The devastating fire at the cargo village of Hazrat Shahjalal International Airport (HSIA) has dealt a severe blow to Bangladesh's pharmaceutical industry, with an estimated economic impact of more than Tk 40 billion.
Industry leaders fear the blaze could disrupt the production of life-saving medicines, including antibiotics, cancer drugs, diabetes treatments, and vaccines.
The Bangladesh Association of Pharmaceutical Industries (BAPI) said that around 45 leading drug manufacturers have reported losses so far, with raw materials and machinery worth Tk 2.0 billion destroyed in the fire.
The association warned that the damage could have far-reaching consequences for medicine production and future supply stability.
The fire at HSIA's cargo village has exposed the pharmaceutical industry's heavy dependence on imported raw materials.
Around 90 per cent of these ingredients come from China, India, and Europe.
Emergency and high-value consignments are typically flown in, while bulk shipments arrive by sea.
"Some 45 major companies have reported losses worth around Tk 2.0 billion, including vital raw materials for antibiotics, vaccines, hormones, and medicines for diabetes and cancer," said BAPI Secretary General Zakir Hossain at a press conference in Dhaka on Tuesday.
He added that the loss of these materials would hamper production, while damage to imported machinery and spare parts would require re-imports, a process that is both costly and time-consuming.
"The overall economic impact on the sector could reach Tk 40 billion once the full extent of losses is known," Mr Hossain said.
The BAPI leader also expressed concern over the storage of goods unloaded at other airports, noting that many pharmaceutical ingredients require strict temperature control.
"Any disruption in cold-chain management could cause further damage," he warned, adding that some of the burnt materials were approved by the Department of Narcotics Control, making re-import and approval more complex.
BAPI Treasurer Halimuzzaman said medicine supplies remain stable for now but cautioned that a shortage could arise in the coming months if remedial steps are delayed.
"There is no immediate fear of a shortage, but if the next steps are not taken promptly, a supply crisis may emerge," he noted.
To help affected firms recover, the association has placed a 14-point demand, including refund of import duty, tax and VAT already paid on goods destroyed in the fire.
It also sought waiver of bank charges and interest on letters of credit (LCs) for damaged consignments and permission to re-import lost goods on easier terms without requiring new margins or interest.
The trade body further called for exemption from all customs-related fees, such as duties, VAT, and advance income tax, on burnt consignments.
Among other demands were extended operating hours for Customs House at the cargo village, including weekends, to ensure timely release of temperature-sensitive goods.
BAPI urged the authorities to expedite cargo handling operations at HSIA and convene an immediate coordination meeting involving DGDA, the narcotics department, customs, revenue board, civil aviation, and other relevant agencies to resolve the issues swiftly.
munni_fe@yahoo.com
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