MARINE, LAND AND RAIL TRANSPORTATION SUPPLEMENT EACH OTHER

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Anna Douglas
7 years ago
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1 The issue of combined transportation in today world considering the existing tight competition in the world has a special place in the economy of any country. Consequently the road fleet, railway and shipping lines can be proper supplement to each other and use of possibilities pf each of them can contribute to establishing a modern combined system. It is obvious that in the world trade market the success is with those countries that have the potential of transportation from the point of origin to the destination either via sea, Land or rail. For more information on the role of the road fleet in the combined transportation, we had a meeting with Mr. M Khansari, Minister of Roads & Transportation and Director of National Transport & Terminals Organization and asked his views on the current situation and the problems faced in the sector. Mr. Khansari who has with these organization for4 years, is born in 1333 (1954) and holds BSC degree in planning. He has previously served in the Interior Ministry, Ministry of Agriculture, and Social Service Organization and Tehran municipality. MARINE, LAND AND RAIL TRANSPORTATION SUPPLEMENT EACH OTHER What is your view on the role of road fleet in the combined transportation? Considering the country's geographical position and the fact 80% of the passengers and goods are transported via

2 roads, I believe that road transportation is more important. According to statistics in hand, about 80 thousand trucks and vans, 18 thousand buses and more 30 thousand omnibuses and cars are engaged in conveying passengers and goods. Marine, road and rail fleet in Iran, as in other countries, supplement each other. Ships carry goods to the ports and then they are transported via railway and road to northern borders and this is why these means can be good supplement to one another. What is the share of the road transportation? Road transportation is usually conduced by private sector and the government mainly makes the policies and carries out the control and supervision. In any way 99% of the passengers and more than 80% of goods in this sector are transported by private companies. Additionally in recent years we have tried to set up trade associations in towns and turn over the operation to these establishments. For instance, matters related to cargo stalls, supervision of the function of the companies, and drivers, international transportation, issue of visa, arbitration between companies, introduction to get trucks and. Are presently handled by such associations. Presently and according to the statistics and figures relating to the bills of lading and statements issued, the average cargo transportation within road transportation sector in years is about 30 million tons and average passenger transportation in this sector is 220 million passengers.

3 Of course, the real figures of cargo and passenger's transportation in this sector are much more because part of transportation is carried out without B/L and statements. Please give us an overview of the operation of your organization in year 1379 ( )? Within the 12 months of 1379 ( ) a total amount of 30 million tons of oil and non oil goods were exported through land and sea borders and 28,8 million Compared to the corresponding period in year ( ) imports and exports share of rail border was 2%, road border 2,3% and share of sea border was 95,7% Out of the total imported cargo 5,5% were oil cargo and 94,5% non oil goods and as to the export, 63,3% were oil cargo and 36,4% non-oil goods. Also during last year 270 thousand passengers entered the county by 12,900 passenger vehicles, out of which share of buses was 88% cars 12% and omnibuses very insignificant. Also number of 292 thousand passengers were taken abroad by 14 thousand passenger vehicles out of which share of buses 89% cars 11% and omnibuses insignificant. What is the annual investment amount on road transportation sector? Magor investments are made by private sector; nonetheless investments in fundamental installations such as road construction are still made by the government. During the past year National Transportation & Terminals Organization has invested

4 about 300billion Rails in the field of cargo terminals and usually allocates about 500 to 600 billion Rails for mobilization of the fleet and construction of the open terminals, which is paid through banking system. Part of the problems goes back to post revolution era especially during the imposed war and part of it has root in the old times. As such the problems cannot be solved with release of one decree or directive. It needs social work. Regulations containing liabilities of either party, i.e. companies and drivers are required to be drawn. The next problem is the worn out fleet, the average age of which is 18 Years and they are not safe enough for the passengers. On the international scale also this situation causes problems for our vehicles traveling in the European countries. What has been done to establish contact between Iranian and foreign companies? The government takes some steps, for instance this year we shall host an international conference in which all international organizations and big reputable transportation companies will participate. The conference is due to be held in the month of Tir June-guly). In addition we have tried to sign protocols with all countries to which we travel, and consequently we now have m ore than 33 protocols exchanged with other countries and efforts have been made by our embassies in introducing the routes. Is there a defined transportation policy? In the3rd development a plan particular priority has been given to the transportation expansion. The of course is a approach, however, we have to note that at present 7 to 8

5 percent of cargo in the country are conveyed by rail and if we try we can increase this amount by 3 to4 percent or even double it. In connection with the total amount this figure is not significant. On the area of speed, Loading and discharging in place of origin and destination, road transportation has more advantages compared to rail transportation and that is why even in Europe investments on road transportation are bigger. If our strategy is based on road transportation, then why more investments are not made? This is because of the limitation of government incomes, meaning that we spend as much as we earn. You pointed out the worn out fleet. There are reports that some Iranian trucks are banned entering European countries and some of them ere sent to be scrapped. Please comment? Europe is very conscious about environment issue. The Iranian trucks traveling to Europe mostly lack international standards, even some lack proper technical condition, causing pollution, It is obvious that Police take action, stops them and sends them over to the technical centers and does not allow them to move until they have rectified the deficiencies. What are your plans for 1380 ( )? Renovation of passenger and cargo fleet and safety of roads are among our priorities. I hope to make relief operation more active and allocate telephone number for public information purpose. Control of movement of passenger vehicles on roads and observance of the

6 regulations and supply of services to the passengers are other subjects of concern. Construction of rest houses in roads is a major issue that is to be run in cooperation with private sector. It seems that drivers traveling abroad have difficulties of residing? The drivers on road abroad do not travel individually. They under patronage of companies and therefore those companies are responsible for the driver's residence. Recently some companies were closed down for misconduct, please explain the reasons? There are different committees in the organization responsible to investigate the misconduct of the companies. On the subject of smuggle which is a sensitive issue, the first to take action is the organization. We have had a report from the Customs Office indicating that trucks belonging to these three companies have been carrying smuggled goods. We instantly put the subject to the committee for investigation and cancelled their license. What are the estimates on the road transportation in the 3rd development plan? In addition to what was above, reducing the number of accidents in the roads and selection of 420 locations for construction of rest houses by the private sector are envisaged. Is foreign investment in fundamental installations part of your agenda? Have foreign companies approached you so far?

7 On road transportation and passenger and cargo fleet we had no proposals and on the fundamental section we have no responsibilities. Is there a dialogue of cooperation with country's with we have common transit routes? An agreement has recently been signed between Iran, India and Russia that in fact is a corridor between east, west, and north south in order to transport goods from Far East to the west. Previously this was carried out by sea and now we can bring these goods to southern ports and transit them on land routes to Europe. Iran route from the point of view of distance, time and security is very suitable and with most countries. Agreements have been exchanged. As regards Central Asian countries, we travel a lot to these countries and have agreement with all of them. Thank you.

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