BEZA Annual Report 2016
Transcript of BEZA Annual Report 2016
0
Bangladesh Economic Zones Authority
Prime Minister’s Office
Development of Economic Zones
Annual Report
2016
Annual Report 2016 Page 1
Glossary Table
ADB Asian Development Bank
ASEAN Association of Southeast Asian Nations
BB Bangladesh Bank
BEZA Bangladesh Economic Zone Authority
BG Broad Gauge
BICC Bangabandhu International Conference Centre
BIFFL Bangladesh Infrastructure Finance Fund Limited
BIWTA Bangladesh Inland Water Transport Authority
BOI Board of Investment
BPDB Bangladesh Power Development Board
BTMA Bangladesh Textile Manufacturers Association
BWDB Bangladesh Water Development Board
CMS Content Management System
DBFOOT Design-Build-Finance-Own-Operate-Transfer
DC Deputy Commissioner
DoE Department of Environment
DPHE Department of Public Health Engineering
EA Environmental Assessment
EBRIDP Eastern Bangladesh Rural Infrastructure Development
Project
ECC Environmental Clearance Certificate
ECR Environmental Conservation Rules
EIA Environmental Impact Assessments
EIRR Economic Internal Rates of Return
EMP Environmental Management Plan
ENPVs Economic Net Present Values
EPZ Export Processing Zone
ETP Effluent Treatment Plant
EZs Economic Zones
FBCCI The Federation of Bangladesh Chambers of Commerce and Industry
FDI Foreign Direct Investment
FGD Focus Group Discussions
FOC Fiber Optic Cable
Ft/ft. Foot/foot
GAFTA Greater Arab Free Trade Agreement
G2G Government to Government
GDP Gross Domestic Product
GoB Government of Bangladesh
Ha/ha Hectare
ICD Inland Clearance Depot
ICT Inland Container Terminal
ICZM Integrated Coastal Zone Management
IDCOL Infrastructure Development Company Limited
IFC International Finance Corporation
IPFF Investment Promotion and Financing Facility
IPP Independent Power Producer
IPs Industrial Parks
IRR Internal Rate of Return
JBIC Japan Bank for International Cooperation
JETRO Japan External Trade Organization
JICA Japan International Cooperation Agency
Annual Report 2016 Page 2
Km Kilometre
KV Kilo-volt
KWH Kilo-watt Hour
LGED Local Government Engineering Department
LIBOR London Interbank Offered Rate
LPAD Law Justice and parliamentary Affairs Division
MCCI Metropolitan Chamber of Commerce and Industry
MSL Mean Sea Level
MW Mega-watt
NCS National Conservation Strategy
NCT New Mooring Container Terminal
NEMAP National Environmental Management Plan
NPV Net Present Value
O&M Operation and Maintenance Costs
ODA Official Development Assistance
ODF Optical Distribution Frame
OSS One-Stop-Service
PAP Project Affected People
PFI Participating Financial Institution
PGCB Power Grid Company of Bangladesh
PIU Project Implementation Unit
PPP Public-Private Partnership
PMO Prime Minister‘s Office
PRG Partial Risk Guarantees
QOL Quality-of-Life
RAP Resettlement Action Plan
REA Rapid Environmental Assessment
RFP Request for Proposal
REB Rural Electrification Board
RMG Ready-made Garments
RSMF Resettlement and Social Management Framework
SEZ Special Economic Zone
SME Small and Medium-sized Enterprises
SOB Survey of Bangladesh
SIA Social Impact Assessment
SRO Statutory Rules and Orders
SPV Special Purpose Vehicle
SWOT Strength, Weakness, Opportunity, and Threat
TEU Twenty-foot Equivalent Unit
UNO Upazila Nirbahi Officer
VAT Value-added Taxes
VGF Viability Gap Financing
WARPO Water Resources Planning Organization
WATSAN Water Supply and Sanitation
WB World Bank
Annual Report 2016 Page 3
Contents Core Values, Vision, Mission ............................................................................................................... 6
Governing and Management Structure of BEZA ................................................................................. 9
2. Corporate InformationGoverning and Management Structure of BEZA ....................................... 9
3. Corporate Information ................................................................................................................... 9
3. Chairman’s ReportCorporate InformationGoverning and Management Structure of BEZA ........ 9
4. Corporate InformationGoverning and Management Structure of BEZA ....................................... 9
Corporate Information ...................................................................................................................... 12
3. Chairman’s ReportCorporate Information .................................................................................. 12
4. Chairman’s Report ....................................................................................................................... 12
4. Snapshot of Key PerformanceChairman’s ReportCorporate Information .................................. 12
5. Chairman’s ReportCorporate Information .................................................................................. 12
Executive Chairman’s Report ............................................................................................................ 13
4. Snapshot of Key PerformanceChairman’s Report ....................................................................... 13
5. Snapshot of Key Performance ...................................................................................................... 13
5. Snapshot of Key PerformanceChairman’s Report ....................................................................... 13
6. Snapshot of Key PerformanceChairman’s Report ....................................................................... 13
5. Snapshot of Key Performance ...................................................................................................... 15
6. Snapshot of Key Performance ...................................................................................................... 15
7. Snapshot of Key Performance ...................................................................................................... 15
8. Snapshot of Key Performance ...................................................................................................... 15
PPP Economic Zones ......................................................................................................................... 17
Ongoing and Upcoming EZs .................................................................................................... 17
Mongla Economic Zone (Powerpac Economic Zone) .................................................................... 17
