Shipping companies at Chattogram Port have incurred losses of at least Tk14 crore in the week of recent disruption of operations caused by unrest centring the quota reform movement, industry insiders have estimated.
The losses stemmed from various factors including vessel charter hiring fees, empty container charges, and idle import/export containers at depots.
Shipping companies argued that if they were to incur fines at transshipment ports due to delayed berthing, their overall losses would increase substantially. In response, the Ministry of Shipping has waived the store rent on containers unloaded at the port from 16 July to 15 August.
However, the Bangladesh Shipping Agents’ Association is calling for a broader waiver of port charges, berthing charges, empty container charges, and import/export container fees at depots.
On Wednesday, Bangladesh Shipping Agents’ Association Chairman Syed Mohammad Arif sent a letter to the Chattogram Port Authority and relevant institutions detailing the financial impact on shipping companies due to the ongoing crisis.
The shipping agent association says due to disruption MLO/feeder/bulk-breakbulk agents have been facing problems in handling Vessels and performing all types of activities of shipping business since 18 July. The stay time of vessels at berth and outer anchorage including turnaround time has prolonged.
Daily charter hire or operating expenditure of a mid-sized vessel is not less than $20,000 and vessel operators have already incurred a huge amount of demurrage for prolonged stay of vessels at berth and outer anchorage resulting in turnaround time of vessel has been extended.
The shipping agent association chairman told TBS that due to the ongoing crisis, all ships arriving at the port now have to stay two to three days longer than usual. The demurrage costs will be borne by the shipping agents, he said.
“Additionally, the extended stay results in extra charges for various duties, including port, pilot, and berthing fees. But, the shipping companies are not responsible for this crisis,” the shipping agent association chairman said.
The association has assessed the damage to the shipping sector and reported it to the relevant authorities. There is hope that port dues for the shipping sector will be waived, similar to the store rent waiver already granted by the port, Arif added.
Chattogram Port Authority Secretary Md Omar Faruk said any charge waiver of the port is the jurisdiction of the shipping ministry.
Shipping industry officials also say the internet blackout and shutdown of railways have caused a severe disaster in the shipping trade.
The imposition of a curfew and the lack of online connectivity to the port-customs server have halted the clearance and customs processes at the port, they say.
Communications between local shipping agents and their foreign principal companies could not be possible during the internet outage, say the officials.
TBS
