Why is Chittagong Famous For?
For the answer to the question Why is Chittagong Famous for? We should know about the area, Chittagong city, Economy, Port of Chittagong, and anything about the Chittagong. In this article, we tried to answer to all these questions.
Definition
Chittagong (/tʃɪtəɡɒŋ/), officially known as Chattogram (Bengali: চট্টগ্রাম) and also known as the Port City of Bangladesh, is a major coastal city and financial centre in southeastern Bangladesh.
The city has a population of more than 2.5 million while the metropolitan area had a population of 4,009,423 in 2011,making it the second-largest city in the country. It is the capital of an eponymous District and Division. The city is located on the banks of the Karnaphuli River between the Chittagong Hill Tracts and the Bay of Bengal. Modern Chittagong is Bangladesh’s second most significant urban center after Dhaka
Geography of Bangladesh
Bangladesh is a densely-populated, low-lying, mainly riverine country located in South Asia with a coastline of 580 km on the northern littoral of the Bay of Bengal.
The delta plain of the Ganges (Padma), Brahmaputra (Jamuna), and Meghna Rivers and their tributaries occupy 79 percent of the country. Four uplifted blocks (including the Madhupur and Barind Tracts in the center and northwest) occupy 9 percent, and steep hill ranges up to approximately 1,000 metres high occupy 12 percent in the southeast (the Chittagong Hill Tracts) and in the northeast.
Straddling the Tropic of Cancer, Bangladesh has a tropical monsoon climate characterized by heavy seasonal rainfall, high temperatures, and high humidity. Natural disasters such as floods and cyclones accompanied by storm surges periodically affect the country. Most of the country is intensively farmed, with rice the main crop, grown in three seasons. Rapid urbanization is taking place with associated industrial and commercial development. Exports of garments and shrimp plus remittances from Bangladeshis working abroad provide the country’s three main sources of foreign exchange income.
- The Tropic of Cancer, which is also referred to as the Northern Tropic, is the most northerly circle of latitude on Earth at which the Sun can be directly overhead. This occurs on the June solstice, when the Northern Hemisphere is tilted toward the Sun to its maximum extent
Geography of Chittagong
Chittagong lies at 22°22′0″N 91°48′0″E. It straddles the coastal foothills of the Chittagong Hill Tracts in southeastern Bangladesh. The Karnaphuli River runs along the southern banks of the city, including its central business district.
The river enters the Bay of Bengal in an estuary located 12 kilometres west of downtown Chittagong. Mount Sitakunda is the highest peak in Chittagong District, with an elevation of 351 metres (1,152 ft). Within the city itself, the highest peak is Batali Hill at 85.3 metres. Chittagong has many lakes that were created under Mughal rule. In 1924, an engineering team of the Assam Bengal Railway established the Foy’s Lake
Ecological hinterland of Chittagong
The Chittagong Division is known for its rich biodiversity. Over 2000 of Bangladesh’s 6000 flowering plants grow in the region. Its hills and jungles are laden with waterfalls, fast flowing river streams and elephant reserves. St. Martin’s Island, within the Chittagong Division, is the only coral island in the country.
The fishing port of Cox’s Bazar is home to one of the world’s longest natural beaches. In the east, there are the three hill districts of Bandarban, Rangamati, and Khagrachari, home to the highest mountains in Bangladesh. The region has numerous protected areas, including the Teknaf Game Reserve and the Sitakunda Botanical Garden and Eco Park.
Patenga beach in the main seafront of Chittagong, located 14 kilometres west of the city.
Chittagong History
Chittagong is an ancient seaport due to its natural harbor. It was noted as one of the largest Eastern ports by the Roman geographer Ptolemy in the 1st century. The harbor has been a gateway through southeastern Bengal in the Indian subcontinent for centuries.
Arab sailors and traders, who once explored the Bay of Bengal, set up a mercantile station in the harbor during the 9th century. During the 14th century, the port became a “mint town” of the Sultanate of Bengal, with the status of an administrative center.
During the 16th century, Portuguese historian João de Barros described Chittagong as “the most famous and wealthy city of the Kingdom of Bengal”.Portuguese Chittagong was the first European colonial settlement in Bengal.
A naval battle in 1666 between the Mughal Empire and Arakan resulted in the expulsion of Portuguese pirates. British colonization began in 1760 when the Nawab of Bengal ceded Chittagong to the East India Company.
During World War II, Chittagong was a base for Allied Forces engaged in the Burma Campaign. The port city began to expand and industrialize during the 1940s, particularly after the Partition of British India. During the Bangladesh Liberation War in 1971, Chittagong was site of the country’s declaration of independence.
