The Patenga Container Terminal operator has increased storage fees by four times for less-than-container-load (LCL) shipments exceeding the free storage period at its container freight stations. Effective July 1, the revised tariff by Saudi Arabia’s Red Sea Gateway Terminal (RSGT) now charges Tk 272 per tonne per day, up from Tk 68. This new rate applies each day post the 11-day free storage period for LCL cargoes, which are shipments insufficient to fill a standard ocean container.
RSGT cites persistent congestion at its warehouses due to importers utilizing the freight stations as cost-effective storage instead of promptly retrieving their goods as the reason behind the adjustment. However, concerns loom over potential increased import expenses among port users. Chittagong Customs Agents Association’s General Secretary, Md Showkat Ali, expressed objection to the steep hike, emphasizing that it might escalate import costs, urging a review by the terminal operator.
An industrial raw material importer, preferring anonymity, highlighted that cargo clearance delays are often beyond importers’ control due to customs processes, banking formalities, or factory-related issues. Enforcing a quadruple storage fee without considering these operational challenges could raise business costs unnecessarily, the importer noted.
Syed Aref Sarwar, RSGT Bangladesh’s Head of Commercial and Public Affairs, clarified that the escalated charge applies exclusively to LCL cargoes, constituting less than 2% of the terminal’s total cargo flow. He highlighted that a significant portion of importers fail to clear goods timely as the current storage cost of Tk 68-69 per tonne per day incentivizes prolonged storage.
Sarwar attributed the tariff revision to align with Chittagong Port Authority’s regulations permitting up to four times the standard storage rent for overdue cargo. Importers are granted an 11-day complimentary storage period for LCL shipments post unpacking at the container freight stations to discourage prolonged usage of the terminal’s limited warehouse space.
Emphasizing trade facilitation over revenue, Sarwar emphasized the need for swift cargo delivery by discouraging unnecessary warehouse occupation, which disrupts terminal operations and hinders other importers awaiting their goods. RSGT, Bangladesh’s first foreign container terminal operator since acquiring the Patenga Container Terminal in 2024, recently completed deploying four ship-to-shore cranes on June 19, enhancing cargo-handling capabilities. Operations have been at full capacity since July, as per RSGT sources.