A Perspective on Rail Based Transit in South Asia Underlying Principles

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1 A Perspective on Rail Based Transit in South Asia Underlying Principles D.P Pande Asian Institute of Transport Development ( AITD)

2 UN ESCAP has highlighted issues related to Border crossing for Rail Based Traffic. Major Bottlenecks have been identified and alternatives suggested. This presentation is for building on the efforts made so far. 2

3 Two activities are taking place simultaneously Building of Physical Infrastructure the Hardware Resolving processes of harmonization associated with this Infrastructure the Software Part 3

4 Harmonization involves multifarious agencies like Customs Internal Security Public Health Association Political Entities This is true for Each Member Nation 4

5 AITD has been propagating along with UNESCAP- Regional and Sub regional movements to be encouraged At present there are only bilateral agreements No Mention of transit traffic both for freight and passenger 5

6 Turkey, Iran, Pakistan, India, Bangladesh have a contiguous railway Infrastructure available, there is only one break of gauge Attempt is to extend Islamabad- Tehran- Istanbul movement to Delhi Dhaka. 6

7 Two studies were conducted Transit Facility between third country via India to Nepal International Containers moving from port to hinterland ICD within India. 7

8 Transit Arrangement for Nepal Traffic across India Goods are brought to a nominated port by sea. Transshipped into railways wagons. Customs & other formalities are completed at port Goods moved by Rail to border between India & Nepal. Customs Inspections at Border point. Goods enter Nepal ICD. 8

9 Transit Arrangement for Nepal Traffic across India.Continued Underlying principle for Custom clearance are Copy of export licenses / Letter of credit in advance Goods are not unloaded at any Domestic Station Goods cross the border in seal- intact conditions 9

10 Transit Arrangement for Nepal Traffic across India.Continued Executions of Bank Guarantee and Bond Authorized Transporter nominated by the ICD operator in Nepal. 10

11 Import Traffic entering India for distribution through a hinterland ICD Customs permit this movement without checking Nominated Agency / Authorized Agent required He is issued a Sub- Manifest Transport Permit (SMTP) Authorized Agent executes a bond Goods remain under transit up to hinterland ICD 11

12 Merging two examples Salient feature are Import License / Letter of Credit to be available in advance Manifest to be available in advance Consignment in container with a Custom/ Electronic seal 12

13 Merging two examples Salient feature Contd.. Need of an agent to take liability of goods in transit within National Boundaries SMTP for Transit A mechanism to ensure that consignment crosses International Boundary without tampering of Seal - RFID- GPS and scanner/any device 13

14 Merging two examples Salient feature Contd.. Interface (EDI) between Railway and Customs IT systems. 14

15 New Development India has signed and ratified TIR convention International Treaty for road transport includes Multi Modal Transit also Deals with Customs facilitation measures and procedures across International Borders Now e-tir also being finalized 15

16 India-Pakistan- Iran are co-signatories CARNETS are issued and recognized by all signatory nations This will ease Border Crossings for sub-regional Traffic. 16

17 Contd.. IRU organization underwrites the risks involved This concept needs to be established for rail based system also 17

18 AITD has an MOU with IRU AITD is also associated with Asian Railway Association ESCAP and AITD have a close association AITD can help in setting up a rail based organization on the same lines as IRU AITD can assist in finalizing a logistic provider 18

19 Use Of Technology Implementing Electronic Cargo Tracking These are seals with RFID / GPS enabled chips Gives an alert mechanism in case seals are tampered before destination This technology input can streamline transit across boundaries 19

20 Use Of Technology Discussion with Custom Authority and Internal security Need to install Scanners at borders highlighted Various types of scanners are available 20

21 Use Of Technology(Contd..) Advance Information of Goods is essential Computer interfaces between Shipper Logistic provider 21

22 Use Of Technology(Contd..) Customs officials Security officials Public Health officials Customers at both ends required. 22

23 Reassess traffic potential on southern corridor of Trans Asian railway South-East Asia has potential Traffic In India alone growth of Automobile Traffic This growth itself is of 7-8 % YOY 23

24 Summing Up Build on Sub regional Transit like Bangladesh- India- Nepal- Pakistan- Iran Turkey Link to Landlocked countries of Bhutan and Afghanistan Identify a logistic provider 24

25 Summing Up Contd.. Identify an organization like IRU AITD can assist in this direction 25

26 Thank you

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