Chittagong has a high degree of religious and ethnic diversity among Bangladeshi cities, despite having an overwhelming Bengali Muslim majority. Minorities include Bengali Hindus, Bengali Christians, Bengali Buddhists, the Chakmas, the Marmas, the Bohmong, the Rohingyas and Rakhines.
Chittagong Climate
Under the Köppen climate classification, Chittagong has a tropical monsoon climate . Chittagong is vulnerable to North Indian Ocean tropical cyclones. The deadliest tropical cyclone to strike Chittagong was the 1991 Bangladesh cyclone, which killed 138,000 people and left as many as 10 million homeless.
Chittagong Culture
An inhabitant of Chittagong is called Chittagonian in English. For centuries, the port city has been a melting pot for people from all over the world. Its historic trade networks have left a lasting impact on its language, culture and cuisine. The Chittagonian language has many Arabic, Persian, English and Portuguese loanwords.
The immensely popular traditional feast of Mezban features the serving of hot beef dish with white rice.The cultivation of pink pearls is a historic activity in Chittagong. Its Mughal-era name, Islamabad (City of Islam), continues to be used in the old city.
The name was given due to the port city’s history as a gateway for early Islamic missionaries in Bengal. Notable Islamic architecture in Chittagong can be seen in the historic Bengal Sultanate-era Hammadyar Mosque and the Mughal fort of Anderkilla.
Chittagong is known as the Land of the Twelve Saints due to the prevalence of major Sufi Muslim shrines in the district. Historically, Sufism played an important role in the spread of Islam in the region.
Prominent dargahs include the mausoleum of Shah Amanat and the shrine of Bayazid Bastami. The Bastami shrine hosts a pond of black softshell turtles.
The city has a vibrant contemporary art scene. Being home to the pioneering rock bands in the country like Souls and LRB,Chittagong is regarded as the “birthplace of Bangladeshi rock music”
Chittagong Government
The Chittagong City Corporation (CCC) is responsible for governing municipal areas in the Chittagong Metropolitan Area. It is headed by the Mayor of Chittagong. The mayor and ward councillors are elected every five years. The mayor is Awami League leader A. J. M. Nasiuruddin, as of May 2015.
The city corporation’s mandate is limited to basic civic services, however, the CCC is credited for keeping Chittagong one of the cleaner and most eco-friendly cities in Bangladesh. Its principal sources of revenue are municipal taxes and conservancy charges. The Chittagong Development Authority is responsible for implementing the city’s urban planning.
Deputy Commissioner and District Magistrate is the head of local administration on behalf of the Government of Bangladesh. Law enforcement is provided by the Chittagong Metropolitan Police and the Rapid Action Battalion-7. The District and Sessions Judge is the head of the local judiciary on behalf of the Supreme Court of Bangladesh.The Divisional Special Judge’s Court is located in the colonial-era Chittagong Court Building.
Although all resident embassies and high commissions in Bangladesh are located in capital Dhaka, Chittagong hosts an assistant high commission of India and a consulate general of Russia.
Chittagong Economy
Chittagong plays a vital role in the Bangladeshi economy. The Port of Chittagong, one of the world’s oldest ports, whose coast appeared on Ptolemy’s world map, is the principal maritime gateway to the country.
The port is the busiest international seaport on the Bay of Bengal and the third busiest in South Asia.The Chittagong Stock Exchange is one of the country’s two stock markets. Several Chittagong-based companies are among the largest industrial conglomerates and enterprises in Bangladesh.
The port city is the largest base of the Bangladesh Navy and Bangladesh Coast Guard; while the Bangladesh Army and Bangladesh Air Force also maintains bases and contributes to the city’s economy. Chittagong is the headquarters of the Eastern Zone of the Bangladesh Railway, having historically been the headquarters of British India’s Assam Bengal Railway and East Pakistan’s Pakistan Eastern Railway. A controversial ship breaking industry on the outskirts of the city, which supplies local steel but causes pollution, has come under international scrutiny.
A substantial share of Bangladesh’s national GDP is attributed to Chittagong. The City generated approximately $25.5 billion in nominal (2014) and US$67.26 billion in PPP terms converted from nominal GDP of $25.5 Billion dollars with a nominal vs. PPP factor of 2.638.
contributing around 12% of the nation’s economy. Chittagong generates for 40% of Bangladesh’s industrial output, 80% of its international trade and 50% of its governmental revenue.
The Chittagong Stock Exchange has more than 700 listed companies, with a market capitalisation of US$32 billion in June 2015.
The city is home to many of the country’s oldest and largest corporations. The Port of Chittagong handled US$60 billion in annual trade in 2011, ranking 3rd in South Asia after the Port of Mumbai and the Port of Colombo.
The Agrabad area is the main central business district of the city. Major Bangladeshi conglomerates headquartered in Chittagong include M. M. Ispahani Limited, BSRM, A K Khan & Company, PHP Group, James Finlay Bangladesh, the Habib Group, the S. Alam Group of Industries, KDS Group and the T. K. Group of Industries.
