Khalid Mahmud Chowdhury MP became the State Minister in the Ministry of Shipping on 6 January 2019 under the 11th Bangladesh National Parliament. One year later, the world economy was hit by the COVID-19 pandemic. The Ministry of Shipping has played its due role in keeping the shipping and economy of Bangladesh afloat even in that situation, with appropriate and far-reaching directions including keeping the seaports open. The State Minister for Shipping spoke to CPA News in detail about his work experience, challenges, possibilities and achievements of the shipping sector.
The role of the Ministry of Shipping as a ministry has always been important in our country. The Father of the Nation Bangabandhu Sheikh Mujibur Rahman himself ran the ministry for some time after the independence. Bangabandhu had far-reaching thoughts regarding the development of this sector. How would you evaluate Bangabandhu’s ideas and plans surrounding the shipping sector?
Khalid Mahmud Chowdhury MP: No one else could realise the potentials of this riverine country like the Father of the Nation Bangabandhu Sheikh Mujibur Rahman. His work holds the evidence of that. For a while after independence, he kept the Ministry of Shipping in his hand. He inspired the ministry’s diverse efforts and ideas.
Bangabandhu was the architect of our maritime vision. In 1974, he laid the foundation for future maritime Bangladesh by introducing the Territorial Waters and Maritime Zones Act. On that basis, under the able leadership of Honourable Prime Minister Sheikh Hasina, daughter of Bangabandhu, the maritime boundary dispute with Myanmar was settled in 2012 and with India in 2014. Through this, sovereign rights have been established in the water column, seabed, and subsoil of 118,813 square kilometres in the Bay of Bengal, which is equal to 81% of the mainland of Bangladesh. This achievement has opened up new possibilities to take Bangladesh’s economic growth to another level by exploiting the Blue Economy. We have been able to identify some areas of the Blue Economy. Initiatives have also been taken to identify the remaining potential areas and utilise them.
During Bangabandhu’s time, the journey of the Bangladesh Shipping Corporation started with 19 ships. Then, by going in the opposite direction, in 2010 the number of ships stood at 2. Under the leadership of Honourable Prime Minister Sheikh Hasina, the Bangladesh Shipping Corporation has turned the corner again. There was no deep seaport in Bangladesh. Now, a deep seaport is being constructed at Matarbari in Cox’s Bazar, which will cost Tk 17,777.16 crore. Payra port is already a reality today. Ships from different countries of the world are coming to Mongla port. The foundation of all this has been laid by the father of the nation Bangabandhu Sheikh Mujibur Rahman.
The shipping policy of the Ministry of Shipping is two decades old. Do you think it is time to formulate a new shipping policy to meet the challenges of the 21st century?
Khalid Mahmud Chowdhury MP: As a riverine and coastal country, we need to have a modern and up-to-date shipping policy. It is needed for freight and passenger transport, maritime tourism, and international commodity trade. Besides, the shipping sector of the country has been playing an important role in job creation and revenue generation. The maritime transport sector is one of the prime factors of the implementation of the Prime Minister’s goal of making Bangladesh a developed country by 2041. With that goal in mind, there has been talk of updating the national shipping policy. In this regard, a team will be formed and the shipping policy will be updated so that we can fulfill the new responsibilities assigned to us properly and efficiently.
As a member of the International Maritime Organisation (IMO), a UN specialised agency in the maritime field, Bangladesh has braced more than two dozen conventions. Compliance with these conventions is a matter of competence. What is Bangladesh’s policy in this regard?
