Government approves construction of conveyor belt to transport coal imported across La Lay Border Gate

	Quang Tri Customs’ revenue from imported coal surges
	Coal-fired to gas-fired power generation helps ensure energy security

Quang Tri Customs deploys the management software for vehicles on exit and entry.

Capacity 1,500 tons/hour/ 1 conveyor belt

The conveyor belt project to transport coal from the Laos to Vietnam is expected to be invested by two businesses (Nam Tien Co., Ltd., and Phonesack Group).

The project is built with modern and advanced equipment, and has a has a warehouse system in Laos and a warehouse system in Vietnam.

The conveyor belt system has four conveyor belts and will be capable of transporting 1,500 tons/ hour.

In the first phase, two convey belts will be installed with an expected output of 60,000 tons, brining long-term and stable revenue to Quang Tri province and as well as creating a driving force for development of logistic services at border gate.

Accordingly, the Government approved the construction of conveyor belt to transport coal imported from Laos to Vietnam across La Lay International Border Gate (Quang Tri)-La Lay (Salavan) and across two sites within 100m from the border towards the territories of the two countries.

The Government assigns the Ministry of Foreign Affairs to carry out foreign affairs procedures with Laos under the provisions of the agreement on border management and land border gates between Vietnam and Laos.

The Government also assigns the People's Committee of Quang Tri province to preside over and coordinate with relevant ministries and agencies to implement the next procedures, build and operate conveyor belts to transport coal from Laos to Vietnam in accordance with the law and international treaties signed by Vietnam.

Earlier, Quang Tri Customs Department has evaluated and forecasted the coal imports from Laos and determines that the completion of modern facilities and equipment, and development of La Lay International Border Gate into a model international border gate, being a driving force for socio-economic development in the West of Quang Tri province is key tasks for 2023-2025, with a vision to 2030.

In October 2022, the joint control house at La Lay Border Gate was invested by the State budget to Quang Tri Customs Department and put into operation as the centralized administrative area at La Lay Border Gate, helping smooth customs clearance for inbound and outbound of goods and vehicles.

In recent year, especially in 2023, although import and export activities across La Lay International Border Gate faced difficulties and challenges, still achieved impressive results.

The import and export turnover surged 140.16% to US$247 million year-on-year. The volume of imports and exports increased 294.3% to 2,278.3 thousand tons. The number of import and export declarations rose 46.92% to 2,480.

The number of imported and exported vehicles increased 105.95% to 102,819 vehicles, with the total number of passengers grew 131.69% to 225,836 passengers.

The revenue at the border gate increased by 201.04% to VND 544.29 billion year-on-year, meeting 236.65% of the estimate assigned by Quang Tri Customs Department.

The initiative of Quang Tri Customs

With the surge in imported coal products, as well as the potential for trade and service development in the near future time, in the context of limited border gate infrastructure, Quang Tri Customs Department has proposed initiatives and solutions for customs reform, focused on completing border gate infrastructure, improving customs clearance capacity, especially the initiative on customs procedures for means of transport on entry and exit.

On December 6, La Lay Border Gate Customs Branch has officially launched “the management software system for exit and entry vehicles of Hoanh Son Group Joint Stock Company”, brining many benefits for the Customs and enterprises. The use of the software reduces customs clearance time from 3-6 minutes for each vehicle.

Quang Tri Customs Department was assigned by the General Department of Vietnam Customs to research the industry-level scientific project: “Customs control of coal import method by cross-border conveyor belt across La Lay International Border Gate in Quang Tri province”, the project is expected to be completed in the second quarter of 2024.

The department has actively supported and guided businesses to complete procedures related to warehouses and check points at La Lay Border Gate and proposed the Provincial People's Committee to pay attention to developing the logistics system at La Lay Border Gate; as well as proposed solutions to facilitate vehicles carrying imported goods across the border, creating a great competitive advantage compared to neighboring border gates in the Central region.

The Government's approval of the conveyor belt is an important start for Quang Tri province in 2024. Moreover, the western economic region of Quang Tri province faces a great opportunity for development. However, in order to build La Lay International Border Gate to meet international border gate standards, it requires the drastic participation of local authorities and agencies in removing difficulties and obstacles for investors.

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