CPA extends suspension of four-time penal rent on imported FCL containers

Staff reporter :

The Chittagong Port Authority (CPA) has once again extended the suspension of its four-times penal rent on full container load (FCL) imports at both Chattogram Port and Dhaka’s Kamalapur Inland Container Depot (ICD), aiming to ease pressure on traders and maintain smooth cargo movement through the year-end.

A circular issued yesterday (4 December) by the office of the director (traffic) confirmed that the suspension previously set to end on 30 November will now remain effective until 31 December. The same extension applies to the enhanced storage rate at Kamalapur ICD, in line with CPA board resolution no. 19739 adopted on 27 November. The four-time penal charge was introduced on 10 March at Chattogram Port, Kamalapur ICD and Pangaon ICT to discourage importers from delaying container removal from port yards.

The port had been struggling with importers who kept containers uncleared for prolonged periods to influence market supply. Under the penal rate, storage charges jumped to USD 24–96 per day for 20-foot containers and USD 48–192 for 40-foot units.

Ordinarily, import containers receive four days of free storage. Beyond that, standard rates begin at USD 6 per day for 20-foot units and USD 12 for 40-foot units, gradually rising to USD 24 and USD 48 by the third week.

However, Bangladesh’s logistics chain has faced persistent disruptions since mid-2024, including vessel congestion, customs delays and inland transport bottlenecks.
These issues have slowed clearance and made it difficult for importers to remove containers within the stipulated timeframe. Businesses argued that enforcing the penal rent during such disruptions would only raise costs and worsen congestion.
Responding to these concerns, the CPA first suspended the penal charges on 26 August for one month, later extending the relief in September and again in October. The latest announcement marks the fourth extension.
CPA officials said the objective is to prevent yard space from tightening during December, typically one of the busiest shipping periods.
By keeping the penal rate suspended, the port hopes importers will clear containers more promptly and avoid further pressure on storage facilities.
The authority has urged importers to expedite the removal of FCL containers from both Chattogram Port and Kamalapur ICD to keep operations running smoothly.