Tk 1.67b worth export goods damaged in BM depot explosion

Export goods worth $19.3 million (Tk 1.67 billion) were damaged in the fire and explosion at the BM Depot in Chattogram last year, said the investigation committee in its draft report.

The report is close to getting finalised and the committee will soon submit the report to the Customs commission.

This report, however, didn’t go into the amount of damage in import goods and infrastructural damage.

The fire and the subsequent explosion on the night of last year’s 4 June took 51 lives including members of the fire service. Around 200 people sustained injuries.

On 17 July, the Customs authorities formed a seven-member investigation committee to assess the amount of damage to export goods.

The committee members inspected the explosion site seven months after the incident. The committee assessed the damages by going through the documents from the Customs, the depot and the exporters.

As per the committee’s report, at the time of explosion there were export goods worth $50.7 million at the depot.

A container containing hydrogen per oxide exploded right in front of warehouse No1 on the night of the incident. The report said, cartons of goods kept in that warehouse were completely ruined.

There were 126,000 cartons in that warehouse containing export goods worth $10.7 million. The containers that were completely wrecked in the explosion contained a total of 105,000 cartons carrying export goods worth $7.8 million. Goods worth $771,000 were partially damaged. Overall, $19.3 million worth of goods were completely destroyed.

At the time of the incident, the exchange rate of one US dollar was TK 86.73. So in local currency, the total damage amounted to Tk 1.67 billion (Tk 167 crores). Goods worth $31.3 million or Tk 2.71 billion (Tk271 crore) remained unscathed by the explosion.

Joint commissioner of the Customs office Md Mushfiqur Rahim was the convener of the committee. Representatives from Bangladesh Garments Manufacturers and Exporters Association (BGMEA), Container Depot Association, BM Depot and Customs Bond Commissionerate were members in the committee.

Chattogram Customs’ deputy commissioner Bodruzzaman Munshi told Prothom Alo, “This committee was formed to determine the total damage of export goods in the explosion. The committee has prepared a draft report. Very soon the final report will be submitted to the authorities.”

In 2011, a Bangladeshi and a Dutch company together invested a total of Tk 1.5 billion (Tk 150 crores) to open BM Depot.

Dutch citizen Robert Pronk is the chairman of BM depot and Bangladesh’s Mostafizur Rahman is the managing director. Smart Jeans’ managing director Mujibur Rahman is the director of the depot.

This was the biggest accident in the depot business in the last two decades. After the explosion, all import-export activities were halted at the depot. The depot was also no longer storing empty containers.

The depot authorities began renovation work. From 22 August, the Customs office permitted the depot to store empty containers. Then on 25 October, they got the permission to export garments goods if they fulfill nine conditions. After fulfilling the conditions, the depot once again began import-export activities in full swing on 7 November.

*This report appeared in the print and online edition of Prothom Alo and has been rewritten for the English edition by Ashfaq-Ul-Alam Niloy