The Economic and Social Commission for Asia and the Pacific (ESCAP) serves as the United Nations’

regional hub promoting cooperation among countries to achieve inclusive and sustainable development.

The largest regional intergovernmental platform with 53 member States and 9 associate members,

ESCAP has emerged as a strong regional think-tank offering countries sound analytical products that

shed insight into the evolving economic, social and environmental dynamics of the region. The

Commission’s strategic focus is to deliver on the 2030 Agenda for Sustainable Development, which it

does by reinforcing and deepening regional cooperation and integration to advance connectivity, financial

cooperation and market integration. ESCAP’s research and analysis coupled with its policy advisory

services, capacity building and technical assistance to governments aims to support countries’ sustainable

and inclusive development ambitions.

Performance and Monitoring of

Selected Nepal’s Trade Corridors

Trade and Transport Facilitation

Monitoring Mechanism in Nepal

Baseline study series #4

The Economic and Social Commission for Asia and the Pacific (ESCAP) serves as the United Nations’

regional hub promoting cooperation among countries to achieve inclusive and sustainable development.

The largest regional intergovernmental platform with 53 member States and 9 associate members,

ESCAP has emerged as a strong regional think-tank offering countries sound analytical products that

shed insight into the evolving economic, social and environmental dynamics of the region. The

Commission’s strategic focus is to deliver on the 2030 Agenda for Sustainable Development, which it

does by reinforcing and deepening regional cooperation and integration to advance connectivity, financial

cooperation and market integration. ESCAP’s research and analysis coupled with its policy advisory

services, capacity building and technical assistance to governments aims to support countries’ sustainable

and inclusive development ambitions.

The darker areas of the map are ESCAP members and associate members.

iii

Trade and Transport Facilitation Monitoring Mechanism in Nepal Baseline study series #4

Performance and Monitoring of Selected Nepal’s Trade Corridors

Copyright ©ESCAP and ADB 2017

All rights reserved

Disclaimers

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The use of this publication for any commercial purposes, including resale, is prohibited unless permission is first obtained from ESCAP and the Asian Development Bank. Requests for permission should state the purpose and the extent of reproduction.

This publication has been issued without formal editing.

iv

Contents

ACKNOWLEDGEMENTS ..................................................................................................... vi

EXECUTIVE SUMMARY ....................................................................................................... vii

Chapter 1. Introduction ............................................................................................................... 1

Chapter 2. Methodology and Data Collection .............................................................................. 2 2.1 Overview of Time-Cost-Distance and Corridor Performance Measurement and Monitoring

methodology ........................................................................................................................................ 2 2.2 Data Collection .............................................................................................................................. 3

Chapter 3. Analysis and Results ................................................................................................... 5 3.1 Kathmandu – Birgunj - Kolkata corridor ........................................................................................ 5

3.1.1 Kathmandu to Raxaul route ................................................................................................... 5 3.1.2 Raxaul to Kolkata route ......................................................................................................... 6 3.1.3 Kolkata to-Birgunj route ........................................................................................................ 7 3.1.4 Birgunj to Kathmandu route ................................................................................................... 9

3.2 Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor .......................................................... 9

Chapter 4. Discussion and Conclusion ...................................................................................... 11 4.1 Discussion: Challenges and Opportunities for Enhancing Performance of the Corridors ............. 11 4.2 Originality and contribution of the study ...................................................................................... 12 4.3 Further work ................................................................................................................................ 12

Appendix 1. List of participants of workshops and informants for the TTFMM baseline study in

Nepal ........................................................................................................................................ 13

Appendix 2. CPMM data collection form .................................................................................. 23

Appendix 3. Instructions on how to fill out the CPMM data collection form ............................ 24

v

List of Tables

Table 2. 1 Time frame for implementing the TTFMM baseline study ............................................................... 3 Table 2. 2 Data collected for each corridor under study ....................................................................................... 4 Table 3. 1. Key indicators of the Kathmandu to Raxaul route ............................................................................. 5 Table 3. 2. Key indicators of the Raxaul to Kolkata route .................................................................................... 6 Table 3. 3. Key indicators of the Kolkata to Birgunj route ................................................................................... 8 Table 3. 4. Key indicators of the Birgunj to Kathmandu route ........................................................................... 9 Table 3. 5. Key indicators of the Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor .................. 10

List of Figures Figure 2. 1 Evolution of CPMM ............................................................................................................................... 2 Figure 3. 1 Travel time along the Kathmandu to Raxaul route ............................................................................ 5 Figure 3. 2 Travel time along the Raxaul to Kolkata via Dalkhola ...................................................................... 7 Figure 3. 3 Travel time along the Raxaul to Kolkata via Bhagalpur .................................................................... 7 Figure 3. 4 Travel time along Kolkata to Birgunj via Dalkhola ............................................................................ 8 Figure 3. 5 Travel time along Kolkata to Birgunj via Bhagalpur .......................................................................... 8 Figure 3. 6 Travel time along the Birgunj to Kathmandu route ........................................................................... 9 Figure 3. 7 Travel time along the Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor ................. 10

vi

ACKNOWLEDGEMENTS

The guidance of the former Secretary Naindra Prasad Upadhaya (Ministry of Commerce, Nepal)1, Joint Secretary Toya Narayan Gyawali, and Joint Secretary Rabi Shanker Sainju was vital for completing the study. Participants and informants of the study, as detailed in Appendix 1, substantially contributed their expertise. Shyam Prasad Dahal and Buddhi Prasad Upadhyaya played a crucial role for organizing the TTFMM national validation workshop on 28-29 July 2016 in Kathmandu, Nepal2.

The technical note was prepared by Tengfei Wang, Posh Raj Pandey and Shaleen Khanal.

The baseline study and the underlying project were managed by Tengfei Wang from ESCAP and Aileen Pangilinan from ADB under the guidance of Yann Duval and Ronald Antonio Q. Butiong. Tanya E. Marin, Linel Ann Reyes-Tayag, and Alona Mae Agustin from ADB provided support for the logistical arrangement of the workshops. Critical review was provided by Vyonna Bondi.

Heini Suominen delivered training on Time-Cost-Distance (TCD) method at the national

workshop on TTFMM held in Dhulikhel, Nepal on 15-17 April 2014. Her guidance on application of TCD is gratefully acknowledged. Jeff Procak and Ying Qian from ADB shared toolkits and experience on conducting Corridor Performance Measurement and Monitoring (CPMM) in Central Asia which provides important reference for carrying out similar studies in Nepal.

The TTFMM baseline study is funded under both ADB’s Technical Assistance Special

Fund and the Japan Fund for Poverty Reduction.

