Air cargo drive ramps up amid India transit halt
Staff Reporter :
The interim government is ramping up efforts to strengthen independent air cargo operations and sustain export momentum following India’s recent withdrawal of the transshipment facility for Bangladeshi exports.
In response, the Civil Aviation Authority of Bangladesh (CAAB) has accelerated plans to expand cargo-handling capacity. Initiatives include launching dedicated cargo flights from Sylhet’s Osmani International Airport and reinforcing staffing at Dhaka’s Hazrat Shahjalal International Airport.
The move follows the 8 April decision by India’s Central Board of Indirect Taxes and Customs to revoke a provision that previously allowed Bangladeshi exports to transit through Indian land ports en route to international airports and seaports.
CAAB Chairman Air-Vice Marshal Md Monjur Kabir Bhuiyan told the media that additional personnel would be deployed at Dhaka airport until the third terminal becomes fully operational in October.
“We are expediting cargo clearance at Shahjalal airport,” he stated. “Sylhet airport will commence cargo operations on 27 April, and we are also fast-tracking plans for Chattogram airport. Discussions are underway with international carriers, including Turkish Airlines, to increase cargo capacity.”
Hafiz Ahmed, Director of Sylhet Airport, confirmed that Voyager Airlines will operate the first cargo flight to Spain via the Middle East, carrying 60 tonnes of garments. “Although cargo operations were approved in 2022, they had yet to begin – until now,” he noted.
During a briefing, India’s External Affairs Ministry spokesperson Randhir Jaiswal attributed the decision to “certain incidents,” though no further details were provided.
While the policy change presents logistical challenges, industry leaders see this as an opportunity for Bangladesh to upgrade its cargo infrastructure and reduce dependency on external routes.
Mohammad Hatem, Executive President of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said exports would not be severely affected due to the availability of alternatives such as sea-to-air shipments. “If Sylhet airport proves viable, we can redirect exports there,” he added.
Chowdhury Ashik Mahmud bin Harun, Executive Chairman of the Bangladesh Investment Development Authority (BIDA), described the situation as “a new opportunity” to utilise underused regional airports in Sylhet, Chattogram, Saidpur, and Lalmonirhat. “We must enhance our capacity – it is now our only option,” he stressed.
Following India’s decision, air freight rates from Dhaka have surged, reaching $6.30-6.50 per kg to Europe and $7.50-8.00 per kg to the United States-compared to $4 per kg from Kolkata and $3.50 per kg from the Maldives.
Hatem urged the government to reduce air freight charges, while Kabir Ahmed, President of the Bangladesh Freight Forwarders Association (BAFFA), emphasised the need for better coordination among CAAB, Biman Bangladesh Airlines, and freight forwarding companies.
He also recommended exploring alternative cargo routes through the UAE, Sri Lanka, and the Maldives to maintain competitive pricing.
Currently, eight cargo airlines operate out of Dhaka, including Emirates, Qatar Airways, and Turkish Airlines. The forthcoming third terminal at Hazrat Shahjalal International Airport, due to be fully operational by year-end, is expected to increase cargo capacity tenfold through automation and infrastructure upgrades.
CAAB Chairman Bhuiyan stated that the project’s timeline hinges on finalising a contract with a Japanese consortium. “If the agreement is signed within a month, the terminal could be operational within six months,” he said.