Major state-owned firms headquartered there include Pragati Industries, the Jamuna Oil Company, the Bangladesh Shipping Corporation and the Padma Oil Company. The Chittagong Export Processing Zone was ranked by the UK-based magazine, Foreign Direct Investment, as one of the leading special economic zones in the world, in 2010.
Other SEZs include the Karnaphuli Export Processing Zone and Korean EPZ. The city’s key industrial sectors include petroleum, steel, shipbuilding, chemicals, pharmaceuticals, textiles, jute, leather goods, vegetable oil refineries, glass manufacturing, electronics and motor vehicles.
The Chittagong Tea Auction sets the price of Bangladesh Tea. The Eastern Refinery is Bangladesh’s largest oil refinery. GlaxoSmithKline has had operations in Chittagong since 1967. Western Marine Shipyard is a leading Bangladeshi shipbuilder and exporter of medium-sized ocean going vessels. In 2011–12, Chittagong exported approximately US$4.5 billion in ready-made garments. The Karnaphuli Paper Mills were established in 1953.
International banks operating in Chittagong include HSBC, Standard Chartered and Citibank. Chittagong is often called Bangladesh’s commercial capital due to its diversified industrial base and seaport. The port city has ambitions to develop as a global financial centre and regional transshipment hub, given its proximity to North East India, Burma, Nepal, Bhutan and Southwest China.
Port of Chittagong
The Port of Chittagong (Bengali: চট্টগ্রাম বন্দর) is the busiest seaport on the coastline of the Bay of Bengal, and the second busiest in the overall region of countries dependent on the Bay of Bengal.
According to Lloyd’s, it ranked as the 71st busiest port in the world in 2017 Located in the Bangladeshi port city of Chittagong and on the banks of the Karnaphuli River, the port of Chittagong handles 90% of Bangladesh’s export-import trade,and has been used by India, Nepal and Bhutan for transshipment. The port is one of the oldest in the world.
Congestion is a major challenge in Chittagong port. The port had a congestion rate of 84.3 hours between January and July in 2017.
Chittagong Port Berths
Type of berth | Quantity of berths | Notes |
General cargo berths | 6 | |
Container berths | 14 | |
Dolphin Oil Jetty | 3 | For handling crude and product oil vessels of up to 186 meters |
Grain Silo Jetty | 1 | Vessels up to 186 meters |
Cement Clinker Jetty | 1 | Cement Clinker Jetty |
TSP | 1 | Vessel up to 175.25 meters |
Chittagong Urea Fertilizer Jetty | 1 | Vessels up to 176 meters and can be loaded up to maximum draft of 8.5 meters |
KAFCO Urea Jetty | 1 | Vessel having LOA of 186 meters will be allowed to take berth at KAFCO (Urea) |
KAFCO Ammonia Jetty | 1 | Vessel having LOA up to 186 meters at KAFCO (Ammonia) jetties can be loaded up to a maximum draft of 9.2 meters. |
Dry Dock Jetties | 3 | |
River Mooring No. 3 | 1 | Vessels up to 182.9 LOA and 7.76 meters draft for edible oil and POL in bulk |
River Mooring No. 8 | 1 | Vessels up to 186 meters and 8 meters draft for vegetable oil carrier |
River Mooring No. 9 | 1 | Vessels up to 186 meters and 6 meters draft for repair of vessel / laying off. |
River Mooring No. 10 | 1 | Vessels up to 145 meters LOA and 7.5 meters draft for repair of vessel / laying off. |
- Container terminals
The port depends on several container terminals, most of which are owned by private companies.
- New Mooring Terminal
- Chittagong Container Terminal
- KDS Logistics Terminal
- Orient Overseas Container Line (OOCL) Terminal
- Summit Alliance Container Terminal
- Industrial Terminal
- Eastern Refinery Terminal
- Karnaphuli Fertilizer Company (KAFCO) Terminal
- Jamuna Oil Company Terminal
- Padma Oil Company Terminal
- Meghna Petroleum Terminal
- Omera Fuels Limited Terminal
THREE videos about Map, Chittagong Port, and Where Ships go to Die and Workers Risks
Why Chittagong Port is important for Datis Export Group?
The answer to this question is simple, Datis Export Group is a Portland Cement Clinker Supplier and we export Cement Clinker to Chittagong port-Bangladesh monthly.
For more information about the Cement Clinkers and related ASTM standard and Analysis, you may clink to this link:
Portland Cement Clinkers supplied by Datis Export Group
- M.I. Cement Factory Ltd. (Crown Cement),
- Emirates Cement Bangladesh UltraTech Cement,
- S. Alam Cement Ltd (Minar Brand S. Alam Cement),
- Confidence Cement Ltd.,
- Holcim Bangladesh,
- Lafarge Surma Cement Ltd.,
- Meghna Cement Mills Ltd.,
- Mir Cement Ltd.
