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The Financial Express

Export cargo backlog in Chattogram eases slightly

| Updated: July 19, 2021 10:05:45


File photo used for representational purpose. (Collected) File photo used for representational purpose. (Collected)

The export cargo backlog at 17 inland container depots in Chattogram eased to some extent on Friday as five Colombo-bound vessels carried a large number of export-laden containers on the day.

But the cancellation of a key certification power for three depots may worsen the situation again, sources said. The certification is called verified gross mass (VGM).

Shipping regulator--Department of Shipping (DoS)--had cancelled power of providing VGM for BM Container Depot, Nemson Container and Eastern Logistics on Thursday.

Due to losing of certification authority by depots, no vessel will carry their stuffed containers.

The shipping regulator has cancelled the issuance of VGM power as the depots have violated some local and international norms.

BICDA sources said the depots had given an undertaking for their non-compliance and sought time up to July 31.

As of Friday, 15,556 TEUs (20-foot equivalent units) remained stockpiled at the depots, down by 935 TEUs than Thursday.

BICDA sources said the backlog eased slightly on Friday as five Colombo-bound vessels carried a large number of export-laden containers.

They also said five more vessels will carry more containers on the Ctg-Colombo route. "We expect that the situation will improve shortly," said Md. Ruhul Amin Sikder, secretary general at BICDA.

As usual, the export backlog at the depots remains at around 6,000 TEUs, according to Bangladesh Inland Container Depots Association (BICDA), a group of 19 off-docks in Chattogram.

Exporters said they now need average 10-15 days more for shipment of their goods due to the crisis.

As of Friday, a total of 29,311 TEUs empty containers, including 9,544 TEUs 40-foot, remained stockpiled at 17 depots.

Shipping executives believe that lack of pre-assigned feeder vessels in Ctg Port has caused the backlog.

There are a total of 19 off-docks in Chattogram. Of them, 17 are in operation which handle cent per cent of Bangladesh's exports and 25 per cent of imports. They have an aggregate storing capacity of 77,700 TEUs.

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