Exporters urge halt to ICD charge hike

Stakeholders today urged a halt in the implementation of increased charges by private inland container depots (ICDs) until the charges are fixed by a tariff committee of the shipping ministry.

They made the demand at a meeting organised by the Chittagong Port Authority (CPA) in the port city to discuss the issue following a shipping ministry directive.

The meeting, chaired by CPA Chairman Rear Admiral SM Moniruzzaman, ended without any decision as the ICD owners expressed strong opposition to such a demand, according to people connected with the event.

The CPA chairman stated that he would send all the opinions placed at today's meeting to the shipping ministry.

ICDs have implemented an increase in charges for handling export cargoes and empty containers by as much as 60 percent since September 1, triggering concerns among exporters, freight forwarders, and shipping lines who feared a sharp rise in the costs of the country's export trade due to the move.

Representatives of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Shipping Agents Association (BSAA), Bangladesh Freight Forwarders Association (BAFFA), Bangladesh Customs Agents Association, Bangladesh Inland Container Depots Association (BICDA), and Inter District Goods Transport Owners Association attended the meeting.

At the gathering, former Vice President of BAFFA Khairul Alam Suzan said the increase is illogical because BICDA's decision to hike charges is in defiance of the ICD policy, according to which tariffs need to be fixed by a tariff committee of the shipping ministry comprising members of all stakeholders.

BGMEA Director Rakibul Alam Chowdhury said they urged for halting the implementation of increased charges until discussions are held in the tariff committee.

BGMEA's former First Vice President SM Abu Tayyab informed that the CPA chairman today said the port authorities cannot make decisions on ICD activities, as the depots are under the control of the National Board of Revenue (NBR).

Tayyab said he argued for keeping the ICDs under the control of the CPA, as the depots were established as extended parts of the port.

The BICDA president claimed that the charge hike was long overdue, while ICDs' spending has skyrocketed due to higher US dollar rates.

BICDA leaders opposed the tariff committee decision, against which there is a pending case.