- Madina Cement Industries Ltd (Tiger Brand Cement)
Shah Cement the Cement Brand of the country, was awarded as the ‘Best Cement Brand 2017’ by Bangladesh Brand Forum for the 3rd time which is given based on the joint countrywide survey conducted by Bangladesh Brand Forum and market research agency Kantar Millward Brown.
Bangladesh is on its way to creating a solid concrete foundation for its future through various mega projects aiming to develop the nation’s infrastructure.With more than $3.5bn budgeted in FY19 for the 7 infrastructure mega projects including bridges, rail lines, power plants, and a metro rail , the cement market in the country looks to be a bullish market.
Besides these large scale projects, however, a higher income per capita for the greater population also has led to greater consumption as building personal homes, a somewhat tradition of Bangladeshis, has become more affordable. Developments in real estate and commercial/public institutions have also contributed to consumption.
An increasing number of migrants traveling from rural areas to the big cities for opportunities of better education, jobs, and wages, increasing urbanization in the country is also fueling greater growth in the industry.
The cement industry in Bangladesh has been showing double digital growth over the last 5 years. The nation currently consumes less that one fourth of the world’s general consumption of 500 kg cement per capital , but looks to be rapidly closing the gap. High growth in this sector is further reflected considering Bangladesh is one of the largest global importers of clinkers.
Datis Export Group as a professional supplier in the Middle East area supplies Clinker for the cement factories in Bangladesh. We are exporting 50,000 MT Cement Clinker to the port of Chittagong monthly. We have a direct contract to more than 10 Cement Factories in the region and our loading ports are Sohar-Oman, Bandar Abbas port-Iran, and Karachi-Pakistan. You can see all sea distance maps and related sea routes as following maps.
Sohar Port-Oman to Chittagong Port- Bangladesh
Bandar Abbas Port- Iran to Chittagong Port- Bangladesh
According to a survey report by Bangladesh Cement Manufacturers Association, Bangladesh currently has a production capacity of 54 Mn MT , producing only 32 Mn MT with overall operations utilization at around 80% . 2018 saw the market’s highest sales of 33 Mn MT. Currently 82% of the local demand for cement is met locally, with imports making up for the gap.
Karachi Port-Pakistan to Chittagong Port- Bangladesh
As you can see in the sea distance map, Bangladesh cement factories are importing the clinker from Vietnam too. it means the cement plants have many opportunities to importing the clinker needed.
However, the market is highly dependent on imported goods required for production including oil, clinker, limestone, and gypsum, and as a result also carries a considerable risk in foreign exchange rates. Of the main imported goods required for production, clinker alone comprises of 60-70% of the total materials used.
Bangladesh mainly sources clinkers from China, Thailand, Vietnam, and Malaysia. High cost of logistics has also been a major cost driver in the past and has only been on the rise as government policy has reduced the allowed load of trucks by half to reduce pressure on the roads.
Quy Nhoun Port-Vietnam to Chittagong Port- Bangladesh
Competitive Landscape
Currently in Bangladesh there are 32 cement manufacturing companies of which 7 are currently listed and 4 are multinationals .
30 Mn MT of cement per annum is being produced with local companies holding 80% of the market share due to their competitive advantage in price and quality. Despite the many market players, the industry is dominated by 10 major companies of which only 2 are multinationals, one (Lafarge Holcim) of which is second in market due to a recent acquisition.
Surprisingly, although 2 global cement companies, Emirates Cement and Cemex are divesting their operations, a Saudi business firm is soon set to enter the market in the near future. MI Cement has also recently announced an expansion set to increase production capacity 76% by 2021 from a current 11,000 tonnes per day to 19,400.
Bibliography
- [1] Local cement companies thriving over multinationals – Dhaka Tribune
- [2] 7 mega projects likely to get Tk 29,675cr in FY19 – The Independent
- [3] Saudi firm to set up cement factory in Chhatak – The Financial Express
- [4] Cement in 2019 – Cemnet
- [5] Bangladesh: finding ways to make profits – Cemnet
- [6] Cement consumption to grow steadily – The Daily Star
- [7] January 2019 Global Cement Magazine – Global Cement
- [8] Volume 11 Issue 03 March 2015 – IDLC Monthly Business Review
- [9] MI Cement looks to expand production capacity – The Financial Express
- [10] Cement industry posts record sales in 2018 amid challenges – The Daily Star
- [11] Bangladesh cement exports rise by 24% in 11MFY17-18 – Cemnet
- [12] Market Insight: Cement Industry – LightCastle Partners