There have been several unexpected difficulties along the way for this 826 kilometre project. Most recently, an unnamed Turkish official alleged that the "Georgia is deliberately delaying the start of work on the Kars-Akhalkalaki-Tbilisi-Baku railway…Tbilisi is creating all kinds of bureaucratic obstacles to delay the railway's construction. This is absolutely incomprehensible" reported the Baku daily Zerkalo.

Surprisingly, the biggest stumbling block has come from the other side of the Atlantic: the Senate's Banking, Housing and Urban Affairs Committee just passed a bill that forbids US government assiastance to the project, after strong lobbying from the US Armenian lobby, who argue that the railway is designed to further isolate Armenia from the region. There is a shorter, disused route running through Armenia, it has been closed since Turkey and Azerbaijan closed their borders to Armenia in response to the Nagorno-Karabakh conflict.

Nevertheless, construction is due to begin in middle of 2007 and could be completed as early as 2010. The project requires 98 kilometres of new track be laid between Kars in Turkey and Akhalkalaki in Georgia, 30 kilometres in Georgia, 68 in Turkey. Also, the Akhalkalaki-Tbilisi section of track must be repaired. This is estimated to cost over USD 400, Turkey and Azerbaijan say they are more than capable of meeting the cost without US backing. The Georgian section is to be financed with a loan from the Azeri government of USD 200 million.

This may sound like big money, but when you consider the significance of this east west transport link-which connects railways from Britain to china-it begins to seem like quite a small investment. Minister of Economic Development Irakli Chogovadze says when working at full capacity, Georgia can expect to receive USD 150 million annually from transport fees.

Kazakhsatn and china are both excited about the project, which gives them access to Europe much quicker than via the existing Trans-Siberian route. The Kazakh Caspian port of Aktau is connected to the chines border and beyond. The project also has the backing of the EU in the form of the TRACEcA [Transport Corridor Europe Caucasus Asia] programme it sponsors.

The railway line has huge potential to deepen integration of Turkey, Georgia and Azerbaijan, and in turn link them more closely with Europe and Asia. As such, it could provide a significant boost both to the regions economy, and its international importance.