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The project is being piloted and funded by the [[Ministry of External Affairs (India)]]. The preliminary feasibility studies were carried out by [[RITES|Rail India Technical and Economic Services (RITES)]]. Construction work on [[Sittwe]] port and the boat jetty in [[Paletwa]], as well as the dredging work, will be executed by the [[Inland Waterways Authority of India]] (IWAI), with Essar Projects Ltd, a division of the [[Essar Group]] appointed in May 2010 as the main contractor.<ref>{{cite web |work=Arakan Rivers |title=Kaladan Multi-Modal Transit Transport Project|url=http://www.arakanrivers.net/?page_id=135 |access-date=11 August 2012|archive-url=https://web.archive.org/web/20120529113016/http://www.arakanrivers.net/?page_id=135 |archive-date=29 May 2012 |url-status=dead}}</ref>
Kaladan Multi-Modal Transit Transport Project initially faced problems such as underestimation of the road length in [[Myanmar]] and plans to construct hydro-electric projects — [[Chhimtuipui|Chhimtuipui River]] and [[Lungleng River]] — on two tributaries of the [[Kaladan River]] followed by another project downstream. That the first two projects are being built by one public sector undertaking and the third is being constructed by another PSU (Public Sector Unit) has also led to coordination issues. Due to construction of this hydro electrical projects, Navigationnavigation of boats could be effected.<ref>{{cite news|last=Dikshit|first=Sandeep|title=India-Myanmar transport project hits roadblock|url=http://www.thehindu.com/news/national/article3377718.ece|access-date=11 August 2012|newspaper=The Hindu}}</ref>
TheOn projectthe includesIndian aside, waterwayRs. component6,000-crore ofproject to upgrade {{convert|158300|km|abbr=on}} on[[National KaladanHighway River502A (India)|NH-502A]] from SittweZorinpui to Paletwa inon Myanmar andborder a roadto componentAizawl, ofincluding {{convert|10990|km|abbr=on}} from[[Siaha]]-Zorinpui Paletwastretch, to Zorinpuifour-laning along the India–Myanmar borderinternational inhighway Mizoramstandard.
The highway road project will enhance cross-border trade between India and Myanmar and will also provide an alternate outlet to the landlocked North East which is heavily dependent on the narrow ‘Chicken's Neck’ at Siliguri.
Construction of cross-border road between Mizoram in India and Myanmar began in April 2018. The road project is part of the Kaladan Multi-Modal Transit Transport Project. India has already completed the rest of the Kaladan project work in Myanmar. This includes construction of the Sittwe Port on Lakadan river mouth in Rakhine, construction of a river terminal {{convert|158|km|abbr=on}} upstream at Paletwa and dredging of the Kaladan river.
Sittwe is the capital of Rakhine State in south-western Myanmar. It is located at the mouth of the Kaladan river, which flows into Mizoram in north-eastern India. The new route through Sittwe would significantly lower the cost and distance of movement from Kolkata to Mizoram and beyond.
India has for years sought transit access through Bangladesh to ship goods to the landlocked north-eastern States. At present, the only route to this region from the rest of India is through a narrow strip of Indian territory nicknamed the Chicken's Neck in West Bengal.
The preliminary feasibility studies were carried out by Rail India Technical and Economic Services (RITES). The {{convert|109|km|abbr=on}} cross-border road connects Paletwa river terminal to Zorinpui on the Mizoram border in Myanmar. The road will help connect Mizoram with the Sittwe Port in Rakhine State of Myanmar, upon the completion of construction in December 2019. The road project will enhance cross border trade between India and Myanmar and will also increase trade in the region. Once the road project is completed, it will belong entirely to Myanmar.
The road project involves construction in dense forests and insurgency affected areas. It also passes through areas that have the presence of Myanmar rebel group called Arakan Army. Both the countries signed a MoU which agreed to facilitate the movement of project personnel, construction material and equipment to expedite work on the highway.
The estimated investment for the construction of the road is R1,600 crore. The road construction contract was awarded to Delhi-based C&C Constructions in June 2017. The road is designed to be a national highway double lanes standard. The Indian government has sanctioned R1,011.52 crore for the construction of the project.
The construction of 87.18km-long road component in Mizoram side began in 2010 and is being worked by two companies – RDS Project Limited and Orisa based Atlanta ARSS (JV). About 81.12 per cent of physical work has been completed so far and {{convert|64.58|km|abbr=on}} of road has been black-topped, formation cutting of {{convert|85.41|km|abbr=on}}, out of 87.18-km-long road, has also been completed. Of the eight bridges, seven are under construction and 335 out of 428 culverts have also been already completed.
On the Indian side, work is on to extend the Aizawl-Saiha National Highway by {{convert|90|km|abbr=on}} to the international border at Zorinpui. Also, a R6,000-crore project is underway for four-laning the {{convert|300|km|abbr=on}} highway from Myanmar border to Aizawl to ensure the faster movement of goods between Sittwe and Mizo capital of Aizawl in the North West which is close to the Barak Valley of Assam.
==Development==
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