Congestion at Ctg port easing
FE Report | Sunday, 20 July 2008
Congestion at the Chittagong port is gradually easing as the main line operators have started to lift their empty containers to avoid payment of a fresh penal rent of the Chittagong Port Authority (CPA).
The CPA warned that it would slap a fresh penal rent from July 21 on the empty containers stored in the port.
The CPA said it would double the existing storage rent of US$ 6.0 for each container each day besides forced shipment to clear the port yard.
Chittagong port congestion occurred after about a year mainly because of storing a large number of empty containers at the port. Apart from this, slow delivery, inoperative equipment also contributed to the building up of fresh congestion.
"It is a good news for us that the situation of congestion has been easing rapidly from Thursday. The number of empty containers in the port area declined to around 4500 on Friday from more than 6000 containers previously," said Mohammed Sarwar, acting terminal manager of the port told the FE Friday by phone.
He also said: "Some MLOs are shifting their empty containers to the privately -owned off-docks to clear the port yards and some are being lifted through forced shipment."
He, however, expressed satisfaction over the improvement saying that the congestion will be brought within tolerable level by next two or three days.
There is a feature that imported goods enter Bangladesh through 20-foot containers while export consignments are shipped by 40-foot containers. As a result, around 1300 containers become empty and are randomly stacked at the port each day.
These empty containers hinder smooth operation of import and export.
Hadi Hossain Babul, member (administration) of the CPA told the FE that the empty containers should be taken to the private off-docks and added : "We planned to slap a penal rent to discourage storage of containers within the port area. It will be implemented from July 21 next".
Mizanur Rahman, managing director of Hapag Lloyd, an MLO, told the FE that they are to pay for the congestion although they are not responsible for the situation.
"Suppose I want to ship a number of empty containers from the port yard. But the CPA cannot deliver me those on time because of limited accessibility. This is not our fault," Mr Mizan said.
Mr Mizan, who is also president of International Container Shipping Association, said they will sit Sunday in Dhaka to discuss the CPA's fresh penal rent and other issues relating to speedy removal of containers.
Mohammed Rafiqul Islam, country director of PIL, a Singapore-based feeder operator and an MLO, said he has been suffering huge financial losses following the port authority's forced shipment.
"I have around 700 empty containers at the port and each day I am counting at least $ 4200. But I cannot take delivery as the port authority is loading empty containers which does not belong to me," Mr Rafique added.
Fazlul Hoque, executive director of Continental Trading, a feeder operator, said whatever the port is doing is nothing but injustice. I will carry the empty containers of my liner service. But the CPA is loading the empty containers at random without identifying the owners thus creating dislocation,"
There was no congestion of containers at Chittagong port after a number of reform programmes were implemented by the caretaker government. But the congestion reappeared last week mainly because of storing a large number of empty containers in the port yards.
Chittagong port handles around 1.0 million containers each year which is almost 100 per cent of the country's container trade.
Meanwhile, our correspondent from Chittagong adds: Truck fare in the Chittagong Port (CP) area has been increased by 22 per cent following a meeting between Chittagong Port Authority, Chittagong Chamber of Commerce and Industry (CCCI) and Chittagong Port Truck Owners and Contractors Association (CPTOCA).
The CPA warned that it would slap a fresh penal rent from July 21 on the empty containers stored in the port.
The CPA said it would double the existing storage rent of US$ 6.0 for each container each day besides forced shipment to clear the port yard.
Chittagong port congestion occurred after about a year mainly because of storing a large number of empty containers at the port. Apart from this, slow delivery, inoperative equipment also contributed to the building up of fresh congestion.
"It is a good news for us that the situation of congestion has been easing rapidly from Thursday. The number of empty containers in the port area declined to around 4500 on Friday from more than 6000 containers previously," said Mohammed Sarwar, acting terminal manager of the port told the FE Friday by phone.
He also said: "Some MLOs are shifting their empty containers to the privately -owned off-docks to clear the port yards and some are being lifted through forced shipment."
He, however, expressed satisfaction over the improvement saying that the congestion will be brought within tolerable level by next two or three days.
There is a feature that imported goods enter Bangladesh through 20-foot containers while export consignments are shipped by 40-foot containers. As a result, around 1300 containers become empty and are randomly stacked at the port each day.
These empty containers hinder smooth operation of import and export.
Hadi Hossain Babul, member (administration) of the CPA told the FE that the empty containers should be taken to the private off-docks and added : "We planned to slap a penal rent to discourage storage of containers within the port area. It will be implemented from July 21 next".
Mizanur Rahman, managing director of Hapag Lloyd, an MLO, told the FE that they are to pay for the congestion although they are not responsible for the situation.
"Suppose I want to ship a number of empty containers from the port yard. But the CPA cannot deliver me those on time because of limited accessibility. This is not our fault," Mr Mizan said.
Mr Mizan, who is also president of International Container Shipping Association, said they will sit Sunday in Dhaka to discuss the CPA's fresh penal rent and other issues relating to speedy removal of containers.
Mohammed Rafiqul Islam, country director of PIL, a Singapore-based feeder operator and an MLO, said he has been suffering huge financial losses following the port authority's forced shipment.
"I have around 700 empty containers at the port and each day I am counting at least $ 4200. But I cannot take delivery as the port authority is loading empty containers which does not belong to me," Mr Rafique added.
Fazlul Hoque, executive director of Continental Trading, a feeder operator, said whatever the port is doing is nothing but injustice. I will carry the empty containers of my liner service. But the CPA is loading the empty containers at random without identifying the owners thus creating dislocation,"
There was no congestion of containers at Chittagong port after a number of reform programmes were implemented by the caretaker government. But the congestion reappeared last week mainly because of storing a large number of empty containers in the port yards.
Chittagong port handles around 1.0 million containers each year which is almost 100 per cent of the country's container trade.
Meanwhile, our correspondent from Chittagong adds: Truck fare in the Chittagong Port (CP) area has been increased by 22 per cent following a meeting between Chittagong Port Authority, Chittagong Chamber of Commerce and Industry (CCCI) and Chittagong Port Truck Owners and Contractors Association (CPTOCA).