Govt set to raise capacity of underused Mongla Port
Sunday, 20 February 2011
Syful Islam
A move is afoot to ensure better utilisation of Mongla Port in a bid to reduce congestion at Chittagong Port, sources at the Ministry of Shipping (MoS) have said.
Shipping secretary Abdul Mannan Howlader last week sought cooperation from the ministries concerned for increased use of Mongla's capacity by preparing it to unload 40 per cent of imported fertilisers and food grains.
According to the present policy, 60 per cent of imported food grains and fertilisers should be unloaded through Chittagong Port and 40 per cent through Mongla Port.
"The increased export and import is causing congestion to Chittagong port. On the other hand, capacity of Mongla port remains unused. As a result, the port is incurring huge losses," the shipping secretary wrote in a letter to his colleagues.
Mr Howlader requested the ministry of food and the ministry of industries to ensure unloading of imported food grains and fertilisers through Mongla port to utilise its capacity.
Statistics show that currently only 10 per cent capacity of Mongla Port and 40 per cent of Chittagong seaport are being utilised.
The Mongla Port handled loading-unloading of 1.64 million tonnes of goods through 190 ships in fiscal year 2009-10 against 1.13 million tonnes goods through 151 ships in 2008-09. During the last 10 years' period, the port handled highest 455 ships in FY 2004-05.
Abdus Salam Murshedy, president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), told the FE that there is a huge potential of Mongla Port once the industries are relocated to the nearest districts.
"If the government can offer gas, electricity and developed infrastructure, many industrialists are ready to relocate their establishments on the opposite side of Padma river and use Mongla port to avoid congestion at Chittagong port," he said.
He added that it takes more than 24 hours for a truck to reach Chittagong Port. In some cases, trucks remain stranded there even for 48 hours to unload goods.
Businesses will feel encouraged to relocate their factories after the Padma Bridge is constructed, he felt.
"This will also help reduce pressure on Chittagong seaport," he said adding some of the businessmen already have started relocating their factories.
Shahriar Alam, MP, a garment businessman-turned-politician, has already set up a sweater factory in Rajshahi with 250 labourers working there. He plans to employ 500 workers by June this year through expansion.
Mr Alam said: "First of all, gas and power have to be made available to help industrialisation of Rajshahi division. Industrialists will then feel encouraged to use Mongla Port since Chittagong Port is far from here."
He emphasised making the Ishwardi Export Processing Zone (EPZ) functional through supplying gas to raise use of Mongla Port's capacity.
Prime Minister Sheikh Hasina last year said Bangladesh plans to earn $10 million as royalty letting the neighbouring India, Nepal and Bhutan to use the Chittagong and Mongla ports.
She said the two ports would constitute a commercial hub of the region and Bangladesh would be economically benefited from those.
A move is afoot to ensure better utilisation of Mongla Port in a bid to reduce congestion at Chittagong Port, sources at the Ministry of Shipping (MoS) have said.
Shipping secretary Abdul Mannan Howlader last week sought cooperation from the ministries concerned for increased use of Mongla's capacity by preparing it to unload 40 per cent of imported fertilisers and food grains.
According to the present policy, 60 per cent of imported food grains and fertilisers should be unloaded through Chittagong Port and 40 per cent through Mongla Port.
"The increased export and import is causing congestion to Chittagong port. On the other hand, capacity of Mongla port remains unused. As a result, the port is incurring huge losses," the shipping secretary wrote in a letter to his colleagues.
Mr Howlader requested the ministry of food and the ministry of industries to ensure unloading of imported food grains and fertilisers through Mongla port to utilise its capacity.
Statistics show that currently only 10 per cent capacity of Mongla Port and 40 per cent of Chittagong seaport are being utilised.
The Mongla Port handled loading-unloading of 1.64 million tonnes of goods through 190 ships in fiscal year 2009-10 against 1.13 million tonnes goods through 151 ships in 2008-09. During the last 10 years' period, the port handled highest 455 ships in FY 2004-05.
Abdus Salam Murshedy, president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), told the FE that there is a huge potential of Mongla Port once the industries are relocated to the nearest districts.
"If the government can offer gas, electricity and developed infrastructure, many industrialists are ready to relocate their establishments on the opposite side of Padma river and use Mongla port to avoid congestion at Chittagong port," he said.
He added that it takes more than 24 hours for a truck to reach Chittagong Port. In some cases, trucks remain stranded there even for 48 hours to unload goods.
Businesses will feel encouraged to relocate their factories after the Padma Bridge is constructed, he felt.
"This will also help reduce pressure on Chittagong seaport," he said adding some of the businessmen already have started relocating their factories.
Shahriar Alam, MP, a garment businessman-turned-politician, has already set up a sweater factory in Rajshahi with 250 labourers working there. He plans to employ 500 workers by June this year through expansion.
Mr Alam said: "First of all, gas and power have to be made available to help industrialisation of Rajshahi division. Industrialists will then feel encouraged to use Mongla Port since Chittagong Port is far from here."
He emphasised making the Ishwardi Export Processing Zone (EPZ) functional through supplying gas to raise use of Mongla Port's capacity.
Prime Minister Sheikh Hasina last year said Bangladesh plans to earn $10 million as royalty letting the neighbouring India, Nepal and Bhutan to use the Chittagong and Mongla ports.
She said the two ports would constitute a commercial hub of the region and Bangladesh would be economically benefited from those.