Bangladesh airport fire causes over $1 billion in losses, cripples garment, pharma and telecom supply chains

A massive fire that tore through the import section of Dhaka’s Hazrat Shahjalal International Airport cargo village caused losses estimated at more than $1 billion, destroying raw materials for garment exports, pharmaceutical ingredients and telecom equipment in one of Bangladesh’s worst supply chain disasters.

Exporters said nearly all imported garment samples, accessories and production inputs stored in the facility were destroyed, threatening peak-season shipments for Christmas and raising fears of widespread order cancellations. The fire also wiped out temperature-sensitive pharmaceutical raw materials, which industry officials said could disrupt drug manufacturing and lead to shortages of essential medicines.

The telecom sector suffered heavy losses as well. Matata Trading Company Ltd. reported that mobile components worth about $27 million, including parts from Oppo, Xiaomi, Vivo, Samsung, OnePlus and Realme, were destroyed. Jane Trading Ltd. estimated client losses of about $18 million, while Salvation Logistics said all 40 consignments of telecom equipment it handled were burned or damaged.

The blaze gutted the entire import cargo zone but spared the export area. It has disrupted Bangladesh’s peak-season air freight operations, already strained by a strike at the Chattogram port. Businesses warned that the damage extends far beyond the physical goods, potentially derailing future orders and harming the country’s reputation among foreign buyers.

Officials have launched a government probe amid accusations of a delayed firefighting response. Thirty-seven fire units battled the blaze with support from WASA water tankers. The Bangladesh Garment Manufacturers and Exporters Association said the government has provided temporary warehouse space in the airport’s third terminal and urged members to register losses for compensation.

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