Chattogram Port Authority Shifts Stance on Rain-Damaged Cargo, Seeks Damage Details

The Chattogram Port Authority (CPA) has made a significant shift in its stance regarding cargo damaged during recent heavy rainfalls. After initially stating that it would not accept any liability or compensation claims for goods affected by waterlogging inside the port, the CPA has now issued a notice seeking information on damaged cargo. This move marks a considerable departure from its earlier position, which was met with strong criticism from trade bodies and businesses affected by the flooding.

The notice, issued on Tuesday, July 21, asks C&F agents to submit details of import and export cargo damaged by the flooding at port yards. This development comes less than two weeks after the CPA issued a strongly worded notice stating that it would not be liable for any damage to cargo caused by continuous rainfall, describing the incident as an 'Act of God'. The CPA cited relevant legal provisions and declared that it would deny, reject, and disclaim any compensation claims arising from damage to goods stored in what it described as protected areas of the port.

The initial notice triggered a wave of criticism from the country's four leading trade bodies: the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), the Bangladesh Textile Mills Association (BTMA), and the Chattogram Chamber of Commerce and Industry (CCCI). These organizations later wrote to the government demanding compensation for affected businesses. The CPA's decision to collect information on damaged cargo is seen as a response to this criticism and a step towards potentially addressing the concerns of affected parties.

The heavy rainfall that caused severe waterlogging across Chattogram city and inundated several container yards inside the port occurred on July 5. Water entered containers after accumulating around their bases, damaging imported and export-bound goods. Similar incidents were reported at several private inland container depots linked to the port. Images of waterlogged cargo circulating on social media prompted widespread criticism from traders and renewed calls for compensation from the port authority.

The CPA's shift in stance may signal a willingness to reconsider its liability in the matter. However, the extent of this reconsideration and whether it will lead to compensation for affected businesses remain to be seen. The CPA Secretary, Sayed Refayet Hamim, stated that he was not aware of the notice and would look into the matter with the relevant department, indicating that the CPA is still in the process of determining its course of action.

The incident highlights the need for effective measures to prevent such damage in the future. It also underscores the importance of clear communication and cooperation between the port authority, trade bodies, and businesses to address issues promptly and fairly. As the CPA moves forward with collecting information on damaged cargo, it is essential for all parties involved to work together to find a resolution that balances the needs and responsibilities of each stakeholder.

Looking ahead, the CPA's decision to seek details of damaged cargo could be the first step towards a more collaborative approach to managing risks and liabilities associated with weather-related events. By acknowledging the impact of the flooding on businesses and taking steps to understand the extent of the damage, the CPA may be paving the way for a more constructive dialogue about how to mitigate such risks in the future. This could involve investing in improved infrastructure, developing more effective emergency response plans, and establishing clearer protocols for handling compensation claims.