News / Box lines eye China-Chittagong route as Bangladesh-India relations sour

Photo: PIL

Following a low in political relations between Bangladesh and India – after the ousting of the former’s government last month –shipping lines have stepped in to offer new routes and capacity out of China. 

Pacific International Lines (PIL) has launched a direct service from China to Chittagong, the first vessel arriving in Bangladesh today. 

The China Chittagong Express, offered by a consortium, will be a weekly service, taking eight days rather than the 20 to 22 needed for ships going to regional hub ports, such as Singapore and Port Klang. 

A senior PIL official told The Loadstar the vessel left Ningbo on 31 August, called at Shanghai then Shekou and would be berthing at Chittagong today. 

It is carrying 935 teu, containing mainly raw materials for Bangladesh’s garment industry. It is expected to return with more than 1,000 teu to Ningbo. 

The PIL official added that initially three vessels would operate the service, but more could be added. 

Bangladesh sources 25% of its imports from China, mainly raw materials and machines for the garment industry, and imports from China are expected to rise following the worsened political relationship with India. 

Alamgir Hossain, a factory owner in Dhaka who imports raw materials from China, said factory owners needed supplies ‘as soon as possible’, helping them reduce production costs. 

“PIL’s quick service will be very helpful for factory owners,” he said. 

As Chinese investment in Bangladesh has increased, shipping lines have launched new services between the countries. Hong Kong-based SITC operates two a week, Korea-based Sinokor-Hyundai one a week, Maersk Line three and CMA CGM-owned CNC Line two services a week. 

In July, Maersk added a ship on its Chittagong-China route, taking it up to three, while MSC also launched a service that month. 

Six major shipping lines now operate 10 ships every week on the China-Chittagong route.