January 19, 2021
The Thanaleng Dry Port (TDP) and Vientiane Logistics Park (VLP) offer world-class standardised logistics and transport services, the project developer has told Minister of Technology and Communications Prof. Dr Boviengkham Vongdara.
The minister and his delegation on January 19 visited the landmark project in Dongphosy village, Hadxaifong district, Vientiane.
Officially opened for service on December 4 – just one day after the inauguration of the Laos-China Railway – the dry port and logistics park employ international-standard technological services, TDP Managing Director Sakhone Philangam told the guests.
Built on 382 hectares of land, the US$727 project is aimed at facilitating logistics and transport, thus cutting costs and increasing trade competitiveness, while also attracting more investment.
The project, which is set to link with the Laos-China Railway, is expected to cut transport costs by 50 percent and significantly reduce the time taken to ship goods.
The developer said shipment of goods from Southeast Asia to Europe using the railway will take just over 10 days. This is much shorter than transport by sea, which takes about 45 days.
Chairman of Vientiane Logistics Park Co., Ltd. Mr Chanthone Sitthixay, told the guests that the project is part of efforts by the Party and government to transform Laos from being landlocked into a provider of ‘Land Link Transit Transport Services’ for the region and the world.
He added that the project provides new and sustainable sources of revenue for the state, assures transparent sources of revenue, and creates jobs for local people.
Located in a prime location next to the Laos-Thailand railway station and the Laos-Thailand Mekong Friendship Bridge 1, the dry port acts as a border checkpoint for freight, similar to a seaport-based or airport-based transit area or international arrival zone, where procedures are streamlined to enable the smooth flow of trucks and freight.
The TDP and VLP are part of the Lao Logistics Link project, which also includes the Vung Ang seaport in Vietnam’s central Ha Tinh province.
PTL Holding Company Limited – the parent company of Vientiane Logistics Park Co., Ltd. – has been authorised to implement the project with its Vietnamese partner.
As part of the Lao Logistics Link project, it is planned to build a railway linking Vientiane with the seaport, as well as a 2,000MW coal-fired power plant and a logistics park in Khammuan province, Mr Sakhone said.
Prof. Dr Boviengkham praised the developer for their determined efforts to realise the project, which is viewed as pivotal for Laos’ socio-economic development.
The minister recalled that the leaderships of Laos and Vietnam had agreed to jointly develop and operate the Vung Ang seaport to give Laos better access to sea trade routes.
He said his ministry would be pleased to provide experts and technical staff to support the project when it materialises and to incorporate modern technology in the provision of services.
The minister and his delegation also visited service facilities including the project’s operation and control room.
The project comprises five zones offering various business incentives and opportunities for investors, including tax breaks.
The zones are as follows:
1. Thanaleng Dry Port – the centre of international import and export trade with all categories of customs operations.
2. Tank Farm – a fuel distribution centre for Laos.
3. Logistics Park – a warehousing and distribution centre.
4. Free Trade Zone.
5. Export Processing Zone.