Laos hopes to start train negotiations with China

By Li Shen
0 Comment(s)Print E-mail China.org.cn, April 30, 2014
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Lao Deputy Prime Minister Somsavat Lengsavad receives an interview with a Chinese media group in Vientiane on April 29, 2014. [Photo: Chinanews.com]

Lao Deputy Prime Minister Somsavat Lengsavad hopes to start negotiations with China on the construction of high-speed railways within 2014, he said during his meeting with a Chinese media group on Wednesday in Vientiane.

"Laos has started preparations for the negotiations." Somsavat told the visiting Chinese media group on Wednesday in the capital city of Vientiane. Although the high-speed railway project needs a huge investment as most parts are built in mountain areas and two thirds of it have to be linked by tunnels, Somsavat believes the high-speed train will bring far-reaching effects on the Lao economy.

Earlier this month, Prime Minister of Laos Thongsing Thammavong had suggested to Chinese Premier Li Keqiang to include the constructions of railways and roads linking China and Laos into the overall "Maritime Silk Road" project during their meeting at the Boao Forum for Asia. Both countries are now willing to launch negotiations on a railway cooperation agreement. As an inland country, Laos needs projects like the "Maritime Silk Road" to meet its need for marine transportation, Somsavat said.

Chinese President Xi Jinping proposed to construct a "21st Century Maritime Silk Road" during his visit to the Association of Southeast Asian Nations last October. Xi's proposal has shown the Chinese leaders' commitment to promote regional economic development and cooperation and had proven their ambitions to enhance mutual benefits in a peaceful way, Somsavat said.

The highway running from China's Kunming City to Thailand's Bangkok through Laos completed last December, greatly promotes the development of transportation and tourism among the three countries, he added.

"As Laos' biggest investor, China has invested US$6 billion here, covering fields on energy, mining, agriculture, processing industry and commerce."

According to Somsavat, Chinese investment has played an important role in Lao economy. "(I) hope big Chinese companies will come to invest in Laos and our doors always open to China," he added.

As for the hydropower development cooperation between China and Laos, Somsavat introduced exactly how the Lao government had authorized the development of seven hydropower stations on the Nam Ou River and one on the Mekong River to Sinohydro Group Limited after it had constructed the Nam Ngum 5 dam.

Regarding some criticism about the impact of Chinese investment on the local environment, Somsavat said that the Lao government had paid attention to environmental protection during hydroelectric development. Some projects had cut down trees, but trees can be re-planted in other places, he added.

He hopes more Chinese companies will invest in Lao manufacturing which is a short board of the Lao economy.

Another important section of cooperation is that of agriculture. Somsavat said he had received much positive feedback on Lao agricultural products during his visit to different Chinese cities. Many Chinese people like Lao food for its high natural quality. He hoped to further enhance cooperation with Chinese inspection and quarantine authorities to get more Lao agricultural products entering the Chinese market.

Somsavat also spoke highly of the Chinese Commodity Mall established by Chinese companies in Vientiane. The goods are of high quality and come at low prices, which in turn attract Laos and the neighboring Thais to shop here.

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