China, People's Republic of : Chongqing Integrated Logistics Demonstration Project
The project will develop a modern and efficient multimodal logistics system in Chongqing. The outputs of the project will be (i) the Chongqing transportation logistics park, (ii) the Nanpeng logistics park, (iii) the Yangtze River inland waterway roll-on roll-off (Ro-Ro) operations, (iv) a logistics information system, and (v) institutional capacity building.
Project Details
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Project Officer
Wang, Fang
East Asia Department
Request for information -
Country/Economy
China, People's Republic of -
Modality
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Sector
- Transport
Related Projects
Project Name | Chongqing Integrated Logistics Demonstration Project | ||||
Project Number | 48024-002 | ||||
Country / Economy | China, People's Republic of |
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Project Status | Active | ||||
Project Type / Modality of Assistance | Loan |
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Source of Funding / Amount |
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Strategic Agendas | Environmentally sustainable growth Inclusive economic growth Regional integration |
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Drivers of Change | Governance and capacity development Knowledge solutions |
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Sector / Subsector | Transport / Multimodal logistics - Water transport (non-urban) |
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Gender | No gender elements | ||||
Description | The project will develop a modern and efficient multimodal logistics system in Chongqing. The outputs of the project will be (i) the Chongqing transportation logistics park, (ii) the Nanpeng logistics park, (iii) the Yangtze River inland waterway roll-on roll-off (Ro-Ro) operations, (iv) a logistics information system, and (v) institutional capacity building. The proposed project is the third urban development project in Chongqing. Lessons from past and ongoing projects were incorporated in the project design, such as devolving more responsibilities to the implementing agency while strengthening its project management and financial management capacity. The proposed project will have demonstration features, namely integrated logistics parks, logistics information system, and inland waterway Ro-Ro operations. These features are all relatively new for logistics projects in the PRC, and their successful introduction through this project will offer opportunities for replication and scaling up. Integrated logistics functions and services in the new logistics parks will reduce wasteful freight movements. Logistics information services will enable logistics service providers, such as freight forwarding companies, to increase efficiency and reduce costs through better tracking and control over the supply chain. Ro-Ro operations will reduce the time and costs of transshipments, incentivizing freight movement on inland waterways. The project is consistent with the plans of the Government of the PRC to develop the logistics sector and is in line with the Thirteenth Five-Year Plan. The project is also closely aligned with the government s priorities to develop the Yangtze River Economic Belt and the Silk Road Economic Belt initiative. The project's focus on logistics development is in line with the Sustainable Transport Initiative of the Asian Development Bank (ADB), which highlights logistics improvements as an important opportunity for sustainable transport operations. The project also draws on the recommendations of the previous ADB study on logistics development in the PRC. |
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Project Rationale and Linkage to Country/Regional Strategy | The logistics sector in the PRC, while stronger than many Asian countries, trails behind several developed nations. According to the World Bank's logistics performance index, the PRC has a global ranking of 27 (1 is the best and 160 is the worst). The PRC's ranking indicates a potential for improvement. On 11 June 2014, the State Council approved a plan to develop the logistics industry. This reaffirms the government's continued emphasis on improving and reforming the logistics sector, which is expected to continue during the Thirteenth Five-Year Plan of the PRC. Existing logistics constraints. In 2015, Chongqing handled 1.1 billion tons of cargo at 24 locations within the inner city region and ring road in Chongqing. The movement of freight trucks in urban areas worsens traffic congestion, creates air pollution, and slows down the delivery time for goods. Moreover, most of these small logistics centers do not have enough parking spaces, resulting in large trucks being parked along the streets causing more traffic congestion. Since April 2014, the government has restricted the movement of big freight trucks in parts