Fuel price fall: Container handling charges cut, decision on bus fares today 

Container handling charges at inland depots and bus fares on the Chattogram's Hathazari-New Market route have been cut slightly a day after the government reduced fuel oil prices by Tk5. 

In the meantime, the Bangladesh Road Transport Authority (BRTA) scheduled a meeting on Wednesday to adjust bus fares for Dhaka and the rest of the country. It is likely to decrease the fares by only Tk0.05 per kilometre from the existing fares of Tk2.20-2.50, officials familiar with the matter hinted. 

Apart from the three developments, the country did not see any other impact of the fuel oil price cut on Tuesday. 

With the realities, people from all walks of life – from commuters to farmers – expressed frustration saying that all the prices of essentials went up unprecedentedly with the sharp 51% surge in fuel prices early this month. But commodity prices and transportation costs did not drop in a similar fashion following the fuel price fall.

5% cut in container handling charges after 35% hike

The trade body of the depot owners, Bangladesh Inland Container Depots Association, has cut the handling charges by 3.5% for export and empty containers and 5% for import containers in line with the Tk5 decline in fuel prices.

The association on Tuesday issued two notices, signed by its Secretary-General Ruhul Amin Sikder, in this regard and said these would be effective from Wednesday.  

Earlier, with the oil price hike on 5 August, it raised the charges 25% for export containers, 35% for import containers, and 24% for vacant containers. 

When contacted, Ruhul Amin Sikder told The Business Standard that they have fulfilled their promise. 

"We promised freight forwarders and shipping agents that we would adjust container handling charges immediately with the fall of fuel oil prices. We have done it," he added. 

12.5% fare cut on Hathazari-New Market route 

Transport owners reduced the bus fare on only the Hathazari-New Market route of Chattogram by 12.5% on Tuesday after the reduction of oil prices. The fare dropped to Tk40 from Tk45 for the 22.5km journey.

Earlier, due to a hike in oil prices early this month, the fare was raised by Tk10. 

However, no development came for the remaining 18 routes of the port city, wherein about 1,200 buses and minibuses commute. 

"If the government issues directives to reduce the transport fares, we will take a decision on this matter," said Belayet Hossain, president of Chattogram Transport Owners Group.

Tk0.05% cut in countrywide bus fares likely

"We will sit tomorrow [Wednesday] to adjust the transportation fares. There might be a Tk0.05% reduction. This is my prediction based on the previous experience," a member of the BRTA committee for adjusting the fares told The Business Standard. 

He wished to remain unnamed as he is not authorised to talk to the media.  

"Previously, a Tk0.35 hike in fares for the city area was made for a 34% hike in diesel price. It was Tk0.040 for long-routes," the official added.  

Currently, Dhaka city buses charge passengers Tk2.50 per kilometre and long-haul ones Tk2.20 a kilometre. 

Immediately after the 5 August fuel price hike, bus owners became desperate to increase their fares, but after the oil price cut, they now remain silent.

When contacted, Khandaker Enayet Ullah, secretary general of the Bangladesh Road Transport Owners' Association, told TBS as the government decreases the fuel oil price, transport fares will also be decreased. "It was our commitment to the people."

Asked how much they will decrease, he said, the government decreased Tk5 per litre and the fare will be decreased accordingly. "The exact amount can be fixed with BRTA after assessing costs."

Our local correspondents also reported that bus owners in different parts of the country are waiting for a central decision. They are reluctant to reduce the fares on their own. 

What people say

"The bus fare has not been reduced yet following the oil price cut. If it decreases, it might be 4 or 5 paisa per kilometre, which would have almost no impact," a bus passenger Suraiya from Bogura said while talking to The Business Standard. 

Rafiqul Islam, a farmer of Dumuria upazila of the same district, said they could not plant Aman paddy due to lack of rain. 

"As the price of diesel is very high, I do not have the courage to irrigate water. Now, the price of oil has come down by Tk5. But, this is not exciting news for agriculture at all," he added.  

The events that are currently happening regarding the price of fuel oil are nothing but a joke with people, said Nasirul Islam who serves a drug maker in Dinajpur.

"The government increased the fuel price early this month irrationally, and prices of majority essentials increased as a result, but our salaries did not. Now, our backs are against the wall. After a huge increase, the Tk5 cut now means nothing to us," he added. 

"The fuel oil prices rose Tk34-46 per litre but dropped Tk5. Isn't it completely absurd?" asked Murad from Panchagarh. 

The oil price is supposed to be adjusted with the global market, but it does not happen, he said, adding that there is a syndicate that benefits from the price hike. 

Tank-lorry owners, fuel distributors in strike 

Meanwhile, the Bangladesh Tank-lorry Owners' Association and Bangladesh Fuel Distributors' Association started observing indefinite strikes in Khulna from Tuesday protesting the cut in their commission and demanding an increase of commission and tank lorry fare.

Bangladesh Tank-lorry Owners' Association General Secretary Farhad Hossain said this time the strike will be observed for an indefinite period.

"We will not go back to our work until our demands are met within a short period," he said.

Earlier on 7 August, Khulna Tank-lorry Owners' Association and Fuel Oil Distributors' Association stopped fuel oil supply in protest against not increasing commission and tank-lorry fare with the increased fuel oil price.

They withdrew their earlier strike after speaking to Khulna district Deputy Commissioner Md Moniruzzaman.