1 Naindra Prasad Upadhaya currently works in the Prime Minister’s office, Nepal. 2 http://sasec.asia/index.php?page=event&eid=210&url=nepal-ttfmm-national-validation-workshop

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EXECUTIVE SUMMARY

As part of the baseline study of Trade and Transport Facilitation Monitoring Mechanism (TTFMM) in Nepal, the current study is focused on performance and monitoring of two corridors: Kathmandu -Birgunj- Kolkata Corridor and Banglabandh-Kakarbhitta-Kathmandu Corridor. The study analyses the average speed along the corridor and identifies key bottlenecks. The key methodology for study is the CAREC’s Corridor Performance Measurement and Monitoring (CPMM) method. The time-distance graphs according to the Time-Cost-Distance method developed by ESCAP are also prepared.

The Report finds that the overall average speed for the corridors studied ranges from 8

km/h to 11 km/h. Such speeds are much lower than the average speed surveyed in Central Asia, highlighting the challenge for efficient transport along the corridors. Such challenges also mean tremendous opportunities for improvement. The report shows that if a vehicle along the corridors can travel at a speed of 30 km/h, which is still low compared with the average speed along CAREC corridors, on average potentially two thirds of the journey time can be saved.

To enhance transport and logistics efficiency along the corridors, support from the

transit country India is crucial. Transport and logistics service providers can certainly play an active role by enhancing the quality of vehicles, improving professionalism of drivers and abiding by the local laws and regulations.

In light of the Bangladesh, Bhutan, India, Nepal (BBIN) Motor Vehicle Agreement

(MVA), this study raises the issue of the importance of continuous and effective monitoring of the corridor. The current study provides baseline data related to the corridors under study. It is useful to observe how trade and transport performance along the corridor improve over time under BBIN MVA.

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Chapter 1. Introduction

The baseline study on trade and transport facilitation monitoring mechanisms (TTFMM)

in Nepal was conducted as part of a broad initiative to establish sustainable TTFMM in the country in the long term. The project covers not only Nepal but also Bangladesh and Bhutan under the South Asia Sub-regional Economic Cooperation (SASEC) Program. In particular, the TTFMM baseline study aims to:

• Provide a set of “as-is” indicators and underlying data on trade and transport facilitation performance in Nepal. Such baseline data will ensure that the progress or setback in trade facilitation performance in the country can be benchmarked.

• Diagnose key bottlenecks and recommendations for removing bottlenecks and simplifying trade procedures. In this respect, the study provides policy recommendations to policy makers and stakeholders.

• Identify areas of cooperation between Nepal and its regional trade partners to facilitate movement of goods across the SASEC region.

• Propose way forward to maintain the sustainability of TTFMM. Sustainability is at the core of the design of TTFMM. In this respect, this study provides specific recommendations on how to maintain sustainability of TTFMM including institutional arrangement, data collection and analysis, and best way to utilize the study output. The scope of the baseline studies of TTFMM was decided through a series of regional

and national training workshops held in Bangkok, Thailand in November 2013, in Dhulikhel, Nepal in April 2014, Wuhan, China in October 2015 and in Bangkok, Thailand in January 2016. A wide range of stakeholders were consulted in this process, as shown in the lists of participants of different meetings in Appendix 1.

The TTFMM baseline study in Nepal covers the following processes, products and trade

routes and corridors: (i) Import of fabrics from Bangladesh to Nepal through Dhaka-Banglabandha-

Fulbari-Panitanki-Kakarbhitta-Kathmandu; (ii) Import of wool through Kolkota-Birgunj-Kathmandu; and (iii) Export of woolen carpet through Kathmandu-Birgung-Kolkota

The Report is focused on performance and monitoring of two corridors: Kathmandu -

Kolkata Corridor and Banglabandh-Kakarbhitta-Kathmandu Corridor. The study analyzes the average speed, travel time and costs along the corridor. The first corridor is very important for Nepal’s foreign trade. As per the Treaty of Transit between the Government of Nepal and the Government of India, Kolkata Port (both Kiddarpore and Haldia) is the only Indian port permitted for use by the Nepalese exporters and the Birgunj Customs in Nepal the only customs point permitted for use of railway for transit. The second corridor is the only trade corridor connecting Bangladesh with Nepal through transit in India.

This technical note is a stand-alone document itself. In the meantime, it feeds the

synthesis TTFMM baseline report on Nepal3. As such, it needs to be read along with the other reports to fully understand the background, key findings and conclusions of the TTFMM baseline study.

3 https://www.adb.org/publications/trade-transport-facilitation-monitoring-nepal.

2

Chapter 2. Methodology and Data Collection

2.1 Overview of Time-Cost-Distance and Corridor Performance Measurement and Monitoring methodology

Time-Cost-Distance methodology was developed by UNESCAP to assist decision makers in understanding the pattern and magnitude of time and cost involved in the transportation process and identify, isolate and address physical and non-physical obstacles. The output is a visual representation of the transport process from origin to destination, which plots distance (x-axis) against either cumulative time or cumulative cost (y-axis).

The "Time/Cost-Distance Methodology" (T/C-D) provides a graphical representation of cost and time data associated with transport processes. It can help identify inefficiencies and isolate bottlenecks along a particular route by looking at the cost and time characteristics of every section along a transport route and valuate competing modes of transport operating on the same route and assess alternative transport routes.4.

TCD has been applied by ADB and evolved to be the so-called Corridor Performance Measurement and Monitoring (CPMM) method5, as shown in Figure 1. As CPMM has been widely used in Central Asia, it is adopted by the current TTFMM baseline study. In the meantime, the graphic representation of time-distance chart recommended by TCD is also adopted in this report.

Figure 2. 1 Evolution of CPMM

Source: Asian Development Bank, https://www.adb.org/sites/default/files/publication/148731/carec-cpmm-forward-looking-retrospective.pdf

4 More information is available at < http://www.unescap.org/resources/timecost-distance-methodology>. 5 Detailed discussion is available at <https://www.adb.org/sites/default/files/publication/148731/carec-

cpmm-forward-looking-retrospective.pdf>.

3

2.2 Data Collection

The time frame for implementing the TTFMM baseline study in Nepal is shown in Table 3.1. The key activities are highlighted below.

Table 2. 1 Time frame for implementing the TTFMM baseline study

2015 2016

10 1 2 3 4 5 6 7 8 9 10 11 12

Sub-regional meeting to plan the baseline study in Wuhan, China

Workshop to finalize the plan of the baseline study in Bangkok, Thailand

Data collection on BPA

Data collection on TRS

Data collection on TCD/CPMM

TTFMM database, analysis and draft report

National results validation meeting

Refine TTFMM data and analysis, and finalize study report

BPA = Business Process Analysis, CPMM = Corridor Performance Measurement and Monitoring, TCD = Time/Cost–Distance, TRS = Time Release Study, TTFMM = Trade and Transport Facilitation Monitoring Mechanism. Note: Shaded area in a row indicates the month a particular task was undertaken.

