Trade

Port shutdown puts RMG exports on edge

Chattogram stalemate disrupts trade as garment makers warn of mounting losses

Written by The Banking Post


Operations at Chattogram Port remained paralysed for a third straight day on Monday, intensifying concerns over disruptions to Bangladesh’s import-export flows, particularly for the ready-made garment (RMG) sector.

The work stoppage, which began on January 31, has brought all cargo handling to a halt. Loading and unloading of containers and bulk cargo remain suspended, while dock workers, terminal staff and truck drivers have joined the strike in protest against plans to lease the New Mooring Container Terminal to Dubai-based DP World.

Industry leaders warned that the prolonged shutdown has pushed the time-sensitive RMG sector into a critical situation, threatening shipment schedules and exposing exporters to significant financial losses.

In a letter to the port authority chairman, the acting president of the garment manufacturers’ association urged immediate steps to restore normal operations, stressing that timely imports of raw materials and on-time shipment within buyers’ lead times are essential to avoid penalties and order cancellations. The letter said the ongoing uncertainty has already put current export orders at risk.

The association also called on the authorities to engage all stakeholders in dialogue to end the deadlock and ensure uninterrupted RMG-related trade.

Meanwhile, the Port Protection Movement Committee, which is leading the protest, announced a fresh 24-hour work stoppage from Tuesday to press for a halt to the leasing process. The group argues that handing over terminal operations to a foreign operator would undermine the interests of the port and its workforce.

At a press briefing, the committee’s coordinator said workers had stopped work across all port areas, including jetties and the outer anchorage, with no cargo movement or vehicle entry since January 31. He accused the administration of issuing punitive transfer orders instead of opening talks.

Tensions also spilled onto the streets of the port city, where police blocked a black-flag procession in support of the strike. Protesters later staged a sit-in and announced plans for a port blockade.

Garment industry representatives warned that the disruption could damage Bangladesh’s reputation in the global market at a time of intense competition. They said Chattogram Port is the main gateway for the sector, and any interruption to imports directly affects production and exports.

They also urged temporary relief from increased port charges, including demurrage and detention, arguing that the current paralysis could otherwise add to financial strain. Prolonged disruption, they cautioned, may lead to container congestion and force exporters to rely on costly air shipments.

Port operators echoed the concerns, saying efforts to engage workers have failed and administrative activities have stalled due to a pen-down strike, leaving port operations at a complete standstill.

Amid the unrest, the port authority has transferred 16 workers to inland container depots in Dhaka and Narayanganj.


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