Mirsarai Economic Zone................................................................................................................ 18
Mirsarai EZ-2 ................................................................................................................................. 19
Shreehatta Economic Zone ........................................................................................................... 20
Sabrang Tourism Park ................................................................................................................... 21
Naf Tourism Park (Jaliardiwp EZ) .................................................................................................. 23
Narayanganj EZ ............................................................................................................................. 25
Dhaka SEZ ...................................................................................................................................... 26
Mirsarai Industrial City -The First Planned City ............................................................................. 27
Moheshkhali –The Next Planned City ........................................................................................... 28
Private Economic Zones .......................................................................................................... 29
A.K. Khan Economic Zone ............................................................................................................. 30
Abdul Monem Economic Zone (AMEZ) ......................................................................................... 31
Meghna Private Economic Zone ................................................................................................... 32
Annual Report 2016 Page 4
Meghna Industrial EZ .................................................................................................................... 33
Aman Economic Zone ................................................................................................................... 34
Bay Economic Zone ....................................................................................................................... 35
Arisha Economic Zone ................................................................................................................... 36
G2G Economic Zones .............................................................................................................. 37
The first meeting of the Bangladesh-India Joint Working Group (JWG) on the establishment of
Indian Economic Zones (IEZs) in Bangladesh was held in Dhaka on May 10, 2016................... 37
Mongla Economic Zone (Indian G2G) ........................................................................................... 38
Chinese G2G EZ ............................................................................................................................. 39
Governing Board Meetings of BEZA ........................................................................................ 40
Strategic aspects of partnering with BEZA ........................................................................................ 42
One-Stop Services ................................................................................................................... 45
Current Developments ...................................................................................................................... 46
Social and Environmental Compliance.............................................................................................. 47
Legal Framework of BEZA ................................................................................................................. 49
Feasibility Study ................................................................................................................................ 56
Initial Site Assessment ............................................................................................................. 57
Investment Promotion abroad and Study Tour ................................................................................ 57
Investment Promotion & Road Show within the country ................................................................ 60
Key messages of the Road-Show ...................................................................................................... 60
Strategic benefits of partnering with BEZA ............................................................................ 60
Competitive incentive package ............................................................................................... 60
One Stope Services ................................................................................................................. 61
Participants Attendance ........................................................................................................... 62
6.5.1 Attendance...................................................................................................................... 63
Up-gradation of Website ......................................................................................................... 66
Memorandum of Understanding Signed with Investors ....................................................... 67
Publications & Campaign of BEZA ........................................................................................... 70
Ongoing project of BEZA ................................................................................................................... 71
Media Coverage ................................................................................................................................ 75
At a glance activities pictures of BEZA .............................................................................................. 76
Annual Report 2016 Page 5
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Annual Report 2016 Page 6
Core Values: Customer satisfaction;
Team working;
Free flow of information;
Participation and involvement;
Never stop learning;
Networking; and
Effective Public Private Partnership
Vision: BEZA aspires to become a sustainable
development driving force and a world class
investment promoter and service provider to
ensure quality of life of the people.
