The decision by India to ban transshipment through its airports has not had a significant effect on the amount of clothing that is shipped to Europe since Bangladeshi exporters have adjusted by using other routes and better facilities at home.
According to exporters, the majority of them now carry their goods from Chattogram port to Colombo, Sri Lanka, by sea after India shut down the trans-shipment facility in April of this year. Consignments are then flown from Dubai after arriving from Colombo when shipments have strict deadlines.
Otherwise, products are transported directly from Colombo to their destinations by huge vessels. Bangladeshi exporters typically use Malaysian ports of Singapore and Penang, where mother ships are fed by smaller Chattogram carriers.
The authorities set up an explosive detection system (EDS) at Osmani International Airport in Sylhet to examine cargo headed for Europe after the trans-shipment was suspended in April.
In addition, Hazrat Shahjalal International Airport (HSIA) in Dhaka has repaired all four of its EDS machines.
Moreover both airports have lowered ground-handling fees for export cargo by five to six cents per kilogramme.
Pressure on Dhaka airport has eased since the EDS was installed in Sylhet, said Shovon Islam, Managing Director of Sparrow Group. He further added that some major international clothing retailers and brands like Inditex are carrying their goods through chartered planes from Sylhet or at times from the airport in Dhaka.
Faisal Samad, Director at the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said this is presently a lean season for air shipments as many buyers are transporting goods by sea. He therefore stated that space on cargo flights is not an issue anymore and a large volume of garments bound for Europe and the United States is now shipped via Colombo, with some airlifted from Dubai when deadlines are tight.
Due to a lack of screening facilities in Dhaka and a reduction in cargo space following the cancellation of flights from HSIA by multiple airlines, local exporters turned to this route.
According to BGMEA, approximately 34,900 tonnes of clothing valued at US $ 462 million were transported through Indian airports to 36 countries between January and March of this year.
Prior to the stoppage, exporters estimate that about US $ 2 billion worth of goods were delivered through India each year.
Screening facilities have improved at both Dhaka and Sylhet airports following the trans-shipment suspension, said Kabir Ahmed, Past President of the Bangladesh Freight Forwarders Association (BAFFA).