Workshops to Plan the Baseline Study in Wuhan, China and Bangkok, Thailand

A subregional meeting was held in October 2015 in Wuhan, China, to plan the baseline

study and discuss the next steps, and attended by national consultants and government officials from Bangladesh, Bhutan, and Nepal and experts from ADB and ESCAP. Another study planning workshop during which methodologies for BPA, TRS, and TCD/CPMM were discussed in detail, was held in Bangkok, Thailand, on 13–15 January 2016. Present in the workshop were national consultants of the project, government officers, and logistics operators from Bangladesh, Bhutan, and Nepal. Draft questionnaires used for TRS and CPMM were distributed and comprehensively discussed at the workshop, which was instrumental in the actual study. Data collection on Business Process Analysis

An expert conducted data collection on BPA during February–July 2016 and interviewed the key stakeholders in Kathmandu, Birgunj, and Kakarbhitta. A field trip to Kolkata was arranged to collect data on transit during 16–18 March 2016. Information on import and export processes was collected, essentially through repeated interviews of key informants, e.g., exporters, importers, and intermediaries including public and private sector institutional participants directly involved in the processes being analysed. Whenever required, there were also interviews and consultations with government agencies. Websites of different organizations were also studied to collect published information related to specific procedural requirements, including documents, time and costs, and laws and regulations. The summary and people interviewed during the visit are shown in Appendix 1.

4

National results validation meeting and follow-up activities

The Ministry of Commerce, Nepal, in collaboration with ADB and ESCAP, organized a

national validation workshop on 28–29 July 2016 in Kathmandu, Nepal. The project team presented preliminary study results and findings to stakeholders. The project team considered comments from the workshop in their decision to revise the report. Approximately 6 weeks after the meeting, the project team shared the revised reports with the participants and incorporated additional feedback for further revision.

Data collection on CPMM

A data collection form was designed based on the ADB CPMM approach, as shown in Appendix 2. Further, explanation of the data collection forms (as shown in Appendix 3) is provided to the trucking and transport companies in charge of collecting data.

Data collection was carried out during May-June 2016. Overall 84 samples were collected

for analysis, as shown in Table 2.2.

Table 2. 2 Data collected for each corridor under study Corridor Number of samples

Kathmandu to Raxaul route 14

Raxaul to Kolkata route 14

Kolkata to-Birgunj route 14

Birgunj to Kathmandu route 15

Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor 27

Total 84

5

Chapter 3. Analysis and Results

This chapter reports the results of performance of two corridors under study, and

identifies bottlenecks and possible solutions.

3.1 Kathmandu – Birgunj - Kolkata corridor

3.1.1 Kathmandu to Raxaul route The Kathmandu-Raxaul corridor passes through three major highways in Nepal namely

Prithvi Highway, Mugling-Narayangarh Highway and East-West Highway. Distance between Kathmandu and Birgunj is 290 km. While there are shorter routes between the two places, the roads are small and loaded trucks are not permitted through them.

Table 3. 1. Key indicators of the Kathmandu to Raxaul route

Indicators Mean Max Min

Total Distance (km) 290 290 290

Time Taken (hours) 26 46 17

Total Stops 9 12 6

Costs incurred in the corridor (in USD) 6 10 3

Official costs incurred in the corridor (in USD) 5 9 3

Average speed (km/h) 11 18.8 5.8

Time taken if average speed is 30 km/h (hours) 10 10 10

Total costs incurred during the travel in the corridor were small. The findings also

suggest that while the truckers report instances of official/unofficial costs at the hands of policies and transport committees along the road, their impact on total cost was marginal. The main problem identified however, was the slow speed of travel averaging just around 11.10 km/hr. If average speed can be increased to 30 km/h, total journey time can be reduced by 63% from 26 hours to less than 10 hours.

Figure 3. 1 Travel time along the Kathmandu to Raxaul route

Figure 3.1 shows the major stopping points (breaks) in the corridor. The first major

break takes place near the Mugling-Narayangarh Highway where the trucks stop on average for 5.45 hours, and then goes on to stop at the Birgunj Customs Point for 2.5 hours and Raxaul

6

Customs Point for 1.5 hours respectively. However, the slow speed of the trucks cannot simply be attributed to the major stops. Considering the flat slope of the curves, it becomes clear that the average speed between the two major stops is not necessarily a problem. Part of the fault can be attributed to the number of stops in the corridor which amounts to 9. Most of these stops concerned police checking points, and road fees to be paid to the Transport Associations and local municipalities and finally road toll. Even though the costs associated with these stops were low, their overall impact was observed in terms of low speed of the cargo movement.

3.1.2 Raxaul to Kolkata route

This part of the survey was carried out using Indian truckers whose shipments were

leaving for Kolkata. Two major road routes were used by the truckers in the process of transporting items from Raxaul to Kolkata and vice versa. The results of both the routes are shown in Table 3.2.

Table 3. 2. Key indicators of the Raxaul to Kolkata route

Indicators Via Dalkhola Via Bhagalpur

Mean Max Min Mean Max Min

Total Distance (km) 976 976 976 860 860 860

Time Taken (hours) 100 118.5 86.5 110 127 91

Total Stops 10.12 13 5 8 11 5

Costs incurred in corridor (in USD) 43.07 77.68 17.6 23.5 49.28 11

Official costs incurred in corridor (in USD) 34.91 74.8 4.8 12.16 22.4 6.48

Total Transportation Costs (in USD) 512 640 480 480 480 480

Average speed (km/h) 10 11.6 6.5 8 9.2 6.7

Time taken if average speed is 30 km/h (hours)

32.5 32.5 32.5 28.7 28.7 28.7

Of the two routes, the distance between Raxaul and Kolkata was less through Bhagalpur

compared to the route through Dalkhola by more than 100 km. Yet it took more time to reach Kolkata through Bhagalpur and consequently few truckers chose the route. The major reason behind the longer time taken through Bhagalpur was because of the bridge collapse in the town which has led to significant rise in the waiting time of the truckers in Bhagalpur as can be seen in Figures 3.2 and 3.3.

Both routes register slow average speed of less than 10 km/hour. If the average speed is

increased to 30 km/h, journey time can be reduced by 67% (or 67 hours) for the route via Dalkhola and 75% (or 81 hours) for the route via Bhagalpur, respectively. While truckers passaging through Dalkhola didn’t have to wait as long as they would in Bhagalpur (waiting time in Dalkhola was 33 hours compared to 56 hours in Bhagalpur), the waiting time in Dalkhola was still very high. The route also had significantly more stops (owing to the higher number of road tolls) compared to the Bhagalpur. Therefore, while the costs incurred in the two corridors were very low compared to the overall costs of transport, as with the Kathmandu-Raxaul passage, the overall time taken in the transport process was extremely high.

