Biman might lose profitable Saudi Arabia route

Biman Bangladesh Airlines could lose the right to operate flights to its most profitable route Saudi Arabia if it fails to meet conditions set by the kingdom.

The national flag carrier now operates 18 flights to Jeddah, Dammam, Medina and Riyadh, transporting more than 6,000 expatriates from Dhaka. every week 

Saudi Arabia made it mandatory for Biman to have a single general sales agent (GSA). Although the carrier appointed a GSA, it is yet to function properly, forcing Biman to extend the deadline for meeting the kingdom’s condition.

Oil-rich Saudi Arabia is Bangladesh’s largest manpower market accounting for 74 per cent (457,227) of its total employment last year. In the first two months of this year, 127,187 Bangladeshis (63 per cent) went to the kingdom for jobs. Bangladeshi expats remitted $4,162.07 million last year – 23 per cent of the total amount received in 2021.

Bangladesh’s Ambassador to Riyadh Mohammad Javed Patwary blamed Biman for this “horrifying situation” in a recent letter to the Ministry of Civil Aviation and Tourism. 

Patwary said Biman was aware of the problem but its management did not respond timely to repeated reminders from Saudi Arabia’s General Authority of Civil Aviation (GACA).

He said Biman officials come to the embassy with various problems and seek their assistance at the eleventh hour. 

Last year, GACA decided all foreign airlines could have only one GSA in the kingdom when Biman had two. KSA asked Biman to comply within January 1, airline sources said.

Biman appointed ‘Elaf Travel and Tourism Company’ as its GSA but complications such as settling arrears of the other GSA meant that the new one could not start functioning properly yet. 

Besides, iqama or work permit for the newly-appointed Biman employees was not updated.

GACA warned Biman that the airlines won’t be able to operate flights from February 7 this year without meeting its condition. Biman persuaded GACA to extend the deadline thrice.

Biman Managing Director and CEO Abu Saleh Mostafa Kamal said Biman appointed a new GSA as per KSA’s directive, but it was yet to settle arrears of previous GSA and transfer iqama of its employees. 

“We are optimistic about meeting the requirements very soon,” he told The Business Post. 

A joint team of the civil aviation ministry and Biman are currently in KSA to resolve the issue.