CPI Customs Conflict Casts Shadow Over Northern Irrigation Initiative

Jun 28, 2025
Jun 28, 2025
CPI Customs Conflict Casts Shadow Over Northern Irrigation Initiative

To prevent rapid desertification in the northern region of Bangladesh, the Bangladesh Agricultural Development Corporation (BADC) has initiated the introduction of the Center Pivot Irrigation (CPI) system for the first time in the country. Widely used across Europe, the CPI system irrigates crops by spraying water in a rain-like manner, ensuring balanced water distribution to both leaves and soil. The method increases water efficiency and productivity by 85 to 98 percent. However, importer Sherpa Power Engineering Limited has expressed grave concern that the project may collapse due to “arbitrary conduct and non-cooperation” by officials at Chattogram Customs House.

Speaking at a press conference held at the Dhaka Reporters Unity (DRU) on Saturday, June 28, Mohammad Abu Taher, Managing Director of Sherpa Power Engineering Limited, voiced his frustration. He was accompanied by the company's Deputy Managing Director Ruhul Amin and Project In-Charge Mahbubur Rahman.

Abu Taher stated, “Under a surface water utilization irrigation development project by BADC in Pabna, Natore, and Sirajganj, the CPI system is essential. Yet, due to lack of awareness about this modern agricultural technology, customs officials are harassing us. If such non-cooperation continues, the entire project may be derailed.”

He urged authorities to ease import procedures for agricultural machinery.

“The CPI is a complete system,” he explained. “If any component is separated, the entire system becomes non-functional. Therefore, manufacturers export it as a single unit. Both the BADC’s purchase order and the official letter to the Chattogram Customs Commissioner recognize CPI as an integrated system. Yet officials AHM Mahbubur Rashid and Mohammad Saidul Islam at Chattogram Customs refuse to accept it as such.”

Taher added, “While the actual import duty for the system as an agricultural implement should be around Tk 1.25 million, customs is treating individual components—such as five tons of water distribution tower pipes—as separate items, which would raise the duty and penalties to approximately Tk 4.2 million. Moreover, due to the clearance delay, we are incurring additional port charges of $150 to $200 per day.”

He further said, “On June 25, BADC officially wrote to the Chattogram Customs Commissioner, confirming that the CPI system should be treated as a unified agricultural implement. We had also submitted a letter on June 24. But as of now, we have received no positive response from the commissioner’s office.”

“The Austrian manufacturer is expected to send two technical representatives to oversee the installation—the first of its kind in Bangladesh. However, due to the hold-up at customs, we cannot give them a green light to travel. Continued obstruction from customs may not only jeopardize the project but also cause massive financial losses for our company. More importantly, Bangladesh would miss the opportunity to adopt a modern and highly efficient agricultural technology,” he warned.