This document discusses the need for a deep sea port in Bangladesh and its role in national development. It outlines the objectives and limitations of the study, which focuses on the necessity of a deep sea port for Bangladesh and identifies barriers to its implementation. The document provides an overview of Bangladesh's existing ports in Chittagong and Mongla and their limitations in terms of draft, channel access, and turnaround time. It also discusses how a deep sea port could help lower costs, handle larger vessels, and facilitate trade through initiatives like the Maritime Silk Road. However, the document also notes weaknesses like piracy, dependence on foreign investment, and lack of multimodal transport connectivity, as well as threats from international politics and competing ports in

1. Deep Sea Port and National Development
of Bangladesh
MD. TANVIR HOSSAIN
STUDENT ID.16212014
Bangabandhu Sheikh Mujibur Rahman Maritime University, Bangladesh
1

2. Objective of the study
1. To find out the necessity of Deep sea port in
Bangladesh.
2. The role of Deep Sea Port towards national
development of Bangladesh.
3. Identify the barriers towards implementation of
Deep Sea Port.
2

3. Presentation Sequence
Conclusion & Recommendations
General Discussion
Overview
Conceptual Discourse
Introduction
3

4. Background of the study
 Ports are the important gateways of international trade:
 90% of the volume of world trade is carried by ships.
 Geographical location has given Bangladesh some rare
advantages as traders from neighboring countries.
 National incompetency and International politics as
identified barriers towards implementation of DSP.
4

5. Significance of the study
This research will assist:
Government policy maker,
Private intellectuals, and
Prospective researchers
- for their further study and decision making.
5

6.  The study will focus only in the arena of
Bangladesh.
 Limited to the deep sea port
development only.
 Secondary data collected within the time
span of 1971 to 2018.
 Economic development is considered as
key indicator of national development
a country.
6

7. Study Limitations
Limitations Initiatives to overcome
 Limited access to primary
data:
to identify port performance of
existing sea ports.
 Limitation on available
research work:
on the subject matter to collect
secondary data as reference.
 Telephonic conversations
to the respective
authorities.
 E-Mail communications.
(e.g. Pangaon ICT, SAIF
Powertec Ltd.)
7

8. Overview of the study
Chittagong Port
Mongla Port
11

9. Chittagong Port
 Shet-gang: During 9th-15th century AD, by the European seaman.
 Porte Grande: During 16th century by the Portuguese sailors.
 Finally, constructed at its existing location in 1887.
 Situated: At the estuary of Karnaphuly River, around 16 km inshore from the
outer anchorage..
 Hinter land connectivity: by road, rail and waterways.
12
Dutch ships visiting
Chittagong during the
Mughal period in 1702
Elephant loading at
Chittagong Port in 1960
Chittagong port in 1960 Chittagong Port Area
2010

10. Chittagong Port
38312028
41960170
48941406
58324786
66464285
5059640
5338377
5839986
5971634
6709759
43371668
47298547
54781392
64296420
73171044
2012-2013 2013-2014 2014-2015 2015-2016 2016-2017
CHITTAGONG PORT CARGO HANDLING STATISTICS,
YEAR 2012-2017 (METRIC TONS)
Import (tons) Export (tons) Total
Source: Official web page of Chittagong Port Authority
Chittagong Port has handled, over 73 million metric tons of cargoes during the year 2016-2017 .
13

11. Limitations of Chittagong Port
14
Limitation on Descriptions
Geographic Location: • 90 degree sharp turning requires
• 16 km long narrow channel
Draught Limitation: • Max. 8.50m to 9.20m
• Maximum LOA 186m.
• The shallowest depth of channel 4.9 m only
Pilotage and Night
Navigation:
• Mandatory
• 24 hours prior notification.
Turn-around Time • Quite higher
• Creating negative impact on international competitive market.
Other Problems: • Poor port performance, political unrest, excessive dwell time, complex
lengthy handling and clearance procedure, delay in custom clearance,
labour unrest, security threats etc.

