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India to hand over six vessels worth $81 million to Myanmar

Aung Zaya

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India to hand over six vessels worth $81 million to Myanmar
By STAFF | Monday, 26 June 2017
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India will hand over six cargo vessels worth US$81.29 million (K110.08 billion) to the Myanmar government in Sittwe today under an agreement called the Kaladan Multi Modal Transit Transport Project.

3-img-20170624-wa0000.jpg
The Kaladan vessels docked at Sittwe for the handing over ceremony today. Photo - Supplied.


The vessels will be handed over at a ceremony in the Rakhine State capital by Vikram Misri, the ambassador of India in Myanmar, to U Thant Sin Maung, minister of Transport and Communications, a statement from the Indian embassy said.

The project agreement signed between Myanmar and India consists of setting up port facilities at Sittwe terminal (Inland Water Transport, IWT) at Paletwa, dredging of Sittwe port along the Kaladan River channel, providing night navigation facilities along the river, as well as design, construction and supply of six cargo vessels of 300-tonnes capacity each.

Work on the port in Sittwe and the IWT in Paletwa, Chin State, is in its final stages, and the six cargo vessels are meant to facilitate transportation of goods from Sittwe to Paletwa. The $81.29 million cost of the vessels was met through a grant from India.

The design and drawings of the vessels met the rules and requirements of the RINA Class and the model tests were carried out at the Indian Institute of Technology, Madras. The plant, requirements and materials used in the construction of the vessels were of RINA Class standard. The construction of the vessels was carried out in Myanmar by IWT as per the rules and regulations of Department of Marine Administration (DMA). The manpower used for construction of the vessels was from Myanmar.

The construction work was assigned to IWT in October 2012, the keels were laid in March 2013 and the vessels were launched between April and December 2016. On completion of the tests and trials at Yangon, the vessels reached Sittwe in March 2017. Acceptance trials were completed in April 2017 in Sittwe.

Sittwe Port and IWT Paletwa are expected to be ready for regular operations shortly, which will aid in the industrialisation of both Rakhine and Chin states. The project is expected to open up employment opportunities in various sectors and promote exports of agricultural commodities, marine products, timber products and other items, thereby raising the level of economic development in the region.

The vessels are powered by two Yanmar engines of 204 KW and equipped with ZF gear boxes.

@Nilgiri finally finished and will start operations soon :P
 
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model tests were carried out at the Indian Institute of Technology, Madras. The plant, requirements and materials used in the construction of the vessels were of RINA Class standard. The construction of the vessels was carried out in Myanmar by IWT as per the rules and regulations of Department of Marine Administration (DMA). The manpower used for construction of the vessels was from Myanmar.

designed in India, constructed in Myanmar

The vessels are powered by two Yanmar engines of 204 KW and equipped with ZF gear boxes.

Japanese engine, German Gear box
 
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A great move...India should go full throttle with its act east policy.
 
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so what do u think about the cost bro? 13m per ship is not bad. :D

300-tonnes capacity each.

actually - I dont think its cheap. 300 ton cargo vessel should be much cheaper. either that or its not a "300 ton" vessel. or theres something else missing there. maybe there is a T-o-T involved and setting up of the infrastructure etc.

check this for example:
http://commercial.apolloduck.us/feature.phtml?id=456118

used 2500+ ton vessel is sub $1 million. granted its "used". but its a MUCH larger ship. but, you only get the ship and nothing else, no setting up of industry, helping you build it, helping you test it etc. which I think is included in the above cost. thats the only justification for such a cost.
 
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actually - I dont think its cheap. 300 ton cargo vessel should be much cheaper. either that or its not a "300 ton" vessel. or theres something else missing there. maybe there is a T-o-T involved and setting up of the infrastructure etc.

check this for example:
http://commercial.apolloduck.us/feature.phtml?id=456118

used 2500+ ton vessel is sub $1 million. granted its "used". but its a MUCH larger ship. but, you only get the ship and nothing else, no setting up of industry, helping you build it, helping you test it etc. which I think is included in the above cost. thats the only justification for such a cost.
yes. probably that 81m would the whole project cost.i found ads in which 70m 1800+ cargo ship built in myanmar cost around 7m somewhere in FB today.
 
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yes. probably that 81m would the whole project cost.i found ads in which 70m 1800+ cargo ship built in myanmar cost around 7m somewhere in FB today.
i m guessing - if someone had to test a model in a research center and build it, its something more tailor made for Myanmar. (India could have easily just built whatever they build for themselves I guess?)
so definitely a tailor made design for MM and highly probably that the the Blueprints were also transferred along with other setting up costs.

thats a good deal for the cost for sure - if you are getting "how to fish" instead of just getting the fish.

do you know which company in Myanmar built it? maybe we can dig up more on the new.

The project agreement signed between Myanmar and India consists of setting up port facilities at Sittwe terminal (Inland Water Transport, IWT) at Paletwa, dredging of Sittwe port along the Kaladan River channel, providing night navigation facilities along the river, as well as design, construction and supply of six cargo vessels of 300-tonnes capacity each.

actually @Aung Zaya is all that included in the deal with India?

in that case, this is a steal.
 
