Biman Bangladesh Airlines has finally formed a committee to conduct a feasibility study to assess the viability of its long-awaited Dhaka-Toronto route, but to operate indirect flights instead of its promised non-stop flights.
The authorities only concluded that direct flights to Toronto would not be viable after a test flight on March 26, having stopped short of conducting a thorough feasibility study before announcing that the direct flights would begin in June.
According to Biman sources, the airlines had assessed the viability of the direct flights through secondary sources, which had prompted them to announce the launch of the route.
On Monday, Biman issued an office order on the formation of a four-member committee to conduct a detailed feasibility study on the restructuring of the Dhaka-Toronto route. Biman Director (Flight Operations) Capt ABM Ismail was named chief of the committee.
The committee has been given seven days to submit its report with specific recommendations to the Biman MD and CEO. They have been asked to determine a suitable technical landing point in terms of fuel and other costs with a view to maximizing the number of passengers and cargo that can be carried.
What Biman said earlier
Top officials of Biman had claimed that a feasibility study on the route had been conducted and supported that it would be profitable.
On March 25, Biman CEO Dr Abu Saleh Mostafa Kamal told Dhaka Tribune the feasibility study found the airlines could carry only 130 passengers against 298 seats. The one-way fare was expected to be Tk75,830 and Tk126,000 for roundtrips.
“By analysing the market and international routes, we have decided to make direct flights because such flights will be profitable,” he said.
He also claimed the flight would carry 220-230 passengers when it began operation in June.
What they said after the test flight
Late on Thursday, Biman claimed that the test flight on the Dhaka-Toronto route had been successful and that it was commercially viable.
Two days later, the airline backtracked and said that it would not operate direct flights on the Dhaka-Toronto route considering that it was not commercially viable due to fuel constraints. They would need a stopover in a European or Asian country to refuel and carry enough passengers to be viable.
Abu Saleh Mostafa Kamal said: “We are observing the situation. It seems it will not be viable to run direct flights.”
In addition to adding a stopover to enable the carrying of more passengers, Biman has decided to reduce the air fare on the route to be competitive with other airlines.
The authorities of Biman allocated over TK4 crore to operate the promotional flight on the Dhaka-Toronto route. Several Biman and government officials travelled on the flight for a five-day tour.
However, some Biman officials told this correspondent the amount allocated was actually around Tk10 crore, including accommodations, various airport charges, hotel costs, and shopping expenses of the officials.
Experts criticize failure to conduct feasibility study before test flight
Experts said Biman had acted in an unprofessional and disorganized manner by running a test flight before conducting a feasibility study.
Aviation expert ATM Nazrul Islam told Dhaka Tribune: “Biman needs to assess whether they have enough passenger traffic on the route. With enough passengers and a proper marketing policy, they will be able to operate at least indirect flights.”
He said it may have been more advantageous for Biman to open more flights on routes that are proven to have high passenger traffic, such as to Middle Eastern countries.
Around a million Bangladeshis are currently living in Canada, but they generally do not fly back to Bangladesh as frequently as Bangladeshi migrants in nearer countries, he added.
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Will technical landing be viable?
An aviation expert said operating a flight to Toronto with technical landing facilities will cost Tk5-6 crore per round trip.
He added that it would be cheaper to have a technical landing in an Asian country, as airport fees in Asia are generally lower than in Europe.
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Biman insiders claim round trips to Toronto would cost Tk2.5 crore.
Biman plans to use one of its Boeing 787-9 Dreamliners for three initial flights to Toronto. The Dreamliners are less than three years old and more than capable of handling the 12,500 km route, as the 787-9 has a range exceeding 15,000km.
