CONTEMPORARY EURASIA VIII (2) ContEurVIII2 | Page 45

CONTEMPORARY EURASIA VIII (2)
authorities. However, given the current geopolitical constraints and
Armenia’s dependency on Georgia as a transit country, it is not quite
feasible to conduct effective diplomacy without jeopardizing bilateral
relations.
Returning to the problem of transportation, the CEO of
“APAVEN,” a big Armenian freight forwarding company, surprisingly
states that the Upper Lars does not cause too much trouble for them and
usually the company does not suffer significant losses due to long queues.
He mentions that although the reopening of the Abkhaz railway would be
better, they understand that the possibility of an alternative road does not
depend on Armenia. “APAVEN” also uses Georgian ports for exporting
and importing goods and pays the fixed 200 GEL entrance and exit fee.
The CEO is not aware that there is an opportunity to negotiate the prices
in the framework of the 1965 UN agreement on the Transit Trade of
Landlocked Countries.
Another company called “Megatrans” regards Upper Lars as a big
problem. They often raise this issue among governmental circles mainly
when Lars shuts down, yet they do not expect any tangible results. The
representative of the company is also not aware of the possibility of
reducing the 200 GEL fixed fee for using Georgian ports.
The representative of a third company, “Unitrans,” mentions that
they do not lose money due to Lars as they prefer outsourcing trucks from
other companies. Those companies suffer financial losses when Lars is
closed. The same applies to the problem of Georgian ports (the
outsourced companies pay the fixed fee themselves).
The interviews with these cargo transportation companies show
that opinions differ regarding the level of hardships that arise due to the
aforementioned trade issues. Even though there is a need for an
alternative transit road for Armenia, this issue does not affect Armenian-
Georgian relations very much. It is a salient fact that Armenia is not a
decision-maker in this question.
Conclusion
Georgia is of vital importance for Armenia as a transit corridor.
Armenia has always sought to maintain friendly relations with its
northern neighbor despite a range of problems between them that are the
result of both external and internal factors. The question posed at the
beginning was aimed at revealing those problems and understanding their
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