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Dispute over lighter vessel committee raises fears of renewed chaos on waterways

DG Shipping objects to formation of ad hoc committee without official approval; ship owners also challenge subsequent supervisory sub-committee

Dispute over lighter vessel committee raises fears of renewed chaos on waterways
File photo: Zakir Hossain/TIMES
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A fresh dispute has erupted over the management and scheduling of lighter vessels transporting cargo from mother vessels at Chattogram Port’s outer anchorage to 34 inland waterways across the country, raising fears of renewed disruption in the waterborne freight transport sector.

The controversy centres on the formation of committees for the Bangladesh Water Transport Coordination Cell (BWTCC), with the Department of Shipping and different ship owners’ associations taking opposing positions over their authority, composition and representation.

On 8 November, an ad hoc committee for the BWTCC was formed at the Chittagong Chamber of Commerce and Industry without prior consultation with or approval from the Director General (DG) of the Department of Shipping.

The move prompted strong objections from Commodore Md Shafiul Bari, the department’s director general, who maintained that the government policy gives the department the sole authority to constitute the relevant committees.

Two days later, on 10 November, the Department of Shipping formed a seven-member supervisory sub-committee under Section 6.3 of the Cargo Transport Policy 2024 to oversee the BWTCC’s daily operations.

However, the subsequent move also triggered objections from ship owners, with Bangladesh Cargo Vessel Owners Association (BCVOA) President Gazi Belayet Hossain Mithu alleging that the committee favours a particular group.

Lighter vessels play a crucial role in transporting imported industrial raw materials, food grains and other commodities from mother vessels at the port’s outer anchorage to different destinations through the country’s inland waterways.

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The BWTCC coordinates vessel scheduling, cargo allocation and related operational activities to ensure the smooth movement of goods.

The Water Transport Cell (WTC) was originally established in 2003 to bring discipline to cargo transportation, bringing together the BCVOA, Coastal Ship Owners Association of Bangladesh (COAB) and Inland Vessel Owners Association of Chittagong (IVOAC).

Following disagreements among the ship owners’ associations, WTC was dissolved in October 2024. Subsequently, through the intervention of the Department of Shipping, the BWTCC was established, incorporating the three associations representing lighter vessel owners.

To ensure transparency and discipline in the sector, the government introduced the Cargo Transport Policy in October 2024 and published it in the official gazette.

Under the policy, the director general of the Department of Shipping is authorised to form the main committee and constitute sub-committees to oversee the cell’s daily operations.

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According to IVOAC leaders, the department had been holding several consultation meetings to finalise a supervisory sub-committee. However, before that process was completed, an ad hoc committee was announced at the Chittagong Chamber on November 8.

The committee named Amir Humayun Mohammad Chowdhury, chairman of the Port Users Forum and former president of the Chittagong Chamber, as chief adviser, while Gazi Belayet Hossain Mithu, president of the BCVOA, was appointed convener.

The 17-member committee, including the chief adviser, reportedly comprises representatives from the BCVOA, IVOAC, COAB and Bangladesh River Transport Owners Association (BRTOA).

Reacting to the formation, Commodore Md Shafiul Bari, said the committee had been constituted without any legal authority or approval from the Department of Shipping.

He said the department had not been informed about the initiative and that the organisers had bypassed the authority designated by the government.

He also alleged that certain individuals were attempting to maintain their influence in the sector and undermine efforts to ensure transparency.

The DG said the department had already constituted a supervisory sub-committee under Section 6.3 of the policy.

He added that several reform initiatives, including the introduction of Lighter Vessel Management Software (LVMS), were being implemented to improve transparency, accountability and operational efficiency.

The seven-member sub-committee, formed through a notification signed by the DG on November 10, is headed by Member of Parliament and member of the Parliamentary Standing Committee on the Ministry of Shipping Sayeed Ahmed as convener.

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Its members include representatives from the BCVOA, IVOAC, COAB and Cargo Agents Association, along with an inspector from the Department of Shipping. A deputy engineer and ship surveyor of the department will serve as member-secretary.

Under the notification, the committee will oversee the collection of service charges, dispatch and demurrage payments through a bank account maintained in the BWTCC’s name, as well as the settlement of ship owners’ dues.

Its responsibilities also include managing the salvage project fund, maintaining income and expenditure records and taking necessary action against agents who fail to pay demurrage.

The committee must submit monthly financial statements for scrutiny and approval during the first week of each month. The DG will retain final decision-making authority in the event of any dispute or disagreement.

However, Gazi Belayet Hossain Mithu strongly criticised the formation of the supervisory sub-committee, alleging that several stakeholders were excluded from the process and that a particular group had been given disproportionate influence.

He claimed that the committee undermines the balanced representation of ship owners and cargo agents that had been maintained in the past. According to him, the interests of nearly 2,000 cargo vessels and around 1,200 ship owners across the country are at stake.

An IVOAC leader, speaking to TIMES on condition of anonymity, said that the BWTCC comprises representatives from three relevant associations.

However, two representatives from the Bangladesh River Transport Owners Association (BRTOA) have been included in the committee, although the BWTCC formation policy does not provide for the inclusion of representatives from this organisation.

Moreover, none of the association’s vessels transport cargo from Chittagong Port, he added.

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