Ports, Terminals and Maritime Infrastructure in Bangladesh

by Barrister Tahmidur Rahman | Sep 13, 2026

Projects & Real EstateConcessions, terminals and port projects8 min read

Ports, Terminals and Maritime Infrastructure in Bangladesh

Legal advice on maritime infrastructure in Bangladesh, including seaport and terminal concessions, private jetties, inland river terminals, dredging, deep-sea port developments and logistics facilities, for terminal operators, investors, contractors, shipping lines, lenders and users dealing with port authorities, river authorities, customs and other government agencies.

Overview

Maritime infrastructure in Bangladesh: authorities and opportunities

Almost all of Bangladesh's international trade moves by sea, and most of it through Chattogram. Congestion, draught limits and growing export volumes have driven a programme of new terminals, the Matarbari deep-sea port development, expansion at Mongla and Payra, and investment in inland river terminals and logistics. Maritime infrastructure projects bring together port authorities, ministries, international operators, contractors, development lenders and shipping lines, often under long-term concession or construction contracts. We advise participants on that framework as part of our projects and infrastructure practice in Bangladesh, working with our shipping and disputes lawyers where needed.

Each seaport is run by its own statutory authority: the Chattogram Port Authority, the Mongla Port Authority and the Payra Port Authority, under the Ministry of Shipping. River ports and inland waterways fall mainly under the Bangladesh Inland Water Transport Authority, and land ports under a separate authority. The Department of Shipping regulates vessels, seafarers and maritime safety. These bodies grant licences, leases and concessions, set tariffs within their powers, and control access to port land and waterfront. Knowing which authority holds the relevant power, and what higher approvals it needs, is the first step.

Private participation has expanded. The government has pursued terminal operation agreements and concessions with international port operators, and these have attracted public debate on pricing, transparency and national interest. Public-private partnership projects are now handled through Invest Bangladesh, which since 23 August 2026 has absorbed the functions of the former PPP Authority alongside BIDA and BEZA. Development partners fund major maritime infrastructure works such as Matarbari. For investors and operators, the key legal questions are how a concession is awarded, what exclusivity and tariff rights it confers, how volumes and performance are measured, and what happens on early termination.

Not every maritime infrastructure project is a major terminal. Industrial users build private jetties and berths for cement, steel, fertiliser, LPG and fuel; shipyards and ship recycling yards need waterfront rights; and logistics companies develop inland container depots and off-dock facilities. These projects raise questions of land title along riverbanks and foreshores, permissions from port or river authorities, environmental clearance, dredging and navigation safety, and customs control. We help clients obtain and document these rights, negotiate construction and operation contracts, and avoid conflicts with neighbouring users, authorities or communities over access and use of the waterfront.

Disputes in maritime infrastructure often concern construction delay and variations, dredging quantities, tariff and revenue sharing, minimum guaranteed volumes, performance standards, land handover and termination compensation. International concession and construction contracts usually provide for arbitration, while domestic disputes may go to arbitration under the Arbitration Act 2001, the courts, or writ proceedings against public authorities. Barrister Tahmidur Rahman and Barrister Remura Meheruba Mahbub advise on infrastructure investment and arbitration, supported by our dispute resolution team. We also work with counsel in the UK, US, UAE, China, India and Singapore on cross-border port, shipping and logistics matters.

01 · What we handle

Core workstreams

  • Terminal concessions and PPP structures
  • Construction and dredging contracts
  • Private jetties and waterfront rights
  • Inland terminals, depots and logistics
02 · How it runs

Four clear stages

  1. 01Define the project
  2. 02Secure the rights needed
  3. 03Contract and finance
  4. 04Operate and resolve disputes
03 · Start here

Talk to a partner

Consultations in Dhaka or by video. Scope, team and fees are agreed in writing first.

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How we help

How we help on port and terminal projects

Workstream 01Projects & Real Estate

Terminal concessions and PPP structures

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
Workstream 02Projects & Real Estate

Construction and dredging contracts

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
Workstream 03Projects & Real Estate

Private jetties and waterfront rights

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
Workstream 04Projects & Real Estate

Inland terminals, depots and logistics

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
Workstream 05Projects & Real Estate

Financing and acquisitions

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
Workstream 06Projects & Real Estate

Disputes and regulatory actions

  • Define the project
  • Secure the rights needed
  • Contract and finance
  • Operate and resolve disputes
01

Terminal concessions and PPP structures

We advise operators, investors and lenders on terminal operation agreements, concessions and PPP structures with port authorities and Invest Bangladesh. Key issues include the award process, scope and exclusivity, tariff setting and adjustment, revenue sharing, minimum volume and performance obligations, capital works commitments, step-in and termination compensation, and the handback of assets at the end of the term. We also advise on operator transitions.

