Hazrat Shahjalal International Airport (HSIA) is expected to commission its third terminal soon to be able to handle more foreign carriers and enhance the position of the airport globally.
However, despite this anticipated boost, inadequate ground handling infrastructure could limit the potential benefits. Although the new terminal will increase the airport's capacity, experts said that without improving ground handling capabilities this potential would be difficult to realise fully. As of now, the ground handling operations at HSIA suffer inefficiencies that hinder the timely cargo handling.
Nasir Ahmed Khan, Vice President of the Bangladesh Freight Forwarders Association (BAFFA), expressed concerns that the operational inefficiencies in ground handling could offset the potential benefits of the third terminal. "Once the third terminal is operational, we expect a large number of foreign carriers, but the real question is whether we are prepared to handle the additional cargo efficiently," Khan said.
Existing ground handling infrastructure at HSIA is far from enough, let alone cope with future growth. For example, out of four cargo scanning systems, two remained inoperative for last two years. The failure to repair and upgrade the critical equipment is causing backlogs and delays, frustrating exporters by raising logistical costs. "We offered the civil aviation authority our support but they declined our offer", he said.
The high rates charged for cargo handling at HSIA further complicated the situation. Khan pointed out that Dhaka's rates are significantly higher compared to regional competitors, driving many exporters to opt for Indian airports, where costs are lower, and efficiency is higher.
"Exporters are saving up to $2 per kilogram by routing their goods through Indian airports, and with the current state of ground handling in Dhaka, we are losing our competitive edge," Khan added.
This inefficiency has serious implications for Bangladesh's export-dependent economy. The additional capacity to be brought by the third terminal may attract foreign carriers, but if cargo cannot be handled efficiently on the ground, those gains could be nullified. Exporters may continue to reroute shipments through other regional hubs, bypassing HSIA.
Logistics sector leaders demanded immediate reforms to remove ground handling bottlenecks at HSIA.
Kabir Ahmed, President of BAFFA, stressed that infrastructure improvements must keep pace with the country's growing exports.
"Investment in the terminal is a positive step, but it won't yield results without reforming ground handling facilities. Faster implementation of reforms is crucial," Ahmed said.
Industry insiders agree that the third terminal's success hinges not only on its ability to attract more carriers but also on the efficiency of its cargo handling capacity. Without addressing the current gaps, Bangladesh risks losing out on the economic benefits that the terminal is supposed to bring. Commissioning the HSIA's third terminal could be a significant improvement in Bangladesh's logistics sector.
However, if the issues surrounding ground handling are not resolved the country may face an ironic reality-having the infrastructure in place but failing to achieve the objective due to operational inefficiencies.
The logistics community is urging swift and effective reforms to ensure that Bangladesh gets the benefits of airport renovation.
