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When four years ago we developed a concept of international corridors within the framework of the Crete System for Russian territory we came to the conclusion that it required further development. The logic and historic realities of the transport development of the Eurasian continent as well as a balanced assessment of the Russian transport potential seem to give us more accurate solutions. Our proposals with regard to a more specific definition of the Crete System of Corridors were discussed and approved at the All-European Transport Conference in Helsinki. These proposals primarily address Russia's transport potential both in terms of cargo transit on the route from Europe to Asia, as well as in terms of the growing needs of Russian Foreign Trade. In particular it has been deemed promising to develop Corridor No 9, which extends across Russian rerritory from the Russian border with Finland via St. Petersburg and Moscow to the borders with Ukraine and Belorus. Today the corridor also includes a southward transport branch from Moscow to Novorossiisk and Astrakhan. Thus the transportation system includes railways and roads leading to the south of our country, including waterborne route along the Volga-Don Canal as well as sea ports on the coasts of the Black, Azov and Caspian seas.. Corridor No 2 continues farther to the east from Moscow to Nizhny Novgorod. In addition to the railways and roads, it includes a network of currently operating and soon-to-be constructed logistics terminals in Smolensk, Vyazma, Moscow Region and Nizhny Novgorod. The access to Nizhny Novgorod means an efficient junction via Astrakhan and the Volga with transport systems of the CIS's Central Asian countries. The role of these countries is increasing steadily and we can not imagine the development of the Euro-Asian Transport System without cooperation and coordination with our Commonwealth Partners. The Trans Siberian is an obvious eastern extension of Corridor No 2. The integration of this railway into the entire system will provide for shorter transit time (almost by one and a half times when compared to the marine routes-), which makes it very attractive. Moreover, this unique transport system will definitely play a major role in future social and economic development in Russia. In the nearest future, the Baikal-Amur railway will come to new life providing access to the natural resources in eastern Siberia. Currently only one third of the transit capacity of the Trans Siberian Transport System is in operation. Together with our colleagues from the Russian Federation's Railway Ministry and the State Customs Committee and other agencies, we are uniting our efforts to ensure its potential is realized. The Volga-Don Canal Route is a new direction which extends the Crete Corridors of southern and south-eastern Europe to the coast of the Black Sea. Its use for international transportation will be the first step to opening a number of Russian inland waterways for foreign-flag shipping. The role of the extension will be increased by the development of the modern Caspian OLYA Port. And finally the Northern Sea Route (the North-East Passage in the Arctic) has been recognized as an independent Euro-Asian Transport Corridor. A strong transport system has been in development in the Russian North for years now. This marine thoroughfare provided for the life and survival of a huge northern area of this country. There is a large icebreaker fleet there together with a special cargo fleet, and important communications and navigation systems.
Russia is a Federal State and many Members of the Federation by their territory, population and economic potential are comparable to large countries. That is why for us the development of transport corridors has an important regional aspect. When planning the development of international corridors we cannot forget the necessity for social and economic development of Russian regions. Suffice it to say that about 66 million people live and work in the zone of Corridor No 9 alone, more than 40 per cent of the population of this country! Leaders of the Russian Regions (Members of the Russian Federation) are well aware of the fact that rational planning of transport corridors will contribute to the economic growth of the regions, create new employment and encourage trade. However, they would never tolerate any damage to the environment, changes of historic landscapes, interference with regional development plans. As part of the preparation for the Conference we organised a number of regional meetings in Nizhny Novgorod, Sochy, and here, in St. Petersburg. These meetings have indicated that members of the Russian Federation do not simply adhere to the concept of Euro-Asian Transport Corridors. In fact, they do their best to provide for creating a better investment climate, leaving behind the Federal Centre in this activity. They are engaged in the development and implementation of their own transportation projects and programs which are in harmony with the transport corridor concept. They do their utmost to attract private investments, including those of their foreign partners. This activity is being carried out here in St. Petersburg, in Leningrad Oblast, in Novgorod, Moscow, Astrakhan, Saratov, Yaroslavl, Kaliningrad and other cities and regions, as well as in the North-West and Volga associations, Siberian Agreement, and the like. The Russian Delegation has prepared a list of Projects related to the development of transport corridor infrastructure in Russia and will propose all these projects to the Conference . Many of these projects have been developed with the participation of regional authorities. Thus, projects involving the improvement of the St. Petersburg Sea Port and the construction of new terminals in Leningrad Region constitute part and parcel of the Program developed by St. Petersburg and Leningrad Region aiming at infrastructure development which will improve the transit of goods via coastal centres located on the Gulf of Finland. An Integrated Project has been worked out in Nizhny Novgorod that involves the development of water-, road- and rail-logistics terminal with an annual handling capacity of up to 1 million tons. In Moscow Region where Corridor No 2 and Corridor No 9 intersect and which is the origin and destination area of at least 40 per cent of all Russian export/import cargo, an Integrated Regional Logistics Project called "MOSCOW TERMINAL" has been developed and is now being implemented. In the Far East (Primorsky Krai) together with some Chinese provinces, a Project for a Transport Corridor which has as its objective facilitating commercial transport between Russia and China, is being currently being developed. I hope we shall learn more about these and other projects in greater detail and that you will have an opportunity to discuss proposals that are of interest to you with the authorities concerned. The volume of the Russian foreign trade rose by some 30% between 1994 and 1997. According to existing forecasts the next decade will see the continuation of this growth which will be accompanied by certain structural changes. Demand for the natural resources of the Russian North will increase. We know that there are several international projects in the pipeline today for the development of new deposits, and that some of them will be developed on the basis of the Production Sharing Agreements (PSA). This means that such thoroughfares as the Northern Sea Route and Trans-Siberian Railway with its numerous branches, will receive new impetus for their development. It also means that trans-continental international transport corridors will cross regions with strong development and growing economies. These corridors themselves will greatly facilitate regional economics, and will operate in the stable business environments of adjacent areas. Thus Russia can contribute to the general goal of international cooperation, that is harmonizing the economic environments in the East and West.
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The Northern Sea Route has already been opened for international navigation. The volume of the current Arctic traffic amounts to four million tons annually. This Corridor is capable of handling at least twice as many goods along this, the shortest route between the ports of the North Europe and North America and the countries of the Asian North Pacific Region.