02

Construction and dredging contracts

We draft and negotiate EPC, design-build and FIDIC-based contracts for quays, breakwaters, yards, buildings and equipment, as well as capital and maintenance dredging contracts. We focus on site and ground conditions, measurement of quantities, weather and navigation risks, interface with port operations, delay damages, performance security and dispute boards, so that risk sits with the party best able to manage it. Good records protect later claims.

03

Private jetties and waterfront rights

Industrial and logistics companies need secure rights to build and use jetties, berths and waterfront land. We review title along riverbanks and foreshores, negotiate leases and licences with port authorities, BIWTA and private landowners, and manage environmental, navigation and customs approvals. We also draft shared-use and third-party access arrangements where several users rely on the same facility. Clear rights reduce later challenges.

04

Inland terminals, depots and logistics

We advise on inland container depots, off-dock facilities, bonded warehouses, river terminals and multimodal logistics hubs, including land acquisition, licensing, customs bonded status, operation agreements with shipping lines and freight forwarders, and joint ventures. We align licences, leases and service contracts so that the facility can operate lawfully and attract long-term customers and finance. We also review fire safety requirements for yards.

05

Financing and acquisitions

We act for lenders, export credit agencies and sponsors financing maritime infrastructure, advising on security over concession rights, equipment and receivables, direct agreements with port authorities, foreign exchange approvals and the tax treatment of offshore loans. We also handle acquisitions of terminal operators and logistics companies, with diligence on concessions, leases, licences, labour and claims. Lenders to maritime infrastructure also need clarity on termination compensation.

06

Disputes and regulatory actions

We advise on claims for delay, variations, unpaid invoices, tariff disputes, volume shortfalls and termination, and represent clients in arbitration and before the Bangladesh courts, including writ proceedings against public authorities. We also respond to regulatory notices, licence cancellations and environmental enforcement affecting port and waterfront facilities, aiming to protect operations while the dispute is resolved. We also seek urgent interim relief where operations are threatened.

RecognitionThe Legal 500Asia Pacific ranks Tahmidur Remura Wahid (TRW) Law Firm for dispute resolution in Bangladesh.
Cross-border reach6 jurisdictionsMatters coordinated with counsel in the UK, US, UAE, China, India and Singapore.
Bar and admissionsDhaka and LondonBarristers and advocates in Bangladesh, with a solicitor of England and Wales (non-practising).
HeadquartersDhakaHouse 410, Road 29, Mohakhali DOHS. Consultations in person or by video.
Who leads this work

Partner-led, on every matter.

Projects & Real Estate matters at TRW are led by partners, supported by associates, with one responsible lawyer from first advice to final outcome.

Meet the firm →
01

Which authority do we deal with for maritime infrastructure projects in Bangladesh?

It depends on location and activity. Seaport projects at Chattogram, Mongla and Payra are handled by the respective port authorities under the Ministry of Shipping, with cabinet or other approvals for major concessions. River ports, inland waterways and many jetties fall under the Bangladesh Inland Water Transport Authority. Land ports have their own authority. PPP projects are now processed through Invest Bangladesh. Environmental clearance comes from the Department of Environment, and customs control from the National Board of Revenue. We identify the right authorities and approvals for each project before any commitments are made. Getting this right avoids delay.

02

How are port terminal concessions awarded in Bangladesh, and can awards be challenged?

Concessions may be awarded through open competitive tender, through a PPP process managed by Invest Bangladesh, or through negotiated arrangements, including government-to-government frameworks, where the law and policy allow. The choice of route affects transparency, the risk of later challenge and the terms available. Recent terminal agreements with international operators have attracted public scrutiny, so investors should expect questions about the award process and pricing. We advise on the procurement route, review tender and concession documents, and help bidders and operators build a clear record that can withstand review. Bidders should also check eligibility and conflict rules before forming consortia.

