Akij Shipping Line Ltd was established in Bangladesh as a specialist in the transportation of dry bulk cargoes. Forming a key part of the noted Akij Group, the company is now a successful vessel owner and operator run by an experienced team. Its vessels trade worldwide on a multitude of routes, carrying a wide range of cargo across multiple industries. Md. Rasel Uddin Ahmed, CEO, explained more to Hannah Barnett.
Akij Shipping Line owns and manages all the commercial and technical aspects of its fleet. This means the company can provide a superior service to its clients by offering innovative, flexible and safe freight solutions internationally, as well as locally across Bangladesh. Services include chartering, cargo operations, charter party compliance and trading. These services are run efficiently and overseen by an experienced leadership team.
“Our main inspiration, and key goal, is to be a global partner in the shipping business,” said Md. Rassel Uddin Ahmed, CEO. “As a company, I think we are well prepared to be here for the long-term.”
Growing roots
Akij Group is a thoroughly modern company, but it also has a long and prestigious history. As a Bangladeshi industrial conglomerate, it was founded by Sheikh Akijuddin in 1940. The industries covered under the Group include textiles, tobacco, food and beverage, cement, ceramics, printing and packaging, pharmaceuticals, and consumer products.
“Akij Group has played an important part in the industrial history of Bangladesh, going back for many decades,” said Mr Ahmed. “The owners entered the shipping business in 2010 in the dry bulk area. We started with overseeing the technical and commercial management of two ocean-going vessels. In 2016, we bought another ship called Akij Heritage. Then we started buying more ships gradually, so by 2019 our fleet consisted of ten bulk carriers: two large Handysize vessels, seven Supramax vessels and one Panamax vessel.”
In 2013, Akij Shipping Line also expanded into coastal vessels and currently has 42 in its fleet, varying in size from close to 1,500 tonnes to 2,500 tonnes. The company moved three million tonnes of cargo in 2024, growing in trading volume by an impressive seven times compared to the previous year.
Akij Shipping Line currently has 800 employees, with an already very healthy turnover of $200 million. The next step sees the company targeting a revenue of more than $300 million in the coming years. Another goal is to improve the green credentials of its vessels, in line with upcoming IMO guidance.
Long-term vision
Well on track to becoming a global operation, in 2024 Akij Shipping Line established a branch in Dubai, known as Akij Sea Line Ship Management and Operation LLC. From its office in Latifa Tower, Trade Centre 1, the company strives to provide modern and efficient maritime logistics services worldwide, using its prime location in the Middle East to the full advantage of the wider company.
Akij Sea line Ship Management and Operation therefore plays a key role in expanding the Akij Shipping Line global maritime footprint, by offering comprehensive dry bulk and vessel management services across major trade routes. Additionally, the company has also established a Singapore office for improved operations in that part of the world.
“We have decided to expand our dry bulk operator business,” Mr Ahmed explained. “So, at this moment we have nine employees running our Dubai office. I’m leading operations in Bangladesh as well as over in Dubai, meaning I visit Dubai often.”
In order to remain successful on a worldwide scale, Akij Shipping Line works closely with many prestigious businesses, on a spot market basis. “We don’t have set long-term agreements with any companies,” Mr Ahmed said. “But we have a very good. relationships with Bainbridge Navigation, for example, who we work regularly with. We also work with Propel Shipping, Norvic Shipping and many other global players.”
The company uses both Indian and international brokers. These include Arrow, Clarksons, SSY and Braemar. But what is the secret to a successful business relationship?
“We believe in integrity in all our partnerships,” said Mr Ahmed. “So, if the other parties maintain and respect the contract we have established, which includes solving any disputes or issues appropriately, we are happy. Having the experience in the market that we do, we believe in maintaining long relationships with all partners. Ultimately, we want repeat customers.”
Navigating the future
As one of the largest companies in Bangladesh, Akij Group and all its subsidiaries are used to working to a long-term vision, rather than short-term plan. This has set a very high standard, and the results speak for themselves. The Group may be decades old, but it is still expanding into new business segments.
“We have a strong belief that we can stand solidly and continue to grow Akij Shipping Line,” Mr Ahmed reflected. “Just look at our history; we started with only two ships, but we have gradually grown to ten.”
In line with the goals to expand and continue to grow, alongside the offices in Bangladesh, Singapore and Dubai, Akij Shipping Line is now aiming to set up shop in Europe. A site in Turkey is due to open soon and operations should not take long to establish.
“We are not moving very fast,” said Mr Ahmed. “First, we hire some staff, we set up an office, we accommodate all the manpower and that is how we expand our business. Maybe it could be called ‘medium-fast.’ Ultimately, we believe that if we expand slowly and gradually, we will have more of a chance. Also, we always make sure that whatever we do, we do it with the right funds and cash flow available.”
Shipping has always been a tough and demanding industry. In a turbulent world, this is truer today than ever. But that is also a major motivating factor, according to Mr Ahmed.
“This post is always exciting and always challenging,” he said, in conclusion. “Nowadays, we have world geopolitical issues, mixed with the digitalisation, the growth of the AI generation and emissions targets. A lot of change and regulation is coming. But it is very invigorating to be part of this process.”