Silk Way Group and dnata launch landmark joint venture to create aviation services hub in Azerbaijan

Silk Way Group, a leading private aviation and logistics enterprise based in Azerbaijan, has signed a joint venture agreement with dnata, a global leader in air and travel services, to establish ground handling and cargo operations at the new Alat International Airport, located within the Alat Free Economic Zone in Baku.

The venture, set to launch with the opening of the new terminal in April 2027, represents a significant investment in the future of Azerbaijan’s aviation and logistics sectors. It will combine dnata’s global expertise with Silk Way Group’s local market leadership to deliver end-to-end aviation services in the country.

Alat International Airport’s advanced logistics facilities will be capable of handling more than 400,000 tonnes of cargo per year, with a projected annual volume growth of 5% over the next decade.

The joint venture will initially focus on cargo and ground handling, before expanding into catering, freight forwarding, de-icing, and a range of additional services. The aim is to build an integrated one-stop shop for airlines and airport customers in Baku, offering world-class efficiency and service standards.

The project is expected to generate over 1,000 local jobs, with investment in skills development and training to create long-term opportunities in Azerbaijan’s aviation sector.

dnata is a long-standing partner of Silk Way Group, currently providing a range of air services to Silk Way West Airlines across five countries, handling 1,150 flights and 85,000 tonnes of cargo annually.

Steve Allen, CEO of dnata, said: “Our joint venture with the Silk Way Group is an important step in expanding dnata’s global footprint and supporting the Caucasus region’s rapid growth. Baku’s new airport will be a critical hub for cargo flows in the region, and our investment ensures that airlines and logistics partners have access to safe, quality, and reliable services from day one.

He added: “Beyond operational excellence, this venture reflects our long-term strategy to provide integrated aviation solutions in high-potential markets. We look forward to continuing our successful partnership with Silk Way Group to support Azerbaijan’s aviation and logistics industries, businesses and wider communities.”

Zaur Akhundov, President of Silk Way Group, said: “Our partnership with dnata marks a new milestone in the development of Azerbaijan’s aviation industry. Together, we are shaping a modern ecosystem that will connect the Alat Free Economic Zone with the global aviation and logistics network. This joint venture represents not only an investment in infrastructure but also in people — creating new jobs, developing professional skills, and building a foundation for sustainable growth. The establishment of aviation services at Alat International Airport is a strategic step toward realizing our vision of transforming Azerbaijan into a leading regional hub.”

Alat International Airport: a regional aviation hub

Located in the Alat Free Economic Zone, Alat International Airport will include 18 aircraft stands, a 4,000-metre runway and taxiway, as well as an air traffic control centre. The project is designed to enhance the country’s transportation capabilities and stimulate the comprehensive economic development of the surrounding region.

Upon completion in 2027, the wider Alat Free Economic Zone will become a prominent transit hub, featuring integrated logistics infrastructure. The zone will benefit from direct access to the Baku International Sea Trade Port and extensive railway and motorway networks, collectively enhancing Azerbaijan's transportation and distribution capabilities.