Amid
the turmoil sparked by the quota reform movement, the disruption of internet
and transportation systems has paralyzed import-export activities at
Bangladesh’s main seaport, Chattogram. During this period, traders could not
clear their goods from the port. Following a five-day standstill, port
authorities resumed full operations last Wednesday. However, complications
regarding demurrage fees are now prolonging the clearance process.
Despite
government hints at waiving demurrage fees, no official notice or order has
been issued. Traders report that they are required to submit separate
applications for each consignment. This increases the complexity of the waiver
process and raises concerns about additional demurrage fees.
Typically,
importers must clear goods within four days of unloading containers from ships.
Failing to do so incurs additional charges (demurrage fees). The port authority
charges importers USD 6 per day for the first seven days, USD 12 per day for
the next eleven days, and USD 24 per day thereafter.
Due
to the recent crisis concerning students’ quota reform protests, traders could
not clear goods for several days. This resulted in demurrage fees on imported
items. In response to traders' demands, the government hinted at considering
waivers for these charges.
On
Thursday, Minister of State for Shipping, Khalid Mahmud Chowdhury, suggested
that the government might waive demurrage fees for affected traders, stating,
“Many importers couldn’t clear their goods due to the ongoing situation, facing
charges as a result. During the pandemic, Chattogram Port waived over BDT 5
billion. The port was established not just for business but to serve the
country’s economy. There’s no need to worry. We will support those who provide
proper documentation.”
However,
despite these assurances, no official notice or directive has been issued. As a
result traders have to file individual applications for fee waivers, which they
say adds to the complexity.
Mohammad
Hatem, Executive President of the Bangladesh Knitwear Manufacturers and
Exporters Association (BKMEA), commented, “They (the government) are waiting
for our applications. They will review and approve each one individually. This
means it will take longer to clear our goods. Processing each application will
take a lot of time, impacting our production.”
Mohammad
Hatem added, “I have eight containers stuck. The clearing and forwarding
(C&F) agent told me that if I don’t clear them today, I’ll face demurrage
charges again tomorrow. The port or the ministry can’t waive container
demurrage fees; that’s up to the shipping companies.”
Questioning
the relevant ministry, Mohammad Hatem said, “Given the circumstances, why
hasn’t the government issued an order or notification stating that port
demurrage fees will not be considered during this period.”
Omar Faruk, Secretary of Chattogram Port, stated that no decision has been made yet. If the government issues any directives based on traders’ applications, they will be implemented immediately.