Mission: BEZA‘s mission is to persistently create
value for the investors by establishing
attractive investment facilities in the
economic zones through One-Stop service
and competitive incentive packages.
Core Values, Vision, Mission
Annual Report 2016 Page 7
Bangladesh Economic Zones Authority (BEZA) is attached with the Prime
Minister’s Office (PMO) and is mandated to establish, license, operate,
manage and control economic zones in Bangladesh.
BEZA aims to establish economic zones in all potential areas of Bangladesh
including backward and underdeveloped regions with a view to encouraging
rapid economic development by proliferation and diversification of industry,
employment, production and export.
BEZA intends to develop 100 economic zones across the country and create
employment for 10 million people by next 15 years. The authority also plans to
set corridors in Dhaka-Teknaf, Dhaka-Sylhet, Dhaka-Mongla and Dhaka-
Panchagarh routes for the economic zones
Who we are:
Services offered by BEZA Identification and selection of sites and land acquisition for
economic zones
Appointment of developer and preparation of infrastructure
development plans
Building, developing and leasing economic zones to investors
Development of infrastructure and ensuring efficient use of
land
Promotion of Public-Private Partnership in economic zones
Implementation of industrial policy along with social and
economic commitments
8
The journey of Bangladesh‘s economy is now riding an uptrend, aided by political and
macroeconomic stability, compared to what it had started out in 1970s. In the past
decade, its GDP has grown by ~6% driven by domestic demand as well as price
competitiveness. The government of Bangladesh envisages further growth and improved
employment scenario by establishing a more liberalized trade and investment
environment, thereby attracting large-scale foreign investment. To this end, Bangladesh
government has taken initiatives to build economic zones across the country, under
various implementation models. This vision resulted in the formation of Bangladesh
Economic Zones Authority (BEZA). Issues related to availability of land, high taxation
rates, combined with administrative and logistical hurdles have always been a major
source of challenge for attracting investment. Such issues would be now effectively
dealt with by the single body of BEZA, thus facilitating the investment process amidst
the slow wake of nationwide reforms. The challenge now is to consolidate this by
accelerating economic growth at a harmonic pace, in an inclusive and sustainable
manner.
This first publication of the annual report will provide information, which would enable
to assess the status of current progress in infrastructure and investment, its adequacy
and projection of the future requirements of institutional capacity of BEZA .
I congratulate the staff of Bangladesh Economic Zones Authority (BEZA) , Support to
Capacity Building of BEZA Project, Bangladesh Economic Zone Development Project
(Phase-1) and Prime Minister‘s Office (PMO) in bringing out this publication.
Septembers 2016, 2016 Paban Chowdhury
Executive Chairman
Bangladesh Economic Zones Authority
Foreword
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Bangladesh Economic Zones Authority (BEZA), attached with the Prime Minister‘s
Office (PMO), was officially instituted by the government on 9 November 2010 as a
nodal agency to establish, license, operate, manage and contr ol economic zones in
Bangladesh. BEZA has a 3-level management structure:
1. Governing Board
2. Executive Board
3. BEZA Office/Secretariat
Governing Board:
Governing Board is the highest body that undertakes overall policy decisions. It is
headed by the Honorable Prime Minister with top-level representations from different
Ministries or Divisions of Industries and the Prime Minister‘s Office including the
apex chambers and private sectors.
