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Diesel hike fuels rise in freight charges, bus fares

Freight charges for lighterage vessels operating on inland waterways are set to increase by 10 percent following a recent 15 percent hike in diesel prices, officials said.

The Department of Shipping confirmed that an official circular announcing the revised rates will be issued on April 26 after receiving approval from the Ministry of Shipping.

He said an official circular will be issued on April 26 following approval from the Ministry of Shipping.

Bari told the media that the decision came after consultations with stakeholders, where proposals ranged from 8percent to 20percent.

“After assessing the cost impact, a 10percent hike was considered reasonable and agreed upon by all parties,” he said.

The adjustment comes after the government raised diesel prices to Tk115 per litre to reduce subsidy pressure.

The hike has already pushed up transport and commodity costs, highlighting the country’s dependence on diesel-based logistics.

Bari noted that freight rates are usually determined through discussions between ship owners and importers, but this time stakeholders opted for a formal, coordinated process through the department.

Initially, the Seaman Factory Owners’ Association opposed an increase beyond 5percent, but later consented to the 10percent hike.

Parvez Ahmed, spokesperson for the Bangladesh Water Transport Coordination Cell, said the structured approach ensured transparency.
“We could have fixed the rates ourselves, but we chose to follow a formal process,” he said.

He added that the base freight rate on the Dhaka–Chattogram route will rise from Tk550 to Tk605 per tonne.

Despite being slower, waterway transport remains far cheaper than road transport for moving goods from Chattogram Port’s outer anchorage, with over 2,500 lighterage vessels handling most of the cargo nationwide.

However, the higher freight cost is likely to be passed on to consumers, adding to inflationary pressure.

Bus fares also increase Meanwhile, the government has raised fares for diesel-powered buses and minibuses by 11 paisa per kilometre, according to a notification issued by the Road Transport and Highways Department on Thursday.

Road Transport and Bridges Minister Sheikh Rabiul Alam earlier announced the revised rates following the fuel price hike.

Under the new structure, fares in Dhaka and Chattogram metropolitan areas have increased to Tk2.53 per kilometre per passenger from Tk2.42. For inter-district and long-distance routes, fares have risen to Tk2.23 from Tk2.12.

Within Dhaka, Chattogram and nearby districts under the Dhaka Transport Coordination Authority (DTCA) including Narayanganj, Munshiganj, Narsingdi, Gazipur, Manikganj and Dhaka the rate has been set at Tk2.43 per kilometre, up from Tk2.32.

Minimum fares have been fixed at Tk10 in Dhaka and Tk8 in Chattogram.
The notification also states that if seating capacity is reduced for greater passenger comfort, fares for long-distance routes must be adjusted proportionately with approval from the relevant authorities.

The revised fares do not apply to gas-powered vehicles, and operators must display the updated fare charts clearly inside vehicles. The new rates took effect immediately.

The fare revision follows the government’s April 18 decision to increase fuel prices raising diesel by Tk15 per litre, octane by Tk20, petrol by Tk19, and kerosene by Tk18 which came into effect from midnight on April 19 and prompted transport operators to seek fare adjustments.