Since the spread of coronavirus and at its ongoing pandemic situation, trade across the world has been facing a drastic fall and causing economic activities to a halt. Bangladesh, which is not exception to this worldwide trouble, is facing a setback. Despite that few industrial units including export based companies are running business amid few difficulties. The smooth operation of Chittagong Port is being hampered at slow official procedure.
There is a long queue of arrived vessels in the port water area, stuck of containers in the jetties and slow handling which not only increasing business costs due to delay but also making trouble to the entrepreneurs. Though the government has taken measures of easing the situation, will it really work? And the importers as well as exporters will get a relief in smooth operation?
As per latest scenario a numbers of 2500 containers of imported Ramadan essentials have remained stuck at the port yard due to the slow delivery of goods amid the Covid-19 shutdown. It is happy to know for removing the containers the Chattogram Port Authority has sent letters to importers, and companies responsible for unloading goods, to take delivery of their goods imported for Ramadan.
But as the virus is spreading alarmingly will the port authority's such instruction come into effect. The authority in a letter said 57,500 tonnes of fresh fruits, 1,473 tonnes of onions, 475 tonnes of ginger, and 850 tonnes of garlic - in 2,500 containers - have remained stuck at the Chattogram Port yard till April 25. Along with instructions the CPA should monitor their official process in particular customs, banking and other government agencies' documentation process as documentation is the major concern of easing port activities.
Besides, the authority should strictly monitor it in order to keep the market stable during and after Ramadan. The CPA sent letters to the Chattogram Chamber of Commerce and Industries, Chattogram C&F Agents Association, Bangladesh Fresh Fruits Importers Association, and Bangladesh Fruit Traders Association to take effective measures for the speedy delivery of cargo containers. Though this is active measures, the port authority itself should instruct to its own people that they would provide round the clock better services.
Despite low business activities why such congestions are prevailing? Usually before the spread of COVID-19 an average of five thousand goods-laden containers were used to release from the country's premier seaport but the number has dropped to as low as two thousand at present. The long term holiday may hamper delivery but as containers' numbers is small and port activities are open, why is congestion prevailing?
Against such a backdrop, the business community is very apprehensive about a large disaster in trade and commerce, although the port authority has announced it would continue its activities relating to import-export, cargo handling and goods delivery. At the current situation the businesses are experiencing a hard time. The government should take urgent steps in easing the ports and it is time oriented demand by businessmen for exemption of charges that the businesses must bear if their containers are kept at port yards for more than four days.
Unless tangible measures are taken the situation will grow more complicated day by day and at present around 2,500 C&F agents in Chattogram are finding it hard to continue their operations.
From the analysis of data regarding the delivery of import containers from Chittagong Port, it is found that as many as 1,519 containers were released on the first day of the current month. The number of released containers was 2,765 on March 23.
The coronavirus spread though declined earnings from remittance, export and others, after overcoming the situation business will come into an as usual growth. By this time the government has decided to open export based factories on gradual process and all others at a certain time. It will increase economic activities and bring money flow in the product market and increase pressure on ports.
In parallel with easing lockdowns in the European countries Bangladesh's easing situation will get more business and there will be a rising pressure in the major port as sea borne trade will rise.
The slow trend of economy decreased the overall earning that fell by 6.24 per cent year on year between July and March period (the first nine months of the current fiscal year) to $28.97 billion. Our earning from the nine months of current fiscal is also 14.52 percent lower than the periodic target of $33.89 billion.
The earning between July and March of the fiscal 2018-19 was $30.90 billion only which is a drastic fall for the economy. The situation is likely to be overcome soon but it is inevitable to speed up port activities braving the pandemic situation as most of the major market for Bangladeshi products is opening their economy into normalcy. The World Bank projects that there will be a huge growth in the upcoming fiscal year in Bangladesh and once it happens we must be ready with our smooth port operations.
The writer is managing director of the Bridge Chemie and an expert in ceramic industry