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i m guessing - if someone had to test a model in a research center and build it, its something more tailor made for Myanmar. (India could have easily just built whatever they build for themselves I guess?)
so definitely a tailor made design for MM and highly probably that the the Blueprints were also transferred along with other setting up costs.

thats a good deal for the cost for sure - if you are getting "how to fish" instead of just getting the fish.

do you know which company in Myanmar built it? maybe we can dig up more on the new.
ship building sector is not developed in Myanmar. we do have many big ship building companies exporting ships to norway singapore before 1990. after coup US put economic sanction against us. exporting ship completely stopped. companies faced backruptcy due to very low local demand. after reopening for business , there are a few ship building companies survived. the biggest one is
Myanmar shipyard , state own corp. according to some news , 1500ton ship would cost USD 750000 to 1m for each.

http://www.mmbiztoday.com/articles/myanmar-shipyard-enterprise-build-30-cargo-ships

Depending on the structure of a cargo ship prices can vary from $700,000 to $1 million. The construction of ships will be finished within two years,” he added.

actually @Aung Zaya is all that included in the deal with India?

in that case, this is a steal.

The $81.29 million cost of the vessels was met through a grant from India.

The plant, requirements and materials used in the construction of the vessels were of RINA Class standard. The construction of the vessels was carried out in Myanmar by IWT as per the rules and regulations of Department of Marine Administration (DMA). The manpower used for construction of the vessels was from Myanmar.

i dont think it's a steal. this is G to G project.
all the standard , guild lines and money come from India. blueprint come along with cost estimation. India will also calculate how much they grant for this project. so in this case price cant be higher 10 time than actual cost. i think there would be the extra things which is not mentioned . bro
 
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India to hand over six vessels worth $81 million to Myanmar
By STAFF | Monday, 26 June 2017
3
India will hand over six cargo vessels worth US$81.29 million (K110.08 billion) to the Myanmar government in Sittwe today under an agreement called the Kaladan Multi Modal Transit Transport Project.

3-img-20170624-wa0000.jpg
The Kaladan vessels docked at Sittwe for the handing over ceremony today. Photo - Supplied.


The vessels will be handed over at a ceremony in the Rakhine State capital by Vikram Misri, the ambassador of India in Myanmar, to U Thant Sin Maung, minister of Transport and Communications, a statement from the Indian embassy said.

The project agreement signed between Myanmar and India consists of setting up port facilities at Sittwe terminal (Inland Water Transport, IWT) at Paletwa, dredging of Sittwe port along the Kaladan River channel, providing night navigation facilities along the river, as well as design, construction and supply of six cargo vessels of 300-tonnes capacity each.

Work on the port in Sittwe and the IWT in Paletwa, Chin State, is in its final stages, and the six cargo vessels are meant to facilitate transportation of goods from Sittwe to Paletwa. The $81.29 million cost of the vessels was met through a grant from India.

The design and drawings of the vessels met the rules and requirements of the RINA Class and the model tests were carried out at the Indian Institute of Technology, Madras. The plant, requirements and materials used in the construction of the vessels were of RINA Class standard. The construction of the vessels was carried out in Myanmar by IWT as per the rules and regulations of Department of Marine Administration (DMA). The manpower used for construction of the vessels was from Myanmar.

The construction work was assigned to IWT in October 2012, the keels were laid in March 2013 and the vessels were launched between April and December 2016. On completion of the tests and trials at Yangon, the vessels reached Sittwe in March 2017. Acceptance trials were completed in April 2017 in Sittwe.

Sittwe Port and IWT Paletwa are expected to be ready for regular operations shortly, which will aid in the industrialisation of both Rakhine and Chin states. The project is expected to open up employment opportunities in various sectors and promote exports of agricultural commodities, marine products, timber products and other items, thereby raising the level of economic development in the region.

The vessels are powered by two Yanmar engines of 204 KW and equipped with ZF gear boxes.

@Nilgiri finally finished and will start operations soon :P

Excellent.

Did the IWT have shipyards to begin with (that India invested into, expanded etc)...or is IWT complete greenfield as part of the overall India SEZ there (keel laying was 2013 apparently)?
 
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Excellent.

Did the IWT have shipyards to begin with (that India invested into, expanded etc)...or is IWT complete greenfield as part of the overall India SEZ there (keel laying was 2013 apparently)?
nope. bro IWT is part of SEZ in there bro. it's complete greenfield. that's why ships are built in YGN and trail in sittwe.
 
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nope. bro IWT is part of SEZ in there bro. it's complete greenfield. that's why ships are built in YGN and trail in sittwe.

Excellent! That means this capacity is new and up to date...and Myanmar can supply ships of this tonnage to itself and others in steady assured way...this is just a first sign of things to come :)
 
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Great news! MM needs to bolster their Armed Forces to counter bngldeshi adventurism and gross aggression.
 
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Excellent! That means this capacity is new and up to date...and Myanmar can supply ships of this tonnage to itself and others in steady assured way...this is just a first sign of things to come :)

Excellent! That means this capacity is new and up to date...and Myanmar can supply ships of this tonnage to itself and others in steady assured way...this is just a first sign of things to come :)
yes. bro it's the first step of India-Myanmar cooperation in ground.

Great news! MM needs to bolster their Armed Forces to counter bngldeshi adventurism and gross aggression.
sure bro :D
 
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