Railway sector boosts int’l cargo transportation services

Updated: 18:21, 07/11/2023

The launch of int’l cargo transportation services since the beginning of this year at two stations in the northern province of Bac Giang and the southern province of Binh Duong has opened up a new development direction for the sector.

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The Binh Duong provincial authorities and the Vietnam Railways Corporation (VNR) held a ceremony on September 27 to debut an international multimodal train transporting goods from Song Than station to China.

By 2030, the international intermodal railway transportation volume is expected to reach 4 - 5 million tonnes per year, which is four to five times the current amount.

The train convoy consists of 19 carriages carrying about 500 tonnes of tapioca starch from Song Than station to Putian, Zhengzhou in the Chinese province of Henan.

The Hanoi Railway Transport Joint Stock Company (HARACO) leaders said the train meets the demand for transporting agricultural products and refrigerated goods from southern provinces to the north and then to China.

This also marks a step towards exporting goods from Song Than to the Organisation for Cooperation of Railways (OSJD) countries, including 28 Asian and European members, and vice versa.

In February 2023, the Kep railway station in Bac Giang began its international cargo transportation services. The station’s handling capacity is from 80 to 100 carriages or containers per day. Freight includes electronics and industrial products, construction materials, industrial wood, and ore.

There is a fleet of trains running from Kep to Dong Dang station in the border province of Lang Son and then to China’s Pingxiang station.

Dang Sy Manh, Chairman of the VNR's Board of Members, said it is expected that there will be eight international intermodal stations, adding after Bac Giang and Binh Duong, the northern province of Hai Duong is also working to offer such services at its Cao Xa station.

According to the VNR, the demand for international freight railway transportation is growing at a rate of 12% annually. In 2022 alone, the total volume of goods transported by railway amounted to 5.67 million tonnes. International intermodal cargo accounts for 1.33 million tonnes (24%) transported from Vietnam to China and transiting through China to third countries.

By 2030, the international intermodal railway transportation volume is expected to reach 4 - 5 million tonnes per year, which is four to five times the current amount.

The Transport Development and Strategy Institute under the Ministry of Transport forecast that by 2030, the demand for international intermodal railway transportation could reach 8 - 9 million tonnes per year. However, the current railway infrastructure capacity can only handle 4 - 5 million tonnes per year.

‌Given this, the ministry has allocated investment capital to upgrade railway stations in the 2021 - 2025 period, including Dong Dang, Vat Cach, Kim Lien, Dieu Tri, and Song Than.

Following the upgrading, Dong Dang’s capacity is expected to increase from the current 0.6 million tonnes per year to 2.5 million tonnes, and that of Song Than will raise to 2.5 million tonnes from 1.6 million tonnes.

Meanwhile, Kep, Sen Ho, Dong Anh (Hanoi - Dong Dang route), and Lao Cai (Yen Vien – Lao Cai route) are scheduled to be upgraded in the 2022-2025 period.

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