Chattogram port-dependent business operations faced disruption for the third consecutive day on Monday as continued work stoppage halted port operations during peak performance months, raising concerns among exporters, shipping agents and manufacturers over delays, rising costs and potential loss of overseas orders.
Leaders of the Chattogram Bandor Rokkha Sangram Parishad on Monday morning at a briefing in the port city said that workers and employees had been observing a ‘spontaneous’ work stoppage under its banner for the past three days, protesting at the proposed lease of the New Mooring Container Terminal to a foreign company.
Shipping agents said that the disruption came at a time when port performance usually remained at its peak, with smooth container handling and minimal congestion during November to February.
Former Bangladesh Shipping Agents’ Association director Shahed Sarwar said that these four months were considered the port’s best service period as there was little congestion, fewer natural disruptions and faster turnaround times compared to other parts of the year.
Businesses were now passing through a severe situation due to the strike over the past three days, with port operations remaining suspended from 8:00am to 4:00pm daily, he said.
Citing a specific case, he said that one of the vessel that arrived on January 29 was scheduled to sail on January 30 to 31 but failed to depart even by February 1 and eventually sailed on February 2, causing a two-day delay.
He said that shipping companies had to bear port demurrage, waiting charges and other related costs.
Sarwar said that businesses wanted relief from the situation and called on all parties to sit for discussions and reach a solution, warning that losses would escalate further if the situation remained the same.
Meanwhile, the Bangladesh Garment Manufacturers and Exporters Association sent a letter on Sunday to the shipping ministry adviser, expressing concern over the operational deadlock at the Chattogram port caused by the ongoing work stoppage centring on the proposed lease of the New Mooring Container Terminal to United Arab Emirates-based DP World.
The BGMEA said that the garment sector was the largest user of the port and that both import of raw materials and export of finished goods depended on uninterrupted operations, and disruption in imports would break the production chain and directly affect exports.
Stating that the garment industry is highly time-sensitive and dependent on strict lead times, the BGMEA said that failure to deliver on schedule could cause immediate financial losses and increase the risk of losing future orders.
The association urged the government to take effective steps, through discussions with all parties concerned, to end the work stoppage and restore normal port operations to protect export confidence and foreign currency earnings.
At Monday’s briefing, leaders of the Chattogram Bandor Rokkha Sangram Parishad alleged that senior government officials were involved in the leasing process and demanded removal and legal action against those associated with the process, reiterating that they would not accept the government’s decision under any circumstances.
Ibrahim Khokon, coordinator of the Chattogram Bandor Rokkha Sangram Parishad, said, ‘All operational and administrative activities at the port remained fully shut on Monday until 4:00pm. From 8:00am Tuesday (today), the work stoppage programme will continue for the next 24 hours. We also want to say that if the transfers of the employees that have already taken place are not withdrawn, the programme will be intensified.’
The Chattogram port authority transferred four employees to the Pangaon Inland Container Terminal at Keraniganj in Dhaka amid the strike.
Strike in the past three days has reduced cargo delivery from the Chattogram port by half. On the day before the strike began, 3,102 containers were delivered from the port, but on the first day of the strike the number dropped to only 1,750 TEUs. Revenue collection of the Custom House, Chattogram, which on average collects Tk 1.7 billion a day, has also fallen by half.
According to port performance data available on the Chattogram port web site show that as of Sunday, 89 vessels were waiting with cargo within the port area. Of these, nine were container vessels. One of the vessels was carrying Ramadan commodities, including dates, lentils and chickpeas. In addition, 21 vessels were carrying food items such as wheat and rice. Four vessels were carrying raw materials for sugar, while nine were oil tankers. Apart from these 35 vessels, there were also two vessels carrying salt, four carrying fertiliser and 10 carrying cement clinker.
On the day before the strike, 2,941 TEUs of export-laden containers were shipped from the port. However, on the first day of the strike, only 1,610 TEUs of export containers were shipped, indicating a nearly 50 per cent decline. A total of 52 types of imported goods are delivered from the port to private depots. On the day before the strike, 1,410 TEUs of such import containers arrived, but on the first day of the strike the number dropped to only 481 TEUs.
Due to the strike, loading and unloading of containers and cargo from vessels at the Chattogram port jetty remained suspended on Monday as well. On Saturday and Sunday, the strike began at 8:00am on Monday and continued until 4:00pm. While only operational activities were suspended on Saturday, protesters kept both operational and administrative activities shut on Sunday and Monday. Although limited activities continued inside the port, the main cargo loading and unloading operations remained halted.