7

Figure 3. 2 Travel time along the Raxaul to Kolkata via Dalkhola

Figure 3. 3 Travel time along the Raxaul to Kolkata via Bhagalpur

3.1.3 Kolkata to-Birgunj route

Table 3.3, in comparison of Table 3.2, shows that it took longer time to transport from Kolkata to Birgunj than the other way around. Part of the reason behind the longer hours was due to the additional time taken in Motihari for the importing trucks where road construction held up trucks for up to a day. Similarly, time taken at the Raxaul Customs and at the bridge between the Raxaul Customs and Birgunj Customs Point was also reported to be significantly higher for the importing trucks compared to the exporting trucks. Another major problem reported by the truckers was the waiting time at the Birgunj Customs point which at times lasted up to 6 days. The figures 3.4 and 3.5 show the large amount of time truckers have to spend at the Birgunj Customs point. The held up was not due to slow processing by the Customs officials but lack of paperwork done by the traders themselves. Figure 3.5 also shows the long stoppage time at Bhagalpur6 suggesting that the cost effectiveness of the route was offset by its increase in time taken.

6 Average waiting time at Bhagalpur was reported to be 64 hours.

8

Table 3. 3. Key indicators of the Kolkata to Birgunj route Indicators Via Dalkhola Via Bhagalpur

Mean Max Min Mean Max Min

Total Distance (km) 976 976 976 860 860 860

Time Taken (hours) 113 143 97 162 188 137

Total Stops 11.44 14 6 9.4 13 6

Costs incurred in corridor (in USD) 53.45 79.6 18.56 24.24 38.56 8

Official costs incurred in corridor (in USD) 37.81 53.2 15.68 15.67 27.2 3.2

Total Transportation Costs (in USD) 512 640 480 480 480 480

Average speed (km/h) 9 11.3 7.4 5 4.4 6.4

Time taken if average speed is 30 km/h (hours)

32.5 32.5 32.5 28.7 28.7 28.7

Table 3.3 shows that if the average speed is increased to 30 km/h, journey time can be

reduced by 71% (or 80 hours) for the route via Dalkhola and 82% (or 133 hours) for the route via Bhagalpur, respectively.

Figure 3. 4 Travel time along Kolkata to Birgunj via Dalkhola

Figure 3. 5 Travel time along Kolkata to Birgunj via Bhagalpur

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3.1.4 Birgunj to Kathmandu route

Time taken for travel from Birgunj-Kathmandu (see Table 3.4 and Figure 3.6) is generally higher that the Kathmandu-Birgunj travel time mainly due to the waiting time at the Birgunj Customs Office which could be 8 hours. High waiting time is also reported at the Mugling-Narayangarh highway. In total, waiting time among all the stops constituted more than half of the total time taken (18.4 hours) for transporting items to Kathmandu. The findings highlight the need for speeding up the Customs clearance at the Birgunj Customs along with improved efficiency of the traders.

Table 3. 4. Key indicators of the Birgunj to Kathmandu route

Indicators Mean Max Min

Total Distance (km) 290 290 290

Time Taken (hours) 36.2 92.5 20.5

Total Stops 8.73 12 5

Costs incurred in corridor (in USD) 7.38 15.15 2.37

Official costs incurred in corridor (in USD) 5.68 14 1.15

Total Costs (in USD) 290 350 270

Average speed (km/h) 8 15.6 3.8

Time taken if average speed is 30 km/h (hours) 9.7 9.7 9.7

Figure 3. 6 Travel time along the Birgunj to Kathmandu route

3.2 Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor When the fabrics products are transported to Fulbari in Bangladesh, Nepalese trucks are required to travel empty till Fulbari to load cargoes there. As shown in Table 3.5, on average, total journey time is 65 hours. The average speed is around 11 km/h.

10

Table 3. 5. Key indicators of the Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor Indicators Mean Max Min

Total Distance (km) 730 730 730

Time Taken (hours) 65 70.5 48

Total Stops 13 19 8

Costs incurred in corridor (in USD) 19 29 0.6

Official costs incurred in corridor (in USD) 15 22.6 0.6

Total Costs (in USD) 500 500 500

Speed of travel (km/hours) 11 13.4 9.8

Time taken if average speed is 30 km/h (hours) 24 24 24

As shown in Figure 3.7, trucks are compelled to stop for at least 4 hours at Fulbari and the travel to Fulbari back to Kakarbhitta takes almost 10 hours raising the cost of import for traders. Because trucks arrive back to Kakarbhitta Customs at night, they have to wait out an entire half day for the customs to open further leading to significant rise in time taken for the consignment to reach Kathmandu. The results also show that it takes on average 5 hours for consignments to be cleared from Kakarbhitta customs which can be considerably shortened once the ASYCUDA World is implemented at the Customs point. Another major stop was the Mugling-Narayangarh highway which is currently undergoing repairs and led to stoppage of 6 additional hours. However, as with the rest of the corridors, the speed of the cargo in between the stops was also found to be extremely slow as was indicated by low slope of the curves. However, unlike the Kolkata-Birgunj-Kathmandu Corridor, truck timings here were found to be fairly consistent with the difference between maximum and minimum time taken to be very small. The uniformity in the costs charged by the trucks was also found to be another positive aspect in the corridor. Figure 3. 7 Travel time along the Kakarbhitta-Banglabandh-Kakarbhitta-Kathmandu corridor

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Chapter 4. Discussion and Conclusion

4.1 Discussion: Challenges and Opportunities for Enhancing Performance of the Corridors

According to report from ADB CAREC Programme7, most trucks move at an average

speed between 30-40 km/h. In some cases, trucks can move over 50 km/h. However, the average speed of trucks in the identified corridors hardly exceeds 10km/h. This clearly highlights the significant potential of improvement in enhancing transport facilitation. As discussed in this report, if a vehicle along the SASEC corridor can travel at 30 km/h, which is still low compared with the average speed along CAREC corridors, on average two thirds of the journey time can be saved. This shows the challenges for developing efficient transport and trade logistics along the SASEC corridors.

Various challenges, however, could be found along the corridors. The number of stops

in the corridors are numerous. Because most of these stops are based on checking the weights of the consignment and collecting revenue (formally or informally), reducing the number of stops can increase the speed of the trucks. Although stoppage at Narayanghat- Mugling leg is a temporary issue, ongoing efforts to improve road quality needs to be accelerated to save the time for transport.

Fees along the Indian roads are sufficiently rationalized, although informal payments

were reported by the drivers. Transport infrastructure near Raxaul and along the trade corridors between Raxaul and Kolkata also poses immense challenges for the transporters. However, two major areas of improvement were observed during the data collection:

a) The longest time taken in the Kolkata-Birgunj-Kathmandu corridor was inside the customs premise in Birgunj. This was not due to delay in customs clearance by the Department of Customs but because the importers did not submit their documents on time. Increasing the fees of parking after certain threshold hours can incentivize the importers to submit their documents on time and therefore could potentially reduce the time at the customs premises.

b) The longest time taken in the Banglabandh-Kakarvitta-Kathmandu corridor was inside the customs premise in Kakarvitta because trucks arrived late from Fulbari customs point. Permitting Bangladeshi trucks to use the Indian roads for transporting goods to Nepal can therefore potentially reduce the time taken by at least 8-10 hours. This requires negotiations between the three governments (Nepal, India and Bangladesh) and it may increase Nepal-Bangladesh trade substantially.

