Dhaka: Speakers at a roundtable discussion emphasized the necessity of an efficient and integrated logistics ecosystem to enhance Bangladesh’s export volumes and improve the overall business and investment climate. They conveyed these insights during a discussion titled ‘Integrated Port and Logistics Development for a Trade-Driven Bangladesh’ held at the DCCI Auditorium.
According to Bangladesh Sangbad Sangstha, Md. Salim Ullah, Director General of Bangladesh Institute of Management, highlighted that Bangladesh lags significantly in the efficient management of integrated ports and logistics systems, leading to increased business costs. He called for coordinated efforts among stakeholders to achieve progress in the sector.
In his keynote presentation, Dr. M. Masrur Reaz, Chairman and CEO of Policy Exchange of Bangladesh, noted the substantial contribution of manufacturing sectors to Bangladesh’s GDP, which surpasses many neighboring countries. He stressed the importance of attracting local and foreign investment to boost the manufacturing industry’s contribution.
Dr. Reaz pointed out that despite significant transformations in Bangladesh’s export sector over four decades, exports remain concentrated in a few products and markets. He emphasized the need for economic diversification to remain competitive globally, focusing on enhancing trade-related capacity, improving infrastructures, and modernizing policies and regulations.
Identifying weak logistics infrastructures and high business costs as major challenges, Dr. Reaz suggested that reducing logistics costs by 25% could boost exports by 20%, while a 1% reduction in transportation costs could raise exports by 7.4%. He also stressed the effective implementation of the national logistics policy and the involvement of international and domestic operators in port management.
Md Habibur Rahman, Additional Secretary and Former Member (Admin and Planning) of Chittagong Port Authority, pointed out that railway connectivity is the only viable long-term solution due to limited expansion scope of the Dhaka-Chattogram highway. He advocated for establishing rail connectivity with ports for faster and cost-effective cargo transportation and proposed private sector involvement in seaport operations to enhance competition and service quality.
Dr. Md. Shamsul Hoque of BUET emphasized the need for practical development planning and integrated communication infrastructure to achieve expected outcomes. S.K Masadul Alam Masud from Shahariar Steel Mills Ltd. noted reluctance among entrepreneurs to use Pangaon Port due to inadequate scanning devices and insufficient inland waterway infrastructure, increasing transportation costs.
Nusrat Nahid Babi from World Bank Bangladesh observed that customs clearance procedures in Bangladesh lack simplification and modernization, leading to prolonged cargo clearance processes. Humayun Kabir from the Asian Development Bank mentioned ADB’s involvement in developing Dhirashram Inland Container Depot and a multimodal logistics hub, emphasizing digitization and automation in logistics services.
In his welcome remarks, Razeev H Chowdhury, Senior Vice President of DCCI, stated that infrastructural limitations and lack of institutional coordination are severely affecting Bangladesh’s export competitiveness. He called for an efficient and sustainable logistics ecosystem through paperless automated systems at ports, infrastructure development under Public-Private Partnership initiatives, and expanded investment in modern cold-chain logistics.
During the open floor discussion session, various industry leaders and representatives from government and private sectors shared their insights and suggestions to improve the logistics ecosystem in Bangladesh.