"The opening of the Hangi-Mandal port will create the second Gashuunsukhait and the second Zamyn-Uud." www.montsame.mn
Prime Minister L. Oyun-Erdene delivered remarks at the ceremony to commence the construction of railway en route Zuunbayan-Khangi on March 11.
“Dear Mongolian Citizens,
Dear guests and representatives, gathered with us today to witness today’s such historical event;
To successfully sustain the resources and backgrounds of the long-term development plan of Mongolia, to resolve matters that pose limits to developments in a short span of time, and to extend economic circumferences, “The New Revival Policy” suggested by the Mongolian Parliament has been activated since the 1st of January of 2022. We successfully managed to start the implementation of underground mining by Oyu-Tolgoi, which was the first important task of the policy.
And we are gathered here today to celebrate the start of building 226kms of railroads between Zuunbayan-Khangi, the second big project of “The New Revival Policy”, with the partnership of private and public enterprises, with a goal of finishing it within half a year.
You may recall when the “The New Revival Policy” was passed by the State Great Assembly, I said that “ We could not be discussing of progress without resolving the issues of border points when our economy only relied on mining, state budget only consisted of coal, petrol was imported from only one country, and the importing was connected to only one border point where we were feeling the impacts even more during covid times, and our economy was in worse shape.”
That is why I promoted the construction of connecting all border points via roads, railroads, and highways in consecutive steps in no time and to extend the economic background of it in the spectrum of “The New Revival Policy”.
Having no access to the sea, out of 42 dry road border points, only 3 of them, Sukhbaatar, Ereentsav, and Zamiin Uud are connected by railroads.
About half the amount of export of copper and copperized coal, which are the main parts of our export, are passed solely by Gashuunsukhait whereas the 70 % import of common use goods is passed by Zamiin Uud border point.
Khangi border point is located exactly at the middle point of Gashuunsukhait and Zamiin Uud and that makes it a geopolitically strategic point.
By connecting the Hangi-Mandal port with a railway and opening a new gateway as our country's import and export capacity will increase by a total of 20 million tons, and the total volume of rail transportation will increase by 65 percent, respectively. With the commissioning of the Zuunbayan-Khangi railway, transportation to Baotou, China, the country's main mining export market, will be shortened by 242 kilometers, saving transportation costs and time.
In other words, the opening of the Hangi-Mandal port will create the second Gashuunsukhait and the second Zamyn-Uud.
180 companies and more than 3,500 workers will take part in the construction of the 226-kilometer Zuunbayan-Khangi railway, which will create more than 1,300 new permanent jobs. This construction is a branch of the Zuunbayan railway, creating the first tripartite railway junction in Mongolia.
Mongolia is starting construction of a railway linking the Hangi port with the Chinese port of Mandal today.
This month, the Government of Mongolia is racing to complete the 416-kilometer Tavan Tolgoi-Zuunbayan railway. The Hangi-Mandal railway will be operational in half a year and will connect the Tavan Tolgoi-Zuunbayan railway to transport Oyu Tolgoi copper concentrate, Tavan Tolgoi coking coal, and other export products through a new market based on free-market competition, and increase the value of mineral deposits in the Gobi region and new opportunities for economic circulation will open up.
As the Prime Minister of Mongolia, I would like to reiterate that we are always ready to cooperate with investors and companies in a mutually beneficial manner within the framework of the “Revival Policy” proposed by the Government of Mongolia.
I would like to emphasize today that the start of construction of the Zuunbayan-Khangi railway is an important step in increasing exports, creating rapid economic growth, and ensuring economic independence and autonomy.
A pandemic and difficult economic challenges continue around the world. But we must not give up on the goals we set for Mongolia's revival amid the crisis. On the contrary, we must work together more than ever to overcome difficulties and achieve our goals and objectives!
On behalf of the Government of Mongolia, I would like to wish the investors, companies, engineers, technicians, and the armed forces every success in their work in completing the 226-kilometer Zuunbayan-Khangi railway in the first half of the year, and a happy reunion on opening day.
Let’s implement the revival policy nationally,
Published Date:2022-03-16