12. Mongla Port
 Original name: Chalna port
 Situated:18 km upstream on the Pashur River,
 Started: since 11 December 1950.
 Presently located: at the convergence of the Pashur River and the Mongla River.
 The existing capability to handle 225 meter long ships.
 Hinterland connectivity: by road and rail with rest of the country.
15

13. Mongla Port
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100830
87857
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3147574
3543949
4530279
5797521
7513727
2012-2013 2013-2014 2014-2015 2015-2016 2016-2017
MONGLA PORT CARGO HANDLING STATISTICS,
YEAR 2012-2017 (METRIC TONS)
Import (tons) Export (tons) Total
Source: Official web page of Mongla Port Authority
Mongla Port handled over 7.5 million metric tons of commodity and given service to more than 17 hundred of vessel
(including IND-BD protocol vessels).
16

14. Limitations of Mongla Port
17
Limitation on Descriptions
Geographic Location: • Situated 131 km inland from the Fairway Buoy of the Bay of Bengal.
Draught Limitation: • Max. 6m - 8 m
• Shallow, narrow and silted channel resulting risky transit.
Inefficiency of the Port
management:
• Causing high turn around time
Labor Issues: • Strike, over employment, demand for undue wages etc
Other Problems: • Lack of Export Cargo in Khulna Area
• Structural Shift in the Foreign Trade (Jute mills)

15. General Discussion
• Contribution to growing economy
• Forthcoming future demand
• Lowering operating cost & handling larger vessels
• Maritime Silk Road
• Reducing Port Turn Around Time
• Rampal Coal Fired Power Plant
• Requirement of LNG import
Necessity &
Contribution of
•Strategic Geographical Location
•Population as resource
•Geographical advantages
•Positive intention and good initiatives
Strength &
Opportunities
•Piracy created negative image
•International interest & politics
•Dependency on foreign investment
•Scarcity of multimodal transport facility
•Distance from International Shipping Lanes
Weakness &
18

16. Contribution to the growing economies
2015 2016 2017 2018 2019
Series 1 6.6 7.1 7.3 7 7.2
6.6
7.1
7.3
7
7.2
6.2
6.4
6.6
6.8
7
7.2
7.4
GDP Groeth Rate: Bangladesg (% per year)
Series 1 Linear (Series 1)
Source: Asian Development Bank Asian Outlook (ADO) 2018
According to the IMF’s latest World Economic Outlook Bangladesh is one of
the world’s fastest-growing economy. The country’s GDP is projected to grow
by 7.2% in 2019
19

17. Contribution to the growing economies
7.3%
7.1%
7.0%
6.7%
5.6%
4.9%
4.2%
2.5%
India
Bhutan
Bangladesh
Maldives
Pakistan
Nepal
Sri Lanka
Afghanistan
GDP Growth Rate, 2018 (% per year)
Source: Asian Development Bank Asian Outlook (ADO) 2018
20

18. Forthcoming future demand
Source: UNCTAD, Review of Maritime Transport, various issues
At this era of globalization, the advancement in transportation and communication
technology, combined with free market ideology, has given rise an unprecedented mobility
of goods and services.
As a result, regional economies in the world are rapidly integrated into Single Global
Economy.
Ocean, as a major international trade route, provides the low cost service and the massive
means of transport.
21

19. Forthcoming future demand (cont…)
Source: UNCTAD, Review of Maritime Transport, various issues
 UNCTAD report reveals that
 the upcoming demand of seaborne trade
 in developing economy like Bangladesh is much higher than
 that of the transitional & developed economy.
0
10
20
30
40
50
60
70
Loaded Unloaded
World seaborne trade by country grouping, 2015
(Percentage share of world tonnage)
Developed economies Developing economies
Transition economies
TransitionalEconomy
TransitionalEconomy
22
DevelopingEconomy
Developed
Economy
Developed
Economy
DevelopingEconomy

20. Lowering operating cost & handling
larger vessels
 New built vessels are ordered to make larger than the earlier vessels
 Unfortunately, the sea borne trade handling capacity of BD.
 Because, the existing ports are handicapped in their available draft and the scope of
structural enlargement for further development.
 To handle new generation large vessels and therefore to enjoy this freight reduction, a new
deep sea port is so essential without relying on existing Chittagong & Mongla ports.
Source: Van Marle (2013)
23

