The long-anticipated agreement between the Chattogram Port Authority (CPA) and Dubai-based global port operator DP World for the management of the New Mooring Container Terminal (NCT) has become uncertain following a legal complication that has stalled the signing process.
The deal was expected to be finalised by 15 December, but a writ petition challenging the legality of appointing a foreign operator has delayed the entire procedure.
The writ – filed by Mirza Walid Hossain, president of the Bangladesh Youth Economists Forum, questioned the government’s decision to hand over the NCT to a foreign entity.
Justice Fatema Najib, the presiding judge of a division bench of the High Court, on Thursday declared the contract process illegal, while the other judge, Justice Fatema Anwar, ruled it legal.
Under legal procedure, a divided verdict must be referred to another High Court bench, to be constituted by the chief justice, for a final decision. As a result, port officials and legal experts believe it will now be impossible to sign the agreement with DP World by 15 December.
Meanwhile, the CPA’s six-month operational agreement with Chittagong Dry Dock Limited (CDDL) – a Navy-run enterprise – expires on 7 January. With no clear timeline for disposal of the writ, signing a new contract with DP World before that date has become highly unlikely.
A CPA official, requesting anonymity, told TIMES of Bangladesh that the authority is currently in a “wait-and-see position”.
If the settlement with DP World is not reached by 7 January, the CPA may extend CDDL’s operational tenure.
“We are awaiting directions from the ministry as well as the final disposal of the writ,” the official said.
Barrister Anwar Hossain, lawyer for petitioner Mirza Walid Hossain, also confirmed that the port authority cannot proceed with appointing a foreign operator until the court settles the matter.
“The chief justice will now form a new bench to dispose of the writ. Until it is disposed of, the CPA cannot move forward with signing any agreement concerning the NCT,” he said.
Amid the legal uncertainty, agitation continues to grow among political groups, labour organisations, and civil society bodies opposing DP World’s involvement in operating the NCT.
Groups such as the Chattogram Port Protection Council, Sramik Karmachari Oikya Parishad (SKOP), labour wings of BNP and Jamaat, left-leaning parties, and various professional associations have been staging continuous demonstrations. SKOP is also scheduled to hold a major labour rally in Sagarika on 5 December.
Humayun Kabir, member secretary of the Port Protection Council, argued that the port is already performing beyond its designed capacity.
“Chattogram port is handling nearly 120 percent capacity, using state-of-the-art equipment installed at the NCT,” he said.
“DP World will not bring any new machinery. They will operate the terminal with equipment already purchased at the taxpayers’ expense. So why hand over such a profitable and strategic facility to a foreign operator?” Kabir added.
He also questioned the government’s rationale, alleging that the move benefits a select few rather than the nation.
However, a section of business leaders believes that appointing a reputed global operator is essential for modernisation and efficiency gains at Chattogram port.
Former director of the Chattogram Chamber of Commerce and Industry Mahfuzul Haque Shah told TIMES that capacity expansion is crucial for reducing business costs.
“Having a globally experienced operator like DP World at the NCT would be positive for the economy. We expect a constructive outcome,” he said.
The NCT, constructed in 2007 with CPA funds, includes five jetties – four for sea-going vessels and one for small ships on the Chattogram–Pangaon domestic route. The port invested approximately Tk3,000 crore in infrastructure and modern container-handling equipment, including gantry cranes.
The terminal receives nearly 1,200 container ships annually and generates around Tk1,500 crore in yearly revenue.
Efforts to appoint a foreign operator date back to 2008, when four global companies – APM Terminals, Hutchison Port Investments, ICTSI, and P&O (later acquired by DP World) – were shortlisted.
Although tender processes were initiated, political interference halted the plan. Instead, local firm Saif Powertech was repeatedly awarded terminal operations through the Direct Procurement Method.
Due to allegations of corruption and operational mismanagement, the previous government reopened negotiations to engage DP World.
When Saif Powertech’s last contract expired, the interim government handed NCT operations over to CDDL for six months from 7 July.
Although CDDL took charge of management, approximately 3,000 workers from Saif Powertech continue to be employed at the terminal. Despite this continuity, operational performance has improved markedly.
Since CDDL assumed responsibility, both container handling and ship operations have become more efficient, reducing ship waiting time to zero.
CPA data shows that between July and October 2025, the NCT handled 468,871 TEUs and 253 ships under CDDL management, marking 15.50 percent growth in container handling and 19.35 percent growth in ship arrivals compared with the same period in the previous fiscal year. This represents an increase of 62,919 TEUs and 41 ships year-on-year.