03

Can a foreign company own or operate maritime infrastructure in Bangladesh, and on what terms?

Foreign operators can and do operate terminals under agreements with port authorities, and foreign investors can hold shares in Bangladesh companies that build or operate maritime infrastructure, subject to sector policy and approvals. Port land and waterfront usually remain in public ownership, with the operator holding rights under a concession, lease or licence rather than freehold title. Investors also need investment registration, foreign exchange compliance and appropriate security arrangements. We advise on structure, approvals, and the protections available under contract, Bangladesh law and investment treaties for foreign investors. Political and regulatory risk should be assessed for any maritime infrastructure investment.

04

What should a terminal concession say about tariffs, volumes and revenue sharing?

Tariffs and volumes drive the economics of a concession, so the agreement should state clearly who sets tariffs, how they are adjusted for inflation, currency and cost changes, and what happens if the authority does not approve an adjustment. Minimum guaranteed volumes or throughput commitments should be realistic, with clear measurement and remedies for shortfalls on both sides. Revenue sharing and royalty formulas need precise definitions. We review these provisions alongside the financial model, highlight ambiguities that often lead to disputes, and propose drafting that works for operators, authorities and lenders. Clear drafting protects both sides over time.

05

What approvals does a private jetty or berth need before construction starts?

A private jetty usually needs secure land and waterfront rights, permission from the relevant port authority or BIWTA depending on location, environmental clearance from the Department of Environment, navigation and safety approvals, and building or construction permissions. Where cargo will cross a border, customs approval and possibly bonded or designated status are also needed. Dredging may require separate permissions. The approval route varies by river, port limits and use, so we prepare a site-specific approvals map and coordinate the legal applications with technical consultants and the client's site team. Early engagement with the authority usually shortens the process considerably.

06

How are dredging and construction risks allocated in maritime infrastructure contracts?

Marine works carry particular risks: unexpected ground conditions, siltation, weather, navigation restrictions and interference with port operations. Contracts based on FIDIC or similar forms provide a starting point, but the employer's amendments often shift significant risks to the contractor. Measurement of dredged quantities and disposal arrangements are common sources of dispute. We review risk allocation, propose balanced amendments, and advise on documentation during the works, such as notices, records and variation instructions, which often decide the outcome if a claim is later made. Disputes on maritime infrastructure works often turn on these contemporaneous documents and timely notices.

07

Can lenders take effective security over port concession rights in Bangladesh?

Usually, but the concession agreement decides how effective that security is. Lenders typically want an assignment or charge over the concession rights, receivables and accounts, security over equipment, and a direct agreement with the port authority giving them notice of default, cure periods and step-in or substitution rights. Many concessions restrict assignment without consent, and termination compensation provisions determine what lenders recover if things go wrong. We advise lenders and sponsors on these provisions, negotiate direct agreements and give Bangladesh law opinions on enforceability. These points should be agreed before the concession is signed, as authorities rarely revisit them afterwards.

08

How are disputes on maritime infrastructure projects resolved, and where?

International concession and construction contracts commonly provide for dispute boards or expert determination, then arbitration under institutional rules, often with a seat outside Bangladesh. Domestic contracts may refer disputes to arbitration under the Arbitration Act 2001 or to the courts. Decisions of public authorities, such as licence cancellations or procurement decisions, may be challenged by writ in the High Court Division. Bangladesh is a party to the New York Convention, so foreign awards can be enforced here. We plan dispute strategy early and coordinate arbitration and enforcement. Timely notices and good records strengthen any maritime infrastructure claim considerably.

How a matter runs

From first call to resolution.

  1. 01

    Define the project

    We identify the site, the authorities involved, the procurement or award route and the client's role, and set out the legal framework, approvals and main risks for the maritime infrastructure project before the client commits time and money.

  2. 02

    Secure the rights needed

    We negotiate concessions, leases, licences and waterfront rights, and manage environmental, navigation, customs and investment approvals in a sequence that matches the construction and financing timetable so that each maritime infrastructure approval is obtained when it is needed.

  3. 03

    Contract and finance

    We negotiate construction, dredging, equipment, operation and finance documents, align risk allocation across them, and provide the Bangladesh law opinions and corporate approvals that lenders require at financial close without gaps between the contracts, so that the project is bankable.

