HSIA third terminal operation deal by 19 July: Millat

The agreement between the Civil Aviation Authority of Bangladesh (CAAB) and a Japanese consortium for operating the third terminal of Hazrat Shahjalal International Airport (HSIA) is expected to be signed by 19 July, State Minister for Civil Aviation and Tourism M Rashiduzzaman Millat said on Thursday.

“As per the deadline, the agreement will be signed by 19 July. We will try to complete the deal even earlier. We hope the third terminal will become operational by 16 December this year,” he told reporters at a press briefing at the Secretariat in the capital.

The state minister said the Japanese consortium would also appoint the second ground handler for the terminal.

The Airport's third terminal has remained non-operational for nearly one and a half years due to disagreements over management and revenue-sharing arrangements between CAAB and the Japanese consortium.

The consortium comprises Japan Airport Terminal Company, Sumitomo Corporation, Nippon Koei and Narita International Airport Corporation.

A two-day negotiation meeting between CAAB and the consortium began on Wednesday and concluded on Thursday to finalise issues related to the operation and maintenance of the terminal.

According to the Ministry of Civil Aviation and Tourism, discussions focused on a revised proposal submitted by the Japanese side, with key issues including embarkation fees, upfront payments and revenue-sharing arrangements.

Earlier, Bangladesh and Japan held a bilateral meeting on 3 April to discuss the terminal’s operation and maintenance, though no final agreement was reached at that time.

Industry insiders have attributed the delay in launching the terminal to prolonged policy indecision by the past interim government, leaving a major national infrastructure asset unused despite completion of construction.

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Shahjalal Airport's third terminal to open by end of this year: Aviation Minister

Following assumption of office, Prime Minister Tarique Rahman directed the authorities to resume negotiations with the Japanese side, paving the way for renewed discussions, including a meeting held at the Ministry of Foreign Affairs on 13 March.

The third terminal, spanning 5,42,000 square metres, is designed to handle an additional 12 to 16 million passengers annually and nearly 5,00,000 tonnes of cargo, significantly boosting the airport’s capacity.