Dhaka - British company DP Rail has signed a Memorandum of Understanding (MOU) with the Government of Bangladesh / Bangladesh Railway, in the presence of Her Excellency Alison Blake, the British High Commissioner to Bangladesh, and UK's Trade Envoy for Bangladesh Rt Hon Rushanara Ali MP, for the development of the proposed 240km Dhaka - Payra railway.

The MOU was signed during a ceremony on 20th December 2016 at the Ministry of Railways in Dhaka hosted by Md. Mazibul Hoque MP, Honourable Minister, Ministry of Railways.

MOU 20Dec2016 400x221Under the terms of this MOU, DP Rail has the exclusive right to develop plans to design, finance, build and operate the railway.  The MOU enables DP Rail to proceed with the detailed planning of the railway and to enter into detailed discussions with Payra Port and the users of the port and railway.

DP Rail is working with China Railway Construction Corporation (International) Ltd (CRCC) as its principal civil engineering contractor. Present at the ceremony today to witness the signing were senior representatives from CRCC including Vice President Huang Jianmin.

DP Rail and CRCC have an agreement whereby CRCC will be its partner to undertake the civil engineering construction works for the railway. 

The new railway forms a vital part of the Payra Port project, which is designed to provide a new deep water port at the top end of the Bay of Bengal, capable of handling large container ships of 8,000 containers capacity or 120,000 tonnes of cargo.

The British High Commissioner, HE Alison Blake said: "Ms Ali, the UK Prime Minister's Trade Envoy, and I are delighted to be here for the signing of the MOU between the Govt of Bangladesh and DP Rail. This is a great example of British business expertise supporting the development of Bangladesh infrastructure and future economic development."

UK Trade Envoy Ms Rushanara Ali MP said: "This is a project of vital national importance to Bangladesh and I welcome the fact that this project has been proposed as a "best of British" railway, representing a substantial export opportunity for the UK railway supply chain.  I know from my discussions here that the project also enjoys the unequivocal backing of the Government of Bangladesh, the UK Government, as well as the full support of the Government of the People's Republic of China through the involvement of DP Rail's partners, China Railway Construction Corporation. I am looking forward to seeing the benefits that this project will bring to the people and businesses of Dhaka, and to Bangladesh in general."

Chief Executive of DP Rail, Ian Derbyshire, commented:  "Today, we put on record our grateful thanks to the staff of the British High Commission here in Dhaka and to the Department of International Trade in London, as well as to our hosts, the Ministry of Railways.  Without all their support this project would not have been possible.  Our experienced and knowledgeable team is now ready to put every effort into bringing this exciting and game-changing project to fruition."

For further Information:
This email address is being protected from spambots. You need JavaScript enabled to view it.  | +44 (0) 7971 551 778

Note for Editors:

DP Rail Ltd expects the freight train service to start, prospectively, in 2024 and, in the first full year of operation is projected to handle approximately 2m TEU with frequent daily trains running at 100km/hr, and with volumes rising to almost 4m TEU pa by 2030. Container trains will be around 1km in length. Additional trains will convey coal and other bulk products.

At present, Bangladesh has no deep water sea port capable of handling this size of ship and currently Bangladesh's clothing manufacturing hub of Dhaka has no high capacity trading route to the sea and its customers around the world. So the construction of the port and the new railway will provide fast and efficient carriage of goods from Dhaka straight to a deep water port for onward conveyance around the world and, equally, transport goods from the port to the major distribution hub planned for Dhaka. The construction of the railway is intended to take place concurrently with that of the port, so that both open simultaneously.