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CAAB races to open HSIA’s 3rd terminal by Feb

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The Civil Aviation Authority of Bangladesh (CAAB) is scrambling to operationalise the third terminal of Hazrat Shahjalal International Airport (HSIA) by February, as the warranty periods of several machines and spare parts have either expired or are on the verge of expiring.

Top officials admitted that the race against time has been further complicated by delays in signing an agreement with a Japanese consortium, which is supposed to manage operational activities at the Tk 21,000-crore facility.

“CAAB insiders said discussions with the Japanese consortium on revenue sharing are progressing, and both sides are hopeful of reaching an understanding soon, paving the way for the signing of a formal agreement within the next month.”

“A senior CAAB official, seeking anonymity, told The New Nation that the authority is mindful of the expiry timelines of certain equipment and is therefore working to make

the terminal operational at the earliest to ensure efficiency and prevent potential financial setbacks.”

The new CAAB chairman, Air Vice Marshal Mostafa Mahmud Siddiq, at a briefing on August 7, also stopped short of giving a specific launch date but said his “first big challenge” was to bring the terminal into operation swiftly while balancing stakeholders’ interests.

Political urgency
The interim government has announced that the 13th national election will be held in the first half of February next year. Sources said CAAB is under pressure to ensure the terminal is at least partially operational before then.

The third terminal, 99.88 percent complete, was originally slated to open for passengers by the end of 2024. A soft launch was held in October 2023 by then Prime Minister Sheikh Hasina. But political upheavals, leadership changes within CAAB, and delays in receiving key materials—particularly for the VVIP terminal—have pushed back the timeline.

Consortium deadlock

The Japanese consortium, which includes Japan Airport Terminal Company, Sumitomo Corporation, Sojitz, and Narita International Airport Corporation, will oversee operational activities, while CAAB will retain security control. Biman Bangladesh Airlines is expected to manage passenger and cargo handling for two years under the consortium’s supervision.

At present, only trial runs are being conducted. On August 4, a Biman flight used the new passenger boarding bridge (PBB) and visual docking guidance system (VDGS) for the first time.

High stakes Around 6,000 personnel, including 4,000 security staff, will need to be deployed across four shifts to run the terminal round the clock, airport officials said.

Once fully operational, the facility will triple HSIA’s annual passenger and cargo capacity. Passenger handling will rise to 24 million per year, up from the current eight million, while cargo capacity will see a sharp boost from 500,000 tonnes.

“All eyes are now on the third terminal,” said CAAB Chairman Mostafa. “My main goal is to make it operational as quickly as possible.”

Once the terminal is fully operational, the airport’s annual passenger and cargo handling capacity is expected to triple.

The airport’s annual passenger handling capacity is expected to reach 24 million (including the two existing terminals) once the third terminal is fully open.

Currently, HSIA can handle eight million passengers and 500,000 tonnes of cargo per year.

The third terminal was given a soft launch by the then prime minister, Sheikh Hasina, on 7 October 2023, with full operations initially promised by 2024.

However, political changes in the country following last year’s mass uprising that toppled the Awami League government, frequent shifts in project leadership, and delays in receiving key materials from abroad — particularly those needed for the VVIP terminal — have pushed back the timeline.

Ongoing negotiations with the Japanese consortium are further delaying the terminal opening.

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