Khalid Mahmud Chowdhury MP: Bangladesh is very sincere about strict adherence to international rules and regulations in the maritime sector. We have already supported 25 IMO conventions. Take, for example, the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW). According to the convention, accredited public and private institutions carry out the task of training and testing sailors and issuing certificates. The Department of Shipping is assessing whether these works are being carried out as per the convention and reports are being sent to the IMO from time to time. Another important certificate enacted by the IMO is the International Maritime Search and Rescue Convention. Bangladesh is the 97th country that signed the convention. As a result, there is now an opportunity to help a ship in case it is in danger in the waters of Bangladesh. Although we have been doing this work before, the signing of the convention has given it international recognition and improved the image of Bangladesh. As a result, the arrival of foreign ships in Bangladesh is being further encouraged. In 2018, we backed the International Convention on the Control of Harmful Anti-Fouling Systems on Ships, 2001 (AFS 2001) and the International Convention for the Control and Management of Ships on Ballast Water and Sediments, 2004 (BWM 2004). We are also trying to comply with these conventions by increasing our capacity.
The lion’s share of our industries is Dhaka-centric. Moreover, the capacity of Kamalapur Inland Container Depot (ICD) is not enough to cope with the current rate of import-export growth. Considering this issue, what is the government’s view on building more ICDs in Dhaka?
Khalid Mahmud Chowdhury MP: Our ultimate goal is to upgrade from a developing country to a developed country by 2041. To achieve that goal, import-export will be the main factor. According to the Perspective Plan 2041, it is necessary to achieve 9.9% growth by that time. This growth will be based on a 10% in imports and an 11% in exports. As most of the industries are in and around Dhaka, it is not possible to handle this pressure with only the help of Kamalapur ICD. That is why an initiative has been taken to build a new ICD on 160 acres of land at Dhirasram in Joydebpur near Dhaka. Bangladesh Railway will implement it and through it, the demands of the port will be met. This will increase the transport of goods by rail instead of truck and covered vans along the Dhaka-Chattogram corridor, which will be both cost-effective and safe. At the same time, it is also eco-friendly. A 6 km long rail link will also be constructed with the ICD with a capacity of 354,000 TEU containers to facilitate the transportation of goods.
ICDs are very much needed in Dhaka to increase the capacity of Chittagong port and we are closely monitoring the matter. If the need for more ICDs in Dhaka besides Dhirasram comes up in the survey, the Ministry of Shipping will take initiative in that regard, aside from the railways. However, we can use the experience of Kamalapur in ICD management. Railway and Chittagong port have been jointly operating Kamalapur ICD which was built in an area of the Bangladesh Railways.
Transportation of goods in Bangladesh is very much dependent on roads. However, there is ample opportunity to reduce road congestion by using inland waterways. What do you have to say about the government’s plan regarding this matter and its implementation?
Khalid Mahmud Chowdhury MP: The navigation problem is a major obstacle in the transportation of goods by inland waterways. Under the direction of Honourable Prime Minister Sheikh Hasina, we are placing special emphasis on increasing the navigability of inland waterways. As part of this, during this tenure of the government, we have taken the initiative to revive 10,000 km of waterways and we have already been able to restore about 2,000 km. In addition, through dredging, we want to upgrade some second class waterways to first class, third class waterways to second class, and some fourth class waterways to third class, so that the transportation of goods by waterways becomes smooth.
Since 2013, we have started transporting containers by inland waterways. Initially, the traders did not show much interest in the matter, but the reduction in tariffs has increased their interest. The construction of multiple ICTs in private enterprises, including the Pangaon Inland Container Terminal, has created a huge potential for increasing container transport by inland waterways.
Container transport by inland waterways is still Dhaka-centric. Are there any plans to transport containers to other places of the country including Ashuganj by small vessels?
Khalid Mahmud Chowdhury MP: If containers can be transported by inland waterways in all parts of the country, the pressure on the roads will be reduced a lot. For this, first of all, container terminals can be constructed in all the economic zones of the country. Not just in Ashuganj; there are opportunities to set up inland container terminals in other parts of the country like Rajshahi, Dhalar Char, Sirajganj, Jamalpur, Kurigram and this will be done in phases to facilitate container transport.
When do you want to start the activities of the Bay Terminal after its construction is complete?
