BANGLADESH's executive committee of the National Economic Council (Ecnec) is expected to approve in mid-March a development project proposal (DPP) for breakwater construction and access channel dredging for the Chattogram port's Bay Terminal project.

Chittagong Port Authority (CPA) chairman Rear Admiral SM Moniruzzaman shared the information recently, adding that once the DPP is approved, a loan agreement with the World Bank will follow, enabling the start of physical work.

In June last year, the World Bank approved a US$650 million loan for this subproject.

Once established, the Bay Terminal, featuring two container terminals and a multi-purpose terminal, is expected to annually handle around 5 million TEU. The Chattogram port annually handles around 3.2 million TEU.

Mr Moniruzzaman termed the project a "game changer" for the economy.

A senior CPA official said a pre-Ecnec meeting on the DPP was scheduled for March 6, with the final approval expected on March 14.

He noted that no new multimodal connectivity was required as railway, roadway, and river links already exist.

The new terminal will be operational immediately upon completion of the project, reports Bangladesh's The Daily Star.

Currently, vessels with 1,800-2,000 containers berth at the Chattogram port.

After dredging, the 12-14 metres deep channel will be able to allow vessels carrying 5,000-6,000 containers to pass around the clock.

The CPA is expanding the port's capacity, as cargo and container handling at the port is witnessing a growth of around 10 per cent annually.