Proposed tariff hike at Ctg Port: Meeting ends without decision as stakeholders oppose
However, all parties have agreed that tariffs should not rise by more than 10%.
A meeting between the Chittagong Port Authority (CPA) and trade stakeholders over proposed new tariffs ended on Monday (25 August) without any decision amid opposition from the stakeholders.
Another round of discussions has been scheduled for 5 September.
The meeting, held at 4pm at the Ministry of Shipping in Dhaka and chaired by Shipping Adviser Sakhawat Hossain, was attended by representatives from nearly 20 trade bodies, including BGMEA, BKMEA, the Shipping Agents' Association, C&F Agents' Association, and Freight Forwarders' Association.
Keep updated, follow The Business Standard's Google news channel
Most stakeholders opposed the move to raise multiple tariffs at once, warning that such a decision could hurt the country's export competitiveness.
Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said, "If tariffs are raised excessively, it will negatively impact exports. The port is a service-oriented organisation, not a profit-making one, though it already generates handsome profit. If there must be an increase, it should not exceed 10% on average."
Ruhul Amin Sikder, secretary general of the Bangladesh Inland Container Depots Association (BICDA), said the ministry did not directly comment on the tariff hike but instead suggested solving operational problems at the port.
"There should be urgent steps to resolve issues with delivery of import containers from outside the port and with container scanning. A separate meeting with the National Board of Revenue, the shipping ministry, and other stakeholders will be held on these issues," he said.
Syed Mohammad Arif, chairman of the Bangladesh Shipping Agents' Association, echoed concerns, saying, "No decision was made today, but all parties agreed that tariffs should not rise by more than 10%. Business cannot move forward by putting exporters at risk.
"Costs are already up due to the stronger dollar. If tariffs rise further, businesses will face new losses."
If implemented, the proposed tariff structure would increase port revenue by an average of 41%. Since all charges are fixed in US dollars, the depreciation of the taka would automatically push up costs further.
Under the proposal, the average tariff per 20-foot container, currently Tk11,849, would increase by Tk5,720 for imports and Tk3,045 for exports, taking the average total to Tk16,243 per container.
The upcoming 5 September meeting is expected to be crucial in determining whether the new tariffs will be enforced.
