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Ctg port restores serial system for lighter ships
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Ctg port restores serial system for lighter ships

Shipping costs decreased by 6%

TBS Report

04 November 2024, 20:15

Last modified: 04 November 2024, 20:22

Representative image. Photo: Mohammad Minhaj Uddin/TBS

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Representative image. Photo: Mohammad Minhaj Uddin/TBS

Representative image. Photo: Mohammad Minhaj Uddin/TBS

Bangladesh Water Transport Coordination Cell (BWTCC) has restarted the serial system for transportation of goods via lighter vessels from Chattogram Port to various maritime destinations across the country.

Thanks to the new system, importers can no longer choose their ships freely. Instead they must use the ship allocated in the serial order.

The new system was officially launched by Maritime Department director general Commodore Mohammad Maksud Alam today at Agrabad in Chattogram along with representatives of three important associations – Bangladesh Cargo Ship Owners Association, Coastal Ship Owners Association and Inland Ship Owners Association. Besides Chattogram, ship owners and local agencies also participated.

Along with the relaunch, BWTCC has finalized shipping rates for 37 destinations from the outer anchorage of Chattogram. The new rates reflect an average reduction of approximately 6% compared to previous rates, effective November 4.

Freight rate from outer anchorage of Chattogram to Dhaka, Narayanganj and Muktarpur (Munshiganj) has been reduced from Tk 574 to Tk 550 per tonne.

Barishal’s rate dropped from Tk580 to Tk551, Bhola’s rate dropped from Tk720 to Tk684 and Taltali’s rate in Barguna dropped from Tk1,035 to Tk984.

The serial system was inaugurated with the allocation of the lighter ship “Lily 7” for goods transportation from Kutubdia to Ashuganj.

Commodore Maksud Alam said, “‘The ‘Goods Transportation Policy 2024’ has been developed with the aim of maintaining order in cargo transportation through Chattogram Port. According to the policy, only light vessels belonging to industrial owners can operate outside the BWTCC series, others have to comply.”

He added: “Transportation of cargo in bulkheads is prohibited through Chattogram Port. Due to limited manpower, consistent enforcement of this rule has been difficult. Action will be taken if any violation is reported to the Ministry of Shipping.”

Sayeed Ahmed, President of Bangladesh Cargo Ship Owners Association, said that despite the challenges in the past, all stakeholders will work to ensure transparency and accountability in cargo transportation.

“The serial system does not imply a union,” he said, adding that the new system was implemented to maintain order in ship operations.

The absence of a serial system for a year resulted in lower shipping costs, but prices remained unchanged. He stated that this affected shipowners significantly, and some ships were even scrapped.

“The three associations agreed to reduce rates by an average of 6%, with some routes seeing reductions of 25-30%. From now on, shipowners will not face harassment, irregularities, favoritism or discrimination,” he also said.

Ministry of Maritime Affairs chief engineer and shipmaster Md Manjurul Kabir attended the event as a special guest.

Earlier, cargo transportation by light vessels was managed by the Water Transport Cell.

In 2022, the Supreme Court suspended the activities of the cell due to allegations of syndicate, irregularities and corruption, leading to the separation of the Inland Ship Owners Chattogram Association from the organisation.

Since 2023, the three associations independently manage ship allocation; Freight rates are negotiated between importers and shipowners, resulting in an average 20% reduction in rates.

Around 2,500 light vessels transport goods from the outer anchorage of Chattogram Port to 37 destinations across the country; 400 of these belong to industrial companies.