The operations at Chittagong Port, crucial for the Ready-Made Garment (RMG) sector, are facing significant disruptions due to a fee dispute between berth operators and shipping agents. Vessels at the General Cargo Berth (GCB) terminal have been experiencing long delays, primarily attributed to slow container handling amid a conflict over proposed fee increases.
The dispute, which escalated earlier this month, centers on the berth operators’ demand to raise onboard container handling charges by US $ 5 per container. This proposal has been met with resistance from shipping agents, leading to operational slowdowns that directly affect the timely delivery of RMG exports.
Since taking over management of the GCB’s six jetties in 2007, berth operators have argued that the current handling rate of Taka 559.53 is no longer sustainable due to rising operational costs. Fazle Ekram Chowdhury, president of the Berth Operators, Ship-Handling Operators, and Terminal Operators’ Owners’ Association, stated that rates have remained unchanged for over 15 years, despite increasing expenses in the industry.
The slowdown has caused considerable delays for several vessels critical to RMG supply chains. In a meeting on 15th January, leaders of the Bangladesh Container Shipping Association (BCSA) raised concerns with port officials about the ongoing slowdown at the GCB terminal. Despite the berth operators’ request for a rate hike during the meeting, BCSA leaders declined to discuss it as it was not on the official agenda.
With the Chittagong Port Authority Secretary unavailable for comment, the standoff remains unresolved, posing a significant challenge to the RMG sector and impacting vessel schedules and cargo connections. The situation calls for urgent attention, as timely shipments are critical for maintaining the competitiveness of Bangladesh’s RMG exports in the global market.
