Integrated Transport Network and Development of Transport Corridors to Emerging Markets Dongwoo Ha Chief, Transport Infrastructure Section Transport and Tourism Division UNESCAP
The ESCAP region in the world economy 4 billion people (62% of world population) 30% of world exports 26% of world GDP Engine of the world economy Key nodes in the International Production Networks Unbalanced development
Socio-economic background Political background of the 1980s and 1990s peace in South-East Asia breakdown of Soviet Union with emergence of new independent countries (Central Asia) market economy principles adopted by China Economic consequences unprecedented growth in trade to and from ESCAP region increased mobility of people (business and tourism) Impact for transport increased demand on region s transport infrastructure need to improve and expand existing infrastructure saturation of infrastructure Political / economic barriers have come down Regional economies become interdependent Upgrade efficiency of linkages between countries
ALTID project Development of Asian Highway Network Development of Trans-Asian Railway Network Asia Land Transport Infrastructure Development (ALTID) 48 th session of the UNESCAP Commission, 1992 Transport facilitation
Central Asia 1995 Central Asia 1995 Formulation The Asian of Highway the Asian Network Highway 141,000 km, 32 countries North-East Asia 2002 North-East Asia 2002 Intergovernmental Agreement on the Asian Highway Network Entered into force on 4 July 2005 28 Signatories 22 Parties Harmonized development of road infrastructure of international importance South East and South Asia 1993 South East and South Asia 1993
AH Network DevelopmenD evelopment Promotion of investments (initial package of US$ 18 billion) A network of 141,000 km of roads and highways AH Database 2004 & 2006 37 36 30 % 28 26 20 % 10 % 13 14 7 14 16 9 Primary Class I Class II Class III Below
Trans-Asian Trans-Asian Railway the Railway corridor Network studies 81,000 km, 28 countries RUSSIAN FEDERATION Korea, Russian Federation Intergovernmental Agreement on the Trans-Asian 1996 2001 Railway Network KAZAKHSTAN Signing ceremony during the Ministerial MONGOLIA GEORGIA UZBEKISTAN Conference on KYRGYZSTAN Transport (6-11 November AZERBAIJAN DEMOCRATIC ARMENIA TURKMENISTAN PEOPLE S REPUBLIC TURKEY TAJIKISTAN OF KOREA ISLAMIC REPUBLIC OF IRAN AFGHANISTAN 22 countries signed PAKISTAN NEPAL BHUTAN 6 countries ratified/approved/accepted or TAR North-South Corridor 1999 BANGLADESH VIET NAM MYANMAR INDIA LAO PDR Article 5 (1) : The Agreement shall enter THAILAND PHILIPPINES CAMBODIA into force on the 90th day following the Armenia, Azerbaijan, Finland, Georgia, Kazakhstan, Russian Federation, Turkmenistan, Uzbekistan 2006, Busan) acceded SRI LANKA BRUNEI DARUSSALAM MALDIVES MALAYSIA 8 States TAR Southern have Corridor consented to be bound by MALAYSIA Bangladesh, India, Islamic Republic of Iran, Myanmar, Nepal, Pakistan, Sri Lanka, Thailand, Turkey CHINA TAR Northern Corridor 1996 China, Democratic People s Republic of Korea, Kazakhstan, Mongolia, Republic of SINGAPORE INDONESIA INDONESIA REPUBLIC OF KOREA TIMOR LESTE JAPAN TAR in Indochina and ASEAN Cambodia, China (Yunnan province), Indonesia, Lao PDR,, Malaysia, Myanmar, Singapore, Thailand, Viet Nam date on which the Governments of at least the Agreement PAPUA NEW GUINEA
TAR Network DevelopmenD evelopment Investment requires to close TAR missing links US$ 15 billion) Total TAR Network : 81,000 km Missing links: 6,500 km South Asia 315 22600 Central Asia and Caucasus 1397 13200 North and North-East Asia 32500 South-East Asia 4525 12600 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 km
Intermodal Integration Integrating AH (road) and TAR (rail) Connection with sea ports and maritime transport network
Global Container Volume 250 7.6% 200 9% 150 Million TEU 100 50 0 1980 1985 1990 1995 2000 2005 2010 2015
ESCAP region s share Container Export and Import Non-ESCAP 2005: 109.3 m TEU 5.0% p.a. 2015: 177.9 m TEU 2015 Non-ESCAP 38% 2005 Non-ESCAP 48% 2005 ESCAP 52% 2015 ESCAP 62% ESCAP 2005: 117.9 m TEU 9.5% p.a. 2015: 293.6 m TEU
By Subregion Container Export and Import 300 M 250 200 150 100 Other Asia ANZ Pacific South Asia South-East Asia East Asia North Asia 50 0 2005 2015
12 Landlocked Countries Container Export and Import Thousand TEU 1,800 1,600 1,400 1,200 15.8% p.a. 1,000 1,785 800 600 400 200-413 2005 2015
ESCAP Ports handling more than 1 million TEU
Intermodal Interfaces (Dry Port/ICD) An inland port having functions similar to a seaport
Transformation of role of ports Port Functions Ports as links in supply chain S U P P L Y P R O D U C T I O N T R A N S P O R T VAL Inventory Inspection Assembly Storage Storage Labeling Handling Handling Packing Order Picking Bar coding Return Customizing D E L I V E R Y D I S T R I B U T I O N Value Added Supply Chain Services
Functions of dry ports
New opportunity for inland areas Spread of global supply chain management Any place, which fits enterprise s needs, can be an important node in global supply chain America
Intermodal Nodes as Growth Hubs Intermodal nodes developed at inland locations as growth centres Catalyst in regional development, spreading out globalization deep into inlands Create economic stimulus by attracting manufacturing, agricultural processing and associated services Important role of dry ports and their potential to become centres for development Ministerial Conference on Transport (Busan, 2006)
Transport corridor development Infrastructure alone will not ensure the smooth movement of goods and people along transport routes Corridor a comprehensive concept Physical infrastructure issue Non-physical issues Collaborative effort among countries as well as among stakeholders from public and private sectors
Corridor and Clusters Customs Carrier Freight Forwarder Shipper Cluster
Transit Transport Corridor Development LAO PDR THAILAND Storage Transport Customs Customs Transport Customs Storage Shipment
Stakeholders LAO PDR THAILAND Transport Ministry Customs Customs brokers Freight forwarders Carriers Port authorities Terminal operators Shipping lines Stakeholders are linked by a demand and supply relationship Clusters to improve day-to-day operations and find medium and long-term solutions
Clusters (Vientiane Bangkok Corridor) LAO PDR THAILAND Inland Cluster Border Cluster Sea Cluster
Professionalism of logistics industry Role of private sector is also important. Logistics operators are private sector Impact the overall level of efficiency Raise profile of logistics industry and enhance professionalism Capacity building for improving service Promoting partnerships and exchange of experiences Common guidelines and standards of operation of multimodal transport operators and logistics service providers
International Integrated Intermodal Transport and Logistics System for Asia and the Pacific
More information United Nations ESCAP Dongwoo Ha Tel. Fax. E-mail. 66-2-288 1515 66-2-288 3050 hadw@un.org www.unescap.org/ttdw/index.asp Further contact