of the inner city during certain times of the day. These restrictions are expected to be further tightened to cope with growing traffic congestion. While this has provided some relief to the traffic congestion problem, the trucks idle just outside the inner city for several hours before they are allowed to enter, thus contributing to considerable air pollution. There is also a risk that the supply of daily commodities used by local residents may be affected. The government plans to create the new logistics parks beyond the inner ring road as a long-term solution to these problems. The existing logistics centers in the inner city would gradually be consolidated and transferred to the new logistics parks. The new parks would combine all of the logistics functions in one location which will eliminate unnecessary freight movements. The parks will also integrate the various transport modes such as railways, highways and inland waterway resulting in the development of an efficient multimodal logistics system. These improvements will reduce logistics costs, which in turn may result in lower prices of consumer goods. Inland water transport. Chongqing is one of the most important inland ports in the PRC. The development of the Three Gorges Dam has increased the shipping capacity of the Yangtze River. The dam has made the river deeper and slower, allowing for easier navigation, especially upstream, for cargo and passenger vessels. The limiting factor for cargo, however, is the capacity of the ship lock across the 181 meter high dam. Presently, container ships have to wait for several days in order to pass the dam. To avoid delays, shippers unload goods upstream of the dam and often transfer goods to their final destination by road. The delays and costs of loading and unloading goods on vessels deter shippers from using inland waterway transport. Logistics information system. The logistics information systems in the PRC are not fully developed. The existing systems provide information related to a single transport mode (e.g., tracking cargo moving on road transport), and there is little integration between different transport modes. Limited information is available in the public domain, making it difficult for transportation companies and freight forwarding companies to operate efficiently. Poor information-sharing creates a bottleneck for logistics and results in higher costs and delays. There is a need to develop an accessible information system that could be used by all the logistics centers and service providers. This will enable the logistics companies specializing in one or more aspects of logistic operations to work seamlessly together in a more efficient and cost effective manner. |
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Impact | Logistics services in the Yangtze River Economic Development Belt and Silk Road Economic Belt region improved |
Project Outcome | |
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Description of Outcome | Efficient and integrated multimodal logistics system in Chongqing demonstrated |
Progress Toward Outcome | On track to meet target outcome. |
Implementation Progress | |
Description of Project Outputs | Chongqing transportation logistics park developed Nanpeng logistics park constructed Yangtze River inland waterway Ro-Ro transport demonstrated Logistics information system established Institutional capacity strengthened |
Status of Implementation Progress (Outputs, Activities, and Issues) | As of 15 September 2023, 17 contract packages have been awarded. The procurement plan was updated and disclosed on 28 July 2023. Contract awards amounted to $92 million, and disbursement amounted to $72 million. Output 1: Chongqing transportation logistics park. Four civil works packages (1A-CTJC01, 1A-CTJC05, 1A-CTJC08 and 1A-CTJC06) and one goods contract 2A-ETJC03 were awarded, the procurement of packages 1A-CTJC07 is ongoing. Output 2: Nanpeng logistics park. Construction started in November 2016 using counterpart funds and all facilities were completed in May 2018 and are in operation since then. Output 3: Yangtze River inland waterway transport demonstrated. The procurement of 2B-EDNH07 for bulk-container dual-purpose ships are ongoing. Output 4: Logistics information system. Of the four functional areas, the functions of providing real time information on freight movements and facilitating interaction between freight forwarding companies and transporters have taken shape and are open to users. Output 5: Institutional capacity strengthened. This output has provided 100 person-days of logistics management and services training, and 340 person-days of training on project management and ADB procedures. |
Geographical Location | Chongqing |
Safeguard Categories | |
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Environment | B |
Involuntary Resettlement | A |
Indigenous Peoples | C |
Summary of Environmental and Social Aspects | |
