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Multi-modal logistics park will position Assam as a key trade gateway: Official

Pankhi Sarma , September 16, 2024
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The MMLP at Jogighopa will serve as a critical hub for cross-border trade, improving connectivity with neighboring countries like Bangladesh and Bhutan

Jogighopa MMLP to generate thousands of job opportunities in Assam, not only in logistics and warehousing but also in industries that will now have better access to the market

Guwahati: Projects like Bharatmala and Sagarmala, mapped through PM Gati Shakti, significantly reduce time and cost overruns, driving Assam’s development forward. With PM Gati Shakti, decisions on infrastructure development are now based on scientific data, ensuring projects are built where they are needed most, said Sazzad Alam, ACS, Joint Secretary to the Government of Assam, Industries, Commerce & PE Department, Assam during an interview with Pankhi Sarma of Business North East.

“It has revolutionized rural development by ensuring that decisions are made based on real needs, reducing inefficiencies and delay. The PM Gati Shakti initiative allows for seamless integration between different sectors, leading to better project planning and preventing infrastructure conflicts,” Joint Secretary further added.


Business North East: Let's begin with the PM Gati Shakti initiative. Sir, could you please share an update on its progress and how it’s shaping up so far?
Sazzad Alam, Joint Secretary: PM Gati Shakti is a transformative initiative introduced by the central government of India, launched by the Honorable Prime Minister in October 2021. Assam, like the rest of the nation, has embraced this noble initiative, which addresses the longstanding issue of departments and ministries working in silos, often resulting in a lack of coordination. This lack of synergy between departments previously contributed to a loss of nearly 13-14% of India's GDP.
The PM Gati Shakti initiative integrates departmental data onto a unified geospatial platform, the PM Gati Shakti portal. Here, each department’s data is layered and made accessible to all others, enabling better project planning, problem-solving, and interdepartmental coordination. The platform also supports the recording of Memoranda of Cooperation (MoC), ensuring smooth communication across departments.

Several key projects, such as the Delhi-Mumbai expressway, are a direct result of this integrated approach. Under the guidance of Hon. Union Minister for Road Transport and Highways, Shri Nitin Gadkari, such initiatives have progressed significantly.
In Assam, although we may have been slower to start, departments have now caught up. We’ve trained personnel, and many departments have not only uploaded their mandatory data but also added additional datasets. We are now leveraging PM Gati Shakti for enhanced interdepartmental coordination, pushing for strategic development across the state.


BNE: In your opinion, what kind of impact has the PM Gati Shakti National Master Plan created so far?
Joint Secretary: The most significant impact of PM Gati Shakti has been the improvement in efficiency and coordination across departments. Earlier, tasks like moving an electricity pole to widen a drain were cumbersome and often delayed due to a lack of interdepartmental communication. Now, with the "Call Before You Dig" system, conflicts between departments are avoided, especially with underground utilities, ensuring smoother project execution.
The plan has revolutionized project planning, especially in rural development, by moving away from politically-driven decisions and instead using data and scientific analysis. For instance, decisions to construct Anganwadi Kendras or banks in rural areas are now based on area-specific needs like child population, land availability, and access to facilities such as schools and electricity. This data-driven approach ensures better placement and planning of social infrastructure.
In Assam, the integration of PM Gati Shakti is reducing high logistical costs, one of the major challenges in the region. Improved coordination through platforms like WhatsApp was a step forward, but PM Gati Shakti has fully streamlined planning, enabling quicker decision-making and minimizing delays in sectors like roads and railways. This approach is driving more effective and cost-efficient infrastructure development across the state.


BNE: "With this infrastructure development, has there been any noticeable impact on logistics costs? Have they been reduced?"
Joint Secretary: "As I mentioned earlier, the PM Gati Shakti initiative will certainly reduce logistics costs. It aims to make processes more seamless and allows for better planning of projects, identifying logistics needs more effectively. When all stakeholders collaborate from the start, the outcomes are more efficient, avoiding the need for repeated adjustments. This ensures that tasks are completed properly in one go."

