GENEVA-headquartered container carrier Mediterranean Shipping Co has inked a deal to manage an inland terminal in Bangladesh.

Its subsidiary Medlog has signed a concession agreement to operate the Pangaon Inland Container Terminal located along Buriganga River near Bangladesh’s capital city of Dhaka.

The distance of the river route from Chittagong to PICT is around 157 nautical miles, according to Bangladesh Shipping Agents’ Association. It also stated that three vessels, the Pangaon Express (IMO: 8662309), Pangaon Success (IMO: 8661874) and Pangaon Vision (IMO: 9027764) operate the terminal. Each vessel can carry 128 teu.

Medlog also plans to improve the logistical supply chain at PICT, with digitalisation plans on the books to optimise logistical management. Inland barges will connect PICT to other river terminals and seaports.

It also plans to expand handling capacity from 116,000 teu to 160,000 teu. Medlog will begin chartering inland barges from PICT to connect Pangaon with other river terminals and seaports.

MSC chief executive Soren Toft said, “Our investment in the Pangaon Inland Container Terminal reflects our belief that Bangladesh has the potential to become one of South Asia's major gateways for regional and global trade.”

The container carrier did not disclose how much it invested but local media reports suggest that it could be around $400m.

Bangladesh has caught the eye of container carriers recently as the maritime industry gears up investment in the south Asian region ahead of anticipated growth.

Maersk's subsidiary APM Terminals this month won a 30-year concession to build and operate a container terminal in Chittagong, Bangladesh.

APMT invested $550m in this greenfield development. The Laldia Container Terminal will expand Bangladesh’s annual port handling capacity by more than 800,000 teu when operational in 2030.