Bangladesh exporters to use India ports as Colombo can’t handle traffic

Shipments of Bangladesh’s export goods are getting delayed in the Colombo Port because of the ongoing political turmoil in Sri Lanka where around 2,000 trade unions went on strike in the past weeks.

Though operations resumed in Colombo port three days ago, workers are still struggling to manage the backlog as the country is going through political unrest.

If the situation is prolonged, it can cause a headache for Bangladesh, as 40 to 45 percent of the country’s export consignments go through the Colombo port, exporters said.

“Some 10-12 percent of the consignments are getting delayed in the port, but port activities in Colombo are not halted totally,” Faruque Hassan, president of the apex trade body, Bangladesh garment Manufacturers and exporters Association (BGMEA), told the Business Insider Bangladesh on Saturday.

He said that exports might decline in May due to the supply chain’s interruption. 

Hassan said as a way out of this situation they are mulling using Indian ports. India mainly exports and imports through ports in Mumbai, Gujarat, Chennai and Kolkata.

“Initially we will try to use Kolkata Port and Mumbai Port,” said the BGMEA president.

Though Bangladesh’s external trade has been growing exponentially for over a decade, no mother vessels can come to the Chittagong port. Accordingly, goods are shipped through feeder vessels to mother vessels, either in Colombo, Singapore, or Malaysia for export to the rest of the world.

Trends in the first 10 months of the current fiscal year show that Bangladesh’s export could reach around $52 billion and imports over $80 billion.