Da Nang, JICA shake hands in Lien Chieu Port development

At the signing ceremony (Photo: VNA)

Da Nang (VNA) – Representatives of the People’s Committee of central Da Nang city and the Japan International Cooperation Agency (JICA) signed a Memorandum of Understanding (MoU) on conducting survey and data collection for the Lien Chieu Port development project, at a working session in the city on June 17.

Chairman of the municipal People’s Committee Huynh Duc Tho appreciated JICA’s recent contributions and support for Da Nang, especially for the project that needs to be upgraded urgently.

He expressed his hope that the two sides will further expand cooperation in other fields, including healthcare, education, socio-culture and investment, in the time to come.

For his part, Chief Representative of JICA in Vietnam Shimizu Akira emphasised the importance of the Lien Chieu port project to the development of Da Nang as well as the region.

According to Akira, JICA will carry out researches, and coordinate with relevant departments and agencies of Da Nang to complete the project as scheduled.

JICA would like to continue supporting Da Nang in projects of planning, research and socio-economic development in the coming time, he said.

The survey and data collection project will be carried out from July to November this year, using official development assistance (ODA) of the Japanese government.

Following the MoU, JICA will help propose a master plan on port system development and surrounding zones in 2025-2040.

A traffic route connecting the port and the city’s current infrastructure will be included in the MoU. The construction of the Lien Chieu Port will probably be implemented under the Public-Private-Partnership (PPP) model.

In 2016-2018, Japanese consultants recommended that Da Nang deploys the Public-Private-Partnership (PPP) model for the first stage of the Lien Chieu Port.

The development of Lien Chieu Port is one of two key projects that aim to turn the central city into a main logistics centre in ASEAN and the East-West Economic Corridor (EWEC) that links Laos, Myanmar, Thailand and Vietnam.

In 2018, the Government of Vietnam assigned the city for investment and construction of the Lien Chieu Port following the country’s master plan on seaport system in 2020.

According to a report by the city, Tien Sa Port, which has been overloaded with cruise and cargo ships, will be used as a major port for cruises only, while the Lien Chieu Port will handle cargo ships and be a main logistics centre for the north-south railway and road systems and the EWEC.

Da Nang, in cooperation with the Ministry of Transport, has been speeding up the pre-feasibility study on the construction of the Lien Chieu Port for operation in 2022.

The first stage of construction of Lien Chieu Port will focus on infrastructure, including piers, dykes, storage and transhipment services for handling 3.5 to five million tonnes of cargo in the first stage from 2022.

It could allow access of cargo ships of up to 100,000 deadweight tonnage (DWT) and container ships with loading capacities from 6,000 to 8,000 twenty-foot equivalent unit (TEUs) as well as 10,000DTW liquid cargo vessels.

Chairman of the municipal People’s Committee Huynh Duc Tho said the construction of the Lien Chieu Port in the first stage will need funds of 7.37 trillion VND (326 million USD).

He said the city has been planned as an international-standard logistics centre for Vietnam, ASEAN and the Asia Pacific region by 2030.

Currently, the city’s seaport system handles 12 million tonnes of cargo each year.

According to the transport ministry, Da Nang will be able to handle 29 million tonnes of cargo by 2030.   

Da Nang is seen as one of the key gateways to the East Sea from the sub-Mekong region./.