Empty containers\\\' bulge cripples cargo handling at Ctg port

CHITTAGONG, Aug 11: Despite multiple steps to ease congestion of empty containers in the port, the problem has turned acute as days pass by.
Empty containers' bulge exceeding the capacity has been affecting day-to-day cargo- handling activities at the Chittagong Port, port officials said.
In its latest move, the Chittagong Port Authority (CPA) has instructed all the inland container depots (off-docks) of the country not to ship empty containers to the port as its capacity has run out.
In the event of the crisis of empty containers in the yard, the port officials held a meeting with director (traffic) of the CPA Golam Sarwar in the chair to discuss way forward of the congestion on Thursday.
Following the meeting, the CPA issued instruction to the off-docks to stop sending empty containers from the inland container depots and the off-docks have refrained from dispatching those to the port's container yards accordingly.
Shipping circles said there are two ways of removing the gridlock: one is to enhance the export volume of the country and the other is to ship the empty containers through the MLOs (main line operators).
The port authority, shipping agents and cargo handling operators blame each other for the congestion, however.
Shippers said that the port authority has imposed panel rents four times higher from $ 6.00 to $ 24, which has resulted in slow delivery of import consignment over the weeks causing the congestion.
Against the capacity of 5,500 TEUs (twenty foot equivalent units) of dry and reefer containers, the number of empty containers climbed as high as 9,275 TEUs on August 5.
The number, however, came down to 6,740 TEUs of empty containers on August 10 (yesterday), which is also much higher than its holding capacity.
Secretary of Bangladesh Inland Container Depots Association (BICDA) Ruhul Amin Biplob told this correspondent that the port authority has urged them not to ship any further empty containers. They have followed the instruction.
The Port authority last month served notices upon the shipping agents and MLOs to remove the containers in time or face higher penalties.
The shipping agents and MLOs were given the deadline for clearing the yard of empty containers on July 30 after rescheduling of the deadline several times, upon request from the shipping agents and MLOs, officials said.
The MLOs said the CPA and terminal operators are partially liable for the accumulation of empty containers because they cannot provide required logistic support for the timely clearance of the empty container yard.
Stockpile of empty containers crossed 6,000 TEUs and reached 8,000 TEUs in mid-July, which prompted the CPA to serve notice upon the shipping agents and MLOs.
Director (traffic) of the CPA served notice on the shipping agents and MLOs on July 10 and later on July 14, urging them to remove the reefer containers within July 22 and dry containers within 30 July.
Container handling in the prime seaport during the Eid festival was, however, almost normal. But delivery of cargo was very slow.
Director (admin) of the CPA Zafar Alam said 3,000 TEUs (twenty-foot equivalent unit) of containers are delivered from the port daily on average.
But before and after the Eid-ul-Fitr, the delivery came down to 300 TEUs. The containerised cargo handling was normal as the port berths were operational on all days except the Eid day.
The port was completely closed only on July 18, the day of Eid festival. From the following day operational activities returned to normal. So there was no impact of leave on the containerized cargo handling.
On average, 5000 TEUs of containers are handled in a day. The port handled 5637 TEUs of containers on July 20 and 5001 TEUs of containers on July 21.
The MLOs said they send the empty containers to different countries by ships or to the inland container depots (ICD) for shipment of export cargo after the importers receive their cargo.
Contacted, Shahed Sarwar, executive director of the K Line Shipping, a leading MLO, said the CPA has rescheduled the date of removing empty reefer containers from the empty container yard twice following applications from the MLOs.
He said that the stockpile of empty containers in the port was caused due to heavy pressure from import and export in May and June ahead of the national budget and the Eid-ul-Fitr.
Now, as the export pressure has come down the number of empty containers has increased. "We are regularly removing empty containers, especially the reefer empty container but still it stands probably around 6,000 TEUs," he told this correspondent.
He, however, blamed the CPA and its terminal operator Saif Powertec for failing to provide adequate logistic support to remove the empty containers from the yard.
The CPA and its terminal operator Saif Powertec are also partially blamed for congestion of empty containers due to shortage of their equipments for handling empty containers, Mr Sarwar said.
The CPA charges US6.0 for storing every single empty container for the first seven days in the port yard, 12 Dollars for the next 12 days and 24 Dollars for each following day.
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