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Govt may seek new operator if Japanese consortium declines 3rd terminal

The government is ready to approach other international operators to manage Hazrat Shahjalal International Airport’s (HSIA) newly built third terminal if the Japanese consortium refuses to take up the responsibility, Civil Aviation and Tourism Adviser S K Bashir said today, says BSS report.

“Our negotiations with the Japanese consortium have reached the final stage. We have clarified all issues that were previously unclear. We hope to receive their reply within this week. Now the ball is in their court… we are waiting,” Bashir told reporters at the Secretariat.

“If Sumitomo does not agree, then we will definitely have to move to another operator. Why not? I work for Bangladesh—it could be Japan or another country, but my duty is to Bangladesh,” the adviser stressed, adding that no formal offers from other countries have been received so far.

Bashir said the International Finance Corporation (IFC), acting as transaction adviser, had earlier provided a framework, and Bangladesh has already given transparent responses to all outstanding issues.

“We want the terminal to be run by a competent international operator so that service quality and management standards improve,” he noted.

The final round of three-day negotiations between the Civil Aviation Authority of Bangladesh (CAAB) and the Japanese consortium is scheduled for September 7–9 at CAAB headquarters. Officials said the first two sessions will be chaired by the CAAB chairman, while Adviser Bashir will preside over the concluding day.

The much-anticipated third terminal, built at a cost of Tk 21,139 crore with major financing from the Japan International Cooperation Agency (JICA), is “ready for operation.” A Biman Bangladesh Airlines flight used the facility on a trial basis in August, though full commercial operations remain pending due to unresolved negotiations.

The consortium—led by Sumitomo Corporation and joined by Japan Airport Terminal Company, Narita International Airport Corporation, Sojitz Corporation, and Japanese government agencies—was originally promised the operational contract under a public-private partnership (PPP) model. The commitment was made by the previous Awami League government as part of the JICA-funded construction package.

After the Interim Government took office, however, a policy decision assigned Biman Bangladesh Airlines ground-handling responsibilities at the new terminal for two years. Sources said the move created unease within the consortium, which is seeking broader operational and revenue-sharing rights.

Talks have stalled over how revenue will be divided, a senior CAAB official familiar with the process confirmed.

The terminal, inaugurated through a “soft opening” in October 2023, was designed to triple HSIA’s passenger capacity—from 8 million to 24 million annually—and significantly expand cargo handling. Integrated with Dhaka’s metro rail, elevated expressway, and hajj camp, it is expected to serve as a central hub for the country’s future aviation growth.

Aviation experts warn that prolonged delays in finalising an operator could drive up costs as warranties on installed equipment expire and could diminish the project’s strategic value.

Construction of the terminal began in December 2019. Covering 542,000 square metres with a floor space of 230,000 square metres, the facility features 26 boarding bridges, 115 check-in counters, 66 departure immigration desks, 59 arrival immigration desks, and three VIP immigration desks.

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