rector Jumamyrat Gurbangeldiyev, and Oguz Khan University of Engineering Technologies Rector Gurbanmyrat Mezilov.
Discussions centered on Turkmenistan’s active role in international affairs, taking benefit from its positive neutrality status. Water diplomacy and climate change were highlighted, with the Turkmen side presenting initiatives on these crucial issues.
The meeting emphasized expanding collaboration between the IIR and the Vienna Diplomatic Academy. Specific areas of focus include enhanced teaching of international relations, diplomacy, geopolitics, and economic relations, exchange programs for young diplomats and faculty, joint courses, lectures and seminars by Austrian experts on preventive, energy, water, and digital diplomacy at the IIR’s Training Center for Priority Areas of Diplomacy.
The IFDT is a global platform for heads of diplomatic schools to share best practices in diplomatic education. Since its foundation, it has included specialized higher education institutions and accredited institutes for the training of qualified international specialists from 56 countries around the world.
The invitation for IIR’s Rector to attend the 50th IFDT forum in Montenegro later this year signifies the importance of this membership for Turkmenistan.
Signed Documents
According to the Ministry of Foreign Affairs of Turkmenistan, three documents were signed on the sidelines of the visit:
– The program of cooperation between the Foreign Ministries of Turkmenistan and Austria for 2024-2025;
– Basic Standard Cooperation Agreement between the Government of Turkmenistan and the United Nations Industrial Development Organization (UNIDO);
– Memorandum of Cooperation between the Oguz Khan University of Engineering Technologies of Turkmenistan and the Technical University of Graz. ///nCa, 14 March 2024 [with inputs from Orient]