DA NANG GREENLIGHTS $606 MILLION LOGISTICS PLAN

The central city of Da Nang has approved a master plan for the development of its logistics infrastructure by 2030 with total investment of VND13.7 trillion (US$606 million).

Vice chairman of the city’s People’s Committee Dang Viet Dung said the plan, which was submitted to the city’s People’s Council in the second quarter of this year, will focus on making Da Nang a destination for ASEAN and Asia Pacific logistics chains.

Dung said the city will allocate 312ha of land for logistics infrastructure with a series of linked roads, railway sections and stations, a cargo airport, storage and a sea port as well as the national expressway system.

He said according to the plan, the railway system will handle 55 per cent of total cargo that goes through Da Nang, while the airport and sea ports will host 40 per cent each in 2045.

By 2030, the Da Nang International Airport will be able to handle 28 million tourists and 200,000 tonnes of cargo annually, while the sea port system will host 30 million tonnes of cargo per year.

The city, which is home to a 40km section of the country’s north-south railway system, has 2,500 passenger arrivals each day and 20,000 tonnes of cargo per year.

According to the Vietnam Logistics Association, Da Nang would see a rapid growth in logistics as it is situated at the end of the East-West Economic Corridor (EWEC) that links Vietnam, Laos, Thailand and Myanmar. It also sits along the Da Nang-Quang Ngai Expressway as well as the north-south Vietnam national highway and railway system.

It said the city will develop as a transit hub for cargo from Laos, Cambodia, Thailand, the Central Highlands region and the Greater-sub Mekong, equipped to handle the specific demands of cargo shippers, oil tankers and regular shipping routes.

The city’s sea port system, which can handle 12 million tonnes of cargo each year, currently hosts 23 cargo ships per week from 15 shipping agencies from Europe, the US, Hong Kong and Singapore.

Tien Sa Port alone can accommodate 70,000DWT (deadweight tonnage) ships, 4,000TEU (twenty-foot equivalent units) container ships and 150GT (gross tonnage) cruise ships.

The city will develop Lien Chieu Port as an integrated port and a key ASEAN cargo destination in the plan’s first stage (2019-22).

According to the Economic Research Institute for ASEAN and East Asia, the 1,450km EWEC road will help Da Nang boost its Regional Gross Domestic Products by 2.29 per cent by 2025.

Source: VIR