In a development that has huge strategic implications for China’s ambitious Belt and Road Initiative (BRI), a Chinese-Singaporean consortium has bagged the rights to construct and manage Georgia’s Anaklia deep-sea port, situated on the eastern coast of the Black Sea.
The port will be developed by the consortium, which holds 49 per cent share in the project, in partnership with the Georgian government with 51 per cent share.
Just last week, Georgia’s Economy and Sustainable Development Minister Levan Davitashvili had said that the China Communications Construction Company Limited would be the Georgian government’s private partner for the Anaklia port project “in the coming days”.
Davitashvili said: “We have received proposals only from the Chinese consortium. They have submitted a detailed application proposal along with relevant bank guarantees. Therefore, in the coming days, we will declare the Chinese consortium as the winner and begin negotiations on the partnership agreement.”
The consortium comprises China Communication Construction Company and China Harbor Investment while China Road and Bridge Corporation and Qingdao Port International will operate as sub-contractors.
Interestingly, the China Communication Construction Company was blacklisted by the US Department of Commerce on August 26, 2020 for its role in “helping the Chinese military construct and militarize the internationally condemned artificial islands in the South China Sea”.
India may view the development with concern because like China, New Delhi is also looking to develop new trade and logistics routes across Central Asia. The signing of the Chabahar Port long-term agreement on May 13 is a move towards that strategic aim.
China has already ramped up its presence in Djibouti, on the Horn of Africa, Gwadar in south Pakistan, and Ream in southern Cambodia.
What is noteworthy in Georgia is that China is gradually replacing western powers that were seen as a bulwark against Russian influence. It follows the declaration of a “strategic partnership” between China and Georgia that was signed last year.
Moreover, Russia is reportedly building a naval base just a few kilometres away from Anaklia, in the port of Ochamchire, in occupied Abkhazia.
The port’s role will be very vital in significantly strengthening the cause of the Middle Corridor, a logistics route that connects China through the landlocked Central Asia countries to Europe via the South Caucasus.
The port, expected to cost around $600 million, will handle about 78,00,000 tonnes of cargo.
These developments are instrumental in enabling China to overcome the “Malacca Dilemma” or the unavoidable route that Chinese ships have to take through the narrow Malacca Straits which has the potential of being a ‘choking point’ for Chinese ships during times of hostility.