21. Maritime Silk Route
 Historically Bangladesh is well connected with both two
components of the Silk Roads- Overland Silk Road (OSR) and
Maritime Silk Road (MSR).
 Bangladesh has to develop a deep-sea port to meet the
demand of MSR.
 MSR and development of economic belts will offer immense
opportunities of trade, traffic and industrial growth for
Bangladesh.
 For example: by enhancing diplomatic relationship,
possible to strengthen mutual cooperation & coordination
towards trade, infrastructure development, ocean exploration,
agriculture, education, human resource development, cultural
cooperation, and many other ways
 We can get the access to the giant markets like China, India
and elsewhere in the world - by adopting free trade
facilitation.
24

22. Reducing Port Turnaround Time
Source: http://cpa.gov.bd, accessed on 19 oct 2012
 Draught and Tides are very important for safe navigation.
 Long and compulsory pilotage, 24 hours prior notification of pilot booking,
excessive traffic on the channel, in-efficiency of port management, critical customs
formalities etc are the causes of high TAT.
 Reduce Turn Around Time
 Freight rate reduced dramatically.
 Earn competitive advantage
 Encourage int’l Port users
 Select DSP as their profitable destination
 PCI Japan has estimated that the service time
savings of DSP would be equivalent to 19.1
million USD by 2030 .
6.9
days
25

23. Demand of Coal for Rampal C/F Power Plant
 Rampal Power Plant: Country’s Master Plan 2010 on energy sector,
 Aim: to diversify the Bangladeshi electricity sector away from the
current dominance gas- based power generation.
 Annual requirements: about 3.8 million tons @ 80% load.
 Bangladesh reserves: over 2,000 million tones
 Economic feasibility: about 1,000 millions tons
 We have to rely on imported coals, from Indonesia, Australia and
South Africa.
 To handle this huge amount of coal import, it is not viable to rely
on existing 02 major sea ports of Bangladesh.
 Therefore the facility of DSP is crucial for Bangladesh to run this
mega project.
26

24. Country require LNG import
 Country Gas reserve would run out within 10 to 12 years.
 It is easily understandable,
“how the industries, power plants including our daily lives could be affected if gas
is depleted in near future”.
 Present Government has taken up necessary initiatives to import LNG as an
alternative fuel.
 Deep sea port facility is essential to handle LNG import via ultra large new
generation gas carriers.
27
Source: Petrobangla official web page

25. Strengths
and
Opportunities
28

26. Strengths and Opportunities
 Although a small country, “being located in the armpit of India and right on the Indian
Ocean” that contains 25% of the world’s land, 40% of its oil and gas reserves.
 Contains world’s most important and busiest shipping lanes that supplies bulk crude oil
from Middle East to East Asia.
 Bangladesh is a keystone nation in the region,
 Balancing together the contending influences of the giant rivalry nations like India,
China, the United States, and Japan.
 Although China’s declaration of MSR, as the design of commercial project, the
contenders perceive it as
- a potential militaristic ramifications
 JICA’s Tanaka rightly mentioned in her speech “Bangladesh, in other words, is the
linchpin.”
Strategic geographical location:
29

27. Strengths and Opportunities
 Population: 2.19% of the total world population,
Ranking number 8 in the list.
 Competitive advantage:
- it’s low labour cost,
- one of the largest consumer of south Asian region,
- investment friendly motivated outlook of people.
 Establishment of DSP in BD can contribute to:
1. Poverty alleviation,
2. creating huge job sector in maritime industry,
3. lowering the price of consumable items by lowering
operating cost,
4. Can gain a huge remittance by exporting hand-made
products like garments, jute products etc.
Population as a source power:
30
Source: Worldometers, Bangladesh
Population, Accessed on 05 Aug 2018 @
01:30 AM

28. Strengths and Opportunities
 The base of the DSP concept is not laying merely on the probability &
expectations.
 Indeed, sea area is a gift of nature for Bangladesh.
 The bathymetric condition of the area is hydraulically balanced and stable for
more than 100 years.
 Geographically it stands on the vortex of the Bay of Bengal, hindering the
rough sea access to the entire region.
 The Sonadia island has a natural depth of 14m.
 Careful utilization of this exceptional opportunity, Bangladesh can easily
develop a DSP.
 By which, it can unveil a new horizon for developing the country like Belgium
and Singapore.
Geographical advantages:
31

