Export container backlog eases at ICDs
There has been a remarkable decline in the number of export-laden containers that were about to overwhelm private inland container depots (ICDs) early last month.
A good number of the export containers were shipped off from the Chattogram port in the last two weeks since Eid-ul-Azha after Chittagong Port Authority (CPA) took up several steps to clear the pile-up.
On the second week of July, the 19 private ICDs were packed with over 15,500 TEUs (twenty-foot equivalent units) of export-laden containers. They usually have to deal with anywhere between 5,000 TEUs to 7,000 TEUs at any moment.
According to Bangladesh Inland Container Depots Association (Bicda), the figure came down to 6,500 TEUs as of yesterday morning.
The CPA opened an extra jetty to run 11 in total, prioritised berthing of Colombo-bound vessels, permitted additional feeder vessels to ply on the Chattogram-Colombo route and increased booking of empty containers by shipping lines, said stakeholders.
However, Bicda Secretary Ruhul Amin Sikder said the situation improved primarily for a decrease in export cargoes from garment factories which had remained closed due to Eid holidays and the countrywide lockdown.
He said 1,800 TEUs to 2,000 TEUs of export containers could be sent on an average per day from the ICDs to the port over the past week, which eased the backlog remarkably.
As the garment factories have already opened, the flow of export cargoes will start increasing within a week or so, he said.
Echoing him, Bangladesh Freight Forwarders Association (BAFFA) Vice President Khairul Alam Sujan said the garment factories may start sending export cargoes after 8 to 10 days as most have enough orders and were now busy with production after the holidays.
He emphasised that the ICDs need to remain prepared, including having adequate space in their sheds and yards, to receive and properly handle the new export cargoes.
The BAFFA leader said the ICDs were currently facing an inflow pressure of import-laden containers which were being sent from the port to ease the ongoing acute container congestion there.
If the ICDs are forced to keep import containers in spaces designated for exports, the situation may worsen again when new export cargoes start arriving, he said.
The crisis started worsening gradually since early May as the ICDs were failing to timely send export containers to the port for shipment due to an acute global shortage of empty containers and delays in availing space in mother vessels at transhipment ports.
At the beginning of last month, most of the ICDs were overwhelmed since export cargoes were staying inside much longer than usual as freight forwarders concerned were failing to book the number of containers required.
It forced the ICDs to stop receiving additional export cargoes arriving from across the country, leading to long queues of vehicles carrying export cargoes in front of the ICDs.
No such queue was visible outside an ICD known as Esac Brothers near the Chattogram port yesterday afternoon.
A meeting between the CPA and stakeholders on July 12 for a solution decided that the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) leaders would hold meetings with international buyers' forums.
This was to convince the latter to refrain from nominating just one or two selective shipping lines and freight forwarders to avoid monopoly and avert cargo backlogs.
The meeting also decided for the BGMEA to pursue the buyers' forums to refrain from nominating any particular ICD for handling their cargoes, which puts pressure on a few ICDs and results in the backlog.
The CPA sent a letter to the BGMEA last week to take steps in this regard.
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