Bangladesh Exporters Left Holding The Bag As Port Invokes ‘Act Of God’

Jul 28, 2026 Leave a message

When the rains came down on Chattogram earlier this month, few could have predicted just how bad it would get. Between July 5 and 13, the port city recorded more than 1,400 millimeters of rainfall-a deluge that left low-lying areas of the port underwater, stranded over 55 mother vessels at the outer anchorage, and brought cargo movement to a crawl.

Now, the cleanup has begun-but so has the finger-pointing.

Bangladeshi exporters are demanding compensation for damaged cargo, delayed sailings, and supply chain chaos that they say has cost them dearly. The Chittagong Port Authority (CPA), however, has drawn a hard line. In a formal notice, the CPA declared the flooding an "act of God"-and said it would not pay a single taka in compensation.

For exporters already grappling with rising costs and tight margins, that response has gone down like a lead balloon.

What Actually Happened at the Port

The numbers paint a grim picture. Chattogram received 412mm of rain in just 24 hours on July 7-the heaviest single-day rainfall the city had seen in 42 years. The port's General Cargo Berth and Gate No. 4 were inundated. Videos circulating on social media showed containers sitting in floodwater at the port's general cargo berth. Export containers destined for vessels couldn't reach the port on time because highways were submerged. And once they did arrive, flooded yards slowed cargo handling to a trickle.

The impact on daily operations was stark. Normally, more than 3,500 TEUs are delivered from the port each day. During the worst of the flooding, that number dropped to around 2,400 TEUs. Some ships had to delay their departures by up to 24 hours because port workers simply couldn't complete loading in the swamped conditions.

Private inland container depots weren't spared either. Several off-dock yards experienced waterlogging, with some export cargo getting wet-forcing factories to replace damaged cartons before restuffing containers.

The 'Act of God' Defense-and Why It's Not Sitting Well

The CPA's notice, signed by its Director (Traffic) on July 11, didn't mince words. It "disclaimed, renounced and disowned" any claims for compensation, citing Regulation 199(14) of the Regulations for Working of Chittagong Port (Cargo and Container) 2001, as well as the Chittagong Port Authority Act, 2022.

Business leaders weren't having it.

Inamul Haq Khan, Senior Vice President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), pushed back hard: "We don't think waterlogging falls under the purview of 'act of God'. This is the port authority's failure for proper management of containers and cargo".

Khairul Alam Suzan, former Vice President of the Bangladesh Freight Forwarders Association, echoed that sentiment. He argued that cargo had been damaged both at private depots and within the port itself-and that "the port authority should have taken proper measures so that no waterlogging occurs".

The Chittagong Chamber of Commerce and Industry went even further, pointing out that the port authority earns around Tk 6,000 crore in annual revenue yet "has failed to build adequate sheds or develop effective disaster preparedness to protect cargo".

In a joint letter to the shipping ministry, BGMEA, BKMEA, BTMA, and the Chittagong Chamber demanded not just compensation, but also urgent restoration of road and rail connectivity, waivers on port rent and storage charges, fast-track customs clearance, and a special committee to assess the full scale of the losses.

CPA spokesperson Nahid Mostafa, however, stood firm: the authority had stored containers in accordance with international practice, and "the port authority never assumes liability for this".

What This Means for Shippers Right Now

For anyone with cargo moving through Chittagong, the immediate takeaway is clear: you cannot rely on the port authority to protect your goods or your timeline when things go sideways. The CPA has made its position explicit-natural disasters are your problem, not theirs.

And with fresh rain already returning to Chattogram just days after floodwaters began receding, the risk isn't going away anytime soon. The Bangladesh Meteorological Department has forecast light to heavy rainfall across the coastal region for the coming days, with seaports advised to hoist local cautionary signal no. 3.

Why Your Choice of Forwarder Matters More Than Ever

This is exactly the kind of situation where having the right logistics partner isn't just convenient-it's essential.

At Xiamen AE Global, we've been navigating supply chain disruptions since 2018. We know that when a port grinds to a halt, the difference between a nightmare and a manageable challenge comes down to three things: relationships, visibility, and alternatives.

Relationships That Open Doors

We're a government-licensed company with IATA, FIATA, FMC, and NVOCC approvals-credentials that give us direct access to a global network of over 100 overseas agents. That network isn't just for show. When a port like Chittagong gets hit by flooding and carriers start cutting capacity, our established relationships with major ocean freight carriers help us secure priority space for our clients. In a market where every container slot is contested, that priority access can mean the difference between your shipment sailing on time and watching it get rolled.

Real-Time Visibility, Not Guesswork

We've invested heavily in technology that gives our clients real visibility into their shipments. When port congestion or weather events threaten to delay your cargo, you're not left waiting for a phone call that never comes. You see what's happening. And more importantly, we're already working on solutions-whether that means rerouting, finding alternative depots, or adjusting schedules to minimize the hit.

Experience You Can Count On

Based in Xiamen-one of Asia's busiest port cities-we combine global reach with local expertise honed over a decade of moving all kinds of goods across all kinds of conditions. In a single year, we've moved more than 12,000 TEUs with a 98.6% on-time delivery rate for our SME clients. That's not luck. That's the result of relentless execution, even when the market-or the weather-is working against us.

The Bottom Line

The Chittagong flooding is a stark reminder that in international shipping, things don't always go according to plan. Ports get overwhelmed. Roads get flooded. Cargo gets damaged. And when it happens, the port authority may well throw up its hands and say "act of God."

But at Xiamen AE Global, we don't believe in leaving our clients to fend for themselves. Whether you're shipping FCL or LCL across the Pacific, we bring the relationships, the technology, and the experience to keep your supply chain moving-even when the world throws a curveball.

Because in a business where 90% of Bangladesh's international trade passes through a single port, having a partner who knows how to cut through the chaos isn't just helpful. It's the only way to sleep at night.


Worried about your cargo moving through disrupted ports? Contact Xiamen AE Global today for a shipping solution that keeps your supply chain resilient-rain or shine.

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