Mr. Aung Myo Myint General Manager (Admin & Plan) Myanma Railways Development of Dry Ports in Myanmar. Country Report

Development of dry ports in Myanmar.

Country Report

Mr. Aung Myo Myint General Manager (Admin & Plan) 25 November 2015 Myanma Railways CONTENTS

. Introduction . Asian Highway Network in Myanmar . Trans-Asian Railway Network in Myanmar . Railway Line of International Importance in Myanmar . Dry Ports of international importance in Myanmar . Development of dry ports in Myanmar . Conclusion Introduction

 To develop the sector of transport is an important one out of the main features of our country.  It is necessary not only for transportation of freight within country but also for transportation of other country and also through the country.  Beside, container transportation is also important to exchange the goods. For the container transportation and dry port projects are needed in our country.  The places for dry port are needed. For the container storage, cargo warehouse and logistics which will be delivered inland.  In line with the National Development Plan, the Government of the Republic of the Union of Myanmar has been identifying the economic potentials to cooperate to the country’s economic development by local and international business investor and private organization.  As our endeavors for national development, Myanmar Railways shall implement to construct and operate of the dry port as important work for the freight transport sector. The transport services in the Republic of the Union of Myanmar consist of four modes:-  Railways  Road  Water  Air

Railways transport services in monopolized by state own transport enterprise Asian Highway Network in Myanmar

(a) AH 1 - Myawaddy - Payagyi (Bago) - Meikhtila - Mandalay- Tamu(1650 km)

(b) AH 2 - Tachileik - KyaingTong - Meikhtila (807 km)

(d) AH 14 - Muse - Lashio - Mandalay (453 km)

(e) Total length (3003 km) Trans-Asian Railway Network

Mandalay-Yangon

Mandalay-Lashio [ Muse (border station and break of gauge)-Rueli(China)]

Kalay-[ Tamu (border station and break of gauge)-Jiribam (India)]

Bago-Thanpyuzayat [Three Pagoda Pass- Namtok (Thailand)]

Thanpyuzayat-Ye

Yangon (maritime connection)

Thanphyuzayat

Namtok Railway Lines of International Importance in Myanmar

Existing lines Mandalay-Yangon = 617 km Mandalay-Lashio = 313 km Mandalay-Kalay = 539 km Bago-Thanbyuzayat-Dawei = 520 km Missing lines Kalay-Tamu = 135.0 km** Lashio-Rueli = 141.8 km** Dawei-Phu Nam Ron = 170.0 km

** The route lengths of missing lines are referred from feasibility reports DRY PORTS OF INTERNATIONAL IMPORTANT IN MYANMAR  Myanmar proposed eight potential locations for dry ports in Myanmar at the meeting of “Ad hoc Intergovernmental Meeting on an Intergovernmental Agreement on Dry Port” held in Bangkok during 20 to 22 June 2012 and signed “the Intergovernmental Agreement on Dry Ports” at the Forum of Asian Ministers of Transport held in Bangkok, Thailand on November 7, 2013.  The potential dry port locations in Myanmar are in Yangon, Mandalay, Tamu, Muse, Mawlamyine, Bago, Monywa and Pyay. They would be along the Asian Highway and Trans-Asia Railways Line in Myanmar’s transport network.  Myanmar has no Dry Port in operating position. However out of eight potential place the two must potential Dry Ports project has been implemented in Ywathagyi (Yangon Region) and Myitnge (Mandalay Region) the selection of the qualified developers is under process. 9

Myanma Railways plans to develop a new potential dry port in the area of Ywarthargyi in Yangon Division.

Ywarthargyi

Thilawa SEZ Dry Port Project of Yangon Region (YWA THA GYI)  The Dry Port Project of Yangon Region is located in the East Dagon Township in Yangon City in Yangon Region.  The nearest seaports are the Asia World Port Terminal, Myanmar Industrial Port, Botahtaung Port that are along the Yangon River and Myanmar International Terminal Thilawa (MITT) near the mouth of the Sea.  It can easily be linked to the Yangon-Bago-Taungoo-Pyinmana-Meikhtila- Mandalay Road network.  It is also situated on the Yangon-Mandalay Railway line (Main Railway Corridor).  Again, it is only about 15 miles away from the Yangon International Airport and so it is easy to link to it too. And the Dry Port itself has the railway line connected to Yangon-Bago and extended to Hanthawaddy International Airport which will be the biggest Airport in near future.  There are some Yangon Inland Waterway ports along the Yangon River that can easily be linked to this Dry Port too. Myanma Railways plans to develop a new potential dry port in the area of Myitnge in Mandalay Division.

Myitnge Dry Port Project of Mandalay Region (MYIT NGE)  The Dry Port Project of Mandalay Region is located in Amarapur Township in Mandalay Region  The nearest seaport to this Dry Port is Gaw Wein Inland Port at Mandalay on Ayawaddy River.  It is on the roadside of the Yangon-Bago-Toungoo-Pyinmana-Meikhtila- Mandalay Road network. And it is very close to Yangon-Nay Pyi Taw- Mandalay Highway Road network.  It is also situated on the Yangon-Mandalay Railway line (Main Railway Corridor).  It is about 7 miles away from Tada U International Airport and so it is easy to link to it.  On the side of this Dry Port lays the Dokhtawaddy River which flows into the Ayawaddy River. Therefore, it is possible to link by Inland waterway mode. Myanma Railways plans to develop a new potential dry port in the area of Myitnge in Mandalay Division.

42.674 acres

32.476 acres

Myitnge (Mandalay Region) the land estimated is about 75 acres and about 32.476 acres will be allocated to one of the developers and about 42.674 acres to the other. Myanma Railways plans to develop a new potential dry port in the area of Ywarthargyi in Yangon Division.

Ywathagyi (Yangon Region) the estimated potential area is about 80 acres and the area of 40 acres will be allocated to each developer.  The International Tender Method was practiced in Developer Selection Process. In this stage, two eligible developers and one reserve developer have been selected. After that, the concession agreements will be carried on between Myanmar Railways and each awarded developer.  International Tender System was also practiced to select the developers. At the moment, two eligible companies and one reserve company have been collected. To contract with two main developers will be proceeded and the construction is expected to start in January 2016 and container trains are to start running in 2017.  The estimated development cost in each dry port is US$40 million per every 80 acres both in Yangon and in Mandalay. The construction and the operation of the projects will be carried out by the B.O.T. system of foreign direct investment.  The construction period is expected to be from January 2016 to

December 2017 and the operation to be started in 2017.

 As the other six remaining potential places are concerned, Feasibility

Study is going to be carried out from 2016 to 2020 to strengthen the

Dry Ports activities. Conclusion

 Therefore, we, Myanmar, would like to request the UNESCAP to kindly

support us with every possible assistance both financially and

technically in developing the remaining six potential places of Dry Ports

in Myanmar.