Direct shipping between Pakistan and Bangladesh commenced on November 11, 2024, with the Panama-flagged ship 'Yuan Jiang Fa Zhong' arriving at Chittagong port with goods for the first time.
Previously, goods from Pakistan passed through several ports before reaching Bangladesh. Now, with direct shipping, cargo ships are arriving without any intermediate stops, leading to widespread speculation.
Imports from Pakistan have grown by 21.40% as of November 22, 2024, compared to the same time in 2023.
Importers have stated that direct shipping between Chittagong port and Karachi has begun due to the changed political situation, resulting in a boost in commercial activities. They also noted that exports will also need to be considered, in addition to imports in the future.
In a notice issued on September 29, the Revenue Board stated that the interim government resolved the complexities in clearing imported goods from Pakistan after the fall of the Awami League government. To facilitate trade between the two countries, the National Board of Revenue (NBR) removed the mandatory 100% physical examination requirement for all imported goods from Pakistan.
Due to the withdrawal of this condition, it was announced that imports from Pakistan will now be subject to the same risk-based inspection process applied to goods imported from other countries.
Approximately a month and a half after the NBR's directive, the Panama-flagged ship 'Yuan Jiang Fa Zhong' arrived in Chittagong on November 11, carrying imported goods from Karachi port, Pakistan, for the first time.
According to sources from the National Board of Revenue (NBR), in the first five and a half months of the 2024-25 fiscal year (from July to December 22), Bangladesh imported goods worth $179.4 million from Pakistan. In comparison, during the same period in 2023, imports totaled $141 million. This represents an increase of $38.4 million, or 21.40%.
The highest imports this time include raw materials for the garment industry, onions, potatoes, refined sugar, dolomite, raw materials for the glass industry and several other products.
In the last fiscal year (2023-24), the total amount of goods imported from Pakistan was 1.6 million tons. The import value of these goods was $62.7 million, which accounts for 1% of the country's total imports. While imports have increased, due to the lack of proper arrangements for exports, the export of Bangladeshi products to Pakistan remains at zero.
Previously, goods carried by containers from Karachi port in Pakistan would take 20-22 days to reach Chittagong port, as they passed through various ports such as Colombo, Singapore, and Dubai. However, with the commencement of direct shipping from Karachi to Chittagong, the travel time has now reduced to just 11-12 days.
The Chittagong Port Authority reports that 1,126 TEUs (20-foot long containers) of goods have arrived at Chittagong Port from Karachi in two shipments through the new shipping service.
Chittagong Port Authority Secretary Mr. Mohd. Omar Faruk said, "As cargo is being generated, if importers are enthusiastic and wish to import more cargo, the ship services will be increased. Currently, ships are arriving on a regular basis, with one ship arriving each month. There is also the possibility of more new shipping lines joining this route."
Mr. Khairul Alam Suzan, Vice President of the Bangladesh Freight Forwarders Association (BAFFA) said, "Goods have been imported from Pakistan before as well. Now importers are primarily bringing essential products in preparation for Ramadan. Previously, shipments passed through several ports such as Dubai, Singapore, and Colombo before arriving at Chittagong Port. Delays at transshipment ports could result in goods taking almost a month to reach their destination."
With direct shipping now available from Pakistan, the time required will be reduced by one-third. He mentioned that the introduction of direct shipping on this route will encourage Bangladeshi traders to engage more in importing and exporting goods to and from Pakistan. At present, one ship is operating on the Karachi-Chattogram route, and more ships are expected to join in the future.
Bd-pratidin English/ Afia
