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Outbound cargoes elude Pangaon ICT

Syful Islam | Thursday, 19 December 2013


No outbound cargoes reached the Pangaon Inland Container Terminal (ICT) since the debut vessel arrived there with 76 containers on December 10 from Chittagong port, sources said.
Prime Minister Sheikh Hasina formally inaugurated the country's first ever river ICT on November 7. Nearly one month after the inauguration of the ICT, a vessel namely MV Pangaon Success arrived at the port following hectic persuasion from the Prime Minister's Office and ministry of shipping (MoS).
Of the 76 containers, 20 were full of goods while the other 56 were empty. The empty containers were sent to Pangaon so that outbound freights could be uploaded.
The country's business circle, during the last couple of weeks, have been raising voice that they were failing to carry inbound and outbound goods due to the blockade and general strike.
They said, as a result, a significant volume of goods have become stockpiled at the warehouses as well as imported cargoes become stuck at the ports.     
But, none of them have sent cargoes to the Pangaon ICT for carrying goods to the Chittagong port despite the ministry of shipping and PMO's repeated persuasion.
Shipping minister Shajahan Khan will again visit Chittagong port on Friday to sit with the stakeholders so that the river ICT can be made operational.
Chittagong port Secretary Syed Farhaduddin Ahmed told the FE that presently some 800 rail bound containers were stuck at the port to reach Kamalapur inland container depot.
 "Since rail communication is facing disruption due to the blockade, these containers fail to reach Dhaka. But, none of the owners of these containers have shown interest to carry the goods through river routes to Pangaon," he said
Mr Ahmed said nearly 70 empty containers are ready in Pangaon to carry outbound goods. But, the exporters and freight forwarders were not showing interest to send goods there for reasons best known to them.
Bangladesh Freight Forwarders Association (BFFA) president Mahbubul Anam told the FE most of the new initiatives face hurdles at the initial stage.
 "Some procedural complications are still there which needs to be overcome to get adequate cargoes in the Pangaon ICT."
Mr Anam said the prevailing political situation is not conducive enough. Besides, transportation of goods in many cases depends on buyers' preference. The exporters cannot move cargoes on their own choice.
He said heightened 'movement security' of ships to and from Pangaon is also needed to pursue the buyers to use the river route.
Mr Anam said enlistment of freight forwarders in Pangaon is underway to send goods to and from the ICT. "We have already informed all buyers about starting operation of the port so that they mention Pangaon as export destination alongside others."
The Chittagong Port Authority (CPA) has procured three second hand container vessels to operate the Pangaon ICT. Two of them are already in operation while one is scheduled to reach Chittagong port by the end of the current month.
The river route is considered as the most suitable way for carrying goods which saves money. Each 20 TEU (twenty feet equivalent unit) container is being charged US$150 or Tk 11,500 which is much lower than the current transportation cost by road.
Vice President of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Shahidullah Azim told the FE Wednesday that still there were some procedural complications which discouraged exporters from using the Pangaon port.
 "If you want to use the port, you will have to carry goods from factory to Pangaon. Then stockpile those in godowns. Then again load the vessels and unload those at Chittagong port. Then load those in feeder vessels towards mother vessel. The process will cause more delays," he said.
Mr Azim said the exporters still prefer to use road communication as that is comparatively faster that river route.
He said making Pangaon operational with adequate cargoes will take some more time.