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India's 2nd Global Port in Sittwe, Myanmar

Utkarsh Classes Last Updated 08-04-2024
India's 2nd Global Port in Sittwe, Myanmar Travel & Transport 6 min read

The Ministry of External Affairs has approved India Ports Global (IPGL) 's proposal to take over the entire operation of the Sittwe port, located on the Kaladan River in the Rakhine province of Myanmar. Thus, the Sittwe port of Myanmar became the second international port after the Shahid Beheshti Port, Chabahar of Iran to come under the control of India Ports Global Limited.

However, unlike the Chabahar port, where India controls only two terminals, India has full control over the Sittwe Port.

The recently approved deal included a long-term lease of the port to India, which will be renewed every three years. The IPGL will raise resources to develop the port further.

India Ports Global Limited is a subsidiary of Sagarmala Development Company Limited, which is under the Union Ministry of Ports, Shipping and Waterways.

Sittwe Port of Myanmar

Sittwe Port development in the Rakhine Province of Myanmar is part of the Kaladan Multimodal Transit Transport Project signed between India and Myanmar. The multimodal transit connectivity on the Kaladan River will connect the  Sittwe port in Myanmar with the state of Mizoram in India. The port was built with a grant of $ 500 million from India to Myanmar.

The Union Minister of Ports, Shipping & Waterways and Ayush, Shri Sarbananda Sonowal formally inaugurated the project on 9 May 2023. He received the first Indian cargo ship, which sailed from the Syama Prasad Mookerjee Port in Kolkata to the Sittwe Port.

Significance of the Sittwe Port for India

The development of Sittwee port is part of the government's strategy to develop the land-locked northeastern states of India. 

It will enhance connectivity to the Northeastern region of India. It is expected to reduce transportation costs and logistic costs for transporting goods to Tripura and Mizoram.

Connectivity to Mizoram

Under the Kaladan Multimodal project, 158 km of waterways are being developed on the Kaladan River from Sittwe Port to Paletwa in Myanmar. Further, a road network of 109 km is being developed from Paletwa to Zorinpui on the India-Myanmar border in Mizoram state. This is expected to boost connectivity in India’s Northeastern states.

Connectivity to Tripura 

From Sittwe, Myanmar to Sarboom, Tripura:  Goods from Shyam Prasad Mukherjee Port, Kolkata, will be shipped to Sittwe Port. From Sittwe Port, the goods can be transported to   Teknaf Port, Bangladesh. From the  Teknaf Port the goods can be transported via road to Sabroom in Tripura. The project will immensely benefit Tripura by reducing transportation time and logistics costs significantly.

Threat to the Sittwe Port from Arakan Rebels 

The Myanmar Army has ruled the country for most of the period since independence . But the current military government led by Min Aung Hlaing which came to power in February 2021 is considered to be the most brutal. The military government also known as Tatmadaw, is facing a civil war where the various insurgents groups are fighting against it. In recent times the rebels have won control of key provinces of Myanmar.

In the Rakhine state,where Sitwee is located the Myanmar army is engaged in war with the Arakan Army . The Arakan Army has almost reached within a few kilometres of the Rakhine state capital. There is every possibility that it might fall to the rebels. The military rule is being supported by the Indian government and if the rebels capture the Rakhine Province nobody knows what will be the fate of the Sitwee project. 

FAQ

Answer: Sittwe Port in Myanmar. It is the second international port to be operated after the Iranian Chabahar port.

Answer: India Ports Global Limited is a subsidiary of Sagarmala Development Company Limited, which is part of the Union Ministry of Ports, Shipping and Waterways.

Answer: Mizoram and Tripura.

Answer: $500 million
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