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  1. #1
    Thailand Expat misskit's Avatar
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    Thailand pushes dream of 'land bridge' to boost economy

    BANGKOK -- The dream of a Thai land bridge, a transport route that would cross the Malay Peninsula to connect ports on either side, has surfaced again in Thailand. If it becomes a reality, a land bridge could cut shipping times by about two days, compared with the current shipping route through the Malacca Strait.


    The idea of a trade route cutting across the peninsula dates back to the 17th century. Thailand's current government is looking to large public works projects to rejuvenate the economy. The proposed land bridge certainly qualifies, but the project has attracted criticism over huge cost and potential environmental damage.


    Squint a bit and the map of Thailand looks like an elephant, with the Malay Peninsula that stretches to the south forming the nose. The narrowest part, the Kra Isthmus," is just 44 km across, with the Gulf of Thailand to the east and the Andaman Sea to the west.


    Building a transport route from east to west across the isthmus would shorten the distance that cargo ships have to travel to carry goods between East Asia and the Middle East and Europe by about 1,200 km. At present, they must sail far to the south, to the Malacca Strait.


    Thai Prime Minister Prayuth Chan-ocha in October 2020 ordered a feasibility study on the construction of a land bridge across the Kra Isthmus. The plan is to build ports for large cargo ships in the southern provinces of Ranong and Chumphon, linking the two ports, about 130 km apart, with railways, highways and oil pipelines.

    Transport Minister Saksayam Chidchob stressed the importance of building a land bridge at a business seminar in June. "We will pave the way so that Thailand can become Southeast Asia's 'economic tiger cub' again," the minister said. He believes a land bridge would not only make the route through the Malacca Strait obsolete, but would also attract investment from foreign companies if a special economic zone is set up in the area.


    The idea of digging a canal across the Malay Peninsula is an old one. One Thai king asked France to conduct a survey for a canal in 1677. Ferdinand de Lesseps, the French diplomat famous for making Egypt's Suez Canal a reality, also visited the Kra Isthmus in 1882. At the turn of this century, too, Prime Minister Thaksin Shinawatra's government conducted a feasibility study on a canal, but the project fell apart following the 2006 coup.


    A canal would be hugely expensive, with the cost estimated at around $30 billion Connecting the Gulf of Thailand and the Andaman Sea would also be technically difficult: The two bodies of water differ by several meters in elevation.


    A further complication is the Thai government's simmering conflict with Islamist militants along the border with Malaysia. There are concerns that a canal would cut Thailand in two, intensifying separatist sentiment among Thailand's mostly Muslim ethnic Malays.


    For these reasons, the government is leaning toward a land bridge, which would be easier and cheaper to build than a canal. A senior member of the government's economic policy team said in October 2020 that building a canal is unrealistic and the focus should be on a land bridge.


    As Thailand's fiscal condition worsens due to ballooning COVID-19 expenditures, the government hopes to attract investment from foreign governments and companies through the public-private partnerships.


    In a report published in January, the ISEAS-Yusof Ishak Institute, a Singapore-based think tank, said building a Thai land bridge would cost 60 billion baht ($1.85 billion), according to Thai government estimates, significantly less than a canal across the Kra Isthmus.


    Yet the dream of a canal refuses to die. The Thai Canal Association, which is composed of military veterans and politicians, has lobbied the government for a canal, arguing that it would prop up the economy of southern Thailand.


    "The land bridge has few advantages, as there is a need to transfer cargo to railways and trucks at the port," said Pradit Boonkerd, secretary-general of the association.


    China is thought to be taking an interest in a Kra canal, as the country promotes its Belt and Road Initiative. If a canal is built, China would no longer have to send ships through the Straits of Malacca, where the U.S. has a strong presence, when importing crude oil from the Middle East. It would also make it easier for Chinese warships operating in the South China Sea to sail into the Indian Ocean.

