© international road transport union (iru) 2010 creation of model highway – public private...
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© International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Creation of Model Highway – Public Private Initiative to
revitalise the Silk Road
TIFA Meeting TIFA Meeting Tashkent, 5 May 2010Tashkent, 5 May 2010
TIFA Meeting TIFA Meeting Tashkent, 5 May 2010Tashkent, 5 May 2010
Martin MARMY,Martin MARMY, Secretary GeneralSecretary GeneralMartin MARMY,Martin MARMY, Secretary GeneralSecretary General
Page Page 22 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
IRU’s global MembershipIRU’s global Membership
CreatedCreated19481948
National Associations National Associations
from 8 founding countriesfrom 8 founding countries
BelgiumBelgium DenmarkDenmark FranceFrance NetherlandsNetherlands
NorwayNorway SwedenSweden UKUK SwitzerlandSwitzerland
2010 2010 180 Members180 Members 74 Countries 74 Countries
Page Page 33 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Effects of GlobalisationEffects of Globalisationon Trade and the Supply Chainon Trade and the Supply Chain
The combined efforts of29 companies in 18 countries
Source: IRUSource: IRU
What does it take to have a cup of coffee in a café? What does it take to have a cup of coffee in a café?
Road transport has becomea vital production tool!
No country is No country is landlocked to landlocked to
road transport!road transport!
Page Page 44 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Evolution of sea containersEvolution of sea containersin portsin ports
Evolution of sea containersEvolution of sea containersin portsin ports
Page Page 55 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Daily telecommunications activitiesDaily telecommunications activities
Telecommunications gap corresponds to the regions that have Telecommunications gap corresponds to the regions that have not been interconnected to global tradenot been interconnected to global trade
Source: Centre for Strategic International Studies (CSIS), Washington, DC
Page Page 66 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
If the Silk Road was the main trade If the Silk Road was the main trade artery 2000 years ago, why not today? artery 2000 years ago, why not today?
Ancient Silk RoadAncient Silk Road
Page Page 77 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
IRU New Euro-Asian Land IRU New Euro-Asian Land Transport Initiative - NELTITransport Initiative - NELTI
• Launched in September Launched in September 20082008
• Commercial transport Commercial transport deliveries performed by deliveries performed by transport operators from transport operators from 12 Euro-Asian countries12 Euro-Asian countries
• 5 routes5 routes
• In cooperation with the In cooperation with the Asian Development BankAsian Development Bank
Page Page 88 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
NELTI: Problems are Procedural!
40% of time lost 40% of time lost at border at border
crossings!crossings!
Bakshish at the Bakshish at the border accounts for border accounts for
30% of additional 30% of additional costs!costs!
Page Page 99 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010Page Page 99 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
If road construction is always beneficial, it is always more expensive, complex and time consuming than to
implement the UN facilitation instruments
How to reduce the “economic distance”How to reduce the “economic distance”Scenario 1: construct new roadsScenario 1: construct new roads
Page Page 1010 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Key aspects of theKey aspects of theModel Highway Initiative (MHI)Model Highway Initiative (MHI)
1. Institutional reforms
2. Creation of support infrastructure
3. Implementation of best practices
4. Establishment of a multilateral investment fund
Page Page 1111 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
1st key aspect of the MHI
Institutional Reforms
Introduction of effective border crossing procedures based Introduction of effective border crossing procedures based on international regulationson international regulations
SimplifiedSimplified procedures forprocedures for allocationallocation of land along the of land along the model highwaymodel highway
Accession to and effective implementation of international Accession to and effective implementation of international agreements and conventions on trade and road transport agreements and conventions on trade and road transport facilitationfacilitation
Reduction of border waiting times jointly with anti-bribery Reduction of border waiting times jointly with anti-bribery action planaction plan
Page Page 1212 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
2nd key aspect of the MHI
Creation of Support Infrastructure
Border crossing facilitiesBorder crossing facilities
Access to border crossing facilitiesAccess to border crossing facilities
Warehouses and multimodal logistics centresWarehouses and multimodal logistics centres
Gas stationsGas stations
Parking areasParking areas
MotelsMotels
Page Page 1313 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
3rd key aspect of the MHI
Implementation of Best Practices
Introduction of “TIR Green Lanes”Introduction of “TIR Green Lanes”
Implementation of electronic pre-declaration of goods (IRU Implementation of electronic pre-declaration of goods (IRU TIR-EPD)TIR-EPD)
Joint customs control proceduresJoint customs control procedures
Implementation of Single Window border crossing Implementation of Single Window border crossing procedureprocedure
Recognition of the International Weight CertificateRecognition of the International Weight Certificate
Simplified multi-entry visa for professional driversSimplified multi-entry visa for professional drivers
Page Page 1414 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
4th key aspect of the MHI
The development of trade and road transport along the Great Silk Road needs a Multilateral Investment Fund for
Implementation of administrative reformsImplementation of administrative reforms
Creation of support infrastructureCreation of support infrastructure
Implementation of best practicesImplementation of best practices
Page Page 1515 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Model Highway InitiativeSelection of segments
Page Page 1616 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010Page Page 1616 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
Comparison of economic return from Comparison of economic return from different types of infrastructuredifferent types of infrastructure
Source: The World Bank
World Bank supported infrastructure projectsWorld Bank supported infrastructure projects
6
1215
19 20
29
0
10
20
30
Ave
rag
e ec
on
om
ic r
ates
of
retu
rn (
%)
Page Page 1717 © International Road Transport Union (IRU) 2010© International Road Transport Union (IRU) 2010
www.iru.orgwww.iru.org
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