The Mongla Port Authority (MPA) is moving forward with plans for a significant upgrade to the Mongla seaport, potentially reviving a stalled project funded by China. The interim government, which took office in August 2023, is expected to approve a Taka 40.68 billion investment that encompasses the expansion and modernisation of the port facilities.
Insiders indicated that the MPA has recently submitted a revised project proposal to the Executive Committee of the National Economic Council (ECNEC) for approval. The original project was put on hold by the previous government, led by Sheikh Hasina, in September 2022 due to “geopolitical considerations.”
The new approach will see China Civil Engineering Construction Corporation (CCECC) as the designated contractor for the project, which includes plans for two new container jetties, a loaded container yard, an empty container yard and a hazardous cargo-handling yard. With these enhancements, the seaport aims to significantly increase its container-handling capacity by approximately 394,000 twenty-foot-equivalent units (TEUs) annually.
Additionally, the project includes the procurement of four gantry cranes and several other pieces of equipment vital to the operation of the jetties. China is proposing to finance Taka 35.93 billion of the total costs, signaling a renewed interest in this strategic development.
Since the political landscape in Bangladesh has shifted with the new interim government, the project—which was part of a 2016 agreement for funding 27 development projects by China during President Xi Jinping’s visit—has gained new momentum.
Mongla seaport has seen increasing relevance due to infrastructure developments in the southern region of Bangladesh, notably the Padma Bridge. The port’s strategic location makes it the nearest seaport to the capital, Dhaka and has attracted interest from international shipping lines and garment exporters looking to capitalize on the port’s advantages.
With records in ship arrivals, cargo handling and revenue generation, Mongla seaport is poised to play a crucial role in regional and international trade, enhancing connectivity and economic opportunities for Bangladesh. The port recorded its highest-ever ship turnout of 970 in 2020, generating a profit of Taka 1.30 billion from its operations.
