The port came to a near standstill as the foreign feeder vessels carrying around 80 per cent of goods to and from Bangladesh stopped operation for an indefinite period protesting a new rule for getting waiver certificates before loading and unloading of goods.

The shipping ministry informed the prime minister about the port situation, sources said.

Shipping Minister Akbar Hossain blamed the local ship owners for 'misleading' the people by claiming to have full capacity of carrying all inward-and outward-bound goods.

He said the local liners can meet only 25 per cent of container handling.

"If they have the full capacity, then they should immediately clear the piled-up containers," the minister said.

President of the Bangladesh Ocean Going Ship Owners Association (BOGSOA) Sayeed Hossain Chowdhury however claimed that the situation would become normal within a few weeks.

He said traders should not worry because a lot of other foreign operators and main line operators would come forward to carry goods from Bangladesh.

The BOGSOA in a letter to Prime Minister Khaleda Zia yesterday said the local liners can meet the demand if they are given three facilities. These are reintroduction of preferential berthing facility to local liners at the ports, making the cut-off time for container handling open and formation of a committee to take emergency steps to solve any problem.

Garments exporters fear their business would suffer heavily unless the Bangladesh Flag Vessel (Protection) Ordinance, 1982 is repealed.

The foreign feeder vessel operators under the umbrella of the Chittagong Feeder Trade Committee (CFTC) suspended operation following the government's decision to enforce the ordinance.

The ordinance stipulates all foreign vessel operators to get waiver certificates from the Principal Office of Mercantile Marine Department every time they go for loading or unloading goods.

"This ordinance should be cancelled or withdrawn immediately," said Quazi Moniruzzaman, president of the Bangladesh Garments Manufacturers and Exporters Association (BGMEA). "It would not only jeopardise the garments sector but other industries as well."

"If this situation continues, no buyer would come to Bangladesh," said Zinnat Ali Mian, second vice-president of the BGMEA.

"If my consignment is not shipped today, I will have to bring it back from the port and send it by air at an extra cost of Tk 18 lakh," said Tipu Munshi, managing director of Sepal Garments.

The BGMEA has called an emergency press conference today on the possible impact of the situation.

The BGMEA also plans a strong movement against the ordinance. It would urge the major chamber bodies including the Federation of Bangladesh Chambers of Commerce and Industry to lend it a hand.

A proposal to scrap the ordinance was put up at a cabinet meeting a few weeks ago only to be rejected.

The shipping ministry is scrutinising clauses of the ordinance for possible changes to end the stalemate.