Drop in global trade lowers Ctg port rank

An overall decline in the country's foreign trade last year for the pandemic brought the Chattogram port down nine places in the latest ranking of Lloyd's List "One Hundred Container Ports 2021" analysing annual container transport of 2020.

Though the port stayed open throughout the pandemic like its many international counterparts, the deterioration was inevitable as overall global container throughput declined in 2020.

Stakeholders and officials opined that this does not reflect the port's inefficiency or incapacity, rather it was only a tally of container traffic which was related to the badly-hit global economy.

The port ranked 67th among the world's 100 busiest ports.

This was contrary to the advances it made every year since 2014: 87th, 76th, 71th, 70th, 64th and 58th.  

The journal termed 2020 "arguably the most challenging year the industry has ever experienced".

"…2020 witnessed the first fall in combined throughput figures for the world's largest container ports since the impact of the 2008-2009 global financial crisis," it stated.

"First came the harsh reality of the pandemic-led recession and the subsequent volume crash, followed by congestion carnage as cargo traffic rebounded in the second half of the year, squeezing port capacity to its limit, with supply chains clogged the world over,"  it said.

Against the odds, some ports did report success stories over the 12 months but for the overwhelming majority, volumes flattered to deceive, it stated.

Chinese port Shanghai, with a throughput of 43.50 TEUs (twenty-foot equivalent units) in 2020 and having a 0.5 per cent year-on-year growth, maintained the top rank.

Four of the country's neighbouring ports are on the chart.

Among those, India's Jawaharlal Nehru Port slipped down six steps to secure 39th position.

But another Indian port, Mundra, made a significant advancement of 11 steps to 26th position.

The Sri Lankan port of Colombo maintained its 24th position for the third consecutive year while Pakistan's port of Karachi slipped down one step to 86th position.

Total volume of container transport in 2020 was just over 632.2 million TEUs (twenty-foot equivalent units), which is 0.7 per cent down from the previous year, according to Lloyd's List.

The Chattogram port handled 2,839,977 TEUs of containers in 2020, down by 8 per cent from 3,088,187 TEUs in the previous year, according to Lloyd's List as well as data from Chittagong Port Authority (CPA).

The journal stated, "Bangladesh's principal port reports a significant dip in traffic as the coronavirus outbreak hits its substantial trade of ready-made garments."

CPA Chairman Rear Admiral M Shahjahan said different large ports had remained closed for certain periods last year while vessels' waiting time also increased there due to lockdowns, decreasing inbound cargo to the country.

"Activities at the Chattogram port continued round the clock last year to keep foreign trade smooth and thus we handled over 28 lakh TEUs," he said.

The trade rebounded later and in terms of container throughput in fiscal 2020-21 the port registered an over 3 per cent growth, he said.

The port already handled over 2 million TEUs so far this year, he said, hoping for advancing in the rank in the current calendar year.

Of the total throughput figure of 2,839,977 TEUs at the Chattogram port in 2020, a large portion were empty. After being removed of imported goods, a huge number of empty containers are also shipped out every month.

According to Bangladesh Shipping Agents Association (BSAA), the port handled 1,247,586 TEUs of import-laden containers in 2020, 9 per cent down year-on-year from 1,377,295 TEUs in 2019.

On the other hand, the volume of export-laden containers came down to 630,637 TEUs in 2020, 8 per cent down from 685,728 TEUs in 2019, the BSAA data showed.

BSAA Senior Vice Chairman Syed Iqbal Ali Shimul said the country's imports dropped significantly last year by 9 per cent compared to that the previous year.

"It was because, a number of China based shipping lines that carry a portion of our imports from China withdraw their services," he said.

"They were more focused on services towards Europe and USA to meet the huge demand of imports in those countries following economic rebound there in the second half of the year," Shimul said.

Mahbubul Alam, president of the Chittagong Chamber of Commerce and Industry, said the country's business activities as well as foreign trade were badly hit last year, reflecting in the Lloyd's List.

Bangladesh Freight Forwarders Association Vice President Khairul Alam Sujan said the country's exports suffered a lot from April to June last year and this decreased annual container throughput.

The Chattogram port handles 98 per cent of the total container throughput in the country while the Mongla port handles the rest. Around 27 per cent of goods transported through the port is carried by containers.