From the very beginning, talks have been underway with a Japanese company about managing Terminal 3 of Hazrat Shahjalal International Airport in Dhaka. Finally, a specialized company formed by a consortium of six Japanese organizations (two public and four private) is set to take over the operation and maintenance of the brand-new terminal for the next 15 years. Officials at the Civil Aviation Authority of Bangladesh (CAAB) say they expect to sign the final agreement with the Japanese side within a month.

According to CAAB sources, the consortium will be led by Sumitomo Corporation, a well-known organization from Japan’s private sector. Along with four private firms, the consortium also includes two major Japanese government agencies: the Ministry of Land, Infrastructure, Transport and Tourism, as well as the Japan International Cooperation Agency (JICA). The agreement will be signed under a public-private partnership (PPP) model.

The government has already made a policy decision to assign Biman Bangladesh Airlines to handle ground services at the third terminal. However, Biman will carry out those responsibilities under the oversight of the Japanese consortium.

Sources at CAAB explained that Terminal 3 will generate revenue from two main sources. Under the aeronautical category, the Japanese consortium will collect embarkation fees and boarding bridge charges. On the non-aeronautical side, they will manage all commercial activities within the terminal. These earnings will cover the terminal’s overall maintenance. Any surplus will be shared between the consortium and the Bangladesh government.

CAAB officials confirmed to Bonik Barta that the draft agreement has already been finalized. They have sent a “Request for Proposal” to the Japanese consortium. Under PPP regulations, the consortium can take up to 42 days to respond. CAAB officials are optimistic that the deal would be signed within the next month.

Even after the agreement is signed, the Japanese operator would not be able to start operations at Terminal 3 right away. According to CAAB sources, it could take them about six to eight months to complete all the necessary preparations before launching full commercial operations at the terminal.

When asked about the process of appointing the operator, CAAB Chairman Air Vice Marshal Md Mafidur Rahman told Bonik Barta, “We’ve been in discussions with them (the Japanese consortium) for about a month now. We’ve already sent them the Request for Proposal and the concession agreement. We’ve also finished discussing the key terms with them.”

He confirmed that the operation and maintenance agreement for Terminal 3 is now in its final stages. “A high-level committee is working on the details. We expect to sign the agreement very soon. Once that’s done, we’ll move forward with launching operations. If all goes according to plan, we’re hopeful the terminal will be operational within five to six months after signing.”

When asked about how the terminal’s revenue will be shared, the CAAB chairman said, “That’s still under discussion. A large portion of the revenue will go toward maintenance. The remaining amount will be split between us and the operator. But since the deal isn’t finalized yet, it’s too early to say exactly how the revenue will be divided.”

The third terminal is being built with financial support from JICA. Out of the BDT 21.39 billion total project cost, BDT 16.14 billion came from Japanese loans. Two Japanese contractors have also been involved in the construction.

Before the 12th national election, the then-Awami League government rushed to do a “soft launch” of the terminal on October 7, 2023. At that time, about 90 percent of the construction had been completed. Sources say the terminal building is now fully ready. However, without an operator, commercial operations cannot begin. If the agreement is signed within the next month, full-scale operations may start by the end of this year.