Agreement with Japanese consortium to operate Third Terminal by July 19: State Minister

Dhaka: The much-awaited agreement between a Japanese consortium and the Civil Aviation Authority of Bangladesh (CAAB) for the operation and maintenance of the third terminal at Hazrat Shahjalal International Airport is expected to be signed by July 19, State Minister for Civil Aviation and Tourism M Rashiduzzaman Millat said on June 4.

Speaking at a press briefing at the Secretariat, the minister said efforts are underway to finalize the deal ahead of schedule.

"As per the timeline, the agreement will be signed by July 19. We are trying to complete the process even earlier. Our target is to make the third terminal operational by 16 December this year," he told reporters.

Millat also said the Japanese consortium would be responsible for appointing a second ground handling operator for the terminal.

The third terminal has remained idle for nearly 18 months due to unresolved issues over management responsibilities and revenue-sharing arrangements between CAAB and the Japanese side.

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

A two-day bilateral meeting between CAAB officials and representatives of the consortium began on June 3 and is set to conclude on June 4.

The two countries previously held talks on 3 April regarding the terminal's operation and maintenance, but those discussions ended without a final agreement.

According to a press release from the Ministry of Civil Aviation and Tourism, both sides reviewed a revised proposal submitted by the Japanese consortium covering operational and maintenance arrangements.

Major points of discussion included embarkation fees, upfront payments, and the framework for sharing revenues generated by the terminal.

Industry stakeholders have repeatedly criticized the prolonged delay, arguing that policy indecision under the previous interim administration left a key national infrastructure asset unused despite the completion of construction.

Following his assumption of office, Prime Minister Tarique Rahman instructed the relevant authorities to resume negotiations with Japan. The directive paved the way for fresh discussions, including a meeting held at the Ministry of Foreign Affairs on March 13.

K