Civil Aviation Authority of Bangladesh (Caab) and Thai Airways International signed a management contract to this effect yesterday in Dhaka.

Air Commodore AKM Harun Chowdhury, chairman of Caab, and Somchainuk Engtrakul, member of the Board of Directors Acting as President of Thai Airways International Public Company Limited, inked the deal on behalf of their respective organisations.

AKM Zafar Ullah Khan, civil aviation and tourism secretary, and Suphat Chitranukroh, Thai Ambassador to Bangladesh, were also present at the signing ceremony.

The Thai company was awarded the bid at the net amount of TK 529 million to manage Shah Amanat International Airport for ten years, as per a cabinet decision approved on June 23, 2004.

The Thai Airways would provide services to the airport in four primary activities that include passenger services, ground equipment, cargo and catering services.

As the airport management, the company will operate, maintain and manage the airport terminal building, ramp handling, cargo handling, airport security, maintenance and upkeep of buildings as well as preventive and routine maintenance during the period.

It would also be responsible for collecting fees for airport landing charges, security charges, embarkation fees, as well as ground handling related fees on behalf of the Caab.

Speaking at the ceremony, Zafar Ullah Khan said signing the contract with the Thai Airways will boost tourism in the region.

The move will turn Chittagong into a tourism hub as the promotional activities of the Thai Airways will attract more tourists. Thai Airways has been operating flights to and from Bangladesh since 1965 and it currently operates three non-stop flights a week on Bangkok-Chittagong route.

Annual capacity of the airport is around 5,20,000 passengers and 5,700 tonnes of cargo from an estimated aircraft movement of 11,000. The airport was constructed with the Japanese finance at a cost of TK 5,710 million.