Posted on July 21, 2025
The government will investigate any irregularities in the capital dredging work of Payra Sea Port, if such allegations prove substantial, Shipping Adviser Brig Gen (retd) M Sakhawat Hossain said today.
“A high-level technical probe committee should be formed to assess the matter,” he told reporters this noon, following a seminar held at a hotel in Kuakata, where the master plan of Payra Port was presented.
He acknowledged that detecting any wrongdoing has become increasingly difficult as the previously dredged channel is now gradually getting silted.
“Even so, if the Anti-Corruption Commission (ACC) wishes to investigate the dredging, the ministry will extend full cooperation,” he added.
The capital dredging of the 75km-long and 125m-wide Rabnabad Channel, completed last year by German firm Jan De Nul at a cost of Tk 6,500 crore, initially allowed mother vessels with a 10.5m draft to access the port.
However, rapid siltation has reduced the channel’s navigable depth to only 6 metres, barring access for coal-laden mother vessels meant for the Payra and RNPL power plants.
As a result, these vessels are now diverted to Chattogram Port, from where coal must be offloaded onto lighter vessels—an arrangement that significantly raises transportation costs and affects power generation expenses.
Speaking at the seminar, the adviser noted that any seaport requires time to become profitable.
“We must give Payra Port the opportunity to develop. If its growth is managed in a well-planned manner—along with establishing effective road, river, and rail links—it can certainly become a profitable venture,” he said.
He also remarked that currently, about 93% of Bangladesh’s import-export trade is handled through Chattogram Port.
With expanding industrialisation and export activities, he projected that the country’s international trade would nearly double by 2050.
Rear Admiral Masud Iqbal, chairman of Payra Port Authority, chaired the seminar.
The keynote presentation on the port’s master plan was delivered by Menno Muijs, team leader of Netherlands-based consultancy Royal HaskoningDHV.
Prof Dr Ishtiaque Ahmed, lead consultant from Bangladesh University of Engineering and Technology, delivered the introductory speech, while Commodore Mohammad Abdul Kader, member for engineering & development of the authority, presented on the port’s development, progress, and future roadmap.
Speakers highlighted that the port’s planned infrastructure includes a 650-metre-long modern jetty, a backup yard spanning over 325,000 square metres, and a straight, wide navigation channel.
Other features will include berthing/unberthing without delays, transshipment capacity for 15 vessels within the inner channel, year-round river connectivity without tidal constraints, contingency anchorage facilities, ample car parking sheds, competitive tariff rates, and smooth road cargo movement.
The first terminal of Payra Port is expected to become operational by July 2026.
The port authority aims to ensure a tech-integrated, automated operation with smart client services.
Business leaders have expressed disappointment over Bangladesh’s adoption of a ‘let’s see what happens’ policy at a time when timely and effective negotiation with the United States on reciprocal tariffs was crucial.
Speaking at a discussion organised by the Bangla daily Prothom Alo at the Pan Pacific Sonargaon in Dhaka, they criticised the government for excluding the private sector from the negotiation process.
They said the government had assured them that discussions with the Office of the United States Trade Representative (USTR) were progressing in Bangladesh’s favour, but they now fear the final decision will come from the Trump administration.
A leading economist at the event, however, recommended a slow and steady approach to negotiations in order to achieve better results.
AK Azad, a prominent garment exporter to the US, said he had never experienced such uncertainty in his four decades of business.
“I was convinced Bangladesh would secure a moderate tariff. However, one of my major buyers recently informed me that the outcome will not be as expected. Buyers are already asking how much of the tariff burden we can absorb,” he said.
Debapriya Bhattacharya, a distinguished fellow at the Centre for Policy Dialogue, emphasised that every trade negotiation should begin with an understanding of the counterpart’s economic context.
“The US economy is gradually losing competitiveness and facing twin deficits—current account and fiscal. The tariff move aims to cut imports, boost domestic investment, and create jobs. But Trump’s assumption is unscientific and unsustainable,” he said.
He warned that inflation in the US is likely to rise and that the economy will begin to feel the impact soon, particularly ahead of the midterm elections in November 2026.
Bhattacharya also criticised the government for handling the negotiations without consulting stakeholders and experts.
“By signing a non-disclosure agreement, the government opted for obligation over responsibility,” he said.
He stressed that the talks should also address trade in services, which currently favours the US, and urged the government to undertake urgent domestic reforms. These include export diversification, productivity enhancement, and institutional strengthening.
“There is no instance where a weak government successfully negotiated a major trade deal. Given its lack of political legitimacy, this government should have engaged stakeholders in the negotiation process,” he added.