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Environmental Aspects | The project is category B for environment. A consolidated initial environmental examination and an environmental management plan (EMP) that cover all project components have been prepared. These documents comply with the PRC's regulatory requirements and ADB's Safeguard Policy Statement (2009), and have been disclosed on the ADB website. Public consultations were carried out to inform the project design and environmental assessment process and will continue during project implementation. The EMP outlines potential impacts, mitigation and monitoring measures, institutional arrangements, training requirements and an implementation budget of 0.2% of the total project budget. Capacity development and institutional strengthening will be provided to minimize environmental risks. Environmental complaints will be handled through a project safeguards grievance redress mechanism. ADB safeguards scope is applied to all the project components regardless of ADB or domestic finances. The required biannual Environmental Monitoring Reports have been submitted to and approved by ADB. Moreover, the first systematic project environmental management training for the PMO, project IA and PIU was carried out. The training contents included: (i) the ADB's safeguard policy; (ii) environmental management; (iii) the contents of environmental monitoring report and (iv) environmental mitigation measures adopted. |
Involuntary Resettlement | The project is category A for involuntary resettlement. A resettlement plan is prepared for the Chongqing transportation logistics park component. Due diligence has also been conducted for the Nanpeng Site (already cleared prior to the proposed project). The due diligence report was prepared which includes some actions to address remaining resettlement issues. The resettlement activities for both Chongqing transportation logistics park (Output 1) and Nanpeng logistics park (Output 2) have been completed. |
Indigenous Peoples | Indigenous peoples safeguard requirements are not triggered (category C) because no ethnic minorities will be affected by any project activities. |
Stakeholder Communication, Participation, and Consultation | |
During Project Design | The project will have a consultation and participation strategy to ensure meaningful consultation with all stakeholders. The consultation and participation strategy will ensure timely information to communities, project affected households, and all relevant agencies. Modes of consultation and participation will include organizing public meetings, focus groups, and such other modes of direct consultation with affected communities and affected households. |
During Project Implementation | The executing and implementing agency, with support of technical consultants, will undertake consultations with key stakeholders. |
Business Opportunities | |
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Consulting Services | All consultant services will be recruited using quality and cost-based selection in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time), using the default ratio of 80% for technical proposal and 20% for financial proposal. |
Procurement | All procurement to be financed under the ADB loan will be carried out in accordance with ADB's Procurement Guidelines (2013, as amended from time to time). |
Responsible ADB Officer | Wang, Fang |
Responsible ADB Department | East Asia Department |
Responsible ADB Division | PRC Resident Mission (PRCM) |
Executing Agencies |
Chongqing Municipal Government |
Timetable | |
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Concept Clearance | 17 Jul 2014 |
Fact Finding | 22 Sep 2015 to 29 Sep 2015 |
MRM | 02 Dec 2015 |
Approval | 14 Nov 2016 |
Last Review Mission | - |
Last PDS Update | 15 Sep 2023 |
Loan 3459-PRC
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
14 Nov 2016 | 05 Jun 2017 | 15 Aug 2017 | 31 Mar 2023 | 31 Mar 2025 | - |
Financing Plan | Loan Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 427.79 | Cumulative Contract Awards | |||
ADB | 150.00 | 15 Sep 2023 | 99.93 | 0.00 | 67% |
Counterpart | 277.79 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 15 Sep 2023 | 72.13 | 0.00 | 48% |
Status of Covenants | ||||||
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Category | Sector | Safeguards | Social | Financial | Economic | Others |
Rating | Satisfactory | Satisfactory | - | Satisfactory | Satisfactory | - |
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
Evaluation Documents See also: Independent Evaluation
None currently available.
Related Publications
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The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
ADB $150 Million Loan to Overhaul Transport and Logistics in Chongqing
ADB has approved a $150 million loan to develop an efficient goods handling system for Chongqing that integrates logistics for road, water, and rail transport.
