Chittagong Port Faces Severe Disruption Amid Ongoing Strikes
Chittagong Port, Bangladesh’s primary trade gateway, is experiencing significant operational disruptions that threaten the nation’s economy. Handling approximately 92% of the country’s trade, the port’s stalled operations have far-reaching consequences, affecting factories, export orders, foreign exchange earnings, and ultimately consumers. Although limited operations resumed after a six-day strike, normalcy remains elusive as protests and administrative actions continue to create uncertainty.
The crisis originated on January 31 when the decision to lease the New Mooring Container Terminal (NCT) to Dubai-based operator DP World was announced. Workers claimed the decision was made without adequate consultation, leading to heightened tensions. An eight-hour daily work stoppage escalated into an indefinite strike, halting vessel movement entirely—a historic first for the port. Although operations were briefly suspended for two days, the resumption has been slow due to tidal schedules and the backlog of vessels waiting to dock.
Container Congestion and Shipping Delays Mount
The port is currently grappling with severe container congestion, with over 38,000 Twenty-foot Equivalent Units (TEUs) stacked in the yards. This includes more than 29,000 full container load (FCL) units directly tied to import-export trade. Export congestion is particularly acute, with around 1,000 TEUs of export containers trapped inside the port. Private inland container depots are also overwhelmed, holding between 13,000 and 14,000 export containers, while an additional 1,750 await transfer to the Kamalapur Inland Container Depot.
The outer anchorage of the port vividly illustrates the paralysis, with over 50 container ships and more than 100 bulk carriers waiting to dock. Daily arrivals complicate berth scheduling, leading to estimated demurrage costs of $15,000 to $20,000 per vessel per day. This situation has resulted in cumulative losses amounting to hundreds of crores of taka. The readymade garments sector is facing the most significant impact, with several feeder vessels departing without scheduled export containers, disrupting shipments to key markets in Europe and the United States. Industry experts warn that clearing the backlog of over 14,000 export containers could take two to two-and-a-half months, jeopardizing Bangladesh’s trade credibility and buyer confidence.
Business Concerns and Policy Tensions Escalate
Importers and exporters, particularly in the apparel sector, are urgently calling for intervention from the Ministry of Shipping to restore normal operations. The Bangladesh Garment Manufacturers and Exporters Association has emphasized that any disruption at Chittagong Port undermines supply chains and export flows. They caution that failure to meet lead times could lead to immediate financial losses and jeopardize future orders, affecting both export growth and foreign currency earnings.
The Dhaka Chamber of Commerce and Industry has reported that approximately 54,000 containers are stranded, with businesses incurring additional costs of Tk 10,000 to Tk 15,000 per container daily. Given that the port typically handles around 9,000 TEUs per day, prolonged disruptions could lead to order cancellations and increased prices in the domestic market. Ten leading business associations have described the port as the “heartbeat” of the economy, warning that even a single day of paralysis results in massive losses.
In a bid to resolve the crisis, the port authority has sought investigations into 15 employees linked to the protests and requested travel bans, further heightening tensions. The Chittagong Port Protection Council has announced an indefinite strike, extending to outer anchorage operations, demanding the cancellation of the NCT lease to DP World and the reinstatement of penalized employees. Analysts suggest that this standoff has transcended a labor dispute, posing a critical test for Bangladesh’s export capacity and international commercial reputation.
