No NCT lease deal under interim govt as DP World seeks more time: Bida chief
The Dubai-based operator recently sent a letter requesting more time to review the draft concession agreement, says Chowdhury Ashik Bin Harun.
Highlights
- DP World deal on NCT unlikely before interim govt exits
- Port lease talks may spill over to next government after polls
- DP World seeks more time to review draft concession
- Bida says PPP Authority only a facilitator, not a partner
- Ctg Port strike disruption puts Tk3,000cr economy at risk
The lease agreement with Dubai-based global port operator DP World for the New Mooring Container Terminal at Chattogram Port is not going to happen during the tenure of the interim government, according to Chowdhury Ashik Bin Harun, the executive chairman of Bangladesh Investment Development Authority (Bida).
Speaking at a press briefing at the Foreign Service Academy in Dhaka today (8 February), he said DP World recently sent a letter to the Bangladesh side praising the progress of the ongoing negotiations. But it also requested more time to review the draft concession agreement, he added.
"As a result, in practical terms, the discussion may move beyond the tenure of this government and the upcoming election, and continue under the next government," Ashik said.
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He added that DP World has confirmed receipt of the draft concession agreement and informed the government that it will conduct a detailed review. "They have asked for some time. Realistically, there are not many working days left," he noted.
The Bida chief's comments come just a few days before the national election and amid protests by port workers demanding cancellation of the deal.
Clarifying confusion over the role of the Public-Private Partnership (PPP) Authority in the Chattogram Port project, Ashik said the authority is not a commercial partner but acts solely as a facilitator in the negotiation process.
Explaining the process, he said that in government-to-government (G2G) negotiations, a memorandum of understanding (MoU) is first signed between the two governments. This is followed by project-specific PPP discussions between the relevant government agency – in this case, the Chattogram Port Authority – and the nominated company from the partner country. The PPP Authority facilitates these discussions.
Ashik, who also chairs the PPP Authority, said DP World is a fully state-owned enterprise and that coordination is being carried out at every stage at the government level. He noted that discussions with DP World have been ongoing since 2019 and have recently reached their final stage.
According to him, negotiations over the NCT project entered their most intense and decisive phase over the past month, with close discussions held across various levels of the government.
"However, it is natural that finalising such a large concession agreement requires more time," he said.
Referring to DP World's letter, which expressed optimism that the talks would move forward "in the right direction", the Bida chief said the negotiations would not stop even if the agreement is not signed during the current government's term.
"The negotiations will continue. Most likely, the next government will take it forward after the election," he added.
Work abstention over the deal
The New Mooring Container Terminal at Chattogram Port is one of Bangladesh's most important and strategically significant port infrastructure projects. The issue of appointing a foreign operator for the terminal has long been at the centre of political and policy debates.
After six consecutive days of work abstention protesting the deal, workers and employees of Chattogram Port resumed work for two days on Friday (6 February) following a high-stakes meeting with Shipping Adviser Brig Gen (retd) M Shakhawat Hossain. However, labour coordinators announced that the strike would resume from today unless the government retreats from its plan to lease NCT to Dubai-based DP World.
The six-day continuous work stoppage led to container backlogs and vessel congestion. Business leaders say that this could lead to irreparable damage to the economy.
The disruption has already inflicted significant economic damage, according to business leaders, who estimate losses of at least Tk3,000 crore.
This morning, Chattogram Port Authority Chairman Rear Admiral SM Moniruzzaman has claimed that workers have joined work and port operations are running normally.
However, shipping agents, customs agents, berth operators and ship-handling operators say all activities at the port's terminals, including container loading and unloading from vessels and cargo delivery, remain suspended.
