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5 years ago

Move to test dredge main channel of Payra port

File Photo (Collected)
File Photo (Collected)

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The government has now taken a move to dredge the main channel of Payra port on a test basis, officials said.

It will carry out dredging to check the siltation rate and decide as to whether it will build a deep-sea port or a normal seaport, they added.

Jan De Nul (JDN), a Belgium-based company, will dredge the channel for one year before deciding the fate of the port, the officials said.

After getting approval for the proposal from the Ministry of Law, a file in this regard is now awaiting the prime minister's nod.

Sources said a negotiation committee, headed by an additional secretary of the Ministry of Shipping (MoS), had taken the decision on dredging of the channel on a test basis to find out whether a large investment at that point would be sustainable.

While negotiating the dredging plan and cost with Jan De Nul, the committee discussed that if the rate of siltation is found to be high, the channel will need a large maintenance dredging every year.

As a result, earnings from the port would not be rational against investment, they also opined.

During the one-year period, sources said, Jan De Nul will dredge the port's 22-kilometre main channel 10-metre deep from existing four to five metre depth.

During the period, the rate of siltation will be observed to take decision about building of a deep-sea port or a normal range seaport, they said.

Shipping Secretary Abdus Samad told the FE last week that building a deep-sea port requires a large investment.

"But before that we need to check return from the investment too," he said. An additional secretary of the ministry said setting up of a seaport is mandatory for economic development of greater Barishal district.

According to officials, capital dredging component of the country's third seaport will require US$600 million. Jan De Nul has agreed to arrange fund as foreign loan from Hongkong and Shanghai Banking Corporation (HSBC).

Prime Minister Sheikh Hasina on November 19, 2013 formally inaugurated Payra port for limited operation before the construction of a full-fledged port.

Shipping ministry officials said the construction work on Payra port has been divided into 19 components of which most important part is dredging of the main channel.

Unless dredging is completed first, other components including port infrastructure and setting up of terminals cannot be started. According to a feasibility study, conducted by British consultancy company Wallingford, the construction of the full-fledged port may involve US$20 billion.

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