DP World Making Profits Without Investment

Shafiul Alam

Chattogram Port’s heart is the New Mooring Container Terminal (NCT). The important Bangladesh Navy base is located next to the terminal. The country’s main fuel facilities are also nearby. The port’s vessel movement channel, which depends on tides, is located directly in front of the terminal.

There are specific natural features, limitations and scheduling issues related to berthing, turning and positioning vessels. The NCT has a one-kilometre-long jetty berth that can accommodate four ocean-going vessels at a time. Despite the strategic and geopolitically sensitive location, strong debate, protests and public anger have continued under three consecutive governments over the decision to lease this important facility to Dubai-based foreign company DP World on a long-term basis.

During the rule of fugitive “fascist” Sheikh Hasina, Chattogram Port was targeted under a plan to hand over its facilities to the Sheikh family and an Awami League oligarch business syndicate through foreign companies. Just before the fall of the Awami League government, a formula was prepared in 2024 to lease important terminals and facilities, including the NCT, to different foreign companies on long-term contracts.

The promise that leasing the facilities to foreign companies would bring in huge amounts of dollars in “profit” was, in reality, a deceptive proposition. Later, the interim government led by Dr Muhammad Yunus strongly moved to implement the decision. However, in the face of strong protests and demonstrations by the Chattogram Port Workers-Employees Alliance, professionals, political groups and civil society, the Dr Yunus government, like the Hasina government, was forced to step back from implementing the controversial decision.

However, as the controversial plan to hand over an operational and continuously profitable facility of Chattogram Port to a foreign company has not been cancelled, the issue has now fallen on the shoulders of the current elected government. So far, the Ministry of Shipping and Chattogram Port Chairman SM Moniruzzaman himself have kept the controversy, anger and protests alive. This is unprecedented.

DP World’s Proposed $205 Million Investment

DP World has been presenting what it describes as a major “profit” opportunity by saying that it will invest around $205 million in modernising the New Mooring Terminal. However, because of the various limitations mentioned above and the sensitive nature of the location, there is virtually no scope for further expansion of the NCT or for any significant foreign investment there.

DP World has also failed to specify where or in which sectors or sub-sectors it would invest the claimed $205 million. Rather, the NCT is already a modern facility equipped with heavy equipment and advanced technology. It was built with Chattogram Port’s own annual profits, with the port and the state spending around Tk 45 billion on it. The NCT already has more equipment than required for its current demand.

In this situation, the promise of investment by DP World or any other foreign company is being viewed as nothing more than a deception. In reality, the Dubai-based port operator DP World appears to be moving forward with the target of making profits without making significant capital investment. Moreover, the foreign company could take at least Tk 11 billion annually under the name of operating and managing the NCT.

DP World’s royalty per container unit would be, on average, $36 to $42 lower than Chattogram Port’s current earnings. In addition, the company would take the storage rental income currently earned by the port. Overall, a large portion of the NCT’s income would go into the pocket of the foreign company. Chattogram Port’s Patenga Container Terminal, Laldia Char Terminal and Pangaon Terminal have already been handed over to foreign companies under long-term lease agreements.

If the operational and self-sufficient New Mooring Container Terminal is also leased to DP World, Chattogram, the country’s main seaport, could turn into an old-fashioned loading and unloading facility. It could lose its importance as an international port. Industrial activity and investment in Chattogram could suffer, and the city itself could lose its importance.

Preparations for a 30-Year Concession

A few senior officials of the Ministry of Shipping, along with Chattogram Port Chairman SM Moniruzzaman, are actively pushing to implement a 30-year concession agreement to lease the operational, self-sufficient and continuously profitable NCT to DP World. However, the preparations are being carried out while keeping confidential the terms of the concession agreement and the benefits Bangladesh would receive.

On November 17, 2025, a hurried agreement was signed at the Sonargaon Hotel in Dhaka. The process of handing over Laldia Char Terminal and Pangaon Terminal to foreign companies under long-term leases also involved secrecy. Now, the entire process of leasing the New Mooring Terminal to DP World is also being conducted secretly.

Ekushey Padak-winning economist and former president of the Bangladesh Economic Association, Professor Dr Moinul Islam, said the purpose of the agreement and its terms should be made clear. “There is nothing to be stubborn about the process of long-term lease or concession agreements. Clarity and transparency of the agreement are necessary.”

Kazi Sheikh Nurullah Bahar, former CBA secretary of Chattogram Port and general secretary of the Chattogram Divisional Workers Party, who is involved in the movement, said the agreement process was being conducted secretly. “Nothing is being allowed to be known to the public. Sitting in Dhaka and holding meeting after meeting, the Chattogram Port chairman is working relentlessly to lease the New Mooring Terminal to the foreign company DP World.”

He said people from all sections of society have been continuing their movement demanding cancellation of the decision to lease the profitable and sensitive NCT. He added that a united programme would be announced to prevent any move to lease the NCT or any other part of Chattogram Port to a foreign company.

NCT Handling Record Volumes of Containers

The New Mooring Container Terminal, a major facility of Chattogram Port, has been breaking container-handling records every year since 2017. According to its normal capacity or handling capability, the NCT can handle 1.1 million container units annually. However, despite its maximum capacity, the NCT handled 1.385 million TEUs of containers in the last fiscal year.

There is no scope for further investment or expansion at the NCT, meaning it will not be possible to handle more containers in the future. For technical reasons, it is impossible and unrealistic to berth more than four vessels at the NCT’s jetty berth, allow much larger vessels to berth, or allow vessels to move freely regardless of tidal conditions.

The reality is that the NCT is already operating at its maximum container-handling capacity with modern infrastructure and heavy equipment. The NCT has earned praise from port users and stakeholders because of increased efficiency, transparency and dynamism under the management of Chittagong Dry Dock Limited, a Bangladesh Navy organisation.

There is also significant scope for further IT-based technological development at the NCT and for improving the skills and experience of its workers and employees to international standards in the near future. Despite this, questions and doubts are growing among people involved in the port and shipping sectors over why the current elected government wants to implement the decision of the fallen “fascist” Ms. Hasina government to lease the NCT to a foreign company.

The terminal was built during the government of former prime minister Begum Khaleda Zia with Chattogram Port’s own funds and is equipped with modern technology and machinery.

Strong Opposition During Yunus Governmen

During the interim government of Dr Muhammad Yunus, the port and political arena witnessed strong protests and demonstrations against the move. Dr Yunus was forced to withdraw from implementing the decision. Despite that bitter experience, the process of leasing the NCT has now taken a new turn under the elected government.

However, neither the government nor the Ministry of Shipping has provided any explanation regarding the port lease process. This has further increased doubts and concerns. A continuous movement is being carried out at the call of the Port Protection Committee, Chattogram, demanding cancellation of the long-term lease process involving DP World for the self-sufficient and continuously profitable New Mooring Container Terminal (NCT), Chittagong Container Terminal (CCT) and overflow yard, all built with Chattogram Port’s own funds.

As part of the programme, a large torch procession was held on August 31 from in front of the National Press Club in Dhaka. On September 4, a discussion meeting titled “NCT-CCT Lease of Chattogram Port: Threat to Bangladesh’s Economy, National Security and Sovereignty” was held at the National Press Club auditorium in Dhaka.

As part of the Port Protection Committee’s three-day programme, a protest procession will be held on Monday, September 14, at 11am. The procession will start from Barik Building intersection near Chattogram Port and proceed towards the port, where a protest rally will also be held.