Republic of the Union of Myanmar Myanma Port Authority THE PREPARATORY SURVEY FOR THE PROJECT FOR EXPANSION OF YANGON PORT IN THILAWA AREA FINAL REPORT 1 June 2014 JAPAN INTERNATIONAL COOPERATION AGENCY The Overseas Coastal Area Development Institute of Japan NIPPON KOEI CO., LTD ABBREVIATION A ADB Asian Development Bank AFTA ASEAN Free Trade Area AIS Automatic Identification System APEC Asia-Pacific Economic Cooperation ASEAN Association of Southeast Asian Nations AWPM Asia World Port Management Co., Ltd AWPT Asia World Port Terminal B BA British Admiralty BOD Biochemical Oxygen Demand BOT Build Operate Transfer BS British Standard C CBD Central Business District CCTV Closed Circuit Television CD Chart Datum CDL Chart Datum Level CFS Container Freight Station CPI Consumer Price Index CSI Container Security Initiative CY Container Yard D DA Designated Authority DD Detailed Design DDT Dichloro-diphenyl-trichloroethane DFR Draft Final Report DL Datum Level DMA Department of Marine Administration DMH Department of Meteorology and Hydrology DO Dissolved Oxygen DWT Dead Weight Ton E EIA Environmental Impact Assessment EIRR Economic Internal Rate of Return ENC Electronic Navigational Chart ETA Estimated Time of Arrival ETD Estimated Time of Departure EU European Union F FC Foreign Cost FCL Full Container Load FDI Foreign Direct Investment FIRR Financial Internal Rate of Return FR Final Report F/S Feasibility Study FT Freight Ton FZ Free Zone G G8 Group of Eight GC Gantry Crane GDP Gross Domestic Product GIS Geographic Information System GMS Greater Mekong Subregiomal GRT Gross Registered Tonnage GT Gross Tonnage GTAP Global Trade Analysis Project H HP Horse Power HSHD Department of Human Settlement and Housing Development, MOC HHWL Highest High Water Level HWL Hight Water Level I IALA International Association of Marine Aids to Navigation and Lighthouse Authorities IAPH International Association of Ports and Harbors ICR Inception Report IMO International Maritime Organization ISPS International Ship and Port Facility Security Code ITR Interim Report IWD Inland Waterway Department IWT Inland Water Transport J JETRO Japan External Trade Organization JICA Japan International Cooperation Agency JPY Japanese Yen L LC Local Cost LCL Less than Container Load LED Light Emitting Diode LOA Length Overall LWL Low Water Level M METI Ministry of Economy, Trade and Industry (Japan) M&E Mechanical and Electrical MIPL Myanmar Integrated Port Ltd. MIP Myanmar Industrial Port MITT Myanmar International Terminal Thilawa MLIT Ministry of Land, Infrastructure, Transport and Tourism MNPED Ministry of National Planning and Economic Development MOC Ministry of Construction MOECF Ministry of Environmental Conservation and Forestry MOT Ministry of Transport M/P Master Plan MPA Myanma Port Authority MSL Mean Sea Level MWL Mean Water Level N NCEA National Cmmission of Environmental Affairs NK Nippon Koei Co., Ltd. NM Nautical Mile NSDS National Sustainable Development Strategy O OCDI Overseas Coastal Area Development Institute of Japan ODA Official Development Assistance P PAPRD Project Appraisal and Progress Reporting PCB Polychlorinated biphenyl PCCD Pollution Control and Cleansing Department PFSA Port Facility Security Assessment PFSP Port Facilities Security Plan PFSO Port Facility Security Officer PHAJ The Ports and Harbors Association of Japan PHC Prestressed High-strength Concrete PIANC World Association for Waterborne Transport Infrastructure PVD Prefabricated Vertical Drain PZ Promotion Zone R RC Reinforced Concrete ReCCAP Regional Cooperation Agreement on Combating Piracy and Armed Robbery against Ships in Asia RSO Recognized Security Organization RTG Rubber Tired Gantry Crane S SAFE Security and Facilitation in a Global Environment SEZ Special Economic Zone SFA State Fund Account SOLAS Safety of Life at Sea SS Suspended Solids STS Ship-to-Shore T TBT Tributyltin TEU Twenty-feet Equivalent Unit T-N Total Nitrogen T-P Total Phosphorus TSHD Trailing Suction Hopper Dredger U US United States USA United States of America USCG United States Coast Guard V VAT Value Added Tax VHF Very High Frequency VTMS Vessel Traffic Management System VTS Vessel Traffic Service W WCO World Customs Organization Y YCDC Yangon City Development Committee Exchange Rate January, 2013 USA Japan Myanmar (US$) (JPY) (Kyat) US$ 1.00 83.64 858 JPY 0.0120 1.00 0.00117 Contents 1. Outline of the Study ·························································································· 1 1.1. Background of the Study ··············································································· 1 1.2. Objectives of the Study ················································································ 1 1.3. Study Area ······························································································· 2 1.4. Framework of the Study ··············································································· 3 1.4.1. Counterparts/Steering Committee .................................................................................... 3 1.4.2. Stakeholders ..................................................................................................................... 3 1.4.3. Study Team ....................................................................................................................... 4 1.4.4. Study Schedule ................................................................................................................. 4 1.5. Outline of Relevant Studies ··········································································· 6 1.5.1. REVIEW ON YANGON PORT ....................................................................................... 6 1.5.2. REVIEW ON PORT MANAGEMENT ........................................................................... 6 1.5.3. REVIEW ON SEZ ............................................................................................................ 6 2. Present Situation Relevant to Ports in Myanmar ............................................................................. 7 2.1. Socio-economic Trends ............................................................................................................ 7 2.1.1. Economic Trends .............................................................................................................. 7 2.1.2. Gross Domestic Products (GDP) ...................................................................................... 7 2.1.3. Population ......................................................................................................................... 8 2.2. Port and Relevant Transport Sectors ........................................................................................ 8 2.2.1. Ports .................................................................................................................................. 8 2.2.2. Shipping ( Container Ship ) ........................................................................................... 9 2.2.3. Inland Water Transport ................................................................................................... 15 2.2.4. Roads .............................................................................................................................. 18 2.2.5. Railways ......................................................................................................................... 20 2.3. Flow of Port Related Cargo .................................................................................................... 23 2.3.1. External Trade Trend of Myanmar ................................................................................. 23 2.3.2. Cargo Handling Volume in Myanmar Ports ................................................................... 25 2.3.3. Cargo Handling Volume of Regional Main Ports in Myanmar ...................................... 26 2.3.4. Border Trade ................................................................................................................... 28 2.3.5. Image of Cargo Flow in Myanmar ................................................................................. 28 2.3.6. Revitalization of Economy through Development of Economic Corridor and AFTA ... 31 2.4. Port Management System ...................................................................................................... 32 2.4.1. Organization of Myanma Port Authority ........................................................................ 32 2.4.2. Financial Conditions of MPA ......................................................................................... 33 2.4.3. Privatization of the Port Sector ....................................................................................... 34 2.4.4. Tariff and dues ................................................................................................................ 38 2.4.5. Maritime Safety .............................................................................................................. 43 2.5. Natural disasters in Myanmar ................................................................................................ 44 2.5.1. Natural disaster situation ................................................................................................ 44 2.5.2. Flooding .......................................................................................................................... 45 2.5.3. Earthquakes ...................................................................................................................