Maersk warns: "The No. 1 traffic jam in the world" continues to be congested! Many shipping companies have suspended accepting orders

The latest report from Lloyd's List pointed out that although the Bangladeshi government has announced the lifting of the curfew that started on Sunday and was implemented on Tuesday, allowing businesses to resume normal business hours, and Internet and mobile connection services have been restored nationwide, the country is still affected by continued unrest. The resulting port congestion problem remains severe, and the overall situation remains volatile.

Maersk confirmed in its official announcement that although Chittagong, Bangladesh's largest port, has returned to operation, the transshipment and processing of containers is slow due to a serious shortage of on-site staff. The company further emphasized: "The current situation is extremely unstable and continues to change dynamically."

A Chinese freight service provider revealed to Lloyd's List:Although Chittagong Port remains operational, port congestion has not eased. Coupled with ongoing civil unrest, some consignees have chosen to cancel cargo orders to Chittagong Port.In addition, the riots also affected the railway transportation system, further exacerbating the transportation difficulties of port cargo.

In view of this, many container shipping companies have taken temporary measures to suspend the acceptance of cargo orders to Dhaka, the capital of Bangladesh, in order to cope with the current complex and uncertain logistics environment.

Linerlytica's weekly report data shows that port operations in Chittagong have been severely disrupted by protests, and ship berthing delays are still common, with some ships even facing waiting times of up to seven days.

The protests originated in early July, initially triggered by a controversial government employment quota system, and then quickly spread and escalated into nationwide riots. In response to the situation, the Bangladeshi government has implemented curfews multiple times since around July 20 and temporarily suspended broadband connection services, but gradually restored these services in the following days.

It is worth noting that Bangladesh Prime Minister Sheikh Hasina announced her resignation and left the country on Monday. Subsequently, the military chief stated that an interim government would be formed to stabilize the domestic situation.

Chittagong (Chattogram), as the largest port city in Bangladesh and the second largest city in the country, the operation of its port is crucial to the international trade and industrial development of Bangladesh. However, Chittagong Port is often stuck in a state of congestion, which not only affects the port's own operational efficiency, but also poses a considerable obstacle to Bangladesh's economic development.

Although Chittagong Port has a long history and relatively modern facilities, its processing capacity is relatively limited. With the rapid development of Bangladesh's economy, especially the rapid growth of international trade and industrial production, the throughput of the port has also increased significantly. However, the port's processing capacity has not kept pace with this growth, resulting in the port being frequently overloaded. According to data, the annual throughput of Chittagong Port has far exceeded its design capacity. This imbalance between supply and demand is one of the main causes of port congestion.

Chittagong port infrastructure also has many limitations. For example, the port has a limited number of berths, and the berths are too shallow to handle large container ships. This results in many large cargo ships waiting at anchorages outside the port, waiting for small barges to transfer their cargo. In addition, the loading and unloading equipment and storage yard space in the port are also limited and cannot meet the needs of rapid loading, unloading and storage of large quantities of cargo. These infrastructure constraints further exacerbate port congestion.

Poor management is also one of the important reasons for congestion at Chittagong port. Port management departments have deficiencies in coordinating the entry and exit of ships, cargo loading and unloading, and storage, resulting in inefficient port operations. In addition, there are some irregular operations and irregularities in the port, such as occupying yard space without permission, illegal loading and unloading of goods, etc. These behaviors also aggravate the congestion and chaos of the port.

Apart from internal factors, external factors have also caused disruptions in the operations of Chittagong Port. For example, recent protests in Bangladesh have led to highway obstructions, curfews, and limited Internet services, further exacerbating port operational difficulties. In addition, the "Pre-ship Inspection System" (PSI) for imported goods implemented by the Bangladesh government has also had a certain impact on port operations. This system requires that all goods exported to Bangladesh undergo value assessment and bulk status inspection before shipment, which increases the customs clearance time and cost of imported goods to a certain extent, thereby exacerbating port congestion.