Khalid Mahmud Chowdhury MP: The Bay Terminal is one of our priorities. The Honourable Prime Minister Sheikh Hasina has said that Bay Terminal will be established and we want to start its activities in 2024. The Bay Terminal will have three terminals. One of them will be done by Chittagong port, the other two terminals will be completed through foreign investment. Those with whom the agreement can be reached in the interest of the country will be given the task of constructing the remaining two terminals. A five-kilometre-long ‘breakwater’ will be constructed to protect the Bay Terminal from hostile weather and large sea waves. It will be about five times the circumference of Chittagong port and will be able to accommodate ships with a draft of 12 metres and a length of 280 metres. The Bay Terminal will manage the country’s growing container handling needs.
How optimistic are you about completing the construction of the Matarbari deep seaport on schedule?
Khalid Mahmud Chowdhury MP: Construction of deep seaport has started at Matarbari. The deep seaport is being constructed under the Chittagong Port Authority. Doubts were raised among many as to whether the work on the Matabari deep seaport would be completed on time due to the COVID-19 pandemic. But there is hope as Nippon Koei has the experience working in that area. This experience will be helpful for them and the work may not be affected by COVID-19. Moreover, the work is being done keeping in mind the issue of COVID-19. All in all, it is expected that the multipurpose terminal will be operational by June 2025.
The Matarbari deep seaport will be the commercial hub of the region. The 18-metre draft port will be able to accommodate ships with a capacity of 10,000 TEUs. This will make it more cost-effective for the traders. All in all, we will have no problem managing the amount of container and cargo handling that will be required to become a developed country by 2041.
What are your thoughts on the development of Mongla and Payra ports?
Khalid Mahmud Chowdhury MP: Mongla port has been operating as an international seaport since 1950. Although the port is in a good maritime installation due to its turnaround time, its capacity has not been fully utilised. Because of the vast potential and to relieve the load on Chittagong port, the decision to use Mongla port was made a long time ago. As part of this, the navigability of the outer bar of the Pashur river has been increased by dredging to accommodate ships with a 10-metre draft. At the same time, the management and operation of the port have been speeded up. As a result, the growth of cargo handling in the port is increasing at an enormous rate. Dredging of the inner bar is also started. Once this is done and the Padma bridge is opened, Mongla port will become much more attractive to the users.
The third seaport of the country, Payra, has been constructed at Patuakhali as part of the establishment of a modern and eco-friendly seaport to meet the growing import and export demands of the country. The government also has a comprehensive plan for this port. We want to develop Payra port as a world-class modern port by 2023. To that end, the 75 km long Rabnabad channel will be excavated within a year and a half. Through this, the depth of the inner and outer channel of 100-125 metres width will be ensured. Through these activities, Payra port will become a world-class port. Therefore, the economic activity of the whole southern region surrounding Payra port will accelerate.
The maritime sector is currently experiencing a huge demand for skilled manpower. This demand will increase in the future. Modern, up-to-date and higher maritime education is required to meet this demand. What is the government’s plan in this regard?
Khalid Mahmud Chowdhury MP: There is no alternative to creating skilled manpower in the maritime sector to exploit the huge job opportunities for the country’s sailors on sea-going ships. In order to make maritime education and training modern and up-to-date as well as to spread it further, four new marine academies have been set up in Pabna, Barishal, Rangpur, and Sylhet. On 6 May 2021, the Honourable Prime Minister inaugurated the newly constructed marine academies. In those academies, beside educating 400 cadets a year, mariners will be able to take training in different stages. Marine academies have been set up by the government as well as by private initiatives. Besides, Bangabandhu Sheikh Mujibur Rahman Maritime University was established by the government in 2013 with the aim of creating skilled human resources in this sector through higher maritime education.
Bangladesh Shipping Corporation (BSC) once played an important role in transporting various commodities including fuel, fertilisers, and food grains. But this state institution could not hold onto that role later. What are the Government’s plans to strengthen the BSC?
