Struck by blaze, pharma importers to get fast-track release of raw materials
The pharmaceutical industry fears a Tk4,000 crore impact due to the fire.
Following the devastating fire that gutted the import cargo village at the Dhaka airport, including its temperature-controlled storage facilities, importers of pharmaceutical raw materials will now be able to collect their consignments directly upon arrival.
After a meeting with the Civil Aviation Authority of Bangladesh (CAAB) today (21 October), industry leaders said that the temporary arrangement will remain in place until the cold chain system is rebuilt, a process expected to take three months.
Bangladesh Association of Pharmaceutical Industries (BAPI) Secretary General Dr Zakir Hossain told The Business Standard, "In the meeting, it was decided that for pharmaceutical products requiring cold chain maintenance, if we prepare the necessary documents and make the payment in advance, the airport authorities will deliver them to us as quickly as possible — possibly even within 24 hours.
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"In addition, the airport authorities have sought our cooperation in setting up storage facilities, as we already build cold rooms in our factories and depots."
Muhammad Halimuzzaman, treasurer of the association and CEO of Healthcare Pharmaceuticals Limited, told TBS, "At the meeting with Customs, the Civil Aviation Authority, and the Airport Authority, we were informed that Customs and delivery operations will remain open every day.
"Moreover, banks will also receive Customs-related documents on Fridays and Saturdays."
The fire, which destroyed key cargo handling and cooling infrastructure, had disrupted the import and preservation of sensitive pharmaceutical ingredients, raising concerns over raw material shortages for local drug manufacturers.
Pharmaceutical industries fear Tk4,000cr impact
The Bangladesh Association of Pharmaceutical Industries has estimated that the recent fire at the Cargo Village of Hazrat Shahjalal International Airport may cause an impact of around Tk4,000 crore to the country's pharmaceutical sector.
At the press conference today, BAPI Secretary General Dr Zakir Hossain said that raw materials worth about Tk200 crore belonging to 45 leading companies were burnt in the fire.
He added that the total losses are expected to rise further once damage assessments from other affected companies are completed.
The destroyed materials included essential ingredients used in the production of antibiotics, vaccines, hormones, and medicines for diabetes and cancer.
The loss of these raw materials has raised concerns about potential disruption to the production of related drugs.
Zakir noted that several spare parts and machinery were also damaged in the fire.
Re-importing and reinstalling these components would take time, which could delay the restoration of normal production.
The association added that the initial loss estimate may increase, as each raw material is directly linked to the production of multiple finished products.
Considering this, the fire at the Cargo Village could cause an overall economic impact of around Tk4,000 crore on the pharmaceutical sector.
Zakir Hossain assured that despite the crisis, pharmaceutical companies would not raise prices or create an artificial shortage of medicines.
Kaiser Kabir, CEO and managing director of Renata PLC, criticised the lack of safety measures at the Cargo Village, calling it a "major government failure."
"Our goods were under government custody in the customs warehouse. How could there be no firefighting system in place? A long-term, international-standard firefighting system must be established. Bangladesh's economy is no longer small," he said.