BNE: "Could you elaborate on the Bharatmala, Sagarmala, and their connection to the PM Gati Shakti initiative?"
Joint Secretary: "Bharatmala is a standalone project focused on large-scale infrastructure development in the road transportation sector, including logistics parks, like the one coming up in Jogighopa. Sagarmala, on the other hand, deals with seaports and marine infrastructure.
However, all of these projects, under the umbrella of these flagship programs, can be mapped and planned through the PM Gati Shakti initiative. This integration helps significantly reduce the time and cost overruns by streamlining the planning and completion processes."

BNE: "What is the current status of the Jogighopa Logistics Park?"
Joint Secretary: "The Jogighopa Logistics Park is being developed by NHIDCL, with the state government contributing the land at the old Paper Mill complex. As far as I know, it's nearing completion. An SPV (Special Purpose Vehicle) will be established to manage its operations, involving all relevant stakeholders.
Additionally, the Inland Waterways Authority of India is preparing a river port on the Brahmaputra’s North Bank, as part of the Multi-Modal Logistics Park (MMLP). The project will integrate three modes of transportation—railways, roadways, and waterways. A railway connection has been provided, utilizing the old railway siding, while the roadways have been significantly improved with a four-lane expressway from Pancharatna River to the main national highway. These developments will seamlessly connect the logistics park through all three transportation modes."

BNE: "Regarding the Multimodal Logistics Park and its connection to the Jogighopa Logistics Park, how do you see these developments impacting the economic landscape of Assam?"
Joint Secretary: "In addition to the Jogighopa Logistics Park, we now have the protocol route through Bangladesh, enabling the movement of goods via waterways up to the ports in Bangladesh and the Ganga River in the rest of India. Moreover, the East-West Corridor is being connected, along with the completion of the Dhubri-Phulbari bridge.
Together, these developments will transform the region into a major hub for trade, supported by a robust multimodal transportation network. This network—integrating waterways, railways, and roadways—will significantly enhance Assam's economic growth by improving connectivity and facilitating smoother trade routes."

BNE: "With the recent disruptions in Bangladesh, do you foresee any impact on trade between Bangladesh and India, given Assam's central role in this?"
Joint Secretary: "There were concerns raised about potential disruptions, but fortunately, despite internal political changes, countries have a responsibility to honor the agreements they’ve signed. This is a mutually beneficial arrangement, and it’s unlikely any foreign nation would jeopardize it without causing harm to its own interests.
While we remain cautious, we believe the commitments and agreements remain intact as of now. Moreover, we have railway and roadway networks as backup routes, so I don’t think the Multimodal Logistics Park project will be affected by the situation in Bangladesh."


BNE: "Are there any other projects currently underway at the Multimodal Logistics Park?"
Joint Secretary: "We had initially conceived a project in Silchar, which was also recommended by ADB’s 'India's Expressway to ASEAN' report. Although it faced some initial challenges, there is a possibility we may pursue it in the future. The Ministry of Road Transport and Highways had committed to it in principle, but initial research revealed several issues, including the need for express traffic through Sutarkandi, a proper 4-lane highway from Jiribam to Imphal, and beyond to Moreh. The situation in Myanmar has also become fluid, and the Kaladan project, which was intended to connect the region, has faced difficulties in the Rakhine region.
For now, developing the infrastructure for the Silchar project seems premature. It's better to allow the situation in Myanmar and Manipur to stabilize. We’ve seen a massive transformation in the infrastructure across the Northeast since 2016, particularly in roadways, railways, airways, and inland waterways. For instance, Barak Valley, which once had pothole-riddled roads, now has expressways. Railway electrification is also progressing, and airports like Dhubri, Dibrugarh, and Guwahati are becoming significant hubs under the UDAN scheme.
Inland waterways are also seeing major development, with ports like Pandu and Dhubri becoming busy trade centers. We’ve even had luxury cruises traveling up to Sadiya. Barak River is being dredged to serve as a major waterway for southern Assam, and the river Feni in Tripura is being developed for transportation. Bangladesh ports like Chittagong and Mongla are being used by states like Tripura, and the Agartala-Akhaura railway line is nearing completion.
Additionally, the historical rail link from Assam to Chittagong via Mahisasan is being revisited. On the Indian side, the broad gauge is in place up to the border, and once Bangladesh upgrades its gauge, we’ll have a direct link from Assam to Kolkata through Bangladesh.
We’re also enhancing our connectivity to border towns under PMGSY, making commercial routes more efficient. The integrated check posts (ICPs) at Sutarkandi and Moreh are improving regulatory processes, and the Land Port Authority of India has taken over more land ports like Mancachar, Golakganj, and Darrangamela, enhancing trade with Bangladesh and Bhutan. With Myanmar, despite recent setbacks, we remain optimistic that trade via Moreh and other routes will resume.

