NCT lease to foreign operator put on hold

Signing a much-hyped container-terminal agreement with global ports operator DP World stalls because of current complications and time constraint for the interim government for imminent national election, officials said.

They have indicated that negotiations will now be carried over to the next elected administration.

Chowdhury Ashik Mahmud Bin Harun, chief executive of the Public- Private Partnership Authority (PPPA), said Sunday DP World had formally requested additional time to review the draft concessionaire agreement shared with the company, making it "improbable that the deal could be finalised" under the current government.

Meanwhile, as the protesters resumed their strike Sunday for indefinite period, after a two weekend break awaiting a solution, the shipping adviser of the interim government warns that the government will go tough with the Chattogram port strikers as trade got disrupted and supply chains cut.

Speaking at a briefing at the Foreign Service Academy in Dhaka, Ashik said the company request left only two working days for the interim administration, which would be insufficient to complete the necessary internal approval processes.

"We received a letter from DP World today requesting time to review the draft concession agreement," he said. "Since they have asked for time, it is most likely that negotiations will continue beyond the election."

The letter, received at the chief adviser's office on Sunday morning, expressed DP World's appreciation for the progress made so far and its expectation that the negotiations would move in a constructive direction in the future, Ashik added.

The proposed project, first initiated in 2019, entered what officials describe as its final and most intensive phase of negotiations over the past month, involving discussions at multiple levels of government.

However, Ashik said completing cabinet approvals and procedural steps within the remaining time would be extremely difficult, even if DP World responded quickly.

He also dismisses speculation that the agreement was scheduled to be signed on a specific date, describing such claims as misinformation. The negotiations, he said, are bilateral in nature rather than part of a traditional tendering process, making it impossible to predict when both sides would reach a final agreement.

"There is no pressure to sign any agreement in haste or at the expense of national interest," Ashik said. "A signing date can only be announced after negotiations are fully completed."

Officials say the fate of the proposed DP World deal would now rest with the next elected government, which will decide whether and how to proceed with the negotiations.

Meanwhile, after a two-day suspension of the strike Friday-Saturday, the workers and employees of the Chittagong Port started fresh indefinite work stoppage at 8am Sunday.

The resumption of the strike caused the port to come to a standstill and maritime trade to collapse.

To ensure security and order, additional law-enforcement personnel were deployed at the key port gates.

The strike continued under the banner of the Chittagong Bandar Rokkha Sangram Parishad, which raised four demands. The main demand is a clear government declaration that the NCT would not be leased to DP World.

Other demands included withdrawing all disciplinary actions taken against the protesters, assurances that no legal action would be pursued against them, and removing the port chairman from his post.

On Sunday, the loading and unloading of goods from mother vessels at the outer anchorage stopped, says a firsthand report from the seaport.

Cargo transportation through lighter vessels, trucks, and lorries also halted, with an eerie silence prevailing at the three major terminals.

All the jetties and yards remained deserted with no movement of people or vehicles, while all sheds and offices were closed.

Chittagong Bandar Rokkha Sangram Parishad Coordinator Humayun Kabir said, "Our strike resumes today after the break. All workers and employees are responding spontaneously to our call to make the programme a success. No work is being done at any jetty or ship, and no goods are being delivered. All operational activities are closed."

Meanwhile, the protesters alleged harassment despite observing the strike "peacefully".

Police detained two employees of the Chittagong Port Authority (CPA) - Abu Kalam Azad and Shamsu Mia Tuku. Deputy Commissioner (port) of the Chattogram Metropolitan Police (CMP) Md Amirul Islam confirmed the detentions.

At a press conference at the Chittagong Port Building on Sunday, CPA Chairman Rear Admiral SM Moniruzzaman said the port operations remained "normal" despite the ongoing strike.

"We are servants of the state, and our loyalty must be to the state. We must respect the law under which the port operates and also the institution itself. If the protesters choose a different allegiance, it goes completely against the code of conduct for government officials and employees."

In another development surrounding the dispute, an appeal petition has been filed seeking to set aside a High Court (HC) verdict which, by a majority view, upheld the government decision to award the container- handling contract of the New Mooring Container Terminal (NCT) at Chattogram port to the foreign company.

The petition was filed Thursday by Bangladesh Jubo Arthanitibid Forum, a philanthropic organisation.

Following a primary hearing the same day, the Chamber Judge of the Appellate Division referred the matter to the regular Appellate Division bench and fixed Monday for its hearing.

Barrister Md Anwar Hossen, one of the counsels representing the petitioner, confirmed the development to The Financial Express.

In the appeal petition, the petitioner contended that the High Court Division committed an error in law by holding that the project was undertaken on a government-to-government (G2G) basis, whereas the Memorandum of Understanding (MoU) was neither signed by the Government of Dubai nor initiated through any formal proposal from it.

The petition further stated that the government approval to award the contract to DP World "clearly violated" the Public-Private Partnership Act 2015, as the project did not qualify as a G2G initiative. "As such, the majority judgment of the High Court Division is liable to be set aside," it added.

On January 29, the High Court discharged a rule that had questioned the legality of the government move to award the container-handling contract of the NCT to the foreign company.

Earlier, in December last year, a division bench of the High Court delivered a dissenting judgment on the same writ petition. Subsequently, the chief justice assigned the matter to a single-member bench for disposal.

With the single-member bench also rejecting the rule, the decision to discharge the rule was finalised by a majority view.

The writ petitioner on January 29 moved the apex court against the High Court verdict. However, the Chamber Judge directed the petitioner to file a leave to appeal petition after the full verdict is released by the High Court Division.

In the verdict, Justice Zafar Ahmed observed that the Memorandum of Understanding between the Public-Private Partnership (PPP) Authority and UAE-based company DP World was signed following due process of law.

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