Biman earns Tk 153cr addl profit from Hajj flights

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Economic Reporter :
Similar to most of the airlines in the world, Bangladesh Biman Airlines has increased fare during this Hajj season and earned an additional amount of Tk 153 crore, sources said.
A total of 127,198 Hajj pilgrims will go to Saudi Arab to perform Hajj this year. Each pilgrim will have to pay an excess fare of Tk 24,000.
According to the Hajj agreement, Biman will carry half of them while Saudia Airlines will board the other half.
Several Hajj agency owners have claimed that Biman Bangladesh increased the airfare to Tk 128,650 for each Hajj pilgrim this year citing fuel price hike in the international market. But the airfare for a normal passenger is only Tk.36,000-39,000.
Bangladeshi pilgrims go to Saudi Arabia to perform Hajj by Saudia Airlines and Biman Bangladesh Airlines. Several agency owners said usually the Saudia Airlines charges Tk 48,000 per passenger from Dhaka to Jeddah.
On the other hand, they said, Biman Bangladesh Airlines generally took Tk. 52,000 from each Umrah passengers this year, though the amount is Tk 36,000-39,000 to go to Saudi Arabia for other reason.
In FY 2011-2012, Biman Bangladesh Airlines had sustained a loss of Tk. 650 crore. So, the officials and the employees of the airlines have chosen the Hajj period to minimize the loss amount, claimed concerned sources.
Bangladeshi pilgrims go to Saudi Arabia to perform Hajj by Saudia Airlines and Biman Bangladesh Airlines. Several agency owners said usually the Saudia Airlines charges Tk 48,000 per passenger from Dhaka to Jeddah.
Earlier, fuel prices were also high, but then the airfare was stable. However, the Biman officials told this correspondent that the hajj flights’ operating cost is higher than those of regular flights. The flights are operated in a dedicated way since other passengers are not allowed, according to the rules.

“Biman Bangladesh Airlines and Saudia Airlines can operate point to point direct and dedicated hajj flights. That means the flights do not have any transits. But the Indian or Indonesian pilgrims do not get such facilities,” Shakil Meraj, General Manager (Public Relations), Biman Bangladesh Airlines, told The New Nation.
“When a plane takes transit, it adds additional four to six hours to the trip. This causes suffering to the pilgrims. Besides, most Bangladeshi pilgrims are older than the pilgrims of other countries,” he added.
“Except Hajj season, the Biman does not get more than 60 percent passengers in other times of the year. But during Hajj period, only Biman flies towards Saudi Arabia with full passengers. On the other hand, the airlines got at least 20 percent passenger in the return route. So it stands on average 60 percent in both routes”, said M Shahadat Hossain Taslim, Secretary General of Hajj Agencies Association of Bangladesh (HAAB), denying Biman’s officials claim.
He said the plane fare is not hiked during hajj season in neighboring India, which sends more pilgrims to Saudi Arabia than Bangladesh. Airlines in Indonesia and Pakistan also charge the regular plane fare.
Airfare of the Biman Bangladesh Airlines was Tk 98,970 in 2008, Tk 92,270 in 2009, Tk 96,925 in 2010; Tk 110,950 in 2011; Tk 123,620 in 2012; Tk 102,328 in 2013; Tk 119,554 in 2014; Tk120,758 in 2015; Tk 121,231 in 2016 and the last year it was Tk 124,661.

This year the Religious Ministry has fixed up fare at Tk. 138,000 with all expenditure for per person so that the agency owners cannot cheat with the pilgrims.

According to sources, the state owned airlines operate flights in seven international and 15 domestic routes regularly. Since FY 2009-2010, the airlines have been incurring losses every year due to mismanagement. In FY 2009-2010 it losses Tk 80 crore, in FY 2010-2011 Tk 191crore, in FY 2011-12 it incurred the highest loss of Tk.600crore, in FY2012-2013 Tk 214crore and in FY 2013-2014 the loss was Tk 99 crore.
Several investigation reports have identified corruption and unskilled manpower were the main reasons behind these huge losses every year.

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