After Airbus deal takes shape, Biman to proceed with Boeing proposal: New MD

After a deal with Airbus takes shape, Biman Bangladesh Airlines will proceed with the Boeing proposal for purchasing new aircraft, said Jahidul Islam Bhuiyan, the new managing director and CEO of the national flag carrier, today (30 June).

"Discussions and various internal negotiations with Airbus are going on. Now there is also an offer from Boeing. Once it [deal with Airbus] takes shape, we will move forward with talking about the other," he said, replying to a question from journalists at a views-exchange meeting at the airline's head office in Dhaka.

"We need more aircraft. Accordingly, we will work with everyone. We will also evaluate Boeing's proposal. And Airbus's internal procedure has progressed a little," said Jahidul, also an additional secretary of the government.

Asked if they would buy aircraft from both American planemaker Boeing and its European rival Airbus, he said, "The requirement is extensive, so it doesn't appear that one company alone can fulfil it."

At present, the Biman fleet has 21 aircraft – four Boeing 777-300 ERs, four Boeing 787-8s, two Boeing 787-9s, six Boeing 737s, and five Dash 8-400s.

On the issue of its 10-year fleet plan, the MD said, "Biman will have a fleet of 47 planes by 2034. In the meantime, six aircraft of the existing 21-strong fleet will be phased out. So, we have to add 32 new aircraft by the next decade to achieve the expansion plan."

He explained that the airline will either purchase or lease the new aircraft to meet its target and support the national carrier's route expansion strategy over the next 10 years.

Earlier in May, Biman's outgoing MD Shafiul Azim said, "Airbus had made two offers. The first one was to sell two freighters, but we felt that we did not need cargo aircraft for the time being…We informed them about our desire to increase the passenger fleet, following which they sent the other proposal."

The new MD also talked about his challenges, like ticket mismanagement allegations, frequent technical errors in the route expansion plan, flight delays, and the food quality of the airline.

Announcing Biman will be free from corruption, Jahidul said, "No one can move forward through corruption. Actions have been taken and are being taken in this regard. Corruption is not acceptable in any way."

'No more ticket mismanagement'

The new managing director vowed to eradicate all kinds of mismanagement by agents.

"Biman wants to be 100% free from the situation of no tickets being available online despite having empty seats on a flight," he said in the meeting with journalists after a month of assuming the new responsibility.

"We want to solve the ticket problem completely so that no more questions arise in the future. That's why we have already issued a warning to the online travel agencies," he added.

In a letter sent to all passenger service agents recently, Biman expressed concern over agents who are undercutting or overpricing tickets through their own web portals.

Regarding the new route expansion, he said, "Male, Kunming, Jakarta, Sydney, and Seoul are under active consideration to start flights. Besides, existing routes will also be revised as per the loss and profit."

Stating that Biman will make profit next year as well, he said, "We expect to earn Tk1,200 crore in the outgoing fiscal year from cargo alone. All in all, Biman will see profit in the future as it has for the past few years.

"If there was no currency devaluation issue, Biman would have had a healthy position in recent years."

On ground handling operations, the MD stated, "We are prepared as Biman has been handling operations for 52 years. In any country, ground handling is typically managed by the national carrier. Therefore, we are optimistic. To my knowledge, the government is actively considering arrangements for accommodating Biman."

He said, "The key factor is the quality of service. We offer efficient services and operate flights to various international airports ourselves. Currently, I don't see much difference compared to them."

Regarding recent flight disruptions due to technical glitches, Jahidul said, "Such incidents are not uncommon in the airline industry; they occur across all airlines. Unfortunately, we have had several incidents this month (June), but they have been resolved according to standard operating procedures (SOP).

"Nevertheless, we have intensified inspections, and aircraft maintenance is progressing well."