To reduce unnecessary delays and inspections would immediately reduce journey time

and increase average speed along the journey. To achieve this, support from the transit country India is crucial. Transport and logistics service providers can also play an active role as well. By enhancing the quality of vehicles and abiding by the local laws and regulations (for instance, no overloading, complying with vehicle specifications), the chance to be inspected may also be lowered.

7 http://cfcfa.net/images/downloads/CPMM_AR20_15_%20ENG.pdf

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4.2 Originality and contribution of the study The study is probably the first of its kind that raw data is collected to record vehicle

movements along the corridors in South Asia. The quantitative indicators derived from the study provide more precise measurements of corridor performance and reflects the real challenge and urgency for improving logistics efficiency along the corridor.

As the study is part of the baseline study of Trade and Transport Facilitation Monitoring

Mechanism (TTFMM), the indicators produced in this study provide a fundamental benchmark for monitoring the performance of corridor over time. In other words, policy makers, practitioners and other stakeholders may start monitoring the average speed and other indicators along the corridors over time and observe whether the performance is improved or deteriorated.

This study is meaningful and timely in light of the BBIN Motor Vehicle Agreement. No

doubt, one of the key objectives of BBIN Motor Vehicle Agreement is to enhance the efficiency of logistics and transport along the corridor. The Report presents both the challenges and enormous opportunities for enhancing transport efficiency along the BBIN corridors. On the one hand, as mentioned earlier, the current average speed of vehicle movement along the corridor is very low. On the other hand, if the average speed can be improved to 30 km/h, on average, two thirds of the transport time can be reduced. Policy makers and other stakeholders should treat this as encouraging news because once the measures to streamline the trade and transport process are put in place, substantial improvement in transport along the corridors can be expected.

4.3 Further work

When similar studies are carried out in the future, three areas can be further

strengthened. First, future studies, whenever possible, should cover the whole corridor including the border crossing points. The current study was initially aimed to collect data along the whole corridor. However, this turned out to be extremely difficult due to the current transport, warehousing and border crossing process.

Second, the sample for the study in the future should be enlarged. In the process of data

collection for the current study, the study team experienced tremendous difficulty in data collection. For instance, some drivers were not able to write or record data correctly. Solution to this problem is to provide training to the drivers. “Training of trainers” Programme should also be explored.

Third, technology should be utilized for data collection. For instance, it may be useful to

explore the possibility of collecting data through GPS or smartphone. Finally, data collection should be underpinned by political will and support from all

governments along the corridor needs to be available. This can be translated into effective action and cooperation by logistics and transport operators to collect data.

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Appendix 1. List of participants of workshops and informants for the TTFMM baseline study in Nepal

A1. Inception Workshop on Trade and Transport Facilitation Performance Monitoring 26-27 November 2013 Bangkok, Thailand

GOVERNMENT OF BANGLADESH Mr. Sultan MD Iqbal Member (Customs Intelligence & Audit) National Board of Revenue, Dhaka Mr. Nasir Arif Mahmud Joint Secretary Ministry of Shipping Mr. AKM Akhter Hossain President Chittagong Customs Clearing & Forwarding Agents Association, Agrabad, C/A Mr. M. Nurul Amin Deputy Director (CM) Bangladesh Standard Testing Institute (BSTI) Mr. AHM Ahsan Trade Consultant (Deputy Secretary) Ministry of Commerce Mr. Afsarul Arifeen Additional Secretary The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI)

GOVERNMENT OF BHUTAN Mr. Choiten Wangchuk Director General, Department of Public Accounts Ministry of Finance Mr. Sonam Wangchuk Director, Department of Trade Ministry of Economic Affairs Mr. Choyzang Tashi Director, Department of Revenue and Customs Ministry of Finance Mr. Karma Dorji Executive Director, Bhutan Agriculture and Food Regulatory Authority (BAFRA) Ministry of Agriculture and Forests

Mr. Palden Dorjee General Manager Forwarders and Clearing Agent Mr. Sonam Dorji Business Promotion Officer Bhutan Chamber of Commerce and Industry

GOVERNMENT OF INDIA Mr. Devendra Kumar Singh Additional Director General of Foreign Trade Directorate General of Foreign Trade Ministry of Commerce and Industry Mr. Sunil Kumar Das Commissioner of Customs Office of the Commissioner of Customs Mr. N. Venkatesh Additional Director General Systems Directorate

Mr. Prabir De Senior Fellow Research and Information System for Developing Countries (RIS), and ASEAN-India Centre

GOVERNMENT OF NEPAL Mr. Navaraj Dhakal Under Secretary Ministry of Commerce and Supplies Mr. Damber Bahadur Karki Under Secretary Ministry of Physical Planning and Transport Mr. Rajan Sharma President Nepal Freight Forwarders Association (NEFFA)

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Mr. Sarad Bickram Rana Executive Director Nepal Intermodal Transport Development Board

WORLD CUSTOMS ORGANIZATION ASIA PACIFIC REGIONAL OFFICE FOR CAPACITY BUILDING (ROCB A/P) Mr. Yoshihiro Kosaka Head WCO (ROCB A/P) Mr. Sekhar Bonu Director SARC, South Asia Regional Department sbonu@adb.org Mr. Lawanya Kumar Dhakal, Director Department of Customs Mr. Parashu Ram Adhikari Senior Plant Protection Officer Ministry of Agriculture and Development

RESOURCE PERSONS Mr. Takashi Matsumoto External Relations Coordinator Office of the Secretary General World Customs Organization Ms. Pavaran Tanmesin Director Krabi Customs House Mr. Sanghyup Lee Director Clearance Facilitation Section Seoul Main Customs Republic of Korea

ASIAN DEVELOPMENT BANK (ADB) Mr. Ronald Antonio Butiong Principal Regional Cooperation Specialist SARC, South Asia Regional Department

Mr. Cuong Minh Nguyen Senior Economist (Regional Cooperation) SARC, South Asia Regional Department Ms. Rosalind McKenzie Regional Cooperation Specialist SARC, South Asia Regional Department Ms. Aileen Pangilinan Associate Programs Officer SARC, South Asia Regional Department Mr. Jesusito Tranquilino Regional Cooperation and Integration Expert SARC, South Asia Regional Department

Ms. Linel Ann Reyes-Tayag Operations Assistant SARC, South Asia Regional Department Mohammad Ehteshmaul Hoque National Trade Facilitation Expert-Bangladesh SARC, South Asia Regional Department Achyut Bhandari National Trade Facilitation Expert-Bhutan SARC, South Asia Regional Department Shyam Dahal National Trade Facilitation Expert-Nepal SARC, South Asia Regional Department

