Ctg Port sees 33pc fall in Jan

Import drops for forex crunch amid depression

SYFUL ISLAM | Published: February 05, 2023 22:51:39

The Chittagong Port saw a drastic fall in handling import containers in January compared to the same month last year due to a significant import drop amid forex crunch.
The country's prime seaport handled 87,984 TEUs (twenty-foot equivalent units) of containers this January, which was 33 per cent lower compared to 131,526 TEUs in January 2022.
Also, handling of outbound goods-laden containers fell to 62,727 TEUs this January, compared to 73,542 TEUs in the same month a year back, while overall box handling fell to 197,782 TEUs against 265,201 TEUs.
The country's main import-export gateway also saw a significant fall in handling boxes in December and the previous months. The government seriously tightened opening letters of credit (LCs) to curb forex spending, as the reserve came down to US$32 billion this week from its peak of $48 billion in August 2021.
Businesses are everyday urging the government to let them open LCs to import industrial raw materials and essential commodities. However, majority of the LC proposals are not entertained by the banks due to the forex dearth, they allege.
Data shows that import drops to $6.042 billion in December 2022 compared to $8.436 billion December 2021, registering 28.37 per cent fall.
In the recent months, the number of incoming ships in the Chittagong Port also fell significantly, and so, the port jetties frequently remain empty.
On Sunday, only eight container vessels were unloading and loading goods at the port jetties, while three jetties remained vacant, according to data.
The port officials said its performance depends on the country's economic activities. The performance slumps when the economic activities experience disruption.
"We are ready to provide services round the clock. But when ships are absent in jetties, we have nothing to do," said a senior port official.
As import fell, the inland container depots (ICDs), which handle 38 types of cargo-laden import containers, are also seeing lower turnout.
Usually, the 19 off-docks handle between 21,000-25,000 TEUs of import containers per month that fell to 16,000 TEUs last December and nearly 13,000 TEUs in January.
Nurul Qayyum Khan, president of the Bangladesh Inland Container Depots Association (BICDA), said the depots are badly suffering due to fall in import in particular.
"Import fell due to the global economic depression and our present money management system for the greater interest. But this has affected our overall activities," he told the FE.
Meantime, the government has pledged the International Monetary Fund (IMF) not to impose or intensify import restrictions for balance of payments reasons.
The undertaking was given as part of the efforts to get $4.7 billion loan support from the IMF to maintain macro-economic stability.
syful-islam@outlook.com