    In 2015, it was reported that China and Thailand signed a memorandum regarding the building of a Kra canal, but both governments denied the report. The Thai Canal Association, which is conducting research with Chinese companies, is said to have close ties to Beijing.


    Whether it is a land bridge or a canal, the scale of the project would be huge and impose environmental costs. The land bridge project has drawn protests from residents near the planned construction site. In December 2020, the People's Network for Natural Resources and Environment Protection in Songkhla and Satun, a citizens group, staged a sleep-in demonstration in Bangkok.


    Somboon Khamheng, a coordinator of the group, says environmentally destructive economic stimulus measures are unnecessary, adding that residents depend on the area's natural resources to make their living.


    Will Thailand's long-cherished dream come true? A Japanese government official is skeptical, saying he is not sure the project is worth the cost. Movement on the issue is expected by 2023, when the government's latest feasibility study is scheduled for completion.

    Thailand pushes dream of 'land bridge' to boost economy -
    Nikkei Asia

  2. #2
    Thailand Expat
    Klondyke's Avatar
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    Quote Originally Posted by misskit View Post
    "The land bridge has few advantages, as there is a need to transfer cargo to railways and trucks at the port," said Pradit Boonkerd, secretary-general of the association.
    Isn't something lost in translation? Delete the "few" and replace by "dis-"...

  3. #3
    Thailand Expat Saint Willy's Avatar
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    A land bridge, plus two massive ports. And ships on either side…

  4. #4
    Thailand Expat russellsimpson's Avatar
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    Seeing that there is currently no developed port in either Thailand or Myanmar at the shortest distance across I can't see that the land bridge project makes much sense. To save 1200 kilometres does not seem reasonable. As far as a canal, now that would be a hell of a project. The Chinese would have to pick up the tab.
    A true diplomat is a person who can tell you to go to hell in such a manner that you will be asking for directions.

  5. #5
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    look who's gonner build it,their workers,their money and their bosses,thailand should ask montenegro for some advice about the motorway thats being built by the same country.

  6. #6
    On a walkabout Loy Toy's Avatar
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    Thailand has much more to fix about their economy and the management of it before they take on such a huge project.

  7. #7
    Thailand Expat Fondles's Avatar
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    Dumb fucks cannot even keep Pattaya beach from washing away how in fuck could they pull this kind of construction off !!

  8. #8
    Thailand Expat
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    Quote Originally Posted by russellsimpson View Post
    Seeing that there is currently no developed port in either Thailand or Myanmar at the shortest distance across I can't see that the land bridge project makes much sense. To save 1200 kilometres does not seem reasonable. As far as a canal, now that would be a hell of a project. The Chinese would have to pick up the tab.
    Beside the fact that from Bkk (Lam Chabang, Lat Krabang) in direction to Suez (and so to EU and US East Coast) are sailing only few small vessels (3,000 - 5,000 containers 20ft), while majority is send by feeders to Singapore for re-loading on large vessels (7,000 - 25,000) coming from China.

    And how the unloading of these huge volumes at Kra Istmus - and the unloading again on the other side - would be organized? Such ports on both sides and the powerful railroad could be surely more expensive than the old dream Channel...

    Better would be to plan a railroad connection to Vietnam and/or China for joining their trains to Europe.

  9. #9
    Thailand Expat Fondles's Avatar
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    Quote Originally Posted by Klondyke View Post
    Beside the fact that from Bkk (Lam Chabang, Lat Krabang) in direction to Suez (and so to EU and US East Coast) are sailing only few small vessels (3,000 - 5,000 containers 20ft)
    we move 20+ 40ft containers weekly out of Laemchabang.

  10. #10
    Thailand Expat OhOh's Avatar
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    Quote Originally Posted by Fondles View Post
    we move 20+ 40ft containers weekly out of Laemchabang.
    Useful for Thai exports/imports by ships no doubt.

    The isthmus however is 8 + hours by road.