29. Strengths and Opportunities
 Fortunately, the present government &
the opposition both are inline with the
understanding of the necessity of a DSP
in BD.
 Already, adopted a number of positive
initiatives towards its establishment
considering it as one of the first track
projects of the nation.
 The country is eagerly awaiting for the
establishment of its ever dreamt project
hoping “where there is a will, there is a
way”.
Positive intention & good initiatives:
32
Source: IRBD, https://cpd.org.bd/our-research/cpdirbd

30. Weakness
and
Threats
33

31. Weakness & threats
 Roughly 45% of the world's commercial shipping transit through this
regional waters.
 The coastal areas around Chittagong port are the most vulnerable to
piracy attacks.
 The frequent attacks on commercial vessels can jeopardize international
trade and can cause overwhelming economic loss.
 Apparently, such attacks in the region have caused an estimated $16
billion economic loss over the past five years .
Piracy created a bad image:
34

32. Weakness & threats
 The direct involvement of world’s giant influential competitors
has really put the government of Bangladesh under pressure
- to reach a safe & productive conclusion for the issue.
 Politicians, at various spectrums, often raise a question
“by awarding the lucrative contract of establishing DSP,
are we handing over our sovereignty to other
foreign powers”.
 A good thinking and effective decision can change the fate of
the whole nation.
International interest & politics::
35

33. Weakness & threats
 Deep sea port establishment requires a huge investment
(about $4.6 billion USD).
 Being a developing country, it’s really tough to execute it by
using own fund.
 Proposals are obtained from several countries, but with
some conditions, expecting their own interest.
 The government of Bangladesh has to judge the proposals
and grave the most suitable one.
Dependency on foreign investment::
36

34. Weakness & threats
 The proposed locations of deep sea port like Sonadia, Matarbari,
Payra, are not connected to the hinterland by rail and road.
 Use of inland waterways would be the substitute but not the
alternative.
 Therefore, establishment of multimodal transport facility is the
bottleneck in attaining expected level of efficiency
- to contend in the world competitive market of sea transport.
Scarcity of multimodal transport facility::
37

35. Weakness & threats
 Recent establishment of deep sea ports in
Srilanka & India have raised the question on the
mind of the critics about the customers
demand towards the use of proposed deep sea
port in Bangladesh.
 Considering the geographical location, it is
unlikely that mother vessels on Asia-Europe
transit route will call in new DSP unless their
own necessity.
 However, with increasing expected demand due
to the ongoing expansion of the world fleet will
help Bangladeshi deep sea port.
Distance from International Shipping Lanes::
38

36. Conclusion:
 Ports are:
 the heart of sea transport,
 a vibrant place where international shipping originates, transits and
terminates.
 a highly dynamic venue of growing economic and commercial
activities.
 80% people of the world live within 100 miles of coastlines,
 seaports emerged as vital economic locations for the peoples of
seaside countries.
 This is the reason why might be seaports and cosmopolitan
cities
 had developed along the coastal belts since the ancient period.
39

37. Conclusion… (continue)
 According to 2013 World Investment Report,
 Bangladesh stands out as the sourcing hotspot in the shipping
industry
 by offering the advantages of handling large consignment at lower
competitive costs.
 Due to rare geographical location,
 any DSP in Bangladesh can turn around as a hub port of the major
trade route of the world.
 International politics & conflict of interest,
of powerful influential nations should not make hostage country’s ever
dreamt destination,
 at least for the sake of international seaborne transport facility.
40

38. Recommendations
 The country should
 think deeply,
 design a road map,
 diplomatically handle the tidal force exerted by world’s influential nations
 We the citizens of Bangladesh also have some
responsibilities
 to support our government in all respect or
 atleast to refrain from any blind criticism.
And finally to find out the best solution collectively,
to turn around our long waited dream project:-
of a deep sea port into reality.
41

39. 42