Pursuant to the Bangladesh Flag Vessels (Protection of Interest) Act, 2019, unless in accordance with international agreements between Bangladesh and its trading partners or subject to a waiver issued by the relevant authority (the Shippinng Department), at least 50% of the sea-borne cargoes relating to the country's foreign trade shall be carried by Bangladesh-flagged vessels and no foreign vessel shall carry coastal trade in Bangladesh. Permission (waiver) by the authority may be issued in favour of foreign vessels only when (a) no Bangladesh flag vessel or flag vessel of the trading partner country concerned is available; (b) the cargoes cannot be carried, for any reason, by any Bangladesh flag vessel or flag vessel of that country. A general waiver is currently applied to cargo trade with the United States and Canada, and to all foreign trade relationships with respect to the transport of cars carried by car carriers. According to the Ordinance No. 26 of 30 June 1983 on Bangladesh Merchant Shipping, can register and qualify to fly the Bangladesh flag only those vessels owned by Bangladesh citizens or companies whose principal place of business is in Bangladesh and more than 50% of its voting capital is held by Bangladesh citizens, the majority of the directors of the company and either the Chairman or the Managing Director of the Board of Directors are citizens of Bangladesh. As such, for the purposes of the OECD FDIRRI, it is considered that since 2019 foreign investors may only hold up to 49% of the equity of companies providing maritime cabotage and international transportation services (in excess of 50% of Bangladesh's sea-borne cargoes trading). 
Prior to 2019, only cabotage and transhipment were reserved to Bangladesh-flagged vessels, and thus subject to the above-mentioned foreign shareholding limitations and restrictions on key foreign personnel.
"Part I. INTRODUCTION, Chapter I. PRELIMINARY
Article 2. Definitions
(3) “Bangladesh ship” means a ship belonging to a statutory corporation or a ship acquired and owned by a foreign national or company and leased out to the Government or a citizen of Bangladeshi or a Bangladesh company under such an agreement that the ownership of the ship shall be transferred after a specified period of time to the Government or such citizen or company in accordance with the terms of the agreement or a ship owned wholly by persons each of whom is-
a)	a citizen of Bangladesh, or
b)	a company which fulfils the following conditions, namely:-
i.	the principal place of business of the company is in Bangladesh,
ii.	shares representing more than fifty per cent of the share capital of the company or shares carrying more than fifty per cent of the total voting power of the company are held by citizen of Bangladesh,
iii.	the majority of the directors of the company are citizens of Bangladesh,
iv.	either the Chairman or the Managing Director of the Board of Directors of the company is a citizen of Bangladesh
(4) “coasting ship” means a ship not exceeding one thousand five hundred tons gross which is exclusively employed in trading coastwise within ports or places in Bangladesh or between ports or places in Bangladesh and India not beyond Calcutta, or Burma not beyond Akyab, or between Akyab and Calcutta;  
(5) “coasting trade” means the carriage by sea of passengers or goods between ports or places in Bangladesh or from any such port or place to a port or place in India not beyond Calcutta or to a port or place in Burma not beyond Akyab or between Akyab and Calcutta; [...]
(17) “foreign going ship” means a ship employed in trading between any port or place in Bangladesh and any other port or place outside Bangladesh, but does not include a coasting ship or a home trade ship; [...]
(20) “home trade ship” means a ship not exceeding three thousand tons gross which is employed in trading between ports or places in Bangladesh and India not beyond Vishakkhapatnam or between ports and places in Bangladesh and Burma not beyond Moulmein; [...]
(42) “sailing vessel” means any description of vessel- (a) which is fitted exclusively with sails, or  (b) which is provided with sufficient sail area for navigation under sails alone and, if fitted with mechanical means of propulsion, such means are meant for auxiliary purposes only, and includes a rowing boat or canoe, but does not include a pleasure craft; 
[...]
PART III  CONTROL OF SHIPPING  CHAPTER 6  LICENSING OF CERTAIN SHIPS
64. This Part applies only to such power driven sea going ships as are of not less than one hundred and fifty tons gross or of such other tonnage as the Government may, by notification in the official Gazette, fix.  
[...]
Licences for taking ships to sea    
66. (1) No Bangladesh ship, and no ship chartered by a citizen of Bangladesh or by a company, officer or other authority shall be taken to sea from a port or place within or outside Bangladesh except under a licence granted in this behalf by the Shipping Authority. 
[...]
Licences for coasting trade  
67. (1) No ship, not being a Bangladesh ship or a ship chartered by a citizen of Bangladesh, or by a company, officer or other authority, shall be engaged in coasting trade except under a licence granted in this behalf by the Shipping Authority. 
[...]
Restriction on the use of certain ships, etc
70. (1) No ship, other than a Bangladesh ship, shall, except with the previous permission in writing of the Shipping Authority, be engaged or used in lighterage of foodgrains and other cargo or transhipment of any cargo other than foodgrains at any point within the territorial waters of Bangladesh for carriage to any destination within Bangladesh.
