Thanaleng Dry Port quickly ships Thai goods to export markets

Mr Sakhone Philangam (8th right ), Mr Napintorn Srisunpang (9th right) and representatives from both sides gather for group photo. --Photo Bee	Members of the Thai Agricultural Wholesale Market Association visit Thanaleng Dry Port. --Photo Bee

The Vientiane Logistics Park and its Thanaleng Dry Port (TDP) have accelerated the flow of goods passing through Laos to export markets, the developer of the landmark project has told visiting Thai traders.
Members of the Thai Agricultural Wholesale Market Association on Tuesday toured the US$727 million project, which is being developed on a 382-hectare site in Vientiane near the first Laos-Thailand Mekong Friendship Bridge.

TDP’s Managing Director Sakhone Philangam told the guests that the country’s first-ever integrated logistics park and dry port use streamlined procedures to expedite the movement of freight.
Many Thai exporters have shipped goods including farm products to China through the dry port following the opening of the Laos-China Railway on December 3, 2021, and the opening of the dry port a day later.
“We have improved our procedures to meet international standards,” Mr Sakhone told the Thai traders.
Investment zones with special incentives are also being developed within the project, where businesses can build and operate cold chain facilities to keep agricultural produce fresh, he added.

President of the Thai Agricultural Wholesale Market Association, Mr Napintorn Srisunpang, said cold chain and temperature-controlled transport is critical for the transport of agriproducts.
Studies show that the quality of fruit and vegetables deteriorates by about 20 percent during transport due to poor temperature-controlled facilities, according to Mr Napintorn.
Thailand, a main agriproduct producer in the region, exports about one million tonnes of fruit a year, including durian, mangosteen and longan. 
Thai businesses are eyeing opportunities offered by the cost-effective logistics and transport services provided by the Laos-China and Laos-Thailand railways and the Thanaleng Dry Port, which is an important gateway between Asean and China.
SCG Logistics Management, Thailand’s leading provider of domestic and international integrated logistics services, said this transport route could cut costs by up to 20 percent, according to Thailand’s Bangkok Post.
In addition to logistics services, Mr Sakhone informed the guests that investors are welcome to operate businesses in the zones to process agricultural products and produce halal food for export, including to halal-consuming areas in Central Asia.
The zones include a free trade zone that will house the main business activities such as a halal hub and agricultural production park, technology park, office zone, SME area, and commercial zone.
Meanwhile, the export processing zone will feature various processing industries. It is expected to become a manufacturing export hub for Southeast Asian countries and the global consumer market.

Investors are eligible for incentives including tax breaks and trade privileges that major economies including the United States and the European Union have extended to Laos. The low cost of electricity in Laos is another advantage that justifies an investment decision. 
“We want to attract traders to come to one place here and make use of rail transport, which is very fast,” Mr Sakhone said, adding that goods can be exported and distributed to regions across China – the world’s second largest economy with more than 1.3 billion consumers.
As part of the global infrastructure project, the Belt and Road Initiative, the Laos-China Railway links to the China-Europe rail network so goods from Southeast Asia can reach European markets through cost-effective rail transport.
As the dry port is part of the Lao Logistics Link project, which also includes the Vung Ang seaport in Vietnam’s central Ha Tinh province and a planned railway linking the seaport to Vientiane, the dry port also facilitates the transport of goods to the Pacific region via the seaport.
Currently, about 50 percent of products exported and imported through Laos pass through the Thanaleng Dry Port. Some 65 percent of goods are imports, 25 percent are exports, and the remaining 10 percent are in transit.
Over the first five months of this year, as many as 13,000 containers passed through the dry port, which facilitates transit services between countries such as Vietnam, Cambodia, Myanmar, Malaysia, Singapore, Thailand and China.

By Advertorial Desk
 (Latest Update August 24, 2022)