Bangladesh is grappling with one of the worst floods in recent memory that has left 11 eastern districts reeling and has severely damaged the Dhaka-Chattogram Highway, a lifeline for the country’s economy, impacting supply chains to the whole country.
The Dhaka-Chattogram highway has been damaged by floods in the Feni, Cumilla, Chattogram, and Brahmanbaria areas, with many sections submerged, leading to goods-carrying vehicles being stranded and causing significant disruptions to the supply chain.
Businesses are concerned as flooding has resulted kilometres long traffic congestion on the highway, hampering the transportation of goods from Chattogram to other parts of the country.
The disruption has led to a decline in both imports and exports. The inundation of roads and heavy rainfall have halted the movement of raw materials, exacerbating supply chain issues.
However, traders are hopeful for a return to normalcy within a week.
Currently, only 3 per cent of containers passing through Chattogram port are transported by rail, less than 1 per cent by water, with the remaining 96 per cent reliant on road transport.
BICDA reports drop in goods redemption
According to the Bangladesh Inland Container Depots Association (BICDA), the arrival of export goods via covered vans from 21 private depots has dwindled to one-fourth of the usual amount in just one day.
Chattogram port handles at least 94 per cent of the country's export goods.
BICDA Secretary General Ruhul Amin Sikder has reported a dramatic drop in goods redemption at Chattogram port due to recent flooding.
"We operate 21 private container depots at Chattogram port. The flood has caused a one-quarter overnight decline in our goods redemption," Sikder said.
"The situation worsened in the first two days as we were unprepared for the flood. In the last 24 hours, we received 1,124 trucks loaded with exports and goods, compared to 658 on Sunday, 868 on Saturday, 2,007 on Friday, and 3,168 on Thursday," he said.
“However, it has slightly increased in the last 24 hours,” he added
Despite these challenges, Sikder noted that the shipping of goods at Chattogram port remains consistent. "Before the flooding, we had nearly 14,000 export-laden containers in our depot, and we were well-prepared. This number has now decreased to around 8,200 as of Monday," he said.
BICDA handles 38 types of import-laden containers from Chattogram port, accounting for 17-18 per cent of the total containers. They are transporting about 800-1,000 twenty-foot equivalent units (TEUs) daily, similar to previous levels.
"However, the number of containers that importers are taking from the depot to their factories has fallen from 800-1,000 TEUs to 250 TEUs," Sikder added.
"We currently have 8,240 export-laden containers, 8,400 import-laden containers, and 49,924 empty containers in stock. We anticipate it will take seven to eight days for the situation to normalise, but there will be a backlog of containers affected during this period," he said.
Road repair efforts
While unloading goods from the port is proceeding without issue, the transportation system from Chattogram to other parts of the country has virtually collapsed.
The Dhaka-Chattogram highway, a crucial route for goods, has been rendered nearly impassable due to rising floodwaters, bringing transportation to a halt since Thursday morning.
Mohammad Jahed Hossain, superintending engineer at the Chattogram Circle Office of the Roads and Highways Department (RHD), said, "We have repaired 66 kilometres of the road from DhoomGhat to City Gate."
Echoing Jahed, Mohammed ZiaulHaider, superintending engineer at the Cumilla Circle Office of the RHD, said, "We are addressing the damaged sections of the road caused by the floods."
Attempts to contact the Noakhali Circle Office for further updates were unsuccessful.
Traffic congestion
Business owners reported that a significant portion of the Dhaka-Chattogram highway, particularly between Feni and Cumilla, remains submerged. This has led to severe disruptions in vehicular movement and intense traffic congestion, adversely affecting the transportation of goods.
Md Amin Helaly, senior vice president of the Federation of Bangladesh Chambers of Commerce and Industries (FBCCI), said, "Moving raw materials from the port to markets and factories has become a major challenge. If goods cannot be unloaded, additional costs will accrue at the port.
“Even if goods are unloaded, the inability to transport them will lead to market shortages, impacting people's lives. Although the flood situation has improved, there are concerns that traffic jams may return due to potholes caused by water damage," he added.