    This image indicates the current canal options:

    Thailand pushes dream of 'land bridge' to boost economy-ismus3-jpg

    Assuming positioned to indicate the easiest/cheapest canal construction, it also suggests the optimum road/rail/pipeline routes similarly. All would involve ports, all road/rail or pipeline development.

    Is the investment worth it?

    Shorter total travel time, increased security by omitting the Malacca Straits marine segment and construction projects are the pros.

    Port, rail and rail development capital investments, ongoing multimodal cargo handling and management costs the cons.

    What % of the various cargo types of traffic would use either?

    Desirable for some, but not others.

    An analysis of Malacca Straits trade ship numbers and cargo type:

    Prospection and Analysis of New Maritime Trade Nets of Asia in the Malacca Strait


    Thailand pushes dream of 'land bridge' to boost economy-ms-trade-jpg

    https://upcommons.upc.edu/bitstream/..._TFG%20(1).pdf

    Nearly 40% is oil and gas.

    How much is that worth?

    How long does it take to unload a VLC, pump it through a 80 km pipe, and load another VLC
    versus VLC travel time through the Malacca Straits?

    How much to build the offshore terminals, the
    80 km pipelines and pumping infrastructure versus VLC fuel consumption through the Malacca Straits?

    What is the value of an undeliverable/delayed cargo?
    During normal times and "times of tension"?
    Last edited by OhOh; 14-09-2021 at 04:15 PM.
    A tray full of GOLD is not worth a moment in time.

  11. #11
    Thailand Expat
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    Quote Originally Posted by Fondles View Post
    we move 20+ 40ft containers weekly out of Laemchabang.
    Can you elaborate, enlighten?

  12. #12
    Thailand Expat Fondles's Avatar
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    Quote Originally Posted by Klondyke View Post
    Can you elaborate, enlighten?
    Large steel boxes 8ft wide x 8.5ft high x 40ft long

    We deliver 20+ per week to the Laem Chabang port, there some nice chaps load them onto a fairly large boat.

    That boat with the aid of a crew then deliver said containers to their destination, Typically Australia, New Zealand, Japan and North America.

    Hope that is clearer for you.

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    Let me see if I understand this.
    A large container ship will arrive on one side, unload its cargo and return empty (unless it has a load waiting for it there) . Then all the cargo would be loaded on trucks and transported to the other side, on the other side there would be an empty cargo ship of the appropriate size waiting , the transported cargo would be unloaded from the trucks , loaded to the waiting empty cargo ships, and proceed to their final destination.
    Easy peasy lemon squeezy.
    What could go wrong with that?
    The sooner you fall behind, the more time you have to catch up.

  14. #14
    Excommunicated baldrick's Avatar
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    think of the money to be paid to offload and then onload - the dim fcuktards must be wetting themselves with excitement

  15. #15
    Thailand Expat
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    Quote Originally Posted by Fondles View Post
    Large steel boxes 8ft wide x 8.5ft high x 40ft long

    We deliver 20+ per week to the Laem Chabang port, there some nice chaps load them onto a fairly large boat.

    That boat with the aid of a crew then deliver said containers to their destination, Typically Australia, New Zealand, Japan and North America.

    Hope that is clearer for you.
    Thanks for the elaboration. However, what's so special on such "moving"? Does it say something different than what I wrote in #8 above?

  16. #16
    Thailand Expat Fondles's Avatar
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    Quote Originally Posted by Klondyke View Post
    Thanks for the elaboration. However, what's so special on such "moving"? Does it say something different than what I wrote in #8 above?
    You single out small vessels and 20ft containers.

  17. #17
    Thailand Expat
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    Quote Originally Posted by Fondles View Post
    You single out small vessels and 20ft containers.
    You misunderstood the meaning of my remark about the vessel size. The capacity of the container ship is given in TEU what is a size of 20ft container. Of course 2 x 20ft containers gives one 40ft.

    (Sorry, I did not understand what you meant by "we move containers".)