(2) No foreign ship shall, except with the previous permission in writing of the Shipping Authority, use, for the purpose of loading and unloading of bulk cargo within the territorial waters of Bangladesh, any device or equipment which is not permanently attached to the ship. 
[...].
Foreign sailing vessels not to engage in coasting trade without permission   
 411. (1) A sailing vessel not owned by a citizen of Bangladesh or a company which fulfils the condition set out in sub clause (b) of clause (3) of section 2 shall not engage in the coasting trade of Bangladesh without the previous permission in writing of the Government.  
(2) The Government may, when granting such permission, impose such terms and conditions as it thinks fit and may require the owner or other person in charge of the vessel to deposit such amount as it thinks necessary as security for the due fulfilment of such terms and conditions. 
(3) The Collector of Customs shall not grant a port clearance to a sailing vessel not registered under this Chapter which engages or attempts to engage in the coasting trade of Bangladesh until after the production by the owner or person in charge of the vessel of the permission under sub section (1).  [...]" (Ordinance No. 26 of 30 June 1983 on Bangladesh Merchant Shipping)
-------------------------------------
"2. Definitions-
In this Act, unless there is anything repugnant in the subject or context-
(1) “Bangladesh Flag Vessel” means a vessel registered in Bangladesh; 
[...]
3. Limitation on carriage of cargoes by sea.-
(1) Notwithstanding anything contained in any other law for the time being in force, at least fifty percent [50%] of the sea-borne cargoes relating to foreign trade of Bangladesh shall, subject to the other provisions of this Act, be carried by Bangladesh flag vessels : 
Provided that this provision shall not apply to the following cases,  namely :-
(a) any cargo, subject to the no-objection from the Prescribed Authority, which is required to be carried by any other vessel in accordance with any reciprocal arrangement made between the two trading partners;
(b) any cargo in respect of which a certificate of waiver is issued by the Prescribed Authority;
(c) any cargo in respect of which a general waiver is announced by the Prescribed Authority; 
(d) carriage of cargoes to such places where no Bangladesh flag vessel is operated for transporting cargoes directly between Bangladesh and its trading partners. 
(2) Notwithstanding anything contained in sub-section (1), the sea-borne cargoes to be carried at the expense of the public fund shall be carried through any state-owned shipping corporation. 
(3) For obtaining the certificate of waiver under clause (b) of subsection(1), the owner of the vessel or his agent shall have to make an application to the Prescribed Authority at least 15 (Fifteen) working days before loading of cargoes.
4. Carriage of cargoes by third country flag vessels.-
The Prescribed Authority may permit the carriage or cargoes from of to Bangladesh by a third country flag vessel, if-
(a) no Bangladesh flag vessel or flag vessel of the trading partner country concerned is available;
(b) the cargoes cannot be carried, for any reason, by any Bangladesh flag vessel or flag vessel of that country. 
5. Prohibition on carriage of coastal trade cargoes by the flag vessel of a foreign country.-
No vessel of a foreign country which is not a Bangladesh flag vessel shall carry coastal trade cargoes of Bangladesh : 
Provided that this restriction shall not apply to a vessel in respect of which a certificate of waiver is issued by the Prescribed Authority. [...]" (Bangladesh Flag Vessels (Protection of Interest) Act, 2019)
-------------------------------------
"General Waiver Notification
1. This is to inform all concern that due to increased no of Bangladesh flag vessels presently available for trade the Prescribed Authority hereby amend the waiver notification No. DGA{TLISHIPPING/201316023(7), dated 04.08.2013 to liberates the carriage of cargo by a third country flag vessel, in accordance with the section 4 of the Bangladesh Flag Vessels (Protection) Act-2019 and declares general waiver, in accordance with Section 3(c) of the said act, and the relevant section of the Bangladesh Flag Vessels (Protection) Act-2019, as follows : 
(1) Any cargo when carried between Bangladesh and 
(a) United states of America;
(b) Canada 
(2) Any of the following Cargo when carried between Bangladesh and any other countries : 
(a) All kinds of Car carried by Car Carrier. [...]" (Notification by the Department of Shipping, "General Waiver Notification" No. 18.17.0000.012.01.06.20(85C)/583, dated 02 February 2021)
Ordinance No. 26 of 30 June 1983 on Bangladesh Merchant Shipping
Bangladesh Flag Vessels (Protection of Interest) Act, 2019
Notification by the Department of Shipping, "General Waiver Notification" No. 18.17.0000.012.01.06.20(85C)/583, dated 02 February 2021
[<a href="http://bdlaws.minlaw.gov.bd/act-642.html">Ordinance</a>],[<a href="http://bdlaws.minlaw.gov.bd/upload/act/2022-01-31-10-52-20-59.The-Bangladesh-Flag-Vessels-(Protecstion-of-Interest)-Act,-2019.pdf">Act</a>],[<a href="https://dos.portal.gov.bd/sites/default/files/files/dos.portal.gov.bd/office_order/7094dc25_6c28_4d04_8d18_e456308721fe/2021-02-03-16-04-bfa481f29907ed947bbdffebde604691.pdf">Not</a>]