The Apparel Digest Report
On October 18, a massive fire overtook the import cargo building at Dhaka’s Hazrat Shahjalal International Airport. The fire originated inside a tin-roofed building where the International Air Express Association of Bangladesh (IAEAB) stored goods in iron-grilled compartments containing foreign merchandise such as computers, mobile phones, and electronic devices. Some risky commodities were kept without temperature control.
Firefighting efforts were hampered by delayed alerts, insufficient access, and dwindling water supplies. The airport’s own firefighting teams came in minutes, but struggled due to blocked roadways, packed cargo heaps, and the lack of local fire hydrants. When the national Fire Service and Civil Defense arrived on the scene, the fire had already devoured the complex.
The fire at the airport cargo village has severely impacted Bangladesh’s readymade garment (RMG) and other export sectors, causing significant financial losses, disrupting production cycles, and potentially leading to order cancellations. The blaze, which destroyed imported raw materials and samples, has caused initial losses of over few million dollars, with some industry leaders fearing total losses could reach $1 billion. The incident has shaken buyer confidence and raised concerns about Bangladesh’s reputation as a reliable sourcing destination
Biman Bangladesh Airlines’ investigation, which was filed to the Civil Aviation Ministry on November 3, determined that the fire was caused mostly by improper storage procedures and a lack of fire protection devices. Cargo congestion, caused by long-standing customs delays and insufficient storage capacity, has contributed to the rapid spread.
Recommendations made over a decade ago to increase fire safety, such as hydrants, automatic pumps, and suppression systems, were not followed. The inquiry uncovered regulatory gaps and ambiguities in CAAB lease responsibilities for courier businesses. Since 2011, warnings have been issued about the lack of fire suppression equipment, and safety standards have remained variable throughout the 57 courier services that operate within the compound. The investigators suggested unambiguous responsibility and the installation of automatic fire detection and suppression equipment in all warehouses.
The fire caused substantial damage to Bangladesh’s ready-made garment (RMG) industry, destroying storage areas that held raw materials, finished garments, and product samples, resulting in an estimated USD 1 billion financial loss. The incident occurred at a critical time when the industry was preparing for its peak export season, which made the economic and operational consequences worse.
“We have witnessed a devastating scene inside,” said Faisal Samad, director of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA). “The entire import section has been reduced to ashes. Losing these samples means our members may miss out on future opportunities.”
Inamul Haq Khan, senior vice president of BGMEA, warned that the loss of samples could jeopardize future business, as buyers often base seasonal contracts on them. Bangladesh’s garment sector, worth around USD 47 billion annually, supplies major global retailers including Walmart, H&M, and Gap, employs roughly four million workers, and contributes more than a tenth of the country’s GDP.
The affected cargo hub is one of Bangladesh’s largest logistics centers for air shipments. The airport receives daily shipments from 200 to 250 factories which demonstrates the extent of the disruption. The fire damage caused more than physical destruction because it threatened to damage Bangladesh’s position as a dependable sourcing destination.
According to Mohammad Mofazzal Hosen Pabel, head of the Buying House Association, 250 manufacturers were in danger of shutting down due to delayed deliveries and disrupted supply networks, and purchasers were shifting their orders to other nations at higher prices. According to Faisal Samad, slight sample or accessory damage might result in unreasonably high economic losses. “The impact is exponential if a $2,000 burned accessory stops a $20,000 deal,” he stated.
The issue was made worse by bureaucratic obstacles. The Bangladesh Knitwear Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) made temporary arrangements, but courier services halted, making it difficult for imported raw materials and accessories to be delivered smoothly. This interfered with factory production schedules.
Shovon Islam, managing director of Sparrow Group, stated that the situation was “worse than during Covid-19,” noting that multiple factories had been classified as loan defaulters due to dwindling revenues.
The October 18 fire was the third major blaze reported in Bangladesh that week, following incidents at a Dhaka garment factory and chemical warehouse, and another at an export processing zone in Chittagong.
The administration promised in-depth investigations and issued a warning that carelessness would result in severe consequences.
Industry representatives have emphasized that tangible reforms, improved safety procedures, and dependable logistics are necessary to win back the trust of buyers. An exporter stated, “The airport fire is not just a loss of goods; it’s a loss of credibility.” “Such incidents must never occur again if we want to maintain our position as the second-largest exporter of clothing worldwide.”
