Analysis of Transport Logistics Cost in Pakistan and CPEC Infrastructure

Noman Ashraf, Ni Lin, Muhammad Suleman, Waqas Farid

China Pakistan economic corridor is a mega project signed in the form of an agreement between two countries to gain one mutual goal, economic growth in the region. With the huge investment capability of china and important geopolitical position of Pakistan, CPEC is like a catching straw for the drowning economy of Pakistan and a golden opportunity for China to develop a new Eurasian Land Bridge to expand its markets. The project is based on one belt one road initiative to redevelop the ancient silk road. The population and infrastructure in china is not uniformed around the country. The most of the population lives in southeast of china called as Hu Huanyong Line [1]. While the western region is not much developed as compared to eastern region. Similarly, on Pakistani side the northern areas are not much developed. CPEC has a mutual goal of infrastructure development but it faces two different nations to work on it under different circumstances. The coast line of eastern china is 3500 km away from the Kashgar, northwestern city of china. While the Gwadar port is 1500 km away. This does certainly decreased logistics cost for trade. The logistics cost is still different on both sides due to many reasons. In this research study we calculate the Road transport logistics cost in Pakistan and analyze the effect of CPEC infrastructure on Logistics. Further suggestions are concluded to develop cooperation in logistics on CPEC.

https://doi.org/10.31871/WJRR.9.6.7