Image: Pangaon Inland Container Terminal in Narayanganj.
The Khanpur Inland Container and Bulk Terminal project in Narayanganj is facing a sharp 57% cost increase. Initially budgeted at Tk392 crore (approximately $35.7 million), the revised estimate now stands at Tk615.75 crore (around $56.1 million). The Ministry of Shipping attributes this escalation to major design adjustments and the inclusion of additional infrastructure features.
The first revised Development Project Proposal (DPP) is set to be presented to the Executive Committee of the National Economic Council (ECNEC) today, marking a significant milestone in the project that began in 2020.
What’s behind this soaring budget? Officials cite soft soil conditions at the construction site, which required a more robust foundation. Key design changes include upgrading the RCC multi-purpose jetty to handle five tonnes of live load per square meter, up from two tonnes, in line with international standards.
Additional modifications have also contributed to the cost surge. These include replacing riverbank slope protection with vertical piles and increasing the height of storage godowns from six meters to 12.10 meters. On top of that, new features—such as advanced fire-fighting systems, underground electrical lines, high-mast towers, a substation, diesel generators, and solar power integration—have significantly inflated expenses.
Originally scheduled for completion in June 2023, the project’s timeline has been extended twice, with the new deadline set for June 2027. So far, only 10% of the physical work is complete, and financial progress is lagging at 3.82%.
Despite these delays and rising costs, the project’s long-term vision remains ambitious. The terminal aims to modernize freight transportation in Dhaka and nearby regions, including Narayanganj, Gazipur, Savar, and Narsingdi. It’s expected to streamline cargo movement from Chattogram and Mongla ports while opening up previously inaccessible routes.
Once completed, the terminal will bolster trade, enhance industrial activity, and position Bangladesh as a stronger player in global logistics. But with rising costs and slow progress, the question looms: will this project deliver on its promise or become another cautionary tale of delays and overruns?
Source: tbsnews
