A costly shortcut
Re: "Land Bridge not viable", (Editorial, April 28) & "Land Bridge plan due for cabinet", (BP, April 26).
Who will benefit if Thailand builds/operates a Ranong-Chumphon land bridge? It would not be our target market -- for if major carriers truly believe the project would significantly improve profits, we should already have seen at least one anchor commitment.
A canal/land bridge in southern Thailand has been debated for 150+ years, with feasibility studies since the 1960s.
Yet no major ocean carrier appears to have publicly made a binding, material commitment that would prove firm commercial backing for such a project. No carrier has invested cash, signed minimum-volume contracts, or allocated vessels.
Talk is cheap, and that's all Thailand has received from potential clients.
The project is fantastically costly, probably over 1 trillion baht (land costs are unclear). Operating fees cannot be very high, as the bridge will save only four days at sea, so traffic volume must be high for the bridge to be profitable.
Today, ships sail through the Strait of Malacca and use world-class hubs such as the Port of Singapore and Port Klang, which offer massive scale, frequent sailings, repair, bunkering, warehousing, and mature customs/logistics systems that we don't have.
Our unavoidable double-handling adds cost and delay; inbound and outbound cargo may be unbalanced, so ships may return partly empty. Why would shippers want to take all these risks to save a few days?
So, who would a land bridge benefit, other than those setting it up, leaving taxpayers with a hugely unprofitable hot potato?