Syndicates, labour leaders owning crores: shipping ministry has it all, says senior secy

The Shipping Ministry has everything, including syndicates and labour leaders owning significant amounts of money, Csaid, pledging support for the industry's private sector.

"Rescuing the state-owned Shipping Corporation is not the government's responsibility," he said at a seminar on Investment Potentials in the Ocean-Going Vessel Industry held in Dhaka today (12 October).

"Nothing is absent at the shipping ministry. They have large syndicates, and even labour leaders own hundreds of crores," he said at the event, organised by the Economic Reporters Forum (ERF).

"Providing it with various benefits or subsidies won't solve the problem. We'll soon take steps to amend the Bangladesh Flag Vessels (Protection) Act, 2019. If done quickly, there is enormous potential," the senior secretary said.

Yousuf noted that, unlike the ready-made garment sector, the shipping industry hasn't received the same level of support. "Many shipbuilding companies are struggling. We're actively working on solutions."

At the event, Azam J Chowdhury, chairman of the Bangladesh Ocean-Going Ship Owners' Association, said that while the flag protection law mandates government vessels to carry state cargo, no opportunities have been provided for private-sector sea-going ships.

He said, "I once went to the Ministry of Shipping and said I wanted to meet the minister on behalf of the private sector. The officials told me, 'There is only one minister for both government and private sectors.' I asked them, 'Then why is the minister protecting only the interests of government ships? Who will safeguard the interests of private ship owners?'"

In the main paper, Zaidi Sattar, chairman of the Policy Research Institute (PRI), said the country's shipbreaking and small-scale shipbuilding sectors have laid the foundation for larger ship construction.

"There are nearly $200 million worth of export orders. If these can be delivered properly, orders will increase further. For this, a banking system suited to the shipbuilding industry must be established, beyond conventional banking mechanisms," he said.

He added that the shipbuilding industry depends on international trade. "Global business is now positive. If we can leverage this, the shipbuilding industry could become a $2 billion sector."

Noting Bangladesh's transition from a least-developed country (LDC) to a developing nation, he said the focus must now shift to industries suitable for developing countries.

"Shipbuilding is an industry that can create a sustainable industrial system beyond the ready-made garment sector," he said.

The seminar was presided over by ERF president Doulot Akter Mala and moderated by the organisation's general secretary, Abul Kashem.