Home Business UK Ban On Cargo Flights: BD exporters suffer loss of TK 250cr

UK Ban On Cargo Flights: BD exporters suffer loss of TK 250cr

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Bangladesh has incurred a loss of around Taka 250 crore due to  imposition of the UK’s embargo on air cargo from Dhaka to Britain since March 10.The UK’s unilateral decision has inflicted a severe blow to country’s export trades, especially readymade garments and perishable commodities to the United Kingdom. Besides, such decision severely damaged earning of Bangladesh Biman, the national flag carrier that alone carries all types of cargo from Bangladesh to the UK.As part of compliances of the British requirements Bangladesh has engaged a British company to supervise and keep its surveillances on the security issues of Hazrat Shahjajal International Airport. But ironical though, the UK is yet to withdraw its embargo on cargo carrying that not only surprised but also frustrated the Bangladeshi export traders. Business circle believes that Bangladesh might have been made hostage to force Dhaka to hire a British security agency to look after the securities in Dhaka airport. Regarding withdrawal of UK ban on direct cargo flights from Dhaka to London concerned sources said, “As per our foreign office an evaluator is likely to arrive in Dhaka on April 8 for assessing the overall situation in the airport.” It is, therefore, clear that the ban is not going to be withdrawn until the evaluator submits report and subsequent evaluation is made. “This is time consuming “, the source said adding that by this time Bangladesh export trades would suffer due to the unwanted embargo. Withdrawing ban on direct cargo flights from Dhaka airport is a political decision but as per international compliance the government has taken every measure in the airport, said Civil Aviation and Tourism Minister Rashed Khan Menon.While talking with the Daily Observer he said, “We are doing our best and the overall situation has already improved.”Regarding withdraw of ban on direct cargo flight the minister said, “We cannot say when it would be withdrawn as the ban is the UK government’s political decision.”In the mean time exporters and logistics service providers claim they are incurring huge losses every day due to time consuming scanning, non availability of cargo planes, increased rates of air shipments and due to no sheds in the airport for keeping the cargoes.Firoz Ahmed, Director Flight Operation of a US based logistic company in Bangladesh said every day 19 passenger and cargo flights are Flying from Dhaka airport. He said on an average 1000 tons cargoes are being airlifted from Dhaka airport. But due to ban on direct flights both the Biman and other cargo services are making losses every day.He said the Biman itself is making Tk 4.5 million losses every day as its cargo section cannot carry goods due to ban by the UK government.Syed Mohamamad Bakhtear, Director, Bangladesh Association of Freight Forwarding Agents (BAFFA) who is responsible for port operation said, “Our exporters are also losing their money in exporting even non perishable items.”He said due to lengthy scanning system and unavailable of flights the exports need to wait for long time and exporters are to pay delay penalty to the buyers.He said the cargo flights operators are also making losses as most of the spaces remaining empty and the cargo flights towards London is closed down.He said the goodwill and image loses of the country are not to be calculated. He estimates on an average the local exports are losing more than Tk100 million per day including losses exportable goods which are being kept in the open air days after days and even months in the airport.To remove the lengthy process and keep the exportable goods in safer shades the government is encouraging BGMEA and BAFFA for their private investment in the airport area.The BAFFA office bearer said, “We on our own initiative are taking some measures on security ground.”He said the BAFFA at its own costs is employing people to maintain security in the airport.”He said, “We are also training our people at our own costs in the interest of the country.”The BGMEA President Md. Siddiqur Rahman said, “We are also setting up shed in the airport premises to keep our imported and exportable goods there.”He said, “The Civil Aviation Authority (CAAB) is giving us a place and we will set up a shed with our own money.”Abdus Salam Murshedy former BGMEA leader, said that with the rising costs of air shipment and delayed flights they are incurring losses. He said when they miss the sea shipment, they go for air shipment at double prices but currently the costs in air shipment due to some safety measures they need to wait for flights.Farid Uddin, a senior official of the GTS Logistics, said that the existing process is time consuming and many times they miss the scheduled flights for export of perishable goods.He said due to stoppage of direct cargo flights from Dhaka airport to UK some exporters have to pay extra charges as the goods are entering in the UK via Arab countries.He said the government has appointed a British company for overall security and safety maintenance in the airport, so it is expected that the existing ban on cargo flights would be withdrawn.A freight forwarding agent stationed in Dhaka airport said that due to beefed up security measures their goods cannot enter the cargo village.He said, “We have to keep our cargo vehicles on the roads outside the airport as the security persons do not allow our trucks to enter nearby cargo village which once was not restricted.”