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Lukashenko Arrived In A Country Where He Feels Uncomfortable

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Lukashenko Arrived In A Country Where He Feels Uncomfortable
Alexander Lukashenko and Gurbanguly Berdimuhamedov
Photo: Belta

Belarus and Turkmenistan are in a dispute over the Garlyk Mining and Processing Plant.

Lukashenko is attending the CIS summit in Turkmenistan. Today, October 9, the dictator spoke in Ashgabat about “economic integration”.

“There is no doubt that the CIS’s potential has not been exhausted. Our union is—and will remain for many years to come—a community with a shared destiny,” Lukashenko assured.

It is noteworthy that such integration has not taken hold between Belarus and Turkmenistan. The two regimes are weighed down by the Garlyk Mining and Processing Complex saga. The project, which began as a symbol of the strategic partnership between Minsk and Ashgabat, turned into a years-long legal battle involving hundreds of millions of dollars and mutual claims.

The plant, with a design capacity of 1.4 million metric tons of potash fertilizers per year, was officially opened by Lukashenko and Gurbanguly Berdimuhamedov in 2017. The construction project was touted as a groundbreaking success for the Belarusian construction industry abroad.

Almost immediately after the launch, mutual accusations began. Turkmenistan claimed that the mining and processing plant was operating at only a fraction of its design capacity due to defects and technological shortcomings on the part of the Belarusian contractor. Belarus, in turn, claimed that Ashgabat had underpaid by more than $150 million for the work performed and refused to provide the raw materials needed to bring the plant up to full capacity.

The dispute has moved to the legal arena. The parties filed counterclaims with the Arbitration Institute of the Stockholm Chamber of Commerce: Turkmenistan demanded compensation for losses resulting from the failure to launch production, while “Belgorkhimprom” demanded payment of the debt for construction. Legal costs for both parties are estimated in the millions of dollars. The proceedings are still ongoing.

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