Trade bodies seek emergency support as floods disrupt Ctg Port operations
BGMEA, BKMEA, BTMA and Chittagong Chamber urge government to waive port charges, provide loan relief and form a high-level taskforce after floods disrupt imports and exports
Highlights
- Trade bodies seek emergency support for flood-hit Chattogram Port
- Floods disrupt imports, exports and supply chains
- Businesses demand compensation for damaged cargo
- Groups seek fee waivers and loan relief
- Faster customs clearance urged for essential goods
- Taskforce proposed to improve future resilience
Four of the country's leading business associations have jointly urged the government to announce an emergency financial and policy support package for industries and traders affected by flood-related disruptions at Chattogram Port.
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They warned that prolonged congestion and transport bottlenecks could severely impact exports, industrial production and supply chains.
In a joint letter sent today (12 July) to Shipping Minister Sheikh Rabiul Alam, the Bangladesh Garment Manufacturers and Exporters Association, Bangladesh Knitwear Manufacturers and Exporters Association, Bangladesh Textile Mills Association and the Chittagong Chamber of Commerce and Industry sought immediate government intervention to restore port operations and ease the financial burden on affected businesses.
The business leaders said the government's business-friendly policies and efforts to facilitate trade and investment have supported Bangladesh's economic growth, but the ongoing floods and heavy rainfall have disrupted operations at Chattogram Port and damaged road and rail connectivity, requiring urgent action.
According to the letter, flooding and waterlogging have disrupted cargo unloading, storage and transportation at the country's busiest seaport, putting imported cotton, yarn, fabrics, industrial raw materials, chemicals, packaging materials, food products and other moisture-sensitive goods at risk of damage.
At the same time, delays in exporting ready-made garments, home textiles, leather products, pharmaceuticals, agricultural goods and other manufactured products could lead to cancelled export orders, price discounts, late delivery penalties and costly air shipments, the organisations warned.
The trade bodies referred to continuous heavy rainfall since 5 July, which caused water to enter container yards at Chattogram Port and several private inland container depots, triggering complaints of damage to import and export cargo.
They also criticised a notice issued by the Chattogram Port Authority on 10 July, in which the port authority rejected any claims for compensation over cargo damage and declined to accept liability or accountability.
The associations said the unilateral decision and the language used in the notice had created widespread dissatisfaction among importers, exporters and other port users.
The organisations sought a temporary full or partial waiver of demurrage, detention, port rent, storage, shed, yard and related shipping charges for containers stranded due to flooding, along with suspension of new charges until normal operations resume.
They also requested the introduction of a fast-track customs clearance system for industrial raw materials, export cargo, food, medicines and other essential and perishable goods.
The business bodies proposed special low-interest refinancing and emergency working capital loans for affected industries, extension of loan repayment deadlines, loan rescheduling facilities and temporary regulatory relief from loan classification.
They also sought extensions to deadlines for letters of credit (LCs), back-to-back LCs, imports, exports, shipments and export proceeds repatriation.
In addition, the associations urged the government to allow more time for payment of electricity, gas, water and other utility bills, as well as taxes, VAT, customs duties, withholding tax and government fees, while waiving late payment interest, penalties and surcharges.
