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ASEM Symposium

Eurasia Transport &Logistics Network9-11 September 2015, Seoul, Republic of Korea

GTI regional development strategy for Eurasia Network

Supported by United Nations Development Programme

Key Achievements of GTI2

Introduction of GTI1

Cooperation in Transport Sector3

Eurasia Initiative and GTI5

Members and Coverage

Originally known as the Tumen River Area Development Programme (TRADP, 1991)

A unique intergovernmental economic cooperation mechanism in NEA, supported by UNDP

Four members: China, Mongolia, ROK and Russian Federation

China Mongolia ROKRussian

FederationNorth-eastern Provinces: - Jilin - Heilongjiang - Liaoning - Inner Mongolia

Eastern Provinces: - Dornod - Khentii - Sukhbaatar

Eastern Port Cities: -Busan - Gangwon/Sokcho - Jeju Special Self-governing Province - Gyeongsangbuk/ Pohang - Ulsan

Primorsky Territory

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Vision and Objectives

▶ Common Vision

- build a great partnership for common prosperity among neighbors 

▶ Strategic Objectives  

- Promote the rehabilitation and construction of basic transportation infrastructure and major transportation

- Deregulate the border-crossing procedures in the GTR

- Create a favorable environment to facilitate trade and attract private sector investment 

- Promote the GTR as a globally attractive tourism destination 

- Establish an effective institutional mechanism for energy policy support 

- Promote environmental sustainability in the GTR 

- Strengthen the partnerships with Japan and DPRK  

- Enhance the capacity of the GTI and transition it into an international organization

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TRADP

GTI

• signing a formal agreement on the establishment of the intergovernmental mechanism among 5 members Incl. DPRK

1992 1995 2005 2015

UNDP regional programme

Member-driven Intergovernmental Economic

Cooperation Platform

• Members assuming full ownership• Geographic Scope expanded • Strategic Action Plan (SAP) for 2006-2015 adopted

• Comprehensive Strategic Review • Institutional Setup for Projects• Local Cooperation Committee • EXIM Banks Association• Revised SAP for 2012-2015

Post-GTI

•Tumen Delta SEZ•1992,Tumen River Area Development Programme (TRADP) initiated by UNDP

Evolution of GTI

GTI Consultative Commission (Vice Minister level)

GTI Secretariat

Chairperson

National Coordinators

Transport

Board

Trade Facilitation Committee

Tourism

BoardEnvironment

al Board

Agricultural Board

China: Ministry of CommerceROK: Ministry of Strategy and FinanceMongolia: Ministry of FinanceRussia: Ministry of Economic Development

NEA Local Cooperation Committee GTI countries + Japan (local)

NEA EXIM Banks Association

NEA National Chambers

Association

GTI Research Institute Network

Energy Board

Efficient Institutional Structure

Key Achievements of GTI2

Introduction of GTI1

Cooperation in Transport Sector3

Eurasia Initiative and GTI5

Political SupportEfficient Institutional StructureMember-driven/ChairmanshipStable FundingSuccessful Implementation of ProjectsExpanded PartnershipActive Participation of Local Governments

Key Achievements

Selected Projects by SectorSelected Projects by Sector

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Sector Projects Implemented

Transport TREDA Transport Forecast Study (1997-1999) Pre-Feasibility Study for Mongolia-China Railway (1997-1998) Rajin-Wonjong Road Pre-Feasibility Study (2001) Integrated Transport Corridor Study (2012) Evaluation Study of Sea-land routes in Northeast Asia (2013)Study on Software Support to the Operationalization of Transport Corridors in the Greater Tumen Region ( 2014) Trans-GTR Transport Corridors: Financing Infrastructure Development (2014)Rajin(DPRK) – Khasan (Russia) Railway and Port Study (2014)

Trade & Investment

Investment Guides for Yanbian (1998), Rajin-Sonbong Zone (1996-1998), Primorsky Territory (1998-2000) Tumen River Investor Services Network (1999-2005) International Trade Facilitation Seminar (2011 - ) Capacity Building Program on TF in NEA (2012 - ) GTI Trade Facilitation Study (2013~)GTI International Trade and Investment Expo (2013 - )

Selected Projects by SectorSelected Projects by Sector

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Sector Projects Implemented

Tourism Mt. Paekdu/Changbai Tourism Study (1998-1999) Training in Tourism Marketing Techniques (2000-2001) Tourism Marketing and Product Development (2002) Multi-destination Tourism (MDT) Study (2013)

Energy Baseline Study for Energy Cooperation (2005-2006) Energy Capacity Building Enhancement programme (2013~)Preliminary Economic Analysis of Power Generation and Transmission through Korean Peninsular project (2014)Industrial Energy Efficiency Experience Exchange Workshop (2014)Post-Workshop Research on Regional Industrial Energy Efficiency CooperationFeasibility Study of Cooperation on Coal to Synthetic Natural Gas in Northeast Asian Region

Environment Survey of Leopard and Tigers in Jilin Province (1998) Jilin Pulp and Paper Mills Pre-Feasibility Study (2002) Musan Iron Ore Mine Pre-Feasibility Study (2000-2005) Tumen River Area Water Quality Assessment (2010)

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Type of Projects Projects Implemented

Capacity Building and Training

Training in Tourism Marketing Techniques (2000-2001) Capacity Building Program for Local Governments (2011) International Capacity Building Program of Trade Facilitation (2012~) GTI Customs Joint Capacity Enhancement Training Workshop (2012~)

