Based on operational and commercial considerations, Biman’s Boeing procurement decision: CEO

Biman Bangladesh Airlines Managing Director and CEO Dr Md Shafiqur Rahman has dismissed the allegations of political motivation behind the decision of procurement of 14 Boeing aircraft, saying it was taken on the demands based on operational and commercial grounds, reports BSS.

“The aircraft procurement decision followed detailed assessments of fleet compatibility, maintenance support, financing options, delivery schedules and long-term operational efficiency,” he told BSS in an exclusive interview today.

Rahman said the policy-level approval for the aircraft acquisition was granted by the Biman board at the airline’s Annual General Meeting held on December 30 last, chaired by the Civil Aviation and Tourism Adviser, who also serves as the board chairman.

Subject to pricing negotiations and financial arrangements, the Biman head claims that the clearance covers the purchase of eight Boeing 787-10 aircraft, two Boeing 787-9s, and four Boeing 737-8 MAX aircraft.

In terms of future growth, he stated that Biman’s expansion plan is centered on measured network development that is in line with operational capacity and market demand, with a special focus on bolstering international operations and increasing capacity on routes with significant business and diaspora demand.

He stated that expanding the Biman fleet in the Middle East is still a top priority, taking into account remittance flows, transit passengers, and cargo movement. He added that additional routes would be implemented gradually after thorough fleet planning and commercial viability studies.

Responding to a question regarding his achievement, Rahmn said that restoring financial discipline and operational stability during a challenging time of global aviation sector are among the most significant achievements of his tenure.
  
He said that the airline’s efforts as a whole were reflected in maintaining continuous operations, increasing aircraft utilization, generating sustained profitability, and fortifying internal controls. He emphasized that for a national flag carrier, stability and dependability are still just as important as growth.

In response to criticism on past low passenger loads and increased costs, Rahman stated that previous issues were partially caused by syndicated ticket sales tactics, which led to false price increases and decreased transparency.

According to him, Biman has changed aircraft frequencies, enhanced revenue management, and guaranteed transparent online ticketing.

Rahman said Biman’s recent record profits were the outcome of long-term measures, including strict cost control, improved fleet utilisation, route rationalisation and stronger revenue management, alongside support from the Board of Directors and the Ministry of Civil Aviation and Tourism.

He said the airline optimised fuel consumption, renegotiated service contracts, reduced avoidable operational losses and strengthened financial oversight. Demand recovery in key international markets and disciplined capacity planning also contributed to the turnaround, he added.

Addressing jet fuel liabilities, Rahman said the dues were a legacy issue accumulated over many years and that Biman is pursuing a structured repayment approach without affecting day-to-day operations. The airline is currently repaying Taka 25 crore per month while purchasing fuel on a cash basis, he noted.

Regarding the resumption of direct Dhaka–Karachi flight, Rahman said nonstop services would significantly save time and money of the passengers get them free from long transit at Dubai, Doha and Sharjah.

He pointed out that a nonstop flight from Dhaka to Karachi will cut the travel duration from up to 13 hours or more to about four to four and a half hours.

The restored Dhaka–Karachi service will first run on a trial basis from January 29 to March 30 as a “strategic observation,” according to airline officials. During this time, passenger demand, load factors, and commercial performance will be evaluated before a final decision is made regarding permanence or frequency increase.

Due to persistent losses and low passenger volume, Biman discontinued service on the route in 2012. According to officials, the cautious reintroduction reflects lessons gained from previous experience.

Mridha Shihab Mahmud is a writer, content editor and photojournalist. He works as a staff reporter at News Hour. He is also involved in humanitarian works through a trust called Safety Assistance For Emergencies (SAFE). Mridha also works as film director. His passion is photography. He is the chief respondent person in Mymensingh Film & Photography Society. Besides professional attachment, he loves graphics designing, painting, digital art and social networking.
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