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    Private trucking companies improve Iraqi economy

    Private trucking companies improve Iraqi economy

    Photo By Staff Sgt. Andrea Merritt | A driver for the Iraqi Transportation Network, a private logistics network, watches as...... read more read more

    BAGHDAD, IRAQ

    07.23.2008

    Courtesy Story

    Multi-National Corps Iraq Public Affairs

    By the Multi-National Corps – Iraq Public Affairs Office

    BAGHDAD – Recently, 62 tribes and 68 sheiks organized four private trucking companies, which together, is known as the Iraqi Transportation Network.

    Taking the initiative, the sheiks approached the U.S. military with a proposition for the ITN to haul their cargo throughout Iraq, guaranteeing safe shipment and taking financial responsibility for any loss.

    The sheiks chose people from their tribes to drive for the companies and the U.S. military conducted background checks. More than 100 drivers were chosen and 97 percent of them were approved.

    The formation of the ITN is one of the first efforts in 30-40 years to build a private logistics company in the country. ITN moves low-value cargo for the U.S. forces to and from different forward operating bases in Iraq.

    "For Iraq, this particular form of logistics network is a key enabler for the Iraqi economy, so we're seeding it with military cargo to get this going," said U.S. Navy Cmdr. Ken Titcomb, the ITN action officer for Multi-National Forces – Iraq. "The goal is that after a couple of years, their revenue will come from commercial services, not military. Hopefully it will end up driving a lot of jobs, and it'll be a factor for economic prosperity in Iraq."

    The ITN has successfully hauled different classes of supplies in Fallujah, Al Asad, TQ, Ramadi and Jordan.

    Since the missions in that region have proven successful, they plan to expand their services to Multi-National Division – Center by September and to Multi-National Division - North by October. This will triple the size of their network in the next couple of months.

    The ITN has moved cargo such as food, water, construction materials, wood, barriers and containers, on their own without any military escorts. To date, there have been no incidents or attacks resulting in the loss of cargo.

    "With the truckers we have today, that made a difference of at least 20 Soldiers on the road," Titcomb said. "This reduces the dependence on military to get the cargo moved."

    In addition to providing jobs for Iraqis and reducing Soldier exposure on the roads, customer units see other benefits to the service that the ITN provides.

    "If they move the low-priority cargo, then we can take the priority cargo that must move in support of missions and combat operations," said Maj. Ira Baldwin, the 1st Sustainment Brigade support operations transportation officer. "We can now focus more of our trucks on that specific aspect."

    As the ITN continues to grow, the goal of a stable Iraqi economy becomes less of an idea and more of a reality. In the first two months of operation, the ITN generated more than $2,000,000 in revenue.

    "It is a growing entity," said Baldwin. "If you look at the Iraqi Transportation Network, it's not just trucks on the road. Iraqis have done this before. This is why we are taking baby steps to build the Iraqis back up, so they can do this in a flawless manner. Eventually, they will get there."

    NEWS INFO

    Date Taken: 07.23.2008
    Date Posted: 07.24.2008 23:03
    Story ID: 21823
    Location: BAGHDAD, IQ

    Web Views: 68
    Downloads: 58

    PUBLIC DOMAIN