Talks underway with DP World for Bay Terminal-2: Shipping Minister

Negotiations with UAE-based port operator DP World for the construction and operation of Bay Terminal-2 are ongoing, Shipping Minister Shaikh Rabiul Alam told the national parliament today (10 June), adding that Bay Terminal-3 will be implemented under the direct management of the Bangladesh government and the port authority.

The minister made the remarks while responding to a question raised by Shahajan Chowdhury MP elected from Chattogram-15 constituency. 

"Once operations begin at Patenga, Laldia, Bay Terminal-2, and Bay Terminal-3, Chattogram Port will be able to operate with the equal efficiency of Singapore and Colombo ports by 2029, fully resolving the port's overall congestion," the minister said.

He noted that Colombo and Singapore are primarily transshipment ports, where containers are transferred from large vessels to smaller ones without requiring customs inspection or clearance. Chattogram, being a feeder port, must complete customs checks and clearance procedures, which results in a longer turnaround time compared to transshipment ports.

The minister said that nearly 100% of containers arriving at and departing from Chattogram Port are linked to Bangladesh's import-export trade. However, the addition of modern equipment and improvements in port management have already reduced the average ship turnaround time, with further reductions expected.

He added that the Patenga Container Terminal has been operational since June 2024, bringing the average vessel waiting time down to virtually zero. While ships previously had to wait for extended periods in deep-sea anchorage, no vessel currently faces such delays.

In the 2024-25 fiscal year, the average ship turnaround time for container handling at Chattogram Port stood at 2.58 days. It has since come down to approximately 2.10 days. If all planned terminals become fully operational, the minister said this figure could be reduced to half a day by 2029.

The minister informed the parliament that the Patenga Container Terminal is currently being operated by a foreign operator, while the Laldia Terminal is being prepared for launch through development works. A memorandum of understanding has already been signed with a foreign firm for Bay Terminal operations, and discussions with DP World on Bay Terminal-2 are continuing. Bay Terminal-3, meanwhile, will be developed and managed by the government and the port authority.

"If we can bring all of Chattogram's potential container terminals into operation, they will be fully functional by 2029 and we will then be able to offer services as fast as Singapore and Colombo," the minister said.

He further expressed hope that the Bay Terminal would be operational by 2030, saying its launch would significantly expand Chattogram Port's container handling capacity, eliminate dependence on tidal conditions for mother vessels, and resolve the port's navigability challenges, ultimately ending congestion at the port altogether.