  4. 04

    Operate and resolve disputes

    Throughout operations, we advise on tariffs, performance, variations, renewals and regulatory changes, and we represent clients in arbitration, court or writ proceedings if disputes with port authorities or counterparties arise for maritime infrastructure owners, operators and users.

“Demonstrates an extraordinary command over both domestic litigation and international arbitration.”

The Legal 500 Asia Pacific, Bangladesh: Dispute resolution, client feedback

FAQ

Questions, answered.

Still unsure? Email info@trw.co with a short outline of the matter.

What is the role of Invest Bangladesh in maritime infrastructure PPPs?
Since 23 August 2026, Invest Bangladesh has carried the functions of the former PPP Authority, as well as BIDA and BEZA, under the Invest Bangladesh Act 2026. For port and terminal PPPs, it is therefore involved in project screening, procurement processes and investor facilitation, working with the relevant port authority and ministry. Older PPP documents may still refer to the PPP Authority, so we check how references and approvals carry over. Maritime infrastructure investors should confirm the contact point first.
Is Matarbari a port or a power project?
Both elements exist. The Matarbari area hosts a coal-fired power plant with its own channel and jetty, and a deep-sea port development under the Chattogram Port Authority, funded with support from Japan. The port is intended to accommodate larger vessels than Chattogram can handle. Projects in the area raise interface issues between port, power and industrial users, which we help clients understand when planning investments nearby. Investors should check how land, access and channel rights are allocated before committing nearby.
Do port authorities set tariffs for maritime infrastructure freely?
Port tariffs are set within the powers of the relevant authority and government approval processes, and concession agreements may give operators defined rights to charge within approved schedules. For investors, the important point is what the contract and law actually guarantee about future adjustments, and what remedies exist if approvals are delayed or refused. Operators of maritime infrastructure should model tariff risk realistically and agree a clear process for future adjustments, with fallback arrangements if approvals are delayed.
Can maritime infrastructure be built on riverbank or foreshore land?
Riverbanks and foreshores are often subject to public ownership, port limits, navigation rights and environmental protection, and the High Court Division has made orders to protect rivers from encroachment. Private title along rivers can be quite uncertain. Before building, owners need thorough title checks and permissions from the relevant authorities. We review title and permissions carefully before clients commit to construction. Encroachment disputes involving maritime infrastructure can lead to demolition orders, so careful diligence before construction is essential.
What customs issues affect terminals, inland depots and off-dock facilities?
Terminals, inland container depots and bonded facilities operate under customs control, which requires licences, security, systems and procedures approved by customs authorities under the National Board of Revenue. Customs rules affect where cargo is examined and stored. We advise on licensing, bonded status and compliance, and on disputes with customs over penalties or seized goods. Good customs compliance also protects the facility's reputation with shipping lines, freight forwarders and cargo owners who rely on predictable clearance.
Are environmental approvals required for port, jetty and dredging projects?
Yes. Port, terminal, jetty and dredging projects generally require environmental clearance from the Department of Environment, with impact assessments for larger works, covering issues such as dredge disposal, water quality, coastal ecology, fisheries and community impacts. Development lenders may also apply their own detailed standards. Approvals carry ongoing monitoring and reporting obligations that operators must manage throughout the project. We coordinate these approvals with environmental consultants and track renewal dates so that maritime infrastructure operations are not interrupted.
How long does a terminal concession for maritime infrastructure usually last?
Concession terms vary with the investment required and the commercial model, and are set in the agreement rather than by a single statutory figure. Longer terms are common where the operator funds substantial construction or equipment. The term, renewal options and handback conditions affect financing and valuation, so we review them closely and model their effect with the client's advisers. Early termination rights and compensation formulas are equally important, because they decide what investors and lenders recover on early termination.
Can TRW act for contractors as well as operators, sponsors and lenders?
Yes. We act for contractors, dredging companies, equipment suppliers, operators, sponsors, lenders and users, subject to conflict checks on each matter. Our role is to explain the Bangladesh legal framework, negotiate documents that work in practice and protect clients' positions when disputes arise. We often work alongside international counsel and technical advisers on maritime infrastructure projects. We work as part of client teams on maritime infrastructure and help them navigate authorities, approvals and disputes in Bangladesh efficiently.

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