BIAL’s cargo warehouse in shambles

May 23, 2008 Comments Off on BIAL’s cargo warehouse in shambles 206 Views

Airports in the 21st century, are like the ports and railway junctions of the 19th and 20th century — critical drivers of economic growth. As individuals, we look to the glamour and prestige associated with passenger air travel, while tending to overlook the air cargo requirements of commerce and industry which is drives the economic engine of Bangalore.

Thanks to years of power deficiency, Bangalore’s economy is technology oriented. The IT industry is an addition to the long list of “high tech” industries calling Bangalore home. Telephony, electronics, machine tools, aeronautics, precision engineering, auto parts, garments, and floriculture industries, all of which produce goods, high in value, low in weight, and in many cases, perishable. All goods which are ideally suited to transport by air.

Globally, over 40% of goods by value are sent by air instead of surface transport. At Bangalore, which lacks a sea-port, it is more than 50%. Everyday, about Rs. 150 Crore (US$ 37 million) worth of goods transit Bangalore’s airport, and this is set to double as soon as additional capacity is made available.

We are entering the final countdown to the operational commencement of the much vaunted “dream airport”, Bengaluru International Airport (BIA), being promoted by BIAL consortium.

However, the dream is turning sour for much of Bangalore’s industry.

BIAL has appointed two companies to provide Air Cargo terminals at the new airport. One in Menzies-Bobba and the other is Air-India – Singapore Air Terminal Services (AI-SATS).

More than a month ago, representatives of BIAL, Menzies-Bobba, and AI-SATS, assured industry that air cargo operations were ready to go, and painted a rosy picture of comfort and state of the art handling.

These are pictures taken at the AI-SATS warehouse on the evening of May 22, 2008, just 2 days before the launch of the new airport. Clearly, there is a huge gap between claims and reality.

Gaps between the roof and the walls
Unfinished construction with no security visible
Inadequate infrastructure. Generator in shambles.


What is absolutely mind boggling, is that the Customs Authorities have given the “all clear” to this warehouse, and have issued the necessary permits and bonding permissions to commence operations!!!!!!

The warehouse is clearly not ready for operations, and you will observe, the complete lack of basic facilities, even safety and security, an absolute must for any bonded facility.

By all appearances, this warehouse will require about 1 month to complete. In that month, this warehouse has the potential to handle cargo of value greater than the total investment in the airport.

Losses or damages to precious cargo will result in magnified damages of over Rs. 5,000 Crore to Bangalore’s industry, and by extension it is Bangalore’s economy and residents who will suffer the losses, due the un-preparedness on the part of BIAL and its concessionaire(s), and the hasty, ill-advised, and wrongly motivated actions by the Customs Authorities.

About Devesh Agarwal

A electronics and automotive product management, marketing and branding expert, he was awarded a silver medal at the Lockheed Martin innovation competition 2010. He is ranked 6th on Mashable's list of aviation pros on Twitter and in addition to Bangalore Aviation, he has contributed to leading publications like Aviation Week, Conde Nast Traveller India, The Economic Times, and The Mint (a Wall Street Journal content partner). He remains a frequent flier and shares the good, the bad, and the ugly about the Indian aviation industry without fear or favour.

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No comments

  1. bangalore-guy
    May 23, 2008 at 11:22

    If you call this as shambles, I bet you have not seen the cargo storage area of the Mumbai International Airport.
    This space seems quite ok, just that it doesnt seem quite ready. I believe some work is still pending, otherwise this is quite ok.

  2. Devesh Agarwal
    May 23, 2008 at 11:53

    BLR-GUY

    I think you are missing the point of the article. The warehouse is not ready by any stretch of the imagination. This is supposed to be a bonded “High Security” warehouse. It is just not acceptable in this condition.

    Have you seen the AI-SATS warehouse?

    As I am typing this comment, it is pouring cats and dogs. What about the gaps in the roofing?

    I have seen the cargo area in Mumbai, and it definitely is not like this.

  3. Anonymous
    May 23, 2008 at 13:29

    I am so glad Bangalore is getting a new airport. HAL SHOULD be shut down as per the agreement and the new commercial airport should be in operation. It is a shame that people criticize when a sincere effort is being made to improve the infrastructure of this country. Why don’t people encourage such efforts, support them and come up with constructive criticism rather than bad mouth the good efforts being done ? I commend the people who have tirelessly worked to get this commercial airport operational.

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