CHATTOGRAM, Jan 17: The authorities of the Chattogram Port Authority (CPA) are expected to invite tender for appointment of construction contractor by March next, said Muhammad Omar Faruk, Director Administration of CPA.
He also hoped that the construction contractor may be appointed by June next.
The project "Bay Terminal of Chattogram Port" for harbouring big-hull ships will be completed by 2031. An agreement was signed with the World Bank on April 23 last to construct a breakwater in the channel of the Bay Terminal.
The CPA has invited the potential contractor for breakwater construction and channel dredging and suppliers of navigational equipment in the General Market Engagement (GME) conference.
"The Bay Terminal Marine Infrastructure Development Project was already reviewed and approved at the ECNEC on April 20 last. The ECNEC also approved the Development Project Proposal (DPP) for breakwater construction and channel dredging.
The Chattogram Port is in the process of constructing Container Terminal-1 and Container Terminal-2 of the Bay Terminal with PPP partners PSA Singapore and DP World.
The Bay Terminal Marine Infrastructure Development Project of CPA will be implemented through a combination of CPA's own investment, a World Bank loan and private-sector participation. Under this initiative, the breakwater and channel dredging component will be implemented by CPA with World Bank financing while the terminal facilities will be developed and operated under a public- private partnership model. The World Bank -funded project aims to enhance maritime -port capacity
The infrastructure-development project, financially supported by the World Bank, is to enhance maritime-port capacity and operational efficiency at the Bay Terminal for the benefit of all stakeholders. Procurement activities under this project will be conducted in accordance with the World Bank procurement regulations for IPF borrowers. With the project and loan agreement now approved, procurement process is expected to commence in early 2026.
The Bay Terminal project, backed by $650 million from the World Bank, will be implemented under a combination of CPA-financed works and Public-Private Partnerships (PPP). CPA will handle the breakwater and access-channel components, financed through the World Bank, while private-sector operators will develop and manage the terminal facilities. The initiative is expected to enhance port capacity, reduce vessel -turnaround time, and improve Bangladesh's competitiveness in global trade.
The terminal complex will include three state-of-the-art terminals: a 1,500-metre multipurpose terminal, a 1,225-metre container terminal, and an 830-metre container terminal. Container Terminals 1 and 2 will be constructed under PPP agreements with Enterprise of Singapore PSA and DP World of the UAE, respectively. Each terminal will have modern cargo-handling equipment, with multipurpose facilities catering to general cargo. The total berth length will be 3,500 metres, allowing simultaneous docking of four to five large vessels.
A 6-km climate-resilient breakwater will protect the harbour from strong waves, currents, and extreme weather conditions. The dredging of the port basin, entrance, and access channels will allow in larger vessels, including Panamax ships, to operate efficiently. Officials estimate that faster turnaround times could save the economy around $1 million daily.
The project will also enhance social and economic benefits. Over 1.0 million people, half of them women, will gain improved access to sustainable transport services, including shipping companies, importers, exporters and freight forwarders. The project will encourage women-owned enterprises to participate in trade and port-related employment. By streamlining logistics, reducing transportation costs, and improving regional connectivity, the Bay Terminal is set to become a hub for inclusive growth.
In April 2025, Bangladesh and the World Bank signed financing agreements totalling $850 million, including $650 million for Bay Terminal and $200 million for modernizing the national social protection system. Out of the total project cost of Tk 13,525.57 crore (over Tk 135 billion), the World Bank will provide Tk 9,333 crore to develop infrastructure, attract private investment, and improve operational efficiency.
Sources say the Master Plan of Bay Terminal has been prepared by the two appointed consultant firms-Kun Hwa Engineering and Consulting Company Limited and Daeyoung Engineering Company Limited-of South Korea, which had been appointed consultants for Bay Terminal in April 2022. Meanwhile, the groundbreaking work for the Bay Terminal is likely to start next year.
