PKF-IFS Mongolia




Ulaanbaatar, March 2, 2023 /MONTSAME/. During the discussion on “Electronic Trading of Export Coal” that was held on February 27, The Minister of Mongolia and the Chairman of the National Committee for Port Revitalization Kh. Bulgantuya said, “The coal export is carried out by four types of terminals: railway, road transport, container, and automatic AGV transport.” She also informed that the export coal sold during the e-auction should be delivered through the container terminal, one of the four gateways designated for electronic trading.


The Chairman of the Committee continued, “The coal importers and transporters proposed to make Gashuunsukhait port, which handles 50-60 percent of coal exports, as an international port that operates 24/7. We have officially put forward this proposal to the Chinese side and received a response to settle the necessary infrastructure and investments from our side. Both sides agreed on bringing the port up to the international standards.”


In this regard, the planning and preparation work was completed, and investment and financing issues were settled. Yet, the process was interrupted because of the Covid-19 pandemic. The construction work will start in April of this year and be completed by the end of 2023. She said that this would increase the export output and end the long truck queues at the port.


In connection with the 24/7 operation of the port, trans-shipping yards at Tsagaan Khad will no longer be necessary. As a result, there will be no short-distance transportation. It will also stop the situation where there is loss while transferring the load at Tsagaan Khad, causing coal theft and corruption. After putting the International Port into operation, the long-distance transportation of coal directly to the border will start. The Minister of Mongolia and the Chairman of the National Committee for Port Revitalization Kh. Bulgantuya continued that it would result in smooth and continuous operations.


The Minister of Mongolia, Kh. Bulgantuya informed that the Government of Mongolia would support all possible transportation terminals for exporting coal and encouraged mining companies to sign contracts with shipping and delivery companies instead of seeking to obtain transportation licenses. She also noted that electronic trading would eliminate the issue of conspiring to sell coal at a low price and supplying it at a low price in advance through offtake contracts. This is the common practice in global market trade, and it will increase the transparency of taxes and income in the country.



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