BNE: "So, with these logistical developments, our connections with neighbouring countries like Myanmar, Bangladesh, and Bhutan are expected to strengthen. How do you see India's relationship with Southeast Asia evolving?"
Joint Secretary: "Absolutely. Our tagline has been 'India’s expressway to ASEAN,' positioning us as a hub. While there may be roadblocks along the way, they’re not permanent stops—just temporary pauses, or 'commas,' as I like to say. We move past these, addressing challenges and making our achievements more permanent as we progress. Strengthening these relationships is a continuous process, and we are on the right track."

BNE: "As you're overseeing the Act East Policy department, what is the current status of the scheme, and are there any new developments?"
Joint Secretary: "The Act East Policy primarily focuses on industrial development and investment, providing subsidies and incentives. Alongside this, Assam has its own Industrial and Investment Policy 2019, which has been amended to offer tailored incentives for mega projects. This has attracted significant investments across various sectors in the state.
While the Act East Policy is a driving force, our goal is to integrate more deeply into mainstream development. Over the past decade, Assam and Guwahati have experienced substantial progress. Challenges remain, but they are being addressed effectively.
Recent developments include an ADB report that maps out the economic corridor and identifies opportunities for various industries in this region. Ports in Bangladesh are accessible, and there's potential for sending goods via Moreh to Myanmar and Southeast Asia. The Kaladan Multimodal Transit Transport Project is a key initiative, offering a route from the port to inland areas in Myanmar, facilitating trade further.
We are also strengthening relationships with Southeast Asian countries. Laos, for instance, and Singapore, which is aiding in developing our skill centers and the first skill university in the Northeast. Japan is driving several projects in the region.

BNE: "Given the natural calamities like floods in Assam, do these issues hinder development, especially in terms of logistics infrastructure?"
Joint Secretary: "Natural disasters such as floods and earthquakes are indeed challenges, but they are inherent to the environment. While hazards are unavoidable, the real issue is vulnerability, which we can address. By implementing disaster risk reduction measures, we can mitigate vulnerability significantly. For example, we can build disaster-resilient housing and improve the planning of embankments to better protect areas from flooding.
Historical practices showed people building beyond embankments, which exacerbated the issue. Modern approaches focus on earthquake-resistant housing and flood-resilient infrastructure. Though floods continue to affect communities, major infrastructure has been designed to withstand these conditions better. Roads and other critical infrastructure are now rebuilt with improved resilience, and repair processes are expedited after disasters to minimize disruptions. 

BNE: "As the state nodal officer for the gas grid projects in Assam, could you update us on the current developments?"
Joint Secretary: "Assam has a long history with natural gas, dating back to the early use of gas in industries and tea gardens. Historically, gas resources were localized, serving specific needs like fertilizer factories and thermal plants. However, to integrate into a national gas grid and develop a gas-based economy, significant infrastructure improvements are underway.
Key projects include the National Gas Grid, with pipelines extending from Barauni to Guwahati, and onward through Rangia, covering various Northeastern states. This network is being expanded through a joint venture of major oil companies like GAIL and ONGC, linking Assam to places like Tripura, Dimapur, and Gangtok.

These developments will facilitate city gas distribution, support industrial growth, and promote CNG transportation. Despite challenges such as international gas pricing and recent disasters like the Baghjan gas leak, the discovery of new gas reserves in Assam and the involvement of private companies like Vedanta are promising. This positions Assam not only to meet its own gas needs but potentially to export gas, marking a significant step toward a robust gas-based economy."