Can HSIA Third Terminal transform Bangladesh into regional cargo hub?

Dhaka : The operationalization of Hazrat Shahjalal International Airport's Third Terminal presents Bangladesh with a significant opportunity to strengthen its air cargo infrastructure, improve export competitiveness and establish itself as a more important player in regional and international supply chains.

While the new terminal is widely viewed as a major step towards modernizing passenger services, its cargo facilities could prove equally consequential for the country's economy. In an increasingly interconnected global marketplace, the efficiency of an airport's cargo operations directly influences the competitiveness of exporters, the reliability of supply chains and a country's attractiveness as a business and investment destination.

For Bangladesh, whose export economy depends heavily on the ready-made garment industry and whose international trade includes pharmaceuticals, seafood, agricultural products and other time-sensitive commodities, efficient air freight is not merely a logistical convenience. It is an economic necessity.

Capacity expansion must deliver efficiency

According to official information cited by Hazrat Shahjalal International Airport, its existing annual cargo-handling capacity is approximately 200,000 tons, with plans to increase it to 500,000 tons following expansion.

This represents a substantial increase in capacity. However, additional warehouse space alone will not make Dhaka a competitive cargo gateway. The real test will be whether the expanded facilities can process shipments faster, reduce cargo dwell time, ensure reliable handling and provide exporters and importers with predictable service.

Cargo delays can have serious commercial consequences. Garment exporters may miss shipment deadlines, pharmaceutical consignments may require specialized temperature-controlled storage, and perishable products can lose value when clearance or handling is delayed. Additional paperwork, repeated handling and inefficient coordination further increase logistics costs.

The objective, therefore, should be to transform the Third Terminal's cargo infrastructure into an integrated, technology-driven logistics hub rather than simply a larger cargo complex.

World-class cargo village essential

The development of a modern cargo village should be a priority. Import and export operations require appropriately segregated, professionally managed facilities supported by automated handling systems, secure storage, efficient screening and well-organized cargo movement.

Import cargo should he dedicated warehousing supported by automated inventory management, real-time tracking and efficient procedures for customs clearance and delivery. Export facilities should enable freight forwarders, airlines, ground handlers and exporters to coordinate acceptance, documentation, security screening and aircraft loading without unnecessary delays.

Specialized cargo requires particular attention. Pharmaceu-ticals need dependable temperature-controlled environments, while seafood, fresh produce and other perishables require an uninterrupted cold chain. Dangerous goods and valuable consignments need dedicated storage, appropriate security and handling procedures, and adequate fire protection.

International examples offer useful lessons. Delhi Airport has developed extensive on-airport warehousing, including specialized facilities for pharmaceuticals, perishables, dangerous goods and valuable cargo. Kolkata's cargo complex also offers automated import storage, cold-storage facilities and dedicated areas for hazardous and valuable consignments.

Dhaka should adopt comparable operational principles, tailored to Bangladesh's trade profile and future cargo demand.

Cold-chain logistics can unlock new export opportunities

Bangladesh's ambitions to diversify its export basket will depend partly on its ability to transport high-value and time-sensitive products reliably.

An internationally credible cold-chain system could support the expansion of pharmaceutical exports, seafood shipments, fresh agricultural produce and other temperature-sensitive goods. Such infrastructure would help reduce spoilage, protect product quality and strengthen confidence among international buyers.

The airport should consider internationally recognized standards, including the IATA Centre of Excellence for Independent Validators in Pharmaceutical Logistics (CEIV Pharma) framework, as a benchmark for developing reliable pharmaceutical handling capabilities.

However, cold-chain infrastructure must extend beyond refrigerated storage. Temperature monitoring, trained personnel, specialized handling equipment, controlled transfer processes and coordinated customs procedures are all necessary to maintain product integrity throughout the logistics chain.

Faster customs clearance, digital integration

Cargo competitiveness depends as much on processing speed as on physical infrastructure.

The airport should establish measurable service standards for cargo dwell time, customs clearance, security screening, truck waiting time and cargo delivery. Publishing and regularly monitoring these performance indicators would help identify operational bottlenecks and encourage greater accountability among the organizations involved.

Efficient cargo handling, modern equipment and reliable aircraft connections are essential to make Dhaka a competitive air freight gateway (top and bottom) temperature-controlled logistics can help Bangladesh expand exports of pharmaceuticals, seafood and other sensitive products

Digital integration is equally important. Exporters and importers should be able to track consignments from acceptance and screening through customs clearance, warehouse handling and aircraft loading.

Better information-sharing among customs, airlines, freight forwarders, ground handlers and warehouse operators could reduce paperwork, eliminate duplication and improve operational coordination. Digital documentation, real-time shipment visibility and efficient inventory management would also help businesses plan their supply chains more effectively.

Technology, however, must be supported by robust cybersecurity, reliable systems and clear procedures for protecting cargo manifests, customs records and commercially sensitive information.

Ground handling, truck movement need attention

A modern cargo terminal cannot operate efficiently without adequate ground-support equipment and well-planned landside logistics.

Sufficient unit load device (ULD) tractors and dollies, high loaders and other specialized equipment must be available to meet peak-hour demand. Proper maintenance, equipment monitoring and operational backup arrangements are essential to prevent aircraft loading and unloading delays.

Equally important is the movement of trucks into, through and out of the cargo complex. Inadequate parking, poorly designed loading bays and unregulated vehicle arrivals can create queues that disrupt cargo operations and spill onto surrounding roads.

Dedicated truck staging areas, sufficient loading and unloading bays, scheduled entry arrangements and digital slot management could significantly improve traffic flow. The objective should be to ensure that cargo vehicles can complete their airport transactions efficiently without creating congestion around the terminal.

Fire safety must be non-negotiable

The devastating cargo-village fire in October 2025 underlined the importance of safety in cargo operations. According to the original article, Fire Service officials reported shortcomings in fire detection and protection systems, while the subsequent investigation identified an electrical short circuit as the trigger and highlighted problems associated with cargo accumulation and operations.

These lessons must be incorporated into the design and management of the new cargo infrastructure.

Modern fire detection and suppression systems, fire-resistant construction, compartmentalized storage, clear emergency access and appropriate segregation of dangerous goods should be fundamental requirements. Electrical installations must be regularly inspected, while warehouse operators should enforce strict procedures for storage, housekeeping and the handling of hazardous materials.

Regular joint emergency exercises involving airport authorities, the Fire Service, customs, airlines, ground handlers and warehouse operators should form part of routine operations. Safety standards must be monitored continuously rather than addressed only after an incident.

From cargo gateway to regional hub

The Third Terminal creates an opportunity for Bangladesh to strengthen its position in international air freight. Realizing that opportunity, however, will require coordinated action beyond the airport itself.

Airlines must provide competitive cargo capacity and dependable connectivity. Customs procedures need to be predictable and efficient. Ground handlers and freight forwarders must meet professional service standards, while airport management must ensure that infrastructure, technology and equipment keep pace with demand.

Bangladesh should also assess how Dhaka can improve its connectivity with major international cargo markets and develop stronger links with regional distribution networks. The potential to attract additional transit cargo will depend on competitive costs, reliable processing, suitable airline connections and consistent service quality.

A larger cargo terminal alone will not establish Dhaka as a regional hub. That ambition requires a comprehensive ecosystem in which infrastructure, regulation, technology, safety and commercial operations work together.