Bangladesh explores transhipment potential at Indian east coast ports
Indian side demonstrated the benefits for Bangladeshi exporters and importers in using Indian ports over existing transhipment ports like Colombo, Singapore, and Port Klang.
A 13-member delegation from Bangladesh visited India from 9th to 12th July 2024, to assess the possibilities of transhipment of Exim cargo of Bangladesh through Indian ports located on the east coast.
The delegation, led by joint secretary, Ministry of Shipping, Bangladesh S M Mostafa Kamal, comprises representatives from other key ministries and ports of Bangladesh. The delegation’s visit to ports in Chennai, Krishnapatnam, Vishakhapatnam, Kolkata and Haldia - is in line with agreed India-Bangladesh Shipping Secretaries Level Talks (SSLT) held in Dhaka in December last year.
Agenda no. 6 in the agreed minutes of SSLT was moved by the Indian side to facilitate the Exim cargo of Bangladesh through Indian ports on the east coast using the Coastal Shipping Agreement and Protocol on Inland Water Transit and Trade (PIWTT) Agreement between India and Bangladesh.
The objective of the Bangladeshi delegation’s visit is to gain first-hand knowledge of technical feasibility, commercial viability and infrastructure facilities at Indian ports to assess their potential for the transhipment of Bangladeshi cargo. Officials from the Inland Waterways Authority of India (IWAI), Ministry of Ports and Shipping & Waterways, Director General of Shipping and Central Board of Indirect Taxes and Customs accompanied the visiting delegation.
The delegation had a discussion with Chairmen of various Indian ports on the east coast viz. Chennai Port Authority, Krishnapatnam Port, Vishakhapatnam Port Authority, Kolkata Dock under Syama Prasad Mookerjee Port and Haldia Dock Complex.
The delegation discussed the possibility of starting river cruise services between Dhaka and Vishakhapatnam. Director (Traffic), IWAI, A K Bansal informed the delegates that cruise service already exists on the IBP route & it can further be extended on coastal routes from Bangladesh to Vishakhapatnam and other ports on the East Coast as the MoU and Protocol to the MOU for passengers and cruise on Protocol and IBP route already exists.
The probability of returning cargo from Bangladesh to Haldia/Kolkata using inland vessels on the IBP route was also discussed during the delegation’s visit to IWAI Multi-Modal Terminal at Haldia in West Bengal.
The Bangladeshi delegation identified several bottlenecks in Exim trade using Indian ports. In response, the Indian side agreed to provide comprehensive data analysis and comparisons, demonstrating the benefits for Bangladeshi exporters and importers in using Indian ports over existing transhipment ports like Colombo, Singapore, and Port Klang.
The delegation requested comparative reports on cost, time, cargo, and facilities for Exim trade from Indian East Coast ports versus Colombo, Singapore, Port Klang, Chittagong, Mongla, and Pyra. The Indian side requested details on commodity profiles and destination ports to facilitate the move.
The head of the Bangladeshi delegation assured that a stakeholders meeting would be held in Dhaka to review the data, analysis, and comparisons from India. A report will be submitted to the Ministry of Shipping, Bangladesh, and communicated to India through diplomatic channels.