Tenders
Tender Title | Type | Status | Posting Date | Deadline |
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Phase II of Chongqing Smart Logistics Public Information Platform System Framework | Firm - Consulting | Closed | ||
Logistics Information System Ⅲ:Digital less than truckload logistics System | Firm - Consulting | Closed | ||
Logistics Billing System | Individual - Consulting | Closed | ||
Logistics Information System 3-Shipping System | Individual - Consulting | Closed | ||
3459-PRC: Chongqing Integrated Logistics Demonstration Project [CTJC01] | Invitation for Bids | Closed | ||
Resettlement external monitoring | Individual - Consulting | Closed | ||
Environmental External Monitoring | Individual - Consulting | Closed | ||
Start Up Support - Institutional Development | Individual - Consulting | Closed | ||
Start Up Support - Financial Specialist | Individual - Consulting | Closed | ||
Start Up Support - Procurement Specialist | Individual - Consulting | Closed | ||
Start Up Support - Civil Engineering Specialist | Individual - Consulting | Closed | ||
Project Implementation and Capacity Development | Firm - Consulting | Closed |
Contracts Awarded
Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
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Procurement of goods package No. 2B-EDNH07: Bulk-Container Carrier Ship | Loan 3459 | 19 Oct 2023 | Yunyang Heniu Fuxing Shipping Co., Ltd. | Qinglong Street, Yuyang County, Chongqing | Chongqing Municipal Government | 7,312,463.92 | 7,297,574.17 |
Procurement of civil works package 1A-CTJC06: Warehouses B1 & B2 and outdoor environment & ancillary works | Loan 3459 | 13 Oct 2022 | Tonghao Construction Group First Engineering Co., Ltd. | 30 Duyun Road, Guiyang National High-tech Industrial Development Zone, Guiyang City, Guizhou Province | Chongqing Municipal Government | 19,871,246.90 | 16,076,489.48 |
Procurement of goods package No. 2A-ETJC03, 600t Crane | Loan 3459 | 05 Sep 2022 | Zoomlion Heavy Industry Co., Ltd. | No. 361 Yinpan Nan Lu, Yuelu District, Changsha City, Hunan Province | Chongqing Municipal Government | 1,346,801.35 | 1,302,456.14 |
Package 3B-SIT03-09: Digital Less-than-Truckload System | Loan 3459 | 13 Jun 2022 | IBM (China) Co., Limited | Pudong New District, Shanghai | Chongqing Municipal Government | 164,905.18 | 164,157.05 |
SIGNED CONTRACT FOR CIVIL WORKS PACKAGE IA-CTJC05 CHONGQING PUBLIC TRANSPORT CENTER (AREA A) PHASE I A2, A3, A4, A5 AND OUTSIDE AFFILIATED | Loan 3459 | 29 Oct 2020 | TONGHAO CONSTRUCTION GROUP NO. 1 CONSTRUCTION | 30 DUYUN ROAD, NATIONAL HIGH-TECH INDUSTRIAL DEV ZONE,GUIYANG CITY,GUIZHOU CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 13,577,249.21 | 9,280,228.14 |
SIGNED CONTRACT FOR CONSTRUCTION AND PROCUREMENT OF BUILDINGS #1 TO #16 INCLUDING #10 DRIVEWAY | Loan 3459 | 11 Dec 2018 | CHONGQING CONSTRUCTION FOURTH CONSTRUCTION | NO. 54 JIANXIN EAST ROAD,JIANGBEI DIST. CHONQING 10TH FLOOR CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 72,160,554.81 | 36,960,835.81 |
CONTRACT FOR CIVIL WORKS PACKAGE NO. 1A-CTJC08 GROUND LEVELING FOR AREA A AND B | Loan 3459 | 14 Aug 2018 | ZHONGJIAN XINLI CONSTRUCTION DEVELOPMENT | 1-1-25-1 SHANGHUI PLAZA, XINHUA ROAD HUAYING CITY, SICHUAN PROVINCE CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 1,822,826.00 | 922,689.00 |
SIGNED CONTRACT FOR CS4-RESETTLEMENT EXTERNAL MONITORING | Loan 3459 | 08 Jun 2018 | YIN JIANJUN | NO. 1 XIKANG ROAD, GULOU DISTRICT NANJING CITY, JIANGSU PROVINCE CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 100,000.00 | 100,000.00 |
SIGNED CONTACT FOR CONSULTING SERIVICES - CS1: PROJECT MANAGEMENT AND CAPACITY DEVELOPMENT | Loan 3459 | 15 May 2018 | ENERGY AND ENVIRONMENTAL DEVELOPMENT RESEARCH | RM 2504, BLDG T2 HAN'S PLAZA, E-TOWN ECONOMIC AND TECHNOLOGICAL DEV, BEIJING CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 1,742,809.00 | 1,742,809.00 |
CS3 ENVIRONMENTAL EXTERNAL MONITORING | Loan 3459 | 06 Feb 2018 | MR. NIE MINGTAO | EMAIL: [email protected] PRC CHINA,PEOPLE'SREP.OF | Chongqing Municipal Government | 100,000.00 | 100,000.00 |
Procurement Plan
Title | Document Type | Document Date |
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Chongqing Integrated Logistics Demonstration Project: Procurement Plan | Procurement Plans | Jul 2023 |