The government has signed agreements with two foreign companies to operate two container terminals under the Chittagong Port Authority. On Monday, an agreement was signed with Denmark-based APM Terminals for the construction and operation of a terminal at Laldia Char in Chittagong port. On the same day, another agreement was signed with Switzerland-based Medlog for the operation and management of the Pangaon Inland Container Terminal in Keraniganj, Dhaka.

For several days, the Workers-Employees Unity Council (SCOB) and various organizations have been protesting the decision to hand over port terminals to foreign operators. Leaders of these groups have also questioned whether the interim government has the authority to enter into long-term contracts involving nationally important facilities such as ports. They have criticized the government for rushing these agreements and not disclosing their details. In the midst of discussions about the handover to foreign operators, the government also raised port tariffs. Business groups claim the hike was made only to facilitate the foreign companies.

At an event held yesterday at the InterContinental Hotel in Dhaka, the Chittagong Port Authority, the Public-Private Partnership Authority (PPP), the Government of Bangladesh, and APM Terminals signed the Laldia Char terminal agreement. Present at the signing ceremony were the Adviser to the Ministry of Shipping, Brigadier General (Retd.) M Sakhawat Hossain; Special Envoy to the Chief Adviser Lutfe Siddique; the CEOs of BIDA, BEZA, and the PPP Authority, Chaudhury Ashiq Mahmood Bin Haroon; the Danish Ambassador Christian Brix Møller; A.P. Moller–Maersk Group Chairman Robert Maersk Uggla; Chittagong Port Authority Chairman Rear Admiral S M Moniruzzaman and others. Danish Foreign Minister Lars Løkke Rasmussen sent a video message.

The Shipping Adviser said, “This $550 million investment is not for ourselves. It is for those who sacrificed their lives during the July 2024 uprising and for future generations.” He added that many foreign investors hesitate to invest in Bangladesh, and successful execution of this project would encourage more countries to come.

Responding to journalists after the event, he said that between 2013 and 2017, foreign investment discussions for Laldia Terminal had taken place but nothing progressed because no project could move forward without bribes.

Danish Foreign Minister Rasmussen said Denmark is proud to jointly construct a terminal with Bangladesh for the first time. He stated that the Laldia Container Terminal would become Bangladesh’s “gateway to the world.”

Danish Ambassador Møller said that export growth is impossible without sustainable logistics. Denmark is not only investing but is also helping Bangladesh build sustainable and green logistics, renewable energy, eco-friendly production, and a skilled labor market.

PPP Authority CEO Chaudhury Ashiq Mahmood Bin Haroon said, “Laldia is not the end. This is the beginning of Bangladesh’s journey toward sustainable growth. We have often seen good engines mounted on wrong chassis. Laldia ends that history.”

A.P. Moller–Maersk Group Chairman Uggla said APM Terminals operates seven of the world’s ten most efficient terminals. The Laldia Terminal will not only improve port efficiency but also enhance Bangladesh’s supply chain, employment, and skills development.

The Chittagong Port Authority Chairman said that Bangladesh depends on Chittagong Port for 90% of its international trade and that future growth would be difficult without new terminals. The new terminal will significantly reduce vessel turnaround time.

It was announced at the event that APM Terminals will invest $550 million in constructing the Laldia Terminal. Construction will be fully completed in 2030. After construction, APM Terminals will operate it. It will be developed under a PPP (public–private partnership) model. The agreement is for 33 years, with an option to extend for another 15 years. The terminal will have an annual handling capacity of 2 million TEUs, increasing the country’s container handling capacity by up to 40%.

Switzerland-based Medlog has received responsibility for managing and operating the Pangaon Inland Container Terminal in Keraniganj. The agreement was signed yesterday afternoon at the InterContinental Hotel between the Chittagong Port Authority and Medlog. Under the 22-year agreement, Rear Admiral S M Moniruzzaman and Medlog Bangladesh Managing Director ATM Anisul Millat signed on behalf of their organizations.

In his speech as chief guest, Shipping Adviser Brigadier General (Retd.) Dr. M Sakhawat Hossain said that the terminal, located near the Dhaka–Mawa–Bhanga Expressway on the banks of the Buriganga River, will mark a new chapter in Bangladesh’s logistics and trade infrastructure.

According to the agreement, Medlog’s local subsidiary, Medlog Bangladesh, will oversee the terminal’s operations, supply chain, and automation. The terminal’s facilities will be expanded to handle growing regional trade, and annual handling capacity will increase to 160,000 TEUs.

To strengthen multimodal connectivity, Medlog will hire inland barges to link Pangaon with other river ports and seaports. These barges will transport large volumes of cargo, while additional trucks, covered vans, and reefer vehicles will create new supply chains. Improved intermodal transportation will reduce uncertainty in domestic logistics and ensure better lead times for importers and exporters.

Pangaon Terminal will have two mobile harbor cranes, reefer connections, and 24-hour electricity. It will also include empty container storage, a repair yard, and a container freight station of up to 10,000 square meters for stuffing and stripping.

According to BSS, Chief Adviser Professor Muhammad Yunus said that Denmark’s APM Terminals’ investment in Laldia marks the beginning of a new era for Bangladesh’s trade and FDI. It opens doors for larger and diversified investments from Denmark and Europe.

At a meeting at the State Guest House Jamuna in the capital yesterday, a Maersk Group and Danish government delegation met the Chief Adviser. A press release from his office stated that Maersk Group Chairman Uggla led the delegation. Denmark’s State Secretary for Trade and Investment, Lina Gandløse Hansen, also attended.

Uggla, who visited Dhaka for the Laldia Terminal signing ceremony, said that the investment at Chittagong Port would be the largest European investment in Bangladesh. Once operational in 2030, the Laldia Terminal will allow larger ships to call at Chittagong and significantly boost Bangladesh’s economy. The Chief Adviser welcomed the Danish company’s decision, saying, “We are happy and excited.”

Professor Yunus urged APM Terminals to complete construction quickly. He emphasized that Bangladesh must create millions of jobs and accelerate infrastructure development—this terminal will be an economic gateway.

From Chittagong, it was reported that the Workers-Employees Unity Council (SCOB) has issued a statement demanding cancellation of the lease agreements for the Laldia and Pangaon terminals. SCOB leaders strongly condemned the Chittagong Port Authority for signing the agreements with foreign operators at an unusually fast pace under government instructions. They warned of hartal (strike) and blockades on the Dhaka–Chittagong highway if the agreements are not canceled.

SCOB leaders said that the long-term lease agreements were made without giving enough time or considering the views of stakeholders. They said that if the government does not withdraw this “anti-public decision” immediately, they will hold a convention on November 22, from which they will announce tougher actions including hartals and blockades.

The statement was signed by political and labor leaders including Kazi Sheikh Nurullah Bahar, Tapan Dutta, S.K. Khoda Toton, RizuAnur Rahman Khan, Taslim Hossain Selim, Ibrahim Khokon, Nurul Absar Tawhid, among others.

The Chittagong Port Authority believes that the agreements will make the loss-making Pangaon Terminal profitable and help build Laldia Terminal to international standards. The port authority’s secretary Omar Faruk said, “All processes have been completed following ministry instructions. We reviewed all aspects of the agreement properly. If things proceed according to the agreement, both terminals will increase the port’s capacity and revenue.”