UNESCAP Mr. Yann Duval Chief, Trade Facilitation Unit Trade and Investment Division Mr. Tengfei Wang Economic Affairs Officer Trade Facilitation Unit Trade and Investment Division Mr. Fedor Kormilitsyn Economic Affairs Officer Transport Division

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A2. National Workshop on Trade and Transport Facilitation Monitoring Mechanism Dhulikhel, Nepal, 15-17 April 2014

Jib Raj Koirala Joint Secretary Ministry of Commerce and Supplies Navaraj Dhakal Under Secretary Ministry of Commerce and Supplies Mahesh Timilsina Under Secretary Ministry of Commerce and Supplies Moti Bahadur Shrees Nepal Trade and Transport Facilitation Committee Secretariat Ministry of Commerce and Supplies Bharat Pd. Adhikari Section Officer Ministry of Finance Bol Raj Acharya Section Officer Ministry of Finance Jageshwar Sharma Section Officer Ministry of Finance Harihar Paudel Section Officer Ministry of Finance Yuba Raj Adhikari Section Officer Ministry of Finance Hikmat Bdr Bhandari Statistics Officer Ministry of Finance Laxmi Poudel Director Department of Customs Nirmal K Mainali Section Officer Department of Customs Gyanendra Raj Dhakal Section Officer Department of Customs Govinda Raj Pant Section Officer Department of Customs Gopal Prasad Bhattarai

Section Officer Department of Customs Arjun Regmi Statistical Officer Department of Customs Ram Dutta Bhatta Computer Officer Department of Customs Mohan Khujung Computer Officer Department of Customs Ramhari Aryal Chief Customs Officer Birgunj Customs Mukti Pandey Chief Customs Officer Mechi Customs Ananta Pd. Timilsina Customs Officer Birgunj Customs Lava Kumar Adhikari Customs Officer Biratnagar Customs Promod Das Customs Officer Biratnagar Customs Sushil Kumar Thapa Customs Officer Bhairahawa Customs Gopi Upreti Customs Officer Mechi Customs Kaliram Paudel Customs Officer Dryport Customs Laxman Khadka Branch Manager Nepal Transit and Warehousing Company Yadava Raj Shiwakoti Branch Manager Nepal Transit and Warehousing Company Nirmal Adhikari Section Officer Nepal Intermodal Transport Development Committee

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Hari Krishna Mishra Electrical Engineer Nepal Intermodal Transport Development Committee Sunil Paudel Technical Advisor Nepal Intermodal Transport Development Committee Rajan Sharma President Nepal Freight Forwarders Association Naresh Agrawal Senior Executive Member Nepal Freight Forwarders Association Pradeep Kumar Kedia Senior Vice President Birgunj Chamber of Commerce S.G. Mustafa CEO Himalaya Terminal Pvt Ltd Keshab Raj Pandey Former President Mechi Chamber of Commerce Rajendra Kumar Shrestha Nepal Truck and Transport Association Jaya Siwakoti Customs Agent TIA Customs, Kathmandu Mohan Niraula Customs Agent Mechi Balkrishna Balset Mohan Niraula Customs Agent Birgunj Sudeep Bajcharya

Program Officer SAWTEE RESOURCE PERSONS Dr Somnuk Keretho Director Institute for Information Technology Innovation Faculty of Engineering Kasetsart University, Thailand Cheng Jing Technical Attache and Program Manager (Pacific Islands) WCO Asia Pacific Regional Office for Capacity Building World Customs Organisation UN ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC Tengfei Wang Economic Affairs Officer Trade Facilitation Trade and Investment Division Heini Suominen Economic Affairs Officer Transport Facilitation and Logistics Section Transport Division ASIAN DEVELOPMENT BANK Cuong Minh Nguyen Senior Economist (Regional Cooperation) SARC, South Asia Department Shyam Dalal Consultant Nepal South Asia Department Jacqueline Lam Consultant (Trade Economist) South Asia Department

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A3. Trade and Transport Facilitation Monitoring Mechanism (TTFMM) meeting

Shangri-La Hotel, Wuhan, China, 21 October 2015

BANGLADESH Mr. Md. Abdul Hakim, First Secretary (Customs Modernization), National Board of Revenue Dhaka, Bangladesh BHUTAN Mr. Sonam Phuntsho Wangdi, Joint Secretary, Ministry of Economic Affairs, Thimphu, Bhutan Mr. Dhendup, Deputy Collector, Regional Revenue and Customs Office, Department of Revenue and Customs, Phuentsholling, Bhutan Mr. Kesang Yeshey, Assistant Collector, Regional Revenue and Customs Office, Department of Revenue and Customs, Phuentsholling, Bhutan INDIA Mr. Zubair Riaz Kamili, Additional Commissioner, Customs Commissionerate, New Delhi Mr. Prabir De, Professor, India habitat Centre, Zone 4B, Lodhi Road, New Delhi, India NEPAL Mr. Toya Narayan Gyawali, Joint Secretary, Ministry of Commerce and Supplies, Kathmandu Mr. Bishnu Prasad Paudel, Director, Customs Department, Kathmandu, Nepal Mr. Ananta Prasad Timsina, Customs Reform and Modernization Section, Department of Customs, Kathmandu, Nepal Mr. Sharma Rajan, President, Nepal Freight Forwarders Association and Member of Nepal Trade & Transport Facilitation Committee, Kathmandu, Nepal

INTERNATIONAL TRADE CENTRE (ITC) Mr. Mohammad Saeed Senior Advisor on Trade Facilitation ASIAN DEVELOPMENT BANK (ADB) Ms. Rosalind McKenzie Regional Cooperation Specialist Regional Cooperation and Operations Coordination Division (SARC) South Asia Department

Mr. Achyut Bhandari National Trade Facilitation Expert Independent of ADB for Bhutan Thimphu, Bhutan

Mr. Mohammad Farhad ADB Consultant/Customs Expert Asian Development Bank (ADB) Dhaka, Bangladesh

Mr. Sarad Bickram Rana National National Customs Procures Expert Asian Development Bank (ADB) Kathmandu, Nepal

Dr. Posh Pandey Chairman South Asia Watch on Trade Economics and Environment (SAWTEE) Kathmandu, Nepal ____________ ESCAP Mr. Tengfei Wang Economic Affairs Officer

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A4. Workshop for the Implementation of TTFMM Baseline Studies Bangkok, Thailand, 13-15 January 2016

