Bangladesh ICDs, users agree on 20% tariff hike for 6 months

The decision will be effective soon, said Chittagong Port Authority (CPA) secretary Mohammad Omar Faruk.

The development followed CPA chairman Rear Admiral SM Moniruzzaman meeting garment and knitwear exporters and other stakeholders  to resolve the stalemate over tariff hikes by private ICDs, according to domestic media reports.

ICD operators last month threatened to suspend container handling from December 11, as users refused to pay the increased rate. ICDs later postponed the plan following a CPA assurance for resolution.

Bangladesh Inland Container Depot Association (BICDA) announced a hike in charges for handling export and empty containers by as much as 60 per cent in July last year, to be effective from September 1, citing rising operational and investment costs, currency devaluation and inflationary pressures.

Amid widespread opposition, the case went to High Court, which suspended the revised tariff. The shipping ministry later directed them not to impose any new charges without approval.

ALCHEMPro News Desk (DS)