The current Governing Board consists of following:
Sl.
No. Position Designation
1 Chairman Honorable Prime Minister
2 Member Minister, Ministry of Finance
3 Member Minister, Ministry of Planning
4 Member Minister, Ministry of Labour and Employment
5 Member Minister, Ministry of Industries
6 Member Minister, Ministry of Communication
7 Member Minister, Ministry of Commerce
8 Member Minister, Ministry of Environment and Forests
9 Member Executive Chairman, Board of Investment
10 Member State Minister, Ministry of Science and Information and Communication
Technology
11 Member State Minister, Ministry of Power, Energy & Mineral Resources
12 Member Principal Secretary, Prime Minister‘s Office
13 Member Governor, Bangladesh Bank
14 Member Senior Secretary, Prime Minister‘s Office
15 Member Senior Secretary, Ministry of Home Affairs
16 Member Senior Secretary, Finance Division, Ministry of Finance
17 Member Senior Secretary, Ministry of Commerce
18 Member Secretary, Ministry of Agriculture
19 Member Secretary, Ministry of Industries
20 Member Secretary, Planning Division, Ministry of Planning
21 Member Secretary, Ministry of Labor and Employment
22 Member Secretary, Ministry of Science and Information and Communication
Technology
23 Member Secretary, Ministry of Foreign Affairs
24 Member Secretary, Energy & Mineral Resources Division
25 Member Secretary, Ministry of Power, Energy & Mineral Resources
Governing and Management Structure of BEZA
Annual Report 2016 Page 10
Sl.
No. Position Designation
26 Member Secretary, Ministry of Shipping
27 Member Secretary, Ministry of Environment and Forests
28 Member Chairman, National Board of Revenue
29 Member Secretary, Ministry Posts & Telecommunication.
30 Member President, The Federation of Bangladesh Chambers of Commerce and Industry
(FBCCI)
31 Member The Representatives of the Chamber of Commerce and Industry of the districts
relevant to economic zones, to be nominated by the Government
32 Member Two women entrepreneurs to be nominated by the Government.
33 Member President of the Specialized Chamber of Commerce and Industry.
34 Member
Secretary Executive Chairman, Bangladesh Economic Zones Authority
Executive Board:
The Executive Board consisting of an Executive Chairman (as Chief Executive) and 3
Executive members to oversee day to day operation of BEZA. The Executive Board
exercises all powers and performs all functions as may be exercised and performed by
the Authority.
BEZA Office/Secretariat:
The BEZA Office/Secretariat performs all day to day activities as guided by the
Executive Board. BEZA has an existing strength of 72 staff and very recently
government approved the revised organogram with an additional manpower of 58 for
Head Office and 100 for 125 site office.
Executive Board
Executive Chairman
Executive Member Executive Member Executive Member
11
12
BEZA Executive Board:
Sl
No Name Designation Contact Picture
1 Paban Chowdhury
(Secretary) Executive Chairman
Email: [email protected]
Phone No: +8802-8180114
2
Muhammad Abdus
Samad ndc
(Additional
Secretary)
Executive Member
(Investment
Promotion)
Email:
Phone No: +8802-8180116
3
Dr. M. Emdadul
Haque (Additional
Secretary)
Executive Member
(Planning &
Development)
Email: [email protected]
Phone:+88028180117
4
Hariprasad Paul
(Additional
Secretary)
Executive Member
(Admin & Finance)
Email: [email protected] Phone:
+88028180127
Head Office:
Bangladesh Economic Zones Authority (BEZA)
Prime Minister‘s Office (PMO)
BDBL Bhawan (Level-15), 12 Karwan Bazar
Dhaka 1215, Bangladesh
E-mail: [email protected]
Phone No.: +88028180114
Corporate Information
Annual Report 2016 Page 13
Bangladesh Economic Zones Authority
Dear Stakeholders,
It‘s a great pleasure in presenting Bangladesh Economic Zone Authority‘s 1st Annual Report for the
financial year ended 30 June,2016 .
