Abu Dhabi Ports to invest $1b in multipurpose bay terminal at Ctg port
Business Report :
Abu Dhabi Ports Group (AD Ports) has committed to a $1 billion investment in the much-anticipated multipurpose bay terminal at Chittagong Port.
This terminal will have the capacity to handle one million TEU (twenty-foot equivalent units) containers and seven million metric tons of cargo annually, according to port officials.
On 16 May, representatives from Abu Dhabi Ports Group, Chittagong Port Authority (CPA), the Ministry of Shipping, and AD Port’s Bangladesh agent, Saif Powertech, gathered at Hotel Westin in Dhaka to sign a memorandum of understanding (MoU) in this regard. The agreement marks a significant step toward enhancing the country’s import and export efficiency while reducing transportation costs and time.
CPA Chairman Rear Admiral Mohammad Sohail earlier stated that the port authority has accepted AD Ports’ initial offer to finance the terminal.
The non-binding MoU sets the stage for detailed planning and execution, which will follow government directives.
The bay terminal will be constructed on 2,500 acres of land along the Patenga Halishahar coastline, approximately six kilometers from the current Chittagong port.
The project will feature four terminals: a multipurpose terminal funded by AD Ports, and two container terminals built by PSA International Pte Ltd (formerly the Port of Singapore Authority) and DP World (an Emirati multinational logistics company based in Dubai) with investments of $1.5 billion each. Additionally, East Coast Group and its subsidiaries will invest $3.5 billion in a liquid cargo terminal.
An estimated $500 million will be allocated for the channel construction, with a total of $10 billion earmarked for various infrastructure developments, including a breakwater (surge barriers) and truck terminal.
According to CPA, the bay terminal project includes a multipurpose terminal and two container terminals with a combined berth length of 3,950 meters.
The multipurpose terminal will feature five berths with a total berth length of 1,500 meters, capable of accommodating Panamax-class container ships, bulk carriers, and ro-ro ships.
Each of the container terminals will have a berth length of 1,225 meters, with four to eight berths each.
Tarafdar Ruhul Amin, managing director of Saif Powertech, affirmed that Abu Dhabi Ports has adhered to all compliance requirements in entering this agreement with Chittagong Port.
Khairul Alam Sujan, vice president of the Bangladesh Freight Forwarders Association, said, “The Bay Terminal project is our long-awaited dream. Its implementation is definitely a positive news.
Once operational, import and export trade will speed up significantly.
Large ships will be able to anchor here, reducing time and cost.”
Currently, Chittagong Port can only accommodate ships up to 10 meters in depth and 200 meters in length.
The new bay terminal will be able to accommodate vessels up to 12 meters in depth and 280 meters in length.
“Once completed, ships will no longer depend on the tides for berthing.
The terminal will handle ships with a carrying capacity of 6,000 containers, compared to the current port jetty’s capacity of about 2,000 containers,” Khairul added.
As part of the land acquisition process, Chittagong Port has already acquired 66.85 acres of privately owned land and has been allotted 500.7 acres of government land at a nominal cost of Tk3 crore.
Recently, the port paid Tk3 crore to the Chittagong district administration for this allotment.
Additionally, the settlement of 124 acres from the Forest Department is in the final stages through the Ministry of Lands. The district administration is also in the process of acquiring 188 acres of disputed land with various individual ownership claims.
The remaining 1,620 acres required for the project will be reclaimed from the sea.
