International logistics park to be built in Nalaikh

At its regular meeting on May 19, the Ulaanbaatar City Council approved a resolution to set up a building material wholesale and retail center and international logistics park in Nalaikh District.

According to the Ulaanbaatar 2020 Master Plan, new logistics centers in the western (Emeelt to Argalant), eastern (near Nalaikh) and southern (Aerocity) parts of Ulaanbaatar will be built along the railway to increase regional freight traffic and reduce urban traffic congestion by removing environmentally harmful industries away from Ulaanbaatar.

A new building material park was established in Nalaikh District two years ago. A total 21.2 billion MNT has been provided for this building material park project from the state and Ulaanbaatar city budgets. Some 71 businesses have submitted their requests to operate in the park and 27 organizations have already signed into an agreement, with six of them already in production.

Head of the Innovation and Technology Project of the City M.Khaliubat said, "Public and private sectors are partnering on the commercial and logistics facilities project. The logistics park will cover 10 hectares of area. There are currently 14 logistic services in Mongolia, most of which come from China. Also, it is possible to support the operation and establishment of Nalaikh International Logistics Park through publicprivate partnership."

The building material wholesale and retail center and Nalaikh International Logistics Park are expected to provide 20,000 people with fulltime jobs and contribute 20 billion to 30 billion MNT to the state budget in taxes.