Seminars & Workshops

GTI Transport Workshop (2009) 2nd Scientific Workshop for the Feasibility Study of Tumen River Water Protection Project (2011)

Studies, Surveys and Research

Rajin-Wonjong Road Feasibility Study (2005) Survey on Zarubino Port Cargo Turnover Outlook (2010) GTI Tourism Visa Study (2010) Feasibility Study on Rajin(DPRK)-Khasan(Russia) Dev’t Project(2013)

Guides and Promotional Publications

Economic Outlook of the Northeast Asia Region (2009-2010) Investment Guide of Hunchun (2010) Investment Guide of Busan (2010) GTI Tourism Guide in 5 languages (2011)

Selected Projects by Activity TypeSelected Projects by Activity Type

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Key Achievements of GTI2

Introduction of GTI1

Cooperation in Transport Sector3

Eurasia Initiative and GTI5

GTI Transport Board

Established in 2009

Meetings•2010: Busan, ROK •2012: Sokcho, ROK•2013: Vladivostok, Russia•2014: Manzhouli, China•2015: Ulaanbaatar, Mongolia

PurposeTo provide economic cooperation in the Greater Tumen Region with the proper transport infrastructure and logistic network

GTI Transport Board guiding documentsTerms of Reference for the GTI Transport Board (2009, revised 2012);CTI Transport Cooperation Program 2010-2013 (2010, extended 2012);GTI Regional Transport Strategy and Mid-term Action Plan 2013-2016 (2013).

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GTI Regional Transport Strategy

Connectivity

Support to Transport

Infrastructure

Software support

Management of Transport

Corridors

Private Sector

Involvement

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Project Progress

Project Name Financed Output

GTI Transport Corridors Study

Completed 2011-2013

GTIROK

Regional Transport StrategyRegional Summary Report5 Country Reports (GTI + Japan)

Study on Trans-GTR Transport Corridors: Financing Infrastructure Development Completed 2014

GTIGIZ

Study report:PPP readiness in GTRRecommendation on Financing Structures

Study on Software Support to the Operationalization of Transport Corridors in the GTR Completed 2014

GTI Study report:GTI cross border transport and transit agreementOther options to improve legal environment

Evaluation Study of Sea-Land Routes in Northeast Asia Completed 2014

KMI Study report:Current situation of multimodal ferry lines in GTRMeasures to promote this type of logistic services

Rajin (DPRK) – Khasan (Russia) Railway and Port projectCompleted 2015

ROK Study report:Сurrent situation surrounding the Rajin port development and relating facilitiesProposed most effective financial channels

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Trans-GTR Transport Corridors

Sea-land Multimodal Routes in GTR

MongoliaKazakhstan

EU

Obstacles:

-poor infrastructure-lack of logistic centers -insufficient port facilities-unnecessary procedures

Measures to promote Sea-Land in GTR:LCC: Establishment of Logistics CommitteeSupport from Local GovernmentsJapan’s participation

The finance need is estimated at around USD 3 billion for developing and improving transport infrastructure with a regional impact.

The majority of the suggested investments concerns railway projects (61%) and to a lesser extent road infrastructure (21%) and port infrastructure (18%)

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Financing Transport Infrastructure

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Transport Sector2

Introduction of GTI1

GTI Regional Transport Strategy and Trans-GTR Transport Corridors3

Eurasia Initiative + GTI and Way Forward5

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Eurasia Network

China

- One Belt One Road Initiative

Mongolia

- Steppe Road Program

ROK

- Eurasia Initiative

Russia

- New Development Policy of Eastern Siberia and Far

East

Policy Directions and Initiativesof the GTI Member Countries

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GTI in Eurasia Initiative

▶ Eurasia Initiative Roadmap

(Dec. 2014, ROK)  - Major sectors covered: * Transport/Logistics; Industry/Trade;

Agriculture/Fisheries; Energy/Resources

- Major regions covered: * Russia, Central Asia, Mongolia, China

Source: Ministry of Strategy and Finance, ROK (July 2015)

▶ Make use of Eurasia Initiative’s Compatibility with GTI

▶One of the Principles: Open for Cooperation! - Open to all countries, and international and regional organizations

for engagement for the benefits of wider areas

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5. GTI and Initiatives (Way Forward)

GTI

Belt and Road

Initiative

Eurasia Initiative

▶ Identify Common Area of Interest - Sharing experience and knowledge

- Joint project or policy improvement

▶ Strengthen Communication with Stakeholders  * Private enterprises (NEA National Chambers Association), Local governments (GTI Local Cooperation Committee), etc.

▶ Expanding Partnership  - UNDP, UNESCAP, ADB, GIZ, Regional Initiative (e.g. AIIB), etc.

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Way Forward: Eurasia Initiative with GTI

√ Strong political support from countries in this region

√ More financial resources from all stakeholders (Ex-Banks, AIIB, LCC, International partners, Private Sector)

Communication

* Mutual exchange of information

- Regions/Cooperation Mechanisms of

Eurasia Initiative + GTI

Boards/Committees/Associations

Complementation1. Co-planning & implementation - Information, knowledge, and experience in GTR (e.g. GTI Corridor Study) + AIIB

2. Co-financing - NEA Exim Banks Association + AIIB

Connectivity

- Cooperation Mechanisms of

Eurasia Initiative + GTI

Synergy HouseEurasia Initiative + GTI

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Thank you very much !

Greater Tumen Initiative SecretariatTel: (86-10) 6532 5543

http://www.tumenprogramme.org1-1-142 Tayuan Diplomatic Compound, No.1 Xindong Lu, Chaoyang District

Beijing 100600, China