Cargo transport by lighters may face disruptions as dispute intensifies

Transportation of imported cargo from the Chattogram port to different parts of the country through inland water routes may face disruptions as disputes among lighter vessel owners’ organisations over managing the trade has intensified.
In the latest development, water transport workers’ leaders held a protest rally in Chattogram on Tuesday and gave an ultimatum to vessel owners to resolve their dispute and restart operating under a single platform.
They demanded a return to the previous single serial system, with allocations by a newly announced private platform and the retention of the previous freight rate from November 4.
Otherwise, they threatened to obstruct vessels loading cargo from mother vessels and transporting those bypassing the serial system.
On October 15, the shipping ministry issued a notification about a new policy for cargo transport by lighter vessels.

This policy made it mandatory for all lighter vessels to obtain a serial number and allocation from a newly named private platform—Bangladesh Water Transport Coordination Cell (BWTCC).
But a section of leaders from the Inland Vessel Owners Association of Chattogram (IVOAC) opposed the single serial system, arguing that it would reinstate a previous monopoly over the inland cargo transportation trade.
More than 10 crore tonnes of annually imported bulk cargo, including commodities, fertilisers and industrial raw materials, are unloaded from mother vessels at the outer anchorage of Chattogram port onto lighter vessels.
These vessels then transport the cargo through 40 different inland water routes. Over 1,800 lighter vessels are involved in this process.
In 2004, three vessel owners’ organisations jointly formed a single private platform called the Water Transport Cell (WTC) to operate vessels for the transport of import cargoes on inland waterways.
The three are Bangladesh Cargo Vessel Owners Association (BCVOA), the Coastal Ship Owners Association of Bangladesh (COAB) and the IVOAC.
Bringing allegations of financial irregularities against the BCVOA, the IVOAC leaders split from the WTC in December last year and began operating vessels independently.
Mehbub Kabir, general secretary of the BCVOA, told The Daily Star that after the abolition of the WTC and its serial system, a section of cargo agents and vessel owners started transporting goods at much lower freight rates.
This led to losses for a larger portion of vessel owners and forced many out of the trade, he said.
Workers of several hundred lighter vessels remained unpaid for the past two or three months, he said.
This was due to vessel owners being compelled to run at low freight rates, mainly because of the unethical practices of a certain group of owners, which ultimately infuriated the workers, he said.
Kabir stressed the need to reintroduce the single serial system as mentioned in the new policy to streamline the sector.
Echoing the view, Shah Alam, president of Bangladesh Noujan Shramik Federation, said a small group of greedy vessel owners was damaging the sector.
He claimed that the single serial system would ensure fair business practices for all vessel owners.
Contacted, Parvez Ahmed, the IVOAC spokesperson, said the crisis cannot be resolved through force or threats, as being attempted by the BCVOA leaders.
He alleged that several lighter vessels were obstructed from loading cargo from mother vessels at the Kutubdia anchorage and from transporting goods on inland routes by a section of rival groups in the past two days.
Terming the current freight rates set by the previous WTC as “high”, Ahmed stressed the need for a tripartite agreement among the three owners’ organisations to fix slightly lower freight rates before implementing the BWTCC serial system.