Govt approves buying 6 BSC vessels with China\\\'s money

The Cabinet Committee on Public Procurement Monday approved in principle the procurement of six vessels for Bangladesh Shipping Corporation (BSC) with funding from Chinese Exim Bank-one of a number of investment undertakings China pursuing.     
Officials said under the arrangement, three product carriers and as many bulk carriers will be bought at a cost of US$184.50 million to replete the emaciated fleet of the state-run shipping corporation.
To this effect, BSC last April signed a commercial deal with CMC (China National Machinery Import and Export Corporation).
The purchase committee at a meeting, with Finance Minister AMA Muhith in the chair, also approved another scheme--establishment of Tier IV National Data Centre--with Chinese assistance.
"The meeting also discussed three other issues but didn't give any decision," said one official about the proposals on hold.
Sources said to procure the vessels BSC signed a commercial contract with CMC without approval from the cabinet committee, Economic Relations Division (ERD), the National Board of Revenue, and the Ministry of Law.
When cabinet approval sought after the signing of the deal, the cabinet had asked the BSC to place the issue before it again with vetting from the trio.
Following this approval the ERD will now sign a financial deal with the Chinese Exim Bank for soft loan to fund the procurement.
The move to buy ships was taken to extend the BSC fleet. Presently, the corporation has 13 ships. Of them, one is container ship, 10 are product carriers and two are lighter tankers. A BSC official said the average age of the ships is 28 years, which need to be replaced very soon.
Established in 1972, the BSC is entrusted with the responsibility of carrying bulk cargo, food-grains and crude oil, chartering, tramping and feeder services, unloading and providing agency service and ship repairing.
Briefing newsmen after the meeting, joint secretary of the cabinet division Mustafizur Rahman said the approval now will allow signing a commercial deal with ZTE Holding Company Ltd and ZTE Corporation for setting up the Tier IV National Data Centre at Kaliakair in Gazipur district.
The project, involving US$8.0 million, will be used to hold and process large amounts of government data.
Mr Rahman said appointment of a Chinese company for digging four wells in Titas Gas field and handover of mills under the ministry of jute and textiles through the privatisation commission were also discussed but the committee reserved decision on the proposals.
    syful-islam@outlook.com