Rapid economic development through higher industrial activity and creation of employment
opportunities is one of main agendas for the Government of Bangladesh. The concept of Economic
Zones (EZs) has been adopted as an ‗Open Door Policy‘ to attract investment from both domestic and
foreign investors . BEZA was established to pioneer the establishment of EZs across Bangladesh
There are six implementation models that have been envisaged for establishing EZs:
1. PPP EZ
2. Private EZ (Established by domestic or foreign private organization)
3. Special EZ (E sector specific industry)
4. G2G EZ (EZ established and owned jointly by GOB and any other government.)
5. Government EZ ( EZ established and operated by BEZA)
6. EZs in collaboration with other GOB Authorities.
During this financial year, BEZA has been able to source investments from different Asian countries,
has kicked off activities for several sites and issued developers‘ licenses. Activities have started for
Mongla and Mirsarai (Chittagong) among the PPP EZs. For Mongla Economic Zone, construction on
the site is expected to be completed by December 2016 and the plots are likely to be available from
2017. Mirsarai Economic Zone will be the first multi-sector EZ in the country, with an area of 30000
acres. Starting with an area of 550 acres in the first phase, this site is suitable for industries like
garments and accessories, composite textiles, auto components, cement, food processing, etc.
Requisite electricity and gas supply will be available to the EZ. BEZA also developing Sabrang
Tourism Park and Naaf Tourism Park in Teknaf, Cox‘s Bazar for planned and secured tourism in
Bangladesh.
BEZA has issued 1st private EZ license to Meghna Economic Zone. Meghna Economic Zone (MEZ),
located near river Meghna has signed MoUs with investors based in Thailand and China. Pulp paper,
Executive Chairman’s Report
4. Snapshot of Key
Annual Report 2016 Page 14
oil refinery, power plants, PVC, beverage, packaging industry and petrochemicals will be the
preferred industries in MEZ. BEZA also issued pre-qualification licenses to some of the other private
players who have expressed interest in establishing EZs. AK Khan SEZ, located in Palash
(Narsingdi), has all the potential locational advantages both from local and foreign investors .
Abdul Monem Ltd. (AML) — the leading infrastructure company of Bangladesh, has also been
awarded the Pre-Qualification license for developing Abdul Monem Economic Zone (AMEZ) at a
strategically located land in Gazaria, Munshigonj. Feasibility study and Master plan of the zone have
already been completed, and AMEZ authority expects to start the 1st phase of infrastructure
development as soon as it qualifies for the final license. AMEZ has also set a new milestone in the
Economic Zone regime of Bangladesh by signing an MoU with a Japanese firm as its first unit
investor.
28th February 2016 was a great and eventful day for BEZA, as Honorable Prime Minister Sheikh
Hasina inaugurated the development activities of 10 EZs on this day.
BEZA has taken the initiative to enact One Stop Services Act to ensure delivery of all services from
a single point to the investors. A total of 31 services have been identified which will be provided
from an automated OSS portal integrated in BEZA website.
Steps and initiatives have been taken during the last one year for updating, enriching and
strengthening its legal framework by amending the Act and the Rules and by formulating the Policy
and Guidelines. These have contributed a lot in accelerating the process of materializing the vision
and in achieving the goal of rapid economic development through industrialization and employment
in the economic zones.
We are grateful to the Prime Minister‘s Office , other relevant Ministries and Department of the
Government of Bangladesh ( Particularly Petrobangla, Bangladesh Water Development Board ,
Bangladesh Rural Electrification Board, Power Grid Company of Bangladesh , Bangladesh Power
Development Board , Roads & Highways Division, Local Government Engineering Department, Titas
Gas Distribution Company Ltd., Jalalabad Gas Distribution Company Ltd., Karnophuly Gas
Distribution Company Ltd. ) for their help, guidance and support provided to BEZA and to the
investors for their continued patronage and confidence in BEZA. With continuous learning, skill
upgradation and technology development, we will continue to provide world-class infrastructure and
services to our investors. I wish to convey my appreciation to all the officials of BEZA for the
valuable services and cooperation extended by them and are confident of their continued contribution
towards even better performance in the future.
