Government to Seek Alternative Operators if Japanese Consortium Declines to Run HSIA Third Terminal

Dhaka, September 6, 2025: The interim government is prepared to seek alternative international operators to manage the newly built third terminal at Hazrat Shahjalal International Airport (HSIA) if the Japanese consortium, led by Sumitomo Corporation, declines the responsibility, Civil Aviation and Tourism Adviser SK Bashir announced today.

Speaking to journalists at the Secretariat, Bashir said, “Our negotiations with the Japanese consortium have reached the final stage. We have clarified all issues that were previously unclear. We hope to receive a reply within this week. The ball is in their court.” He added, “If Sumitomo does not agree, we will definitely move to another operator,” noting that no formal offers from other countries have been received yet.

The International Finance Corporation (IFC), acting as transaction adviser, provided a framework, and Bangladesh has responded transparently to all outstanding issues, Bashir said, emphasizing the need for a competent international operator to enhance service quality and management. Negotiations between the Civil Aviation Authority of Bangladesh (CAAB) and the Japanese consortium, which includes Japan Airport Terminal Company, Narita International Airport Corporation, Sojitz Corporation, and Japanese government agencies, are set for September 7 to 9 at CAAB headquarters. The first two sessions will be chaired by CAAB Chairman Air Vice Marshal Md Mostafa Mahmood Siddiq, with Bashir presiding over the final day. The third terminal, constructed at a cost of Tk 21,139 crore with major funding from the Japan International Cooperation Agency (JICA), is ready for operation. A Biman Bangladesh Airlines flight used it on a trial basis in August, but commercial operations are stalled due to unresolved revenue-sharing disputes with the consortium. The consortium was initially promised the operational contract under a public-private partnership model by the ousted Awami League government. However, the interim government’s decision to assign Biman Bangladesh Airlines ground-handling duties for two years has caused unease, with the consortium seeking broader operational and revenue-sharing rights. The terminal, soft-launched in October 2023, is designed to triple HSIA’s passenger capacity from 8 million to 24 million annually and expand cargo handling. It features 26 boarding bridges, 115 check-in counters, 66 departure immigration desks, 59 arrival immigration desks, and three VIP immigration desks, covering 542,000 square meters with a floor space of 230,000 square meters. Integrated with Dhaka’s metro rail, elevated expressway, and hajj camp, it is poised to be a key aviation hub.

Aviation experts warn that delays in finalizing an operator could increase costs due to expiring equipment warranties and undermine the project’s strategic benefits.