Bangladesh, Japan discuss Dhaka airport’s third terminal operation; deal yet to be finalised

Bangladesh and Japan held a bilateral meeting today (3 April) to discuss the operation and maintenance of the third terminal at Hazrat Shahjalal International Airport, though a final agreement has yet to be reached.

Both sides discussed a revised proposal presented by the Japanese side regarding the operation and maintenance of the third terminal, according to a press release from the Ministry of Civil Aviation and Tourism.

Key issues included the airport’s embarkation fee, upfront payment, and revenue-sharing arrangements.

During the meeting, Civil Aviation and Tourism Minister Afroza Khanam Rita said, “We are repeatedly sitting at the table to safeguard national interests. We want to make the terminal operational as quickly as possible.”

State Minister M Rashiduzzaman Millat urged the Japanese representatives to reconsider Bangladesh’s position and submit a revised proposal.

He also highlighted the new government’s interest in strengthening cooperation with Japan. Both sides also discussed holding another meeting soon to move the process forward.

The meeting took place at the Ministry of Foreign Affairs with Foreign Minister Khalilur Rahman, State Minister for Foreign Affairs Shama Obaid Islam, Prime Minister’s Adviser on Foreign Affairs Humayun Kabir and Bangladesh Investment Development Authority (Bida) Executive Chairman Chowdhury Ashik Mahmud Bin Harun in attendance.

The Japanese delegation was led by Rieko Nakayama, Assistant Vice Minister of Japan’s Ministry of Land, Infrastructure, Transport and Tourism. Japan’s Ambassador to Bangladesh Saida Shinichi was also present at the meeting.

Senior officials from the foreign ministry and the Civil Aviation Authority of Bangladesh (CAAB) were also present.

A civil aviation ministry source told The Business Standard that the deal remains under negotiation, with both sides yet to reach a final consensus.

Another round of talks is scheduled 6 April, when the Japanese consortium is expected to submit a revised proposal for operating the terminal.

Earlier at a meeting yesterday, State Minister M Rashiduzzaman Millat told BSS that he was hopeful about finalising the deal.

The third terminal has remained non-operational for years due to disagreements over management and revenue-sharing arrangements between the CAAB and the Japanese consortium.

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

Industry insiders have criticised the delay, attributing it to policy indecision under the previous interim administration, which left a major national asset idle.

After assuming office, Prime Minister Tarique Rahman directed authorities to resume negotiations with Japan, leading to renewed discussions, including a meeting held on 13 March at the foreign ministry.

Aviation experts say operationalising the third terminal is crucial for easing congestion at Dhaka airport and advancing Bangladesh’s ambition to become a regional aviation hub.