Container handling charges at inland container depots (ICDs) in Chattogram have risen by 8.5 per cent following the fuel price hike, raising import-export costs and triggering concern in the garment sector.
The increase, effective from April 19, comes as higher global fuel prices linked to the Iran-Israel war push up diesel costs and ripple through fuel-dependent sectors, industry insiders said.
The immediate impact has been felt in the country’s inland container depots.
Owners of the 21 private depots in Chattogram have increased container handling charges by 8.5 per cent to offset higher fuel costs.
The new ICD charges came into effect on April 19.
The adjustment was unavoidable due to the surge in diesel prices, said Bangladesh Inland Container Depots Association Secretary General Ruhul Amin Sikder.
Nearly all depot operations, including container transport, lifting, export cargo handling, import delivery and equipment usage, depend heavily on diesel, he said.
Companies with existing contracts will now have to pay an additional 8.5 per cent on top of previously agreed rates.
Clients will soon receive formal notifications regarding the revised rates, he added.
According to BICDA data, the 21 depots in Chattogram consume around 65,000 litres of diesel daily.
The depots handle 100 per cent of export cargo shipped through Chattogram Port and deliver about 25 per cent of imported goods, while also storing empty containers.
The increase in depot charges will inevitably push up import and export costs, industry insiders said.
The hike could erode Bangladesh’s competitiveness in global markets, particularly in the garment sector, they added.
The fuel price hike will create multiple challenges for the apparel industry, said BGMEA Director and Asian Group Deputy Managing Director Sakeef Ahmed Salam.
Increased reliance on generators during load shedding will raise production costs, while transportation expenses across the supply chain will also climb, he said.
“If our costs exceed those of competing countries, buyers may shift orders elsewhere,” he added.
Profit margins will shrink unless international buyers agree to higher prices, he said.
Small and medium-sized enterprises could struggle to survive, he added.
Delays in production and shipment due to fuel shortages could further jeopardise timely delivery commitments, he said.
The diesel price hike will have the most widespread impact, increasing both business costs and the overall cost of living, said former Chattogram Chamber of Commerce and Industry Director Mahfuzul Haque Shah.
The government should adopt austerity measures and prevent misuse of fuel to ease the pressure, he said.
“If wastage can be controlled, it will be easier to manage the crisis,” he added.
Transport operators have indicated that freight charges on road and waterways will rise.
The increase will affect goods movement nationwide, including key routes such as Dhaka-Chattogram.
Passenger transport fares are also expected to increase in the near future.
Freight charges for covered vans and trucks on routes from Chattogram Port to Dhaka and surrounding areas have risen by around Tk5,000 following the increase in diesel prices, said Bangladesh Covered Van, Truck and Prime Mover Goods Transport Owners Association Secretary General Chowdhury Jafar Ahmed.
