HCM CITY — Logistics enterprises in HCM City have asked city authorities to allow goods to be transferred by metro to reduce costs and traffic jams, according to online news outlet zing.vn.

The proposal was put forward in a recent conference between the city Department of Industry and Trade and local companies on listing key products and services.

Đặng Thị Minh Phương, director of Minh Phương Trading Service Company said logistics centres in HCM City were still small and not connected. Meanwhile, bigger logistics centres are located in neighbouring provinces including Long An, Đồng Nai and Bình Dương.

As road transport accounts for up to 55 per cent of logistics costs and cargo trucks can only operate six hours a day in urban areas, she recommended using a metro to transfer goods to ease cost and traffic congestion pressure.

Phạm Thị Thuý Vân, deputy marketing director of Tân Cảng Sài Gòn Company, said Long An Province had constructed Long An International Port and Bình Dương Province had also implemented some logistics projects. In the near future, without investment in logistics services, HCM City will lose its competitive advantages to other provinces, he said.

Cát Lái International Port in HCM City, according to Vân, is chosen by many foreign companies to load their goods. Besides the benefits of these import-export activities, traffic systems leading to the port are under huge pressure.

Therefore, she recommended building a road connecting Trung Lương Highway to District 7 and encouraging enterprises to construct warehouses, shopping malls and logistics centres in the area.

Vân also asked the department to invest in Inland Container Depot at ports in the southern part of HCM City to attract more foreign cargo ships.

Nguyễn Phương Đông, the department deputy director, said city authorities would impose assistance policies to unleash potential and satisfy demands of both domestic and international markets.

The metro line No.1 connecting Bến Thành terminal in District 1 with Suối Tiên terminal in District 9 is planned to come into operation in 2020.

By the end of June, more than 50 per cent of construction had been completed. 

Total capital after adjustment for the project has reached US$2.49 billion. — VNS