Rail Dispute Causing Delays In Bangladesh

Bangladesh exporters and importers are currently facing supply chain delays after train services were suspended on Sunday, following railway staff's refusal to work overtime.

The dispute, over pay and benefits, has led to congestion for hundreds of containers moving through inland container depots (ICDs) in both the capital Dhaka and the major port of Chittagong.

Railways in Bangladesh are operating with around 55% of the staff actually required and therefore rely heavily on staff doing overtime. However, the ministry of finance recently adjusted pension benefits, which triggered an overtime strike that has led to subsequent delays.

Manufacturers of raw materials for domestic garment manufacturing have been particularly impacted by export cargo missing its designated feeder vessels as well as the mother vessel in transhipment ports.

While many importers have become frustrated by delays of up to 16 days on containers arriving at Chittagong.

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