Thailand Prime Minister Srettha Thavisin. - The Nation Thailand/ANN
BANGKOK: Thailand plans to hold an international competitive bidding for a one trillion baht (US$29bil) project that seeks to significantly cut shipping times between the Indian and Pacific oceans by bypassing the Malacca Strait.
A 50-year concession will be granted to the winning consortium that may include shippers, logistics operators, port managers, property developers and industrial investors, Thailand’s Transport Minister Suriya Juangroongruangkit told a Japanese investors conference in Tokyo yesterday.
The so-called Landbridge project will be divided into four phases between 2025 and 2040, he said.
Prime Minister Srettha Thavisin has pitched the mega project to prospective investors from the United States, China and the Middle East.
The plan, which can transform Thailand into a major transit hub for international trade, involves linking two new seaports on either side of the country’s southern peninsula by highway and rail networks.
Once completed, the project will help vessels avoid the Malacca Strait, cut travel time by an average of four days and lower shipping costs by 15%.
The government also plans to enact a new law to facilitate the project’s development as well as its adjacent areas, Suriya said.— Bloomberg