    The twenty-foot equivalent unit (abbreviated TEU or teu) is an inexact unit of cargo capacity, often used for container ships and container ports.[1] It is based on the volume of a 20-foot-long (6.1 m)
    Twenty-foot equivalent unit - Wikipedia

    Quote Originally Posted by Klondyke View Post
    ...sailing only few small vessels (3,000 - 5,000 containers 20ft), while majority is send by feeders to Singapore for re-loading on large vessels (7,000 - 25,000) coming from China.

  18. #18
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    Hhhmmm i seem to recall some years back this was mooted and fully supported by the numerous officials who have gone to great pains to ensure they purchased land in the areas proposed. Its a white elephant project that will only benefit the land owners at the expense of the tax payers....as per.

  19. #19
    Excommunicated baldrick's Avatar
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    Quote Originally Posted by Klondyke View Post
    Of course 2 x 20ft containers gives one 40ft.
    Only in size , weight capacity is not equivalent

  20. #20
    Thailand Expat
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    Quote Originally Posted by Buckaroo Banzai View Post
    Let me see if I understand this.
    A large container ship will arrive on one side, unload its cargo and return empty (unless it has a load waiting for it there) . Then all the cargo would be loaded on trucks and transported to the other side, on the other side there would be an empty cargo ship of the appropriate size waiting , the transported cargo would be unloaded from the trucks , loaded to the waiting empty cargo ships, and proceed to their final destination.
    Easy peasy lemon squeezy.
    What could go wrong with that?
    I read a study that suggested an oil pipeline could be economically viable and would help the West, ME, India, and Japan but not a great deal of gain for Thailand. The problem is that it is only a day's sail saved so you can't charge that much or shipping won't use it.

    For cargo, the real economic improvement is when the land bridge is joined to the Thai - Laos rail network and trade with China is allowed to flow. However, this would have some political implications with the West with China having better access to the Indian Ocean.

    There are several good studies on the internet. The Kra canal is way too expensive and the land bridge and ports is estimated to be only 3% of the cost of building the canal. Of course, Thailand would still need a large capital investment from somewhere.

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    Oil an gas supplies are not infinite. Sooner or later, they will run out, or be replaced by renewables. For other cargo, rail shipments to Europe and all points in between is much faster and cheaper.
    Big container ships are still subject to piracy, especially in Indian or African coastal regions.

    Vietnam are doing it already, thus linking China to Europe. No brainer, Thailand left In the lurch yet again.

  22. #22
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    Quote Originally Posted by Troy View Post
    I read a study that suggested an oil pipeline could be economically viable and would help the West, ME, India, and Japan but not a great deal of gain for Thailand. The problem is that it is only a day's sail saved so you can't charge that much or shipping won't use it.

    For cargo, the real economic improvement is when the land bridge is joined to the Thai - Laos rail network and trade with China is allowed to flow. However, this would have some political implications with the West with China having better access to the Indian Ocean.

    There are several good studies on the internet. The Kra canal is way too expensive and the land bridge and ports is estimated to be only 3% of the cost of building the canal. Of course, Thailand would still need a large capital investment from somewhere.
    As you said , it only saves one day, so it seems to me the land bridge for cargo to be a Rube Goldberg device that would only erich those who build it at a great cost to Thailand. IMO it is only talk and will never happen .

  23. #23
    Thailand Expat OhOh's Avatar
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    Quote Originally Posted by Buckaroo Banzai View Post
    that would only erich those who build it at a great cost to Thailand.
    How much revenue would be accrued by Thai citizens compared to the existing jobs, in that part of Thailand?

    I would suggest that international financiers, construction and service companies would be prepared to chip in.

  24. #24
    Thailand Expat OhOh's Avatar
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    Quote Originally Posted by Buckaroo Banzai View Post
    What could go wrong with that?
    Singapore may show you an example of how to prosper as a transhipment centre. See the ships waiting offshore for cargoes 24/7/12 to X Y Z...

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