Flagship project brings development to Laos

The China-Laos Railway has facilitated over 346,000 cross-border passenger trips and handled roughly 11 million metric tons of cross-border goods over the past three years, boosting socioeconomic development along the line in the two countries.

The 1,035-kilometer railway, which started operation on Dec 3,2021, is a flagship project within the framework of the China-proposed Belt and Road Initiative. It connects Kunming, capital of China's Yunnan province, with the Laotian capital of Vientiane.

Over the years, the railway has turned Laos, a land-locked country, into a land-linked hub in the Indo-China Peninsula, helping the country effectively overcome its development barriers and improving the Laotian people's livelihoods.

Statistics from Kunming Customs show that by the end of November, 10.6 million tons of imported and exported goods had been handled via the railway, with the total value exceeding 44 billion yuan ($6.05 billion).

Through the cross-border cargo transportation service, over 2,900 types of goods such as electronics, photovoltaic and automobiles are transported between China and 12 BRI countries, including Laos, Thailand and Vietnam, said officials at the Mohan checkpoint on the Chinese border with Laos in Yunnan.

Zhang Xuxu, general manager of Yunnan-based Tonghai Wanhe Import and Export Co who has been engaged in the vegetable import and export business for 10 years, said his company's foreign trade covers over 20 types of vegetables, mainly to Thailand and Malaysia.

"Cold chain transport via the China-Laos Railway to Thailand saves one day compared with road transport and reduces costs by 10 percent," Zhang said, adding that he has noticed an increase in the number of people involved in the vegetable import and export business since the railway began operations.

Hu Shengli, safety technology director of Laos Tongda International Logistics Co, said the railway has not only enhanced transport convenience, but has also spurred economic development and job opportunities in Laos, significantly improving the lives of the Laotian people.

"Thanks to the China-Laos Railway, the export prices of Laotian agricultural products such as cassava, rice and corn have seen a surge in recent years due to growing demand, which has boosted the local people's incomes," he said.

In addition, the average price of durian in China has dropped 20 to 50 percent, since the railway has cut the transportation time and cost from Thailand, the largest exporter of fresh durian in the world, to China, its biggest market.

"The Thailand and the China-Laos railways have enabled the direct transfer of full-container loads, opening up a new channel for Thai durian exports. Previously, it took seven days by sea and five days by road from Thailand to Kunming. Now, using the railway, it only takes two days," said Pan Jiaoling, operations director of Thailand Shibida International Logistics Co.