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FROM CARAVANS TO BLOCKCHAIN: HOW TIME REDUCTION LOWERS LOGISTICS WASTE ALONG THE MIDDLE CORRIDOR

Sep 2026 · Student Journal of Business and Economics · 0 citations

Abstract

This independent research paper examines the contemporary economic and operational dynamics of the Middle Corridor (Trans-Caspian International Transport Route) connecting China and European markets via Kazakhstan, the Caspian Sea, Azerbaijan, and Georgia (Middle Corridor 2026). The central research problem addresses hidden logistical friction, demonstrating that total supply chain costs depend heavily on terminal storage and delays rather than basic transport tariffs. Utilizing empirical commercial tariff sheets from DB Cargo Eurasia GmbH (2023), this study models the exact financial impact of border idling and progressive demurrage rates at critical European cargo hubs. Furthermore, it evaluates the deployment of blockchain-backed "Smart Customs" solutions managed by the State Revenue Committee of Kazakhstan, specifically focusing on how decentralized ledger architectures secure electronic consignment notes (e-CMR) to establish multi-national data trust. The empirical findings show that automated transit workflows compress block train declaration intervals from 3 hours to just 30 minutes, yielding a distinct 83.3% time optimization (State Revenue Committee 2026). The study concludes that digital ledger trust and physical infrastructures must develop in tandem, creating a major potential for systemic cost reduction along global trade routes.

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