Mr. Aung Myo Myint General Manager (Admin & Plan)

Myanma Railways 25 May 2016

CONTENTS

Introduction

Dry Ports of International Important in Myanmar

Implementation of Dry Port Action Plan (Activities)

Conclusion

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.

Introduction

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.

DRY PORTS OF INTERNATIONAL IMPORTANT IN MYANMAR

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For the construction of the dry port along the Asia Highway and Tran Asia Railways in Asia and Pacific, Myanmar Signed "the intergovernmental Agreement on Dry Port" on November 7,2013. Myanmar proposed eight potential locations of dry ports. They are Yangon, Mandalay, Tamu, Muse, Mawlamyine, Bago, Mongwa and Pyay.

EOI • Draft (4 August 2014) • Finalize (18 August 2014) • Invitation (21 August 2014) • Close (19 September 2014) • Evaluation (22 September to 5 November 2014)

• Issue (17 November 2014) • Close (9 January 2015) • Evaluation (12 January to 15 July 2015)

Preliminary Survey Report

RFP

Seletion

• Issue (20 July 2015) • Close (18 September 2015) • Evaluation (21 September to 23 December 2015)

• Report (31 December 2015) • Award (10 January 2016)

Responsible Person Government Sector Minister of Transport and Communications (Decision Maker) Deputy Minister of Transport and Communications (Decision Maker) Managing Director of Myanma Railways, Chairman of solution

development team (Decision Maker) All of the general managers and participant from solution development

team. Project team and members. Civil engineer experts, Mechanical engineer experts, Signal &

Communication engineer experts, Operation management experts, Financial and Planning experts.

Consultants (Local or Foreign) Private Sector Local and international logistics companies Shipping line companies International freight forwarders companies Container truck companies Cargo truck companies Oversea giant companies

Myanma Railways plans to develop a new

potential dry port in the area of Ywarthargyi in Yangon

Division.

Ywarthargyi

Thilawa SEZ

Dry 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.

Ywarthargyi

Resources Group Logistics Co.,Ltd

40 acres

Kerry Logistics Network

40 acres

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.

Myanma Railways plans to develop a new potential dry

port in the area of Myitnge in Mandalay Division.

Myitnge

Dry 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.

Myitnge in Mandalay Division.

Resources Group Logistics Co.,Ltd

Group - A

Group - B

Kerry Logistics Network

32.426 acres

42.674 acres

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

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.

42.674 acres

32.476 acres

Construction Infrastructure of Dry Port activities Space for containers handling Space for container storage To put warehouse space for freight and containers (Export, Import, Long

term storage of bonded cargo, temporarily cargo) Administration complex Office building for custom Workshop for light repair of containers Space for Security gate and guard house Boundary wall and fencing Operation space of vehicles and machineries Pavements Rail siding line Parking space for cargo vehicles awaiting entry to the terminal Electronic weigh bridge Electric distribution and plug in space Spaces for quarantine Rest area

Operation activities of transport for Dry Port

Container handling and Storage

Container stripping and stuffing

Break bulk cargo handling and storage

Customs inspection and clearance

Container light repairs

Freight forwarding and cargo consolidation services

Banking, Insurance, Financial services

Use of pallet system for cargo transport

Outcome

Reduced level of demurrage and pilferage

No customs required at gateway ports

Can issuance of through bill of lading by shipping lines, there by

assuming full liability of shipments

Reduced overall level of empty container movement

Competitive transport cost

Reduced inventory cost

Increase trade flow

Estimated of development costs - As estimated of development costs are US $

(40) million per each (80) acres for Ywarthargyi (Yangon Region) and Myitnge

(Mandalay Region) each dry port.

At the moment, Myanma Railways is in the process of signing on the agreement

with two winning companies by international tender. The construction and the

operation of the projects will be carried out by the B.O.T System of foreign direct

investment. Consultancy service company (VDB/Loi) has been hired for the

process to be done smoothly between Myanma Railways and the two companies.

The construction period is expected to be from July 2016 to June 2018 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.

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