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Summit rehired despite past irregularities

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Staff Reporter :

Summit Associates has once again been awarded a government contract to supply urea fertiliser for the upcoming Aman season, despite previous concerns related to delivery shortfalls, underweight consignments, and allegations of procedural irregularities.

The company, which came under scrutiny during the last Boro season for failing to meet its allocated quota, has secured the tender to supply 30,000 metric tonnes of urea, following a bidding process managed by the Bangladesh Shipping Corporation under the supervision of Bangladesh Chemical Industries Corporation (BCIC).

The fertiliser is imported under government-to-government (G2G) arrangements, predominantly from Middle Eastern countries, and is distributed domestically through tenders.

In the recent round, Summit Associates reportedly offered a significantly lower rate-under the usual cost range of USD 50-52 per metric tonne-which helped them secure the contract. However, several industry stakeholders have expressed concern that such low bids may indicate a potential “price war,” which could compromise delivery standards, timelines, and ultimately, agricultural output.

Experts have urged the authorities, particularly BCIC and related agencies, to ensure robust oversight and transparency in the procurement and distribution processes. They warned that repeating past mistakes could risk creating an artificial fertiliser shortage, negatively affecting farmers and food production.

In previous incidents, Summit was found to have delivered underweight fertiliser consignments.

Notably, at the Gaibandha warehouse, 500 metric tonnes of urea were rejected after inspections revealed that individual bags were 1 to 2.5 kg short of the specified weight. Due to the absence of provisions for accepting such goods, the rejected bags were stored outside under tarpaulins.

Furthermore, allegations have surfaced regarding unauthorised subcontracting by Summit, which reportedly resulted in the illegal transportation of 15 truckloads of fertiliser from the Tapakhola buffer zone. In another case, 47 metric tonnes of fertiliser were reportedly lost when the vessel MV Seven Gas-4 experienced a hull leak.

While the estimated market value of the lost cargo is around BDT 1.3 million, the shipping agent, MM Shipping, has claimed BDT 12 million in compensation-prompting questions about the integrity of the claims process.

Summit Associates is also reported to owe BCIC over 20,000 metric tonnes of undelivered fertiliser from three earlier shipments. Despite this outstanding obligation, the company continues to secure new contracts, leading to public and industry concerns regarding procurement accountability.

When contacted, BCIC Deputy General Manager Saiful Alam confirmed that underweight consignments are not being accepted, and the supplier has been instructed to rectify the discrepancies. He added that some pending deliveries from Summit are expected shortly.

BCIC Chairman Md Nuruzzaman, when asked about the reappointment of the supplier, stated that he was not fully aware of the issue but assured that it would be investigated and appropriate action taken if any irregularities are found.

Agricultural experts and stakeholders have reiterated the urgent need for systemic reforms and enforcement mechanisms to ensure the integrity of fertiliser distribution. They caution that failure to do so could undermine food security and the livelihoods of millions of farmers across the country.

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