Sittwe Port, developed by India, increases Myanmar’s expectations for improving Arakan infrastructure – Key details 2023
Sittwe Port, developed by India, increases Myanmar’s expectations for improving Arakan infrastructure – Key details 2023
An interior waterway connects the port to Paletwa in Myanmar, while a road section runs from Paletwa to Zorinpui in Mizoram.
According to an ET article, Myanmar has high expectations for the India-built Sittwe Port and believes it would significantly advance regional connectivity and commerce with India. The port was opened on May 9, and it is a crucial part of the Kaladan multimodal transit system project.
This ambitious project seeks a new route connecting India’s eastern coast with the northeastern regions through the Sittwe Port. An interior waterway connects the port to Paletwa in Myanmar, while a road component runs from Paletwa to Zorinpui in Mizoram. The local population is hopeful that direct commerce with India would boost the Arakan state’s economy.
Myanmar and India are both working to complete agreements to start direct commerce. A coastline shipping agreement between the two nations must be signed to begin trade between Sittwe and Kolkata. The agreement’s parameters, such as whether to operate one ship a week or two boats a month, will decide how frequently goods will be sent between the two ports. Shipping lines may initially have little financial success in their early years of business.
The port is open but will reach its full operational potential once a regular shipping line between Kolkata and Sittwe is created. According to reports, U Tin Aung Oo, the head of the Rakhine State Chamber of Commerce and Industry, is upbeat about the port’s prospective effects.
Currently, the Arakan state primarily conducts cross-border business with Bangladesh. The Sittwe Port will increase direct trade prospects with India’s Kolkata Port, giving traders more options and generating more employment opportunities. U Tin thinks the region’s economic climate will improve due to this increased commerce.
The usage of coastal ships owned by Myanmar company owners for this commerce is now subject to discussions. The Sittwe Port would help the Arakanese people, according to U Tha Tun Hla, chairman of the Arakan National Party, provided that goods from the Arakan state can be handled through the port.
Through expanded trade prospects with India, the Sittwe Port is viewed as a promising development that can improve regional connections and promote economic growth in Myanmar’s Arakan state.
The deep-water port of Sittwe is situated in the city of Sittwe, the administrative centre of the Rakhine State in Myanmar (Burma). It is a critical marine entry point for the region thanks to its advantageous location on the Bay of Bengal. The port is crucial in fostering connection and trade between India and Myanmar. On May 9, the Sittwe Port in Rakhine State, Myanmar, was inaugurated by Admiral Tin Aung San, the Deputy Prime Minister and Union Minister for Transport & Communications of the Republic of the Union of Myanmar, and Sarbananda Sonowal, Union Minister for Ports, Shipping, and Waterways and AYUSH.
The Kaladan multimodal transit transport project, a cooperative effort between India and Myanmar, includes Sittwe Port. The project’s main objective is to establish a multimodal transportation system that links India’s eastern coast, particularly Kolkata, with its northeastern states, employing Myanmar’s waterways and road networks. The operation of Sittwe Port is anticipated to boost regional and bilateral commerce while having a favourable effect on the economy of Rakhine State in Myanmar.
The Kaladan project entails building an inland canal route from Sittwe Port to Paletwa, which is located in the interior of Myanmar. From Paletwa, a road stretch leads to Zorinpui in the Indian state of Mizoram. This multimodal route reduces reliance on the conventional land route that travels through the northeastern states of India by acting as an alternate corridor for commerce and transit.
The expansion of the port is anticipated to increase the state of Arakan’s economic potential and promote direct commerce between India and Myanmar. Equipping the transportation of commodities and freight between the two nations has considerable potential to improve regional connectivity and promote economic growth.
The unveiling of the Sittwe Port in 2023, built by India in Myanmar’s strife-torn Rakhine state (also known as Arakan), has provided a much-needed beacon of optimism for the region’s socio-economic development prospects. Nestled on Myanmar’s western coastline, the strategically significant Sittwe Port offers profound potential for boosting Arakan’s infrastructure and enhancing Myanmar’s integration into regional trade networks. This article will explore the essential aspects of the Sittwe Port project and its potential impact on Myanmar and surrounding regions.
Undertaken as part of India’s “Look East” policy, the Sittwe Port project has been pivotal in India’s geopolitical calculus in Southeast Asia. It aims to foster connectivity, boost regional trade, and facilitate India’s access to Southeast Asian markets. The port project falls under the Kaladan Multimodal Transit Transport Project framework, a collaborative initiative by India and Myanmar. This initiative aims to link the landlocked Indian state of Mizoram with the Bay of Bengal through Myanmar territory, encompassing a combination of inland waterways and road networks.
The port construction began in 2010 and, after overcoming several logistical and political challenges, was completed in 2023. The completed port is equipped with state-of-the-art infrastructure, capable of handling large ships and significant freight volumes. Apart from the port, the project includes a 129-kilometre-long inland water transport route on the Kaladan River from Sittwe to Paletwa and a 109-kilometre road from Paletwa to the India-Myanmar border.
The Sittwe Port project is expected to play a transformative role in Arakan’s socio-economic landscape. Historically, this region has been relatively isolated, needing more robust infrastructure and economic stagnation. The completion of the Sittwe Port is set to address these challenges considerably.
- Improved Connectivity: The port and the accompanying road and riverine networks will significantly enhance Arakan’s connectivity with India and other regional economies. This new route bypasses the congested and geopolitically sensitive Strait of Malacca, offering a quicker and more reliable connection to India’s northeastern states.
- Economic Development: By facilitating more efficient transportation of goods, the port will attract investments, stimulate trade, and foster the growth of ancillary industries like warehousing, logistics, and manufacturing. The economic spill-over effects could trigger job creation and boost income levels, contributing to poverty alleviation.
- Infrastructural Boost: The successful completion of the Sittwe Port is anticipated to pave the way for more infrastructural projects in the region, potentially igniting a virtuous development cycle.
While the immediate benefits of the Sittwe Port are likely to accrue to India and Myanmar, the broader strategic implications are much more significant. The harbour could oppose China’s growing influence in Myanmar by countering its Belt and Road Initiative (BRI). Moreover, the successful execution of the Sittwe Port project can strengthen India-Myanmar ties, reinforcing India’s broader strategic outreach in Southeast Asia.
Completing the Sittwe Port is a significant milestone in the Indo-Myanmar collaborative journey. With its strategic position and high-end facilities, the port will uplift Arakan’s infrastructure and potentially transform it into a bustling economic hub. As the region grapples with the benefits and challenges this new development brings, it is clear that the Sittwe Port marks a critical turning point in Myanmar’s infrastructural narrative.
