30-year deal between Ctg port authorities and APM Terminals finalised

The signing of a 30-year concession agreement with APM Terminals BV, a company owned by the Danish-based Maersk Group, to operate the modern Laldia Container Terminal at Chattogram Port is in the final stages.

The matter was approved in principle at the meeting of the Economic Affairs Advisory Council on Wednesday.

Bangladesh Investment Development Authority (BIDA) Executive Chairman Ashiq Chowdhury shared this information at a press conference at the Foreign Service Academy in the capital on Wednesday.

He said that APM Terminals BV is operating more than 60 terminals in 33 countries and is the operator of 10 of the top 20 ports. Apart from Europe, they have long-term experience in various countries in Asia. This project will bring world-class technology, efficiency and efficiency to the port sector of Bangladesh.

Mentioning that Laldia Container Terminal will be the first green and smart port in the country, he said: "It will be able to accommodate ships twice the current capacity and will be operated with 24-hour night navigation facilities. Direct global shipping connectivity and significant reduction in export-import costs will be achieved."

Ashiq Chowdhury added that under the agreement, APM Terminals will invest over US$800 million over the entire term, which is the largest European equity investment in Bangladesh’s history.

Once the LCT is operational, the port’s annual container handling capacity will increase by over 800,000 TEUs (equivalent standard units), which is about 44 percent more than the current capacity. The terminal is expected to be operational by 2030.

The project will be operated on a revenue-sharing basis, which will increase government revenue. It will create 500 to 700 direct jobs during the construction and operation phases and thousands of indirect jobs in trucking, storage, logistics and local small and medium enterprises. APM Terminals will implement international standard Health, Safety, Security and Environment (HSSE) policies and will use digital terminal management systems, Lean methodologies and flow process frameworks, which will enhance the skills of local engineers and technicians.

Faster ship turnaround times and shorter container dwell times will enable exporters, especially those in the garment, agro-processing and light engineering sectors, to deliver on time. The project will boost Bangladesh’s domestic economic flows, expand new inland container depots, cold chains and industrial zones. Energy-efficient technologies and climate adaptation initiatives will reduce carbon emissions and help Bangladesh achieve its Paris Agreement (Nationally Determined Contribution, NDC).

Ashiq Chowdhury said: “The Laldia Container Terminal project will take Bangladesh’s port sector to a world-class level. It is not just an infrastructure investment, but will also prepare the country’s logistics sector for the future and usher in a new era for exports, employment and foreign investment.”