Bangladesh Airport Fire May Cause Over $1 Billion in Losses, Experts Warn

A devastating fire at the cargo section of Bangladesh’s main international airport has caused estimated damages exceeding $1 billion, according to export associations and business leaders. The blaze, which took more than a day to extinguish, destroyed valuable goods and raw materials crucial to the nation’s garment industry—one of the world’s largest exporters.

Massive Fire Engulfs Key Cargo Facility

Business experts in Bangladesh have warned that losses from Saturday’s fire at Dhaka’s Hazrat Shahjalal International Airport could surpass $1 billion. The inferno, which broke out in the airport’s cargo village, disrupted operations at one of the country’s busiest logistics hubs for more than 27 hours before being fully extinguished.

The affected cargo area handles high volumes of fabrics, pharmaceuticals, and chemicals, particularly during the pre-Christmas export period. Officials said the fire also destroyed vital export goods and raw materials stored for shipment to international buyers.

Impact on Garment Industry and Exports

Bangladesh, the world’s second-largest clothing exporter after China, relies heavily on its garment industry, which generates around $40 billion annually—over 10% of the country’s GDP. The fire’s impact could be severe, particularly for textile and apparel manufacturers preparing for global retail deliveries.

According to the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), some of the destroyed items included critical product samples used to secure new international contracts. “Some of these were essential samples for securing new buyers. Losing them could mean losing future opportunities,” said Inamul Haq Khan, BGMEA’s senior vice president.

The International Air Express Association of Bangladesh also estimated total damages exceeding $1 billion in an email statement to the BBC. The garments association has asked its members to submit detailed lists of affected goods to assess the full scale of losses.

Injuries and Emergency Response

Local media reported that around 35 people were injured as firefighters battled the blaze. Emergency teams worked through the night, finally bringing the flames under control after more than a full day of operations.

Authorities said the fire’s cause remains under investigation, but early reports suggest it may have started in a storage area containing flammable materials. The incident forced a temporary suspension of flights and cargo operations, though passenger services have since resumed.

Series of Fires Raises Concern

Saturday’s airport blaze was the third major fire to hit Bangladesh in a single week. On Tuesday, a warehouse fire killed at least 16 people, followed by a large-scale clothing factory fire in Chittagong on Thursday.

The cluster of incidents has fueled speculation on social media, with some users claiming the fires were connected or deliberately planned. However, officials have urged caution, warning against spreading unverified claims.

The interim government of Bangladesh released a statement vowing to investigate all possible causes, including sabotage or arson. “We will take immediate and firm action if any credible evidence of sabotage or arson is found,” the government said.

Recurring Safety Issues in Bangladesh’s Industrial Sector

Large-scale fires remain a recurring threat in Bangladesh’s densely populated urban centers, often attributed to poor infrastructure, inadequate fire safety measures, and weak enforcement of building codes.

Experts note that despite repeated warnings and previous tragedies, safety upgrades across warehouses and industrial zones have been slow to implement. Hundreds of workers and emergency responders have died in industrial fires in recent years, making workplace safety a persistent national concern.

Economic Fallout and Future Risks

Analysts say the airport fire could further strain Bangladesh’s already fragile export logistics network, especially during the critical holiday shipping period. The incident is expected to delay export deliveries and increase insurance costs for major trading partners.

If confirmed, the estimated $1 billion in losses would represent one of the largest single fire-related damages in the country’s recent history. Economists warn that such events threaten investor confidence and could slow the nation’s post-pandemic economic recovery.

Source: BBC – Airport inferno could cost Bangladesh $1bn in damages – experts