1. INTRODUCTION

Logistics is developing methods for planning and managing the flow of inventory and information so that an enterprise achieves maximum economic efficiency. Enterprises that use logistics planning methods are more productive in a shorter period of time. Their competitiveness is reflected in the cost of goods, reliability of supply, quality of products and services. Transport and logistics can be defined as the simple relationship between drivers and vehicles on the road and other vehicles, as well as the infrastructure network that plays a key role in regional economic relations, as well as the complex relationship between owners, users, and legal and technical regulatory stakeholders. These passions are two extremes in the scope of transportation and logistics. Any transport and logistics system lies between these two extremes and is entirely engineering, economic and social in nature. The spatial and temporal transitions considered in transportation are studied in the context of inventory and information flow through nodes and networks in logistics. This means that time is a spatial factor as well as a flow factor through nodes and networks. By improving the organization of transportation and logistics, it is possible to cover longer distances in the same time or reduce costs by covering more distances in a shorter time.

1. THEORETICAL REVIEW

When transportation is considered separately from logistics, decisions about freight are made separately from logistics. In this case, when measuring the efficiency of transportation, the output or the quantity of products and services is considered by the amount of transported cargo and cargo turnover. However, these are only measures of direct output and do not fully reflect the performance of transport work in the broad scope of production and consumption. In other words, performance is measured in ton-kilometers alone, regardless of the type of transportation, mode, or type of service provided. Therefore, it is not accepted by transport experts as not a real result. For example: the fact that the volume of freight carried by road transport is higher than that carried by railway transport does not mean that road transport is relatively good in terms of performance. Blanquart^[1]  et al. said that an important component of logistics in cargo transportation is carried out by 4 main activities: material activities, information activities, communication activities, and methodological activities. In material operations, it was considered the traditional transportation operation of transporting goods from one point to another. In addition to loading, shipping, and unloading, this process includes packing, storage, and labeling. At the same time, the method of transferring information about the cargo, coordinating and coordinating the relations between the parties performing the work is a logistics activity.

At the international level, researchers are widely using the terms transport logics and transportation logistics. It is called transportation, logistics or transportation logistics, and researchers Lai et al. (Lai K. N., 2002) say that transportation logistics is an intermediate activity that facilitates the material flow between the point of origin and absorption of cargo. Mongolia’s sustainable development concept-2030 policy document defines the reduction of foreign and domestic trade transport costs and time. However, in the Three-Pillar Development Policy, the goal of «developing integrated transport, logistics and infrastructure supporting economic growth and creating a favorable environment for citizens to work and live» was put forward. In this context, the objectives of the policy of intensive development of mining, heavy industry, intensive animal husbandry, agriculture, tourism, transit transport and logistics in the central region, development of trade, transport and logistics infrastructure based on modern information technology have been reflected.

Researchers (Stephen C.H. Leung, 2006) and (Banomyong, 2010) also use the term cross-border logistics. Cross-border logistics also includes port logistics. While a country has relative control over national logistics, cross-border, international logistics cannot have relative control over space, demand, and shipping documents. These activities depend on additional environments. In general, the operating environment of national and international logistics is quite different.

In the mineral extraction plan until 2032 issued by the Government of Mongolia, it is estimated that the economy will develop based on the extraction of coal, copper, iron, gold and oil. Also, by 2030, it is expected to export about 80 million tons of coal per year. Since 1995, the share of the mining and quarrying industry in the production of our country has been more than 50 percent. According to the statistics of 2018, 57.4 percent of the industrial production was produced by mining products. However, 20.8 percent of the mining output was made by the coal sector alone. In addition, the export of mining products accounted for the majority of foreign trade income, and the export of mineral products accounted for 88.4% of the value of the total exported goods, and the export of coal accounted for 39.7% of the value of the main export goods. According to a study conducted by the International Energy Union, the demand for coal on the world market began to grow sharply in the second half of 2016 and will remain stable for the next 5 years.

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