Business

Ctg port congestion turns acute

Port authority plans vessel cap but shipping agents oppose
As of yesterday morning, some 41,128 TEUs (twenty-foot equivalent units) of containers were occupying around 77 percent of the port’s total storage capacity for 53,518 TEUs, according to the CPA traffic department. PHOTO: RAJIB RAIHAN

Chattogram port has been experiencing severe berth congestion and high container yard density for weeks, leaving vessels stranded at the outer anchorage for up to 11 days and yard occupancy crossing well above the optimal level.

Shipping agents blame a series of disruptions for the current crisis, including the 10-day Eid-ul-Azha holidays, a nationwide shutdown by revenue officials, weeks of customs server disruption, and repeated work abstention by prime mover operators.

They also pointed to operational issues such as frequent breakdowns of gantry cranes, a shortage of trailers, and limited yard space, all of which are reducing vessel productivity and delaying turnaround times.

However, the Chittagong Port Authority (CPA) points the finger at a higher number of container vessels allowed to call at the port compared with earlier in the year. The CPA is now considering a reduction in that number.

The proposal has met with opposition from shipping agents, who argue that cutting the current number of permitted vessels, 118, by at least 15 would hurt the country's foreign trade.

As of yesterday, 21 vessels were waiting at the outer anchorage, most of them idling between 4 and 11 days. Earlier this year, the average wait was just 1 to 2 days, with no more than 8 vessels waiting at a time.

As of yesterday morning, some 41,128 TEUs (twenty-foot equivalent units) of containers were occupying around 77 percent of the port's total storage capacity of 53,518 TEUs, according to the CPA traffic department.

Of this, 33,966 TEUs were import boxes clogging the yards designated for imports, occupying over 77 percent of their capacity.

This level of yard congestion is extending vessels' stay at jetties and creating long queues at the anchorage.

Berth operators say yard occupancy should be kept below 60 percent for efficient container handling and smooth port operations.

On July 20, the CPA met with leaders of the Bangladesh Shipping Agents Association (BSAA) and decided to cut the number of permitted vessels by at least 15. It asked the association to submit a list of those vessels by July 27 to a six-member committee overseeing the matter.

After the association failed to comply, the CPA sent a letter to the BSAA chairman on Tuesday, requesting that the list be submitted within 24 hours.

Speaking on condition of anonymity, a senior CPA official said 96 vessels were authorised earlier this year, when waiting times were minimal and queues were short.

"But later, more vessels were approved on an ad-hoc basis for various reasons, raising the number to 118," the official said, adding that the increase has worsened the backlog and prolonged anchorage delays.

In a recent letter to the CPA chairman, BSAA Chairman Syed Mohammed Arif called for a one-month observation period before the vessel restriction is imposed.

"An immediate restriction could adversely affect import-export trade, eventually impacting end-users," he mentioned in the letter.

He urged the port authority to arrange pre-stacking facilities at the Chittagong Container Terminal and the New Mooring Container Terminal for export containers, which he believes would improve loading productivity and help avoid delayed or cancelled sailings.

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