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The '''Arakan Light Railway''' was formerly the '''[[Buthiadaung-Maungdaw Tramway Company]]''' which was founded by The Arakan Flotilla Company in March 1913, to construct a 2ft 6in/762mm narrow gauge([[Rail_gauge#Narrow_Gauge|NG]]) railway between these towns to improve communications in the remote area near Burma's border with what is now Bangladesh.
The consultant was [[Everard Richard Calthrop ]] (1857-1927) and the specification was based on the [[Barsi Light Railway]] which had opened in 1897.
In October 1916 [[Martin's Light Railways]] Company of Calcutta registered the '''Arakan Light Railway''' Company in order to purchase and complete the line, with support from the Governments of India and Burma and the Arakan Flotilla Company.