BANGLADESH Mr. Md. Firoz Shah Alam Member (Customs: Audit, Modernisation & Intl. Trade) National Board of Revenue Mr. Md. Abdur Rob Deputy Secretary Ministry of Commerce Mr. Hasan Mohammad Tarek Rikabder Joint Commissioner Customs Excise & Vat commissionarate, Mr. Md. Enamul Hoque Assistant Commissioner Customs Excise & Vat commissionarate Mr. Md. Sayeduzzaman Sayed Sayed Enterprise (Clearing & Forwarding Agent, Import and Export, and Transport) President, Burimari C&F Agents Association Mr. Md. Rezaul Karim C&F Agent, Freight Forwarder & Importer-Exporter President, Banglabandha C&F Agents Association Director, Panchagrah Chamber of Commerce & Industry BHUTAN Mr. Karma Drukpa Regional Director Regional Trade and Industry Office Mr. Pema Wangchen Joint Commissioner Liaison and Transit Office Royal Bhutan Customs Office Mr. Tandin Wangchhen Joint Collector Customs and Excise Division Department of Revenue and Customs Ms. Deki Gyamtsho Deputy Collector Regional Revenue and customs Office Department of Revenue and Customs Ms. Tshering Choden

Executive Director Bhutan Clearing and Forwarding Agent INDIA Mr. Kundan Kumar Superintendent Department of Revenue (CBEC) Ministry of Finance NEPAL Mr. Jib Raj Koirala Joint Secretary International Trade Relations Ministry of Commerce & Supplies Mr. Mimangsa Adhikari Director Customs Reforms & Modernization Section Department of Customs Mr. Nirmal Kumar Mainali Customs Officer Birgunj Customs Kumar Bhattarai Customs Officer Mechi Customs Office Mr.Rajan Sharma President Nepal Freight Fowarders Association UNESCAP Mr. Yann Duval Chief, Trade Facilitation Unit Trade and Investment Division Mr. Tengfei Wang Economic Affairs Officer ASIAN DEVELOPMENT BANK (ADB) Ms. Aileen Pangilinan Programs Officer South Asia Department Mr. Acyut Bhandari ADB Consultant Mr. Phuntsho Wangdi ADB Consultant

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Dr. Posh Pandey ADB Consultant Mr. Sarad Bickam Rana ADB Consultant Mr. Prabir De ADB Consultant

Mr. Mohammad Farhad ADB Consultant Ms. Leticia de Leon ADB Consultant Ms. Alona Mae Agustin ADB Consultant

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A5. Field survey to Kolkata,

15-17 March 2016

Meeting with Kolkata Customs (Morning, 16 March

2016)

Dr N K Soren Commissioner Mr P.K. Bohra Joint Commissioner Mr Pramod Maurya Deputy Commissioner Mr Gyanendra Tripathi Assistant Commissioner Mr B. C. Dash Superintendent Mr. B. Kundu Superintendent Mr. Pradeep Lama Indian Customs Mr A Majhi Indian Customs Mr Debasish Dhar Indian Customs Meeting with Kolkata Port Trust (Afternoon, 16 March 2016)

Mr Goutam Gupta Traffic manager Mr Santanu Naskar Dy Traffic manager (commercial) Mr S C Chatterjee

Meeting with Customs House Agents, logistics and transport operators (Morning, 17 March 2016)

Mr Laxman Khadka Branch Manager Nepal Transit and Warehouse Co., Ltd Ms. Sita Basnet, A. C G Nepal Consulate

Mr. Ugyen Wangyd Commissioner Bhutan Customs Mr. Pema Wangchen Joint Commissioner Bhutan Customs Mr. Rajesh Sarda CHA, SKB Shipping Mr. KK Mantri Manager Trading Agency (CHA) Mr. Pradeep Ararwal CHA, Oceanic Express Mr. Puneet Agarwal Transport Oceanic Express Mr. Reyaz Mullick Mullick Shipping CCHA Mr. M. K. Dubey, CHA Meeting with Container Corporation of India Limited (CONCOR) (Afternoon, 17 March 2016) Mr. Sumant Kumar Behera Dy. General Manager (C&O) Eastern Region Meeting with Nepal Consulate in Kolkata (Afternoon, 17 March 2016) Ms. Sita Basnet Consul, Consulate General of Nepal Mr. Dhruba Prasad Bhattarai, First secretary, Consulate General of Nepal Mr. Nagraj Jain, Chairman, Hanuman Group Mr. Shyam Sharma, Proprietor, Bhawani Roadways

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A6. National Validation workshop on Baseline Study of Trade and Transport Facilitation

Monitoring Mechanism (TTFMM)

Kathmandu, Nepal, 28 – 29 July 2016

Mr. Naindra Prasad Upadhaya Secretary Ministry of Commerce (MoC) Mr. Toya Narayan Gyawali Joint-Secretary, MOC Mr. Rabi Shanker Sainju Joint-Secretary, MOC Mr. Devi Prasad Sharma Under Secretary, MOC Mr. Rameswar Pokharel Under secretary, MOC Mr. Yogendra Pandey Under Secretary, MOC Mr. Mahendra Sapkota Under Secretary, MOC Mr. Buddhi Prashad Upadhya Under Secretary, MOC Mr. Dhruba Ghimire Under Secretary, MOC Mrs. Mina Aryal Under Secretary, MOC Mrs. Anita Niraula Under Secretary, MOC Mr. Shiva Prashad Tripathi, Under Secretary, MOC Mr. Ramji Danai Under Secretary, MOC Mr. Bhuban Prashad Acharya Under Secretary, MoC Mr. Tarka Raj Bhatta Under Secretary, MoC Mr. Uday Bohara D. Director, FNCCI Mr. Lok Raj Joshi, S. Officer

FNCCI Mr. Homnath Gaire Director, CNI Mr. Rajeev Majgaiya D. Director, CNI Mr. Niraj Rai Member, NCC Mr. Kailash Bajimai CEO, NCC Mr. Chudamani Sharma Kattel Biratnagar Customs Office, Biratnagar Mr. Tika Ram Poudel Inland Customs Depot Office, Birgunj Mr. Mani Ram Poudel Birgunj Customs Office, Birgunj Mr. Govinda Prasad Poudel Bhairahawa Customs Office, Bhairahawa Mr. Kiran Sharma Section Officer, Department of Custom Mr. Raju Poudel Custom Officer, Department of Custom Mr. Nava Raj Adhikary Custom Officer, Department of Custom Mr. Sujan Kumar Nyupane Member, NEFA Mrs. Sita Adhikary Member, NEFA Mr. Mohan Niraula Section Officer, Ministry of Commerce (MoC) Mr. Moti Bahadur Shris, Section Officer, Ministry of Commerce (MoC) Mr. Tanka Raj Gautam Section Officer, Ministry of Commerce (MoC) Mr. Ramhari Pokhrel

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Section Officer, Department of Commerce Mr. Shusil Raj Khanal Section Officer, DoC Mr. Nirajan Koirala Account Officer, DoC Mrs. Shanta Budhathoki Section Officer, NITDB Gitadevi Shrestha Deputy Director, TEPC Mr. Sarojlal Shrestha Deputy manager, NTWCL Mr. Yadav Raj Siwakoti Nepal Transit Warehouse Company Limited, Kakadvitta

Mr. Churamani Aryal Section Officer, Ministry of Finance Mrs. Sharadha Chalise Section Officer, MoC Laxman Bahadur Basnet Executive Director NITDB Dr. Posh Raj Pandey Resource Person Shaleen Khanal Resource Person Mr. Tengfei Wang Economic Affairs Officer , UNESCAP Mr. Shyam Dahal Consultant, ADB

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Appendix 2. CPMM data collection form

(Kindly note that the data collection form is derived from the ADB CPMM Data collection Form) Section A: to be filled in by the administrator or manager Control Number _________________

Driver’s name Line/Wechat ID Tel.