Dhaka,Bangladesh Paban Chowdhury
29 September , 2016 Executive Chairman (Secretary)
Annual Report 2016 Page 15
Key Objectives:
To foreign direct investment (FDI)
Establishment and development of Economic Zones in all potential areas
Special focus on improving backward and underdeveloped regions
Encouraging rapid economic development through industrialization and
employment generation
Increase in production, better domestic supply and higher diversification
of export
BEZA was established to facilitate the development and operation of the
Economic Zones throughout the country. The main objective of BEZA is to act as
a change agent for faster economic growth by creating investment friendly
environment and attracting FDI. BEZA has issued license for 12 private EZs and
one PPP EZ, with more than 4000 acres land being ready for unit investors.
Meanwhile 8 unit investors already have signed MoU with the private developesr
to invest. Along with a number of projects in the pipeline, BEZA has also achieved
remarkable progress on other ongoing projects. BEZA follows six implementation
models for establishing EZs:
Authorities
During the reporting period this financial year, we have made great progress in
the PPP and Private EZs. Let us have a glimpse of our current performance.
5. Snapshot of Key Performance
Annual Report 2016 Page 16
Figure 2 : Inauguration of Development Activities of 10 EZs by Honorable Prime Minister Sheikh Hasina
Figure 1 Honorable Prime Minister Sheikh Hasina with foreign investors
Annual Report 2016 Page 17
Ongoing and Upcoming EZs
PPP Economic Zones Under the PPP implementation model, EZ on government land will be developed and operated by
private developer selected through competitive bidding
Through well-incentivized EZs, Bangladesh government aims to develop and diversify exports and
encourage domestic manufacturing at the same time, to create jobs, and to pilot new policies and
approaches (for example, in customs, legal, labor, and public-private partnership aspects). These
EZs will also allow for more efficient government supervision of enterprises, provision of off-site
infrastructure, and environmental controls. This will provide immense business and employment
opportunities for all sections of the society in Bangladesh.
BEZA started activities for PPP zones with the support of World Bank and DFID under two
projects within PSDSP. BEZA is focusing on 11 sites under these projects viz. Mongla, Mirsarai
EZ (1st Phase) , Mirsarai EZ-2, Sabrang Tourism Park ,Jaliardiwp EZ, Dhaka SEZ,
Narayanganj,Anwara-2 (CEIZ),Hobiganj and Sreehatta EZ. A reputed Transaction Advisory
Service Firm, PwC and individual consultants are appointed for Transaction Advisory services,
Master Planning, Feasibility study report, Legal issues, Environmental and Social study for these
EZsites.
Mongla Economic Zone (Powerpac
Economic Zone) This zone is located near the Mongla sea port (second
largest sea-port of the country) and it has a common
boundary with Mongla EPZ .With a gross area of 205
acres, the EZ is suitable for apparel / RMG, jute, food
processing, shipyard etc. Construction on the site will be
done phase wise and full construction is expected to be
completed by 2017 and the plots are likely to be
available from 2017
Mongla is the first PPP EZ in Bangladesh. This EZ
is awarded to the developer-PowerPac-PPMKPPL
JV.
Mirsarai Economic Zone (Phase-I)
Item Key Information
Access 200 m from Mongla
Port, 40 km from Khulna
City, 105 km to Jessore
Air Port and 50 km to
Jessore-Khulna-Mongla
Road
Competitiveness Readily available
developed land, power &
water supply, direct
access to sea and river
Employment
Creation
~25,000 workers
(estimated)1
Current
Development
Ongoing
construction of off-
site infrastructure
facilities viz. Access
Road, Bridge,
Boundary Wall,
Admin Building,
Water Supply and
Electric Supply
Suitable
Industries
Textile, Machinery,
Leather, Food
Processing, Shipyard
Figure 3 Master Plan of Mongla EZ
Annual Report 2016 Page 18
Mirsarai Economic Zone
The Mirsarai EZ site is located in the
Mirsarai Upazila of Chittagong . The
zone is planned in a naturally reclaimed
land at the mouth of Feni river and it has
stretched up to Sitakundo along the coast
of Bay of Bengal huth of the site. It is 60
km away from Chittagong port.
