Bangladesh

Severe congestion at Ctg port delays vessels, container loading


However, due to the heavy congestion at the port, the vessel has been unable to dock for unloading and remains anchored at the outer anchorage as of Monday

12 August, 2024, 11:50 pm

Last modified: 13 August, 2024, 12:00 am

Container piled up at Chittagong Port on 12 August 2024. Photo: Mohammad Minhaj Uddin/TBS

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Container piled up at Chittagong Port on 12 August 2024. Photo: Mohammad Minhaj Uddin/TBS

  • Industry insiders blame the gridlock on the recent port shutdowns
  • Congestion at the port jetty has made it difficult to unload containers from vessels 
  • Delays in arrival of export containers from depots have further worsened the situation

 Chattogram port is facing severe congestion, leading to significant delays in container loading and extended waiting times for vessels. 

 Sol Promise, a Panama-flagged vessel, arrived at the outer anchorage of Chattogram port on 4 August, carrying imported goods from Colombo. 

 However, due to the heavy congestion at the port, the vessel has been unable to dock for unloading and remains anchored at the outer anchorage as of Monday (12 August).

This delay is expected to cost the shipping company at least $1.5 million in demurrage fees, as the vessel has been idle for the past eight days. 

The bottleneck is partly attributed to the recent closure of Chattogram port in two phases during the quota reform movement, which has caused a significant backlog. 

Just a month ago, vessels could typically berth at the port within a day of arrival at the outer anchorage, but now vessels have been waiting for over a week before being accommodated.

Industry insiders blame the gridlock on the recent port shutdowns, which have severely disrupted normal operations. 

Chittagong Port. Photo: Mohammad Minhaj Uddin/TBS

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Chittagong Port. Photo: Mohammad Minhaj Uddin/TBS

The congestion at the port jetty has made it difficult to unload containers from vessels on time, and delays in the arrival of export containers from depots have further exacerbated the situation. 

Previously, vessels could complete loading and unloading within 48 hours. But now this process is taking more than 96 hours.

Muntasir Rubayat, assistant vice president of GBX Logistics, the shipping agent for Sol Promise, told The Business Standard, “Since 19 July, congestion of both containers and vessels at Chattogram Port has been a persistent issue. Berthing for all vessels arriving at the port is now being handled on a case-by-case basis. It will take at least two more weeks for the situation to return to normal.”

As of 12 August, the Chattogram Port Authority’s berthing report indicates that 19 vessels are currently waiting at the outer anchorage – 13 of which are gearless, and six are geared. Among these, one gearless vessel has been waiting since 4 August, another since 5 August, and three more since 6 August. A geared vessel that arrived on 7 August is also awaiting berthing.

Despite some improvements in road traffic following the formation of an interim government, container congestion at Chattogram port has yet to subside. Container deliveries from the port remain below normal levels, with only 3,516 TEUs delivered on 12 August and 3,265 TEUs on 11 August. 

Currently, 43,941 TEUs are stored in the port’s yard, which has a storage capacity of 53,518 TEUs, but ideally requires a load of 30,000 to 32,000 TEUs for optimal operations.

Traders say political unrest, the absence of traffic police on roads, and the partial reopening of factories have contributed to a slowdown in container deliveries, with importers taking fewer deliveries. They estimate that it will take several more days for container deliveries to normalise.

Chattogram Port Secretary Omar Faruk said that while container congestion is gradually easing, it may take another seven to 10 days for operations to return to normal levels.

According to the Bangladesh Inland Container Depots Association (BICDA), as of 12 August, export-laden containers had reached over 15,000 TEUs, far exceeding the normal average of 8,000 TEUs over the past two years. 

However, the ongoing increase in export volume over the past week is straining the storage capacity of ICDs, which only stack export-laden containers three-high. On 6 August, the export-laden stock at all ICDs was 12,787 TEUs; yesterday, it stands at 15,142 TEUs.

Speaking to TBS, BICDA Secretary Ruhul Amin Shikder, said, “There is congestion of import goods in the port yard and congestion of export goods in the depots. Unless cargo loading on ships normalises, I don’t see the situation improving anytime soon.”   




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