Driver’s company Email Tel.

Route

Commodity

Perishable? Yes / No Cargo Weight (Tons): Container? Yes / No

Section B: to be filed in by the driver

Please fill-up form properly and return to Mr. Sample, sample@gmail.com, Tel. 1234567. Line ID: Wechat: ___ Skype _____

Stop No. Stop _0_ Stop _1_ Stop _2 Stop _3_

City/Place

Country

Distance from previous stop (km) 0

Date/time [DD-MM/HH-MI]

Border Crossing Point? Yes No

Reasons for stop 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5

Activities Duration Costs Duration Costs Duration Costs Duration Costs

HR MI OC TC HR MI OC TC HR MI OC TC HR MI OC TC

Border Security / Control

Customs Clearance

Health / Quarantine

Phytosanitary

Veterinary Inspection

Visa/Immigration

Traffic Inspection

Police Checkpoint / Stop

Vehicle breakdown

Weight/Standard Inspection

Escort / Convoy

Loading / Unloading

Road Toll

Waiting/ Queue

Sleep and rest

COMMENTS

NOTE: Reason for Stop: 1 – Place of Departure; 2 - Intermediate Stop; 3 – Exit Border Crossing; 4 – Entry Border Crossing; 5 – Final Destination; HR: Hours: MI: Minutes; OC – Official Cost in US$; TC – Total Cost in US$

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Appendix 3. Instructions on how to fill out the CPMM data collection form

For Section A, the administrator or manager (e.g., the manager of the trucking company, or the person who will manage

the drivers) needs to fill in the information as much as possible.

Section B needs to be filled in by the driver.

Route: Including the origin and destination, key city/place and border crossings along the route. For example, the route can be written as: Kolkata–Birgunj–Kathmandu–Birgunj–Kolkata

Commodity: The description of goods transported. Examples are clothing, fruit and vegetables, canned goods, oil processing equipment, construction materials, and mixed commodities.

Perishable: Goods or cargoes that deteriorate or decay quickly. Examples are fruit and vegetables. Here, the correct answer needs to circled

Cargo weight The total weight in tons of goods being transported

Container: Indicator as to whether the vehicle is transporting the goods using a container such as 20- or 40-foot container and other size of containers.

Details per stop A stop should be recorded if either of the following is true: (i) the stop lasted at least 15 minutes, or (ii) the stop involved a significant activity, such as a police checkpoint or unofficial payments; or (iii) the costs are incurred. The record of each stop must include the following information:

Stop number: The number assigned each stop. The number such as 1, 2, 3, 4.. needs to be written manually. If the total stops are over 4, the page needs to be copied.

City or place The name of the major city or town, or nearest major city or town, or a place is relatively known, where the driver stopped. If necessary, the driver can write more details on the bottom of the paper in “Comments”.

Country: Country in which the driver stopped.

Distance from previous stop:

Number of kilometers (km) from previous stop.

Date/time [DD-MM/HH-MI]

Date and time when the stop takes place, for example, 02-03/16-11, means the vehicle stops on March 2 on 16hrs-11minutes.

Border Crossing Point? A record of whether the driver stopped at a particular border crossing point (BCP)

Reason for stop The reason why the vehicle stopped, whether the stop was at the point of departure, at an intermediate stop, at a BCP, or at the final destination. An “intermediate stop” is defined as any stop other than that those made at the departure point, when exiting or entering a country, or at the final destination.

In addition, the time spent and payments made (official and unofficial) at each stop are recorded by activity. The list of activities encompasses all anticipated checks and procedures, both at BCPs and at intermediate stops along the transit corridor.

Border Security / Control

Inspection of goods and checking of documents by security personnel (i.e., police or military). As part of the inspection, the driver pays fees (official or unofficial)

Customs Clearance Activity undertaken by the customs authorities that involves the inspection of documents and goods entering or exiting a country. As part of this activity, the driver fills out customs forms and pay fees.

Health / Quarantine Activity usually undertaken by the health authorities that involves checking for the presence of malignant or contagious human diseases. As part of the inspection, the driver fills out health or quarantine forms, pays fees, etc.

Phytosanitary Activity usually undertaken by the agricultural authorities that involves the inspection of cargo for the possible presence of harmful pests and plant diseases. As part of the inspection, the driver fills out phytosanitary forms and pays fees.

Veterinary Inspection Activity usually undertaken by the veterinary authorities that involves the inspection

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of cargo for the possible presence of infectious animal diseases and the regulation of the flow of animals and animal products to a particular location. As part of the inspection, the driver fills out veterinary forms and pays fees.

Visa/Immigration Activity usually undertaken by the immigration authorities at the BCPs to check visas, or the activities required to apply for a visa, or to enter or exit the country when the driver has no valid visa. As part of the inspection, the driver fills out immigration or visa forms and pays fees.

Traffic Inspection Inspection undertaken by a state traffic inspector

Police Checkpoint / Stop

Road blocks or checkpoints set up by the traffic police along a route that take time to get through or require payment to proceed.

Vehicle breakdown A vehicle breakdown is the mechanical failure of a motor vehicle in such a way that the underlying problem prevents the vehicle from being operated at all, or impedes the vehicle's operation so much, that it is very difficult, nearly impossible, or else dangerous to operate.

Weight/Standard Inspection

The checking of the dimensions and weight of a vehicle with cargo, including queuing or waiting time, payment of fees, etc.

Escort / Convoy A convoy is a row of vehicles that move together. The vehicles are accompanied by escorts, which can be customs officials or traffic police, for the purpose of protecting the cargo.

Loading / Unloading The loading of goods at the point of origin, loading and unloading at intermediate stops to deconsolidate cargo (i.e., transfer goods to another vehicle), or unloading upon delivery at the final destination.

Road Toll Fees payable when drivers use a special section of a road or highway, thereby shortening travel time.

Waiting/ Queue Waiting in queues to enter the BCPs. Note that this activity does not include waiting time for other activities, such as waiting in line to fill out or submit customs clearance documents (which should be recorded as part of the duration of customs clearance).