The government has no plan to cancel or renegotiate the concession agreement signed with Denmark-based APM Terminals for the construction and operation of the Laldiar Char Container Terminal at Chattogram Port, Shipping Minister Sheikh Robiul Alam told Parliament on Monday.
Responding to a written question from lawmaker Md Shahadat Hossain of Lakshmipur-1 during the parliamentary question-and-answer session, the minister said the agreement was concluded through a transparent process under the government-to-government (G2G) framework between Bangladesh and Denmark, in full compliance with the Public-Private Partnership (PPP) Act and relevant regulations.
He outlined the project’s timeline, saying Bangladesh and Denmark first signed a memorandum of understanding on June 30, 2021, aimed at promoting environmentally sustainable infrastructure development.
As part of that initiative, Denmark-based APM Terminals, a subsidiary of the Maersk Group, formally proposed on May 21, 2023, to build a container terminal on the right bank of the Karnaphuli River at Laldiar Char.
The Cabinet Committee on Economic Affairs granted in-principle approval to the project on November 29, 2023. During the first Bangladesh-Denmark PPP Joint Platform meeting on January 3, 2024, the Danish government formally endorsed implementation of the project through APM Terminals.
Following due diligence and legal reviews conducted by the International Finance Corporation (IFC), acting as the transaction adviser, the Chattogram Port Authority and APMT BV signed the concession agreement on November 17, 2025.
The minister said the agreement has a total tenure of 33 years, including a three-year construction period followed by 30 years of operation. Under the terms of the contract, the operational period may be extended by an additional 15 years.
APM Terminals will invest US$550 million in developing the state-of-the-art terminal on vacant land within Chattogram Port, he said.
The minister expressed hope that the investment would significantly enhance the port’s container-handling capacity, create new employment opportunities, and facilitate the transfer of advanced global port technologies to Bangladesh.
Matarbari Deep Sea Port to Receive Large Mother Vessels by 2029
Replying to another question from lawmaker Md Nurul Islam of Chapainawabganj-3, the shipping minister said the Matarbari Deep Sea Port is set to mark a historic milestone in Bangladesh’s maritime trade infrastructure.
He said the port is expected to become operational by 2029, enabling Bangladesh, for the first time in its history, to directly accommodate container mother vessels with capacities of around 8,200 twenty-foot equivalent units (TEUs) and cargo ships of up to 100,000 deadweight tonnes (DWT).
“This will allow vessels with nearly four times the carrying capacity of those currently handled at Chattogram Port to berth directly, bringing a transformative change to the country’s import and export trade,” the minister said.
He noted that Bangladesh’s existing seaports lack the required draft to receive large mother vessels, forcing importers to rely on regional transshipment hubs such as Singapore, Colombo and ports in Malaysia. Cargo must be unloaded there and transported to Bangladesh by smaller feeder vessels, increasing both transportation costs and transit times.
The minister informed Parliament that Matarbari Deep Sea Port is being developed with a navigation channel of approximately 16 metres in depth and a modern container terminal.
Once operational, the port will reduce Bangladesh’s dependence on foreign transshipment ports, speed up cargo handling and transportation, lower logistics costs, and improve the competitiveness of the country’s foreign trade, he said.
Beyond strengthening Bangladesh’s maritime trade capacity, the minister added that Matarbari Deep Sea Port is expected to emerge as a major regional maritime hub, playing an important role in facilitating international trade and transit for neighbouring countries.
mirmostafiz@yahoo.com
