Reza Mahmud :
Foreign and private airlines operating in Bangladesh have expressed optimism following the announcement that a Japanese consortium is set to take over ground handling operations at the newly constructed Third Terminal of Hazrat Shahjalal International Airport (HSIA) in Dhaka.
The move comes amid long-standing dissatisfaction with Biman Bangladesh Airlines’ management of ground handling services.
Industry stakeholders have repeatedly raised concerns about inefficiencies and inconsistencies in services such as passenger processing, baggage handling, cargo operations, and aircraft servicing under Biman’s stewardship.
“Ground handling at HSIA has not met expectations. Inadequate service standards and lack of accountability have compromised passenger experience and operational reliability,” said an official from a private airline, speaking on condition of anonymity.
“Many foreign and private carriers have had to manage certain ground handling functions themselves to ensure smoother operations.”
One such issue cited involved a passenger’s baggage-specifically a tree sapling-being damaged due to improper handling. “Such carelessness undermines trust and is rarely observed in private airline operations,” the official added.
Further allegations include insufficient security checks, improper boarding procedures, and even incidents of unauthorised fees demanded by ground staff in exchange for services that should be complimentary.
These shortcomings have raised concerns about potential smuggling and overall operational integrity.
In light of these issues, the Civil Aviation Authority of Bangladesh (CAAB) has entered into pre-bid negotiations with a Japanese consortium, paving the way for a 15-year operational and maintenance contract for the Third Terminal.
The consortium includes notable entities such as Japan Airport Terminal Company, Narita International Airport Corporation, Sumitomo Corporation, Sojitz Corporation, and Jalux Inc. Though the consortium’s composition may evolve, sources indicate an agreement is close.
“The preliminary discussions with the Japanese consortium have been productive,” said CAAB Chairman Monjur Kabir Bhuiyan. “We expect to issue a Request for Proposal (RFP) shortly, with a view to signing a concessional agreement after final negotiations.”
Under the proposed arrangement, the Japanese consortium will initially work in collaboration with Biman Bangladesh Airlines, which has been appointed by the interim government to oversee ground handling for a transitional period of two years.
During this phase, the consortium will assess Biman’s performance using defined key performance indicators.
A significant portion of the terminal’s revenue will be shared with CAAB, while the consortium will retain a share in return for providing maintenance and operational services.
The shareholding structure of the special purpose vehicle formed for this venture will be finalised following the RFP process. Efforts are underway to inaugurate the Third Terminal by October, with formalities expected to be completed within six to eight months.
Commenting on the development, MS Siddiqui, a former non-government adviser at the Bangladesh Competition Commission, stated: “Ground handling requires efficient coordination among airlines, airport authorities, and service providers. Biman must raise its service standards if it is to compete in a liberalised aviation environment.”
When contacted, Boshra Islam, General Manager of Public Relations at Biman, said, “All work related to the third terminal is progressing steadily. We are keeping the media informed as developments occur.”
However, Biman Managing Director & CEO Dr Md Shafiqur Rahman was unavailable for comment despite several attempts to reach him.
The aviation industry sees the involvement of an experienced international consortium as a pivotal step towards raising service quality at HSIA and restoring confidence among foreign and domestic carriers alike.