BEZA has already completed all kinds of
studies, viz. Feasibility Study,
Environmental and Social Impact
Assessments. The Mirsarai Economic
Zone (EZ) will be the first multi-sectoral
EZ and the second PPP EZ in the
country, with an area 550 acres in Phase-I
.
The selection of developer for Mirsarai
EZ (1st Phase) has already been
completed. The Powerpac-East west –
Gasmin JV has been selected as
developer for this zone.
Item Key Information
Access
67 km from Chittagong
port, 16 km from Dhaka-
Chittagong Highway, 79
km from Chittagong
Airport
Competitiveness
Along the Dhaka-
Chittagong Corridor,
Adequate supply of
electricity and gas
Employment
Creation
~500,000 workers
Current
Development
6.5 km approach
road
Land development
Electricity
connection
Embankment
Suitable
Industries
Garments and garments
accessories, Integrated
Textile,
motorbike assembling,
automobile assembling,
automobile parts
manufacturing, ship-
building
Figure 5 : Executive Chairman of BEZA with utility service provider
Figure 4 : Master Plan of Mirsarai EZ
Annual Report 2016 Page 19
Mirsarai EZ-2
The Mirsarai EZ-2 site is located besides the Mirsarai EZ (Phase-1). Total area is1300 acres .
BEZA BEZA has already completed all kind of studies, viz. Feasibility Study, Environmental
and Social Impact Assessments.
Ongoing Development Activities for Mirsarai EZ-2
Embankment & Site Filling for 2A
Embankment & Site Filling for 2B
Access Road including Bridge and
Culverts
Admin Building
Sluice Gate
Water Supply 2A
Electric Substation
Mirsarai EZ
BEZA approach road to be made by RHD at BDT.
124 crore
Appointment of contractor for 18
Culvert/ Bridge is in progress.
Appointment of contractor for road
construction works will be started
after finalization of land acquisition
Mirsarai/Feni EZ Power Connection
and sub-station
REB provided the electricity
connection line up to Mirsarai EZ
BEZA provided 50 acres land for
PGCB grid substation
BEZA provided 1 acre land to REB
for installation of sub-station 33/11
MW
REB, Feni will provide the electricity
connection up to Feni EZ by
December 2016
Figure 6 Master Plan of Mirsara EZ 2
Annual Report 2016 Page 20
Shreehatta Economic Zone
Sreehatta Economic Zone (EZ) has the potential to
become a successful economic zone under Public
Private Partnership. With the presence of a power
plant, gas connection , and fresh water source
nearby, these EZ site provides a very good
prospect for the establishment of a successful
economic zone. Moreover, the site is located at the
converging point of the Dhaka-Sylhet Highway
and the Dhaka-Maulvibazar Highway. The site
has a total area of 352 acres. Land acquisition and
other primary activities already been completed
and site development will be completed by June
2017.
Item Key Information
Access
55 km from Sylhet
airport, 435 km from
Chittagong port, 43 km
from Sreemangal Railway
Station
Competitiveness
Proximity to highway and
waterway; availability of
power, gas and
telecommunication.
Employment
Creation ~40,000
Current
Development
Gas line to EZ
Land Development
Power Connection to
EZ
Suitable
Industries
Textiles (spinning,
weaving, dyeing, and
finishing),
Ceramics,
Paint and glass
making
Food and beverage
Jalalabad Gas Distribution Company Ltd. working
for gas line connection to the zone . Surface water
is available from the Kushiyara River within 2
km. Appointment of Developer is in progress.
