Implementation Plan

Pilot Program- Proposed Objectives

To implement the pilot, preparatory interventions have to be undertaken. This includes “hard interventions” (i.e. infrastructure building and rehabilitation) and “soft interventions.” (i.e. institutional and regularity arrangements). This section provides a brief snapshot:

Infrastructure Requirements

The pilot shall require significant infrastructure at various stages of the supply chain. These are presented in detail below.

It should be noted that above listed infrastructure is already in place at various Logistics service providers except the following:

Assured berthing space for river vessels at Chittagong Port- While a jetty at the port was dedicated for river transport vessels, the same is diverted to handle import containers due to congestion issues at the port. Secondly, this jetty does not have an operational crane since some time making it difficult or even impossible for ungeared river vessels to be handled. In this context, it is critical that this infrastructure bottleneck is resolved through dedicated, rather an ad-interim, infrastructure interventions.

Adequate Trucks at Right Cost: Suitable supply of trucking fleet at right price would be the key. Accordingly, it is critical that first and last mile connectivity for Pangaon port be improved through traffic management interventions till long term connectivity infrastructure (like dedicated freight bypass or ring road projects) are completed. This would require proactive engagement by river ports with large trucking companies to provide transfers between factory and river port at cost in range of BDT 3000-4000 per covered wagon trip.

Each of above infrastructure interventions would have to completed within the preparatory Phase for pilot program.

Implementation plan

A detailed schedule and above implementation plan for the proposed pilot is presented next.