The Chattogram Port Authority (CPA) has made a last-minute change to its plan for operating the Chattogram Container Terminal (CCT), extending the tenure of existing operator Saif Powertec Limited by three weeks despite having initiated a process to hand over operations to Chittagong Drydock Limited (CDDL), an entity under the Bangladesh Navy.
The extension came after the port authority had instructed Saif Powertec to remove its equipment from the terminal and settle outstanding employee dues. It had also approached CDDL to take over the terminal’s operations for six months under the Direct Procurement Method (DPM).
Meanwhile, three entities, including Bay Oceania C&T Limited, have submitted proposals to operate the terminal through joint ventures with CDDL. Their proposals and operational capabilities are now under review, although no final decision has been taken on appointing a new operator.
The sudden reversal has raised questions among port stakeholders about the decision-making process, particularly as the CPA had appeared to be preparing for a transition away from Saif Powertec.
On October 19, the CPA sent a letter to Saif Powertec’s managing director, instructing the company to remove all its equipment from CCT and clear outstanding salaries and allowances owed to its employees.
However, on October 25, the authority approached CDDL to assume responsibility for the terminal’s operations for six months through the DPM. The move followed a decision at a CPA board meeting on August 31. The port authority also sent the necessary documents for an Invitation for Tender (IFT), requesting CDDL to complete and submit them.
A meeting on tender evaluation and negotiations was subsequently scheduled for October 29. However, rather than proceeding with the proposed handover, the CPA decided to extend Saif Powertec’s operating tenure by another three weeks.
The extension was formally communicated to the company through a letter issued on November 1, just a day before its existing contract expired on November 2.
CPA says extension necessary to ensure uninterrupted operations
Syed Refayet Hamim, secretary of the Chattogram Port Authority, told The TIMES of Bangladesh that Saif Powertec’s contract expired on November 2 and its tenure was extended by three weeks to ensure uninterrupted terminal operations while the authority reviews proposals for appointing a successor operator.
He said the selection process was still under consideration and expressed hope that a final decision would be reached within the extended period.
Clarifying the status of CDDL and other interested companies, the CPA secretary said correspondence with different organisations and the examination of their proposals were part of the authority’s administrative and operational procedures.
No organisation could be considered officially appointed until the competent authority granted final approval and a formal agreement was signed, he added.
He also noted that discussions or decisions at the port board level should not be regarded as final until the required approval process had been completed.
Bay Oceania proposes joint venture with CDDL
Meanwhile, Bay Oceania C&T Limited has proposed forming a joint venture with CDDL to operate and manage Chittagong Container Terminal-1 (CCT-1) and CCT-2.
In an Expression of Interest (EOI) submitted to CDDL on October 10, the company proposed establishing a joint venture named ‘CDDL-Oceania-JV’ to undertake the overall operation and management of the two terminals.
The proposal, signed by Bay Oceania Managing Director Golam Hasnain and addressed to CDDL’s managing director, envisages an initial one-year operating agreement, with the possibility of renewal subject to satisfactory performance.
The company has also sought guidelines from CDDL on eligibility requirements, the scope of services, operational arrangements and the commercial framework needed to advance the proposed partnership.
According to CDDL, two other entities, in addition to Bay Oceania, have submitted proposals expressing interest in operating the terminals under the DPM arrangement. The proposals and operational capabilities of all three entities were being examined. No agreement had been signed, and no organisation had been formally selected to operate the terminals.
Saif Powertec has been involved in operating CCT for nearly two decades. Strategically located between the New Mooring Container Terminal (NCT) and the General Cargo Berth (GCB), the terminal is an important part of the port’s container-handling infrastructure.
CCT handled approximately 16 per cent of the Chittagong Port’s total container throughput in 2025. With two berths, it can accommodate two container vessels simultaneously.
The terminal currently employs more than 300 permanent workers and approximately 650 to 660 daily-wage workers under Saif Powertec’s management.