Figure 7: Master Plan of Shrehatta EZ
Annual Report 2016 Page 21
Sabrang Tourism Park
Sabrang Tourism Park will be the first exclusive tourism park in the Cox‘s Bazar district, encompassing
an area of 1027 acres. Sabrang is an amazing hilly and sea beach territory, multifaced, diverse and
admirably beautiful site. The purest air, lofty hill, sea
and lagoon create perfect conditions for the
development of all types of tourism & entertainment.
Connectivity:
Road: The proposed Park is 5 km away from Teknaf
town. Cox‘s Bazar-Sabrang Marine Drive is the access
road to the proposed Park and this connects the
National Highway (N1) .
Air: Cox‘s Bazar Airport is at a distance of 96 km from
the proposed Park. The proposed Park takes around 1.5
hours of travel time by road.
Port: Teknaf Land Port is only 9 km.
River: Naaf River is only 8 km from the zone.
Competitiveness:
• Located with exclusive beach front
• Half an hour Sea cruise to St. Martin- a coral island
• 9 km away from Teknaf land port
• 30 Minutes proximity to Cox‘s Bazar Domestic
International Airport
• Access to the Bay of Bengal
• Well-connected by road and sea
• Availability of local operators in tourism sector
• At the lip of the island Bador Mokam One can
enjoy bot sun rise and sun set , besides having sandy beach.
2 http://www.beza.gov.bd/wp-content/uploads/2015/10/BEZA-Brochure-2015.pdf
Item Key Information2
Employment
Creation ~40,000
Current
Development
Feasibility
Study
EIA
Road Network
Embankment
Land
Development
Suitable
Industries
Hotel complexes,
Eco-tourism,
Recreational
facilities, Business
tourism, theme
parks, Marine
Aquarium, Water
Sports, Water
tourism, Education
& Health Tourism
Figure 8: Layout Plan of Sabrang Tourism Park
Figure 9: Natural view of Sabrang Tourism Park
Annual Report 2016 Page 22
Proposed Master Plan for Sabrang Tourism Park
Figure 10 : Master Plan of Sabrang Tourism Park
Annual Report 2016 Page 23
Naf Tourism Park (Jaliardiwp EZ) Naaf Tourism Park will be the first river based exclusive tourism park in the Cox‘s Bazar district
encompassing an area of 271 acres. Naaf is an amazing island in the middle of the Naf river and it
liesbetween the border of Myanmar and Bangladesh. Have a hill and river view territory, multifaced,
diverse and admirably beautiful. The purest air, lofty hill create perfect conditions for the development of
all types of tourism & entertainment facilities. It hasa nice hill view on both side ( Teknaf of Bangladesh
and Mongdu of Myanmar
Connectivity:
Road Connectivity: The proposed Park is 2 km away from Teknaf town. Cox‘s Bazar-Teknaf
highway is the access road to the proposed Park and this connects the National Highway (N1)
Air Connectivity: Cox‘s Bazaar Airport is at a distance of 90 km. The proposed Park takes around
1.5 hours of travel time by road.
Port Connectivity: Teknaf Land Port is just opposite of the park.
River: In middle of the Naf river
Competitiveness:
Located in the middle of the Naf river
One hour Sea cruise to St. Martin- a coral island
Opposite of Teknaf land port
One hour drive to Cox‘s Bazar Domestic
International Airport
Access to the Bay of Bengal
Well-connected by road and river
Availability of local operators in tourism sector
Offsite Infrastructure facilities:
Hanging Bridge : A hanging bridge to be
completed by December 2017
Site Development Works (land fill) to be
completed by December 2017
Boundary Wall: To be completed by December
2017
Jetty
3 http://www.beza.gov.bd/wp-content/uploads/2015/10/BEZA-Brochure-2015.pdf
Item Key Information3
Employment
Creation ~10,000
Current
Development
Feasibility Study
EIA
Road Network
Embankment
Land Development
Hanging Bridge
Suitable
Industries
Hotel complexes, Eco-
tourