Cargo congestion at Bay
108 ships carrying 4.5m tonnes cargo stranded as port faces lighterage crisis; strict action if irregularities found, says shipping adviser
With Ramadan fast approaching, Bangladesh's supply chain for essential food items is coming under strain as a severe shortage of lighterage vessels has stalled cargo discharge at Chattogram Port's outer anchorage, raising fears of shortages and price hikes during the fasting month.
Port data show that as of 15 January, 108 cargo vessels were waiting at the outer anchorage and the Kutubdia channel, carrying more than 45 lakh tonnes of cargo. Of these, 17 vessels were loaded with around 12 lakh tonnes of Ramadan-related food items, including wheat, maize, soybean, chickpeas, lentils and edible oil. Another five vessels were carrying more than 2 lakh tonnes of sugar, while seven were loaded with fertiliser, and 25 carrying cement clinkers.
Under normal conditions, a 50,000-tonne mother vessel can complete discharge within seven to 10 days using lighterage vessels that shuttle cargo to river ports and terminals. But the current shortage has pushed waiting times to 20-30 days, with some ships unable to unload at all for days at a time.
Demand outstrips supply
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The impact is already visible. The Queen Trader, which arrived at Kutubdia on 8 January carrying 54,000 tonnes of wheat for Akij Flour Mill, RB Traders and Crown Traders, has managed to unload only 5,870 tonnes in the past five days – far below the normal daily rate of 7,000-8,000 tonnes. At this pace, port sources estimate, full discharge could take around 40 days.
The Water Transport Coordination Cell (WTCC) says demand for lighterage vessels is far outstripping supply. On 13 January, 104 lighterage vessels were required to serve 90 mother ships, but only about 50 could be allocated.
To prioritise food consignments, authorities have temporarily stopped allocating lighterage vessels to large companies that operate their own fleets. Even so, shortages persist. Ten government fertiliser vessels have been waiting for more than a week without any lighterage support, raising the risk of stock shortages at government warehouses and renewed pressure on the agricultural sector.
Port Authority monitoring situation
Shipping Adviser Brigadier General M Shakhawat Hossain said the authorities are aware of the crisis.
"The ministry and the port authorities are monitoring the situation. The Department of Shipping, the Chattogram Port Authority and other relevant agencies are working on the ground to locate the missing lighterage vessels. If any irregularities are found, strict action will be taken," he told The Business Standard.
Staggering daily demurrage
Traders and shipping agents warn that the delays could destabilise markets just as Ramadan-related demand peaks. Sarwar Hossain Sagar, president of the Bangladesh Ship Handling and Berth Operators Association, said unloading operations have slowed to a near standstill.
"A ship that should leave in 10 days is now waiting 25 to 30 days," he said. "Importers are paying $15,000 to $20,000 per ship per day in demurrage. When you multiply that across nearly 90 vessels, the cost becomes staggering."
Industry estimates put the combined daily demurrage bill at $1.6-2 million, a burden that importers say will inevitably be passed on to consumers through higher food prices.
"This is no longer just a port problem," said a major food importer, requesting anonymity. "Every extra day a ship waits offshore adds to our costs. Those costs ultimately hit the wholesale and retail markets."
Several factors
WTCC officials say the shortage is being driven by several overlapping factors. Dense fog in recent weeks has disrupted river navigation, while 631 lighterage vessels are currently stuck at 41 ghats across the country, including 51 vessels engaged in transporting government-imported fertiliser. Delays in fertiliser bagging, shortages of trucks and labour, and congestion at government warehouses have prevented these vessels from unloading and returning to service.
"Out of around 1,020 registered lighterage vessels, if more than 630 are stuck, a shortage is inevitable," said WTCC Convener Haji Shafi. "On top of that, another 200 to 300 vessels are away delivering cargo across the country."
He added that lighterage traffic has also increased on routes serving Mongla and Payra ports, as well as on Indian routes, further reducing availability for Chattogram.
Ship handlers blame mismanagement
Ship handlers, however, argue that mismanagement and rigid rules are making the situation worse. They allege that some lighterage vessels are being used as floating warehouses ahead of Ramadan and that allocation practices are too inflexible.
Khairul Alam Sujan, former director of the Bangladesh Shipping Agents' Association, said stricter monitoring is needed.
"Using lighterage vessels as warehouses must be stopped, and the shipping ministry should bring all stakeholders to the table. Otherwise, the country risks food shortages during Ramadan," he said.
Operators also criticised regulations that prevent the use of privately owned or factory-owned lighter vessels at the outer anchorage.
"There are many vessels owned by importers that are sitting idle," said Sarwar Hossain. "Emergency flexibility is needed so alternative vessels can be used for essential food cargo. That alone could significantly ease the congestion."
Ripple to be felt through entire economy
With Ramadan drawing closer, business leaders warn that any prolonged disruption at Chattogram could ripple through the entire economy, tightening supplies in wholesale markets and pushing up prices for basic food items.
Port users say the crisis has moved beyond routine congestion and now threatens national supply-chain stability, calling for urgent, coordinated intervention to clear the backlog and protect Ramadan supplies.
