Air Freight Rates in Bangladesh Have Almost Doubled

Over the past month, air freight rates in Bangladesh have almost doubled due to a surge in freight volumes and capacity constraints.
Stakeholders report that the Dhaka market is now heavily dependent on air freight, which has led to sharp increases in rates. For example, freight rates from Bangladesh to Europe soared to $3.50 per kilogram from $2 per kilogram in December, while rates to the United States soared to $4.50 per kilogram from $3 per kilogram.
Freight forwarders attributed the increase in demand to a variety of factors, including the end of the peak season, congestion at transit points as a result of the Chinese New Year holidays and delays caused by the Red Sea crisis.
These disruptions led to significant delays in shipping, prompting exporters to turn to airfreight to meet deadlines.
Data shows a significant increase in air freight through Dhaka airport, including shipments to the US, Europe, Turkey and Egypt.
To ensure timely delivery to the market, garment manufacturer Tusuka reportedly chose to airlift 386,000 garments to the US and EU in January.
Nasir Ahmed Khan, director of the Bangladesh Freight Forwarders Association, noted that the extended transit time by sea had prompted buyers to expedite their end-of-season shipments by air. The surge in demand also affected freight rates from Dhaka to other destinations.
Meanwhile, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) vice-president Shahidullah Azim emphasised that buyers are now facing an additional delay of two to three weeks due to diversion of vessels to avoid the Red Sea crisis.
As a result, many exporters have had to resort to air freight to meet delivery deadlines.