Khalid Mahmud Chowdhury MP: The Father of the Nation Bangabandhu Sheikh Mujibur Rahman established BSC on 5 February 1972 with far-reaching thoughts. Since the post-Bangabandhu governments did not take initiative to procure ships, BSC hasn’t made any progress. Bangladesh Shipping Corporation has turned the corner under the leadership of the Honourable Prime Minister Sheikh Hasina. The number of ships in the fleet is increasing. Six ships have already been added to the BSC fleet, funded by the Chinese government, are operating at sea. Work is underway to procure six more ships.
The Department of Shipping is one of the important departments under the Ministry of Shipping. The services provided by the department must be digital in the present global setting. What are your plans in this regard?
Khalid Mahmud Chowdhury MP: Most of the services of the Department of Shipping have already been digitised. Applications of sailors of seafaring and inland water ships for Certificate of Competency (COC) and Certificate of Proficiency (COP) are now being accepted online. At the same time, the information of processing the certificates is being conveyed to the applicants through mobile text messages. Arrangements have also been made to submit online applications for NOC on various types of applications including examinations of sailors, Safe Manning Certificate, Ship Surveyor Certificate and others. Sailors’ sign-on and sign-off activities have also been introduced online. Steps have also been taken to stop CDC fraud. To prevent counterfeiting, special security features have been introduced instead of handwritten CDCs.
The settlement of maritime boundary has opened the door to endless possibilities for the Blue Economy in Bangladesh. If we want to become a developed country by 2041, there is no alternative but to utilise these resources. What steps has the government taken to utilise marine resources?
Khalid Mahmud Chowdhury MP: Under the able leadership of the Honourable Prime Minister Sheikh Hasina, the settlement of maritime boundary disputes with Myanmar and India has resulted in Bangladesh gaining territorial waters in the Bay of Bengal which is about 81% of its mainland. In other words, the sovereignty of Bangladesh has been established in 118,813 square kilometres of the Bay of Bengal. Through this, the door has been opened to achieve economic growth by utilising marine resources. These sea resources will act as a supporting force in the economy of Bangladesh and work is already started towards that goal. The Blue Economy Cell, set up under the Ministry of Power, Energy and Mineral Resources is working on this. The Maritime Affairs Unit of the Ministry of Foreign Affairs is also working on the Blue Economy. We hope that with the joint efforts of all concerned, we will be able to make maximum use of the Blue Economy. Sustainable use of these resources will pave the way for us to become a developed country in 2041.
The whole world has been going through an unusual time since last year. Bangladesh is no exception. The seaports, especially Chittagong port, had to continue their normal activities even during this period. How has it been possible to keep the import-export trade active through the port even in adverse conditions?
Khalid Mahmud Chowdhury MP: The Chittagong Port Authority made preparations to deal with the situation before the outbreak of COVID-19 in Bangladesh. A COVID-19 alert was issued at the port in January 2020 to prevent the virus from spreading throughout the country from arrived ships. Special teams were also set up at the port hospital to care for sailors infected with COVID-19. Additionally, Chittagong Port Authority took steps to ensure the use of masks to prevent infection and kept the workplace germ-free. Through this, we have controlled the transmission of the virus in the port.
However, after the announcement of a general holiday, the releasing of containers from Chittagong port decreased. Because of this, the port yards were filled beyond their capacity. To handle the situation, a task force was formed which included stakeholders, the port authority, customs, users, police and private ICDs. The task force was empowered to take any necessary step to handle container congestion. It was also announced that if the containers are released from the port premises, there would be a discount on the fare. This increased the speed of releasing goods from May. Also, the workers have also taken turns to work during the general holidays to keep the port operational. Through these timely measures, it was possible to keep the normal activities of Chittagong port, i.e. import-export trade active in the face of adversity. Despite the pandemic, the Chittagong Port Authority was able to sustain growth in the 2019-20 fiscal year.
Thank you so much for taking the time to speak with CPA News.
Khalid Mahmud Chowdhury MP: Thank you, too.
