CMA CGM, a global shipping giant, has officially withdrawn its ‘Port Cost Recovery Surcharge’ following the cancellation of licenses for seven of its ad-hoc vessels by the Chattogram Port Authority (CPA).
The France-based mainline operator (MLO) announced the decision in a letter to the CPA chairman on October 13, requesting the reinstatement of its suspended vessel licenses.
On October 7, CMA CGM had issued a notice announcing the imposition of the Port Cost Recovery Surcharge for container transport services to and from Bangladesh, including Chattogram port, effective from October 26.
The surcharge, which would have added between $45 to $305 per container, was introduced in response to a 41 percent increase in port tariffs implemented by the CPA.
The announcement sparked immediate controversy and criticism from trade bodies, who argued that such costs would further burden Bangladesh’s exporters amid an already challenging global market.
In retaliation, the CPA canceled the licenses of seven ad-hoc vessels operating between Chattogram and various transshipment ports, citing the surcharge as unjustified.
Enamul Hoque, head of operations (Bangladesh) of APL Bangladesh Pvt Ltd – a subsidiary of CMA CGM – confirmed the withdrawal of the surcharge in the letter and requested the restoration of the licenses of affected vessels.
The letter to the CPA referred to a letter from the director (Traffic) dated October 10, which stated the cancellation of the seven ad-hoc vessel licenses due to the surcharge.
CMA CGM requested the reinstatement of all seven ad-hoc vessel licenses to their previous status, following the withdrawal of the surcharge.
The seven affected vessels are: MV SMOOTH VENTURE (Geared), MV CMA CGM FUJI (Geared), MV AMALFI BAY (Gearless), MV SHIMANAMI BAY (Gearless), MV ST. MARY (Gearless), MV VIMC DIAMOND (Geared), and MV SANTA LOUKIA (Geared).
Of the seven vessels whose licenses were canceled, three ships arrived at Chattogram Port on October 14 and 15.
CMA CGM stated that cargo could not be unloaded from these vessels due to the license cancellations.
When contacted, CPA Secretary Md Omar Faruk confirmed receipt of the letter and the authenticity of CMA CGM’s decision to cancel the surcharge.
Repeated attempts to reach Enamul Hoque for further comment were unsuccessful.
MSC DENIES MOVE TO IMPOSE SURCHARGE
Under pressure from the CPA, global shipping giant Mediterranean Shipping Company Bangladesh Ltd (MSC) has withdrawn its plan to impose a port cost recovery surcharge.
On October 11, MSC had announced a port cost recovery charge ranging from $100 to $200, depending on container size and type, for all shipments from Bangladesh starting October 16.
However, just two days later, MSC clarified in a letter to CPA Chairman Rear Admiral SM Moniruzzaman that it would not collect any such surcharge.
The letter, signed by Borhan Uddin Ahmed, senior general manager of MSC Bangladesh, said, “It has come to our attention that some newspapers reported that MSC is going to recover a ‘Port Cost Recovery Surcharge’ at Chattogram.
“We would like to clarify and assure you that MSC Bangladesh is not going to implement any surcharge for our valuable clients in Bangladesh. We will continue our business as usual.”
Despite issuing the surcharge notice on its website and sharing it with various stakeholders, MSC maintains that no surcharge will be enforced, according to the letter sent to the port authority.
No MSC official spoke to the media on the matter, but sources told Times of Bangladesh that the Chattogram Port Authority denied imposing any surcharge, even after MSC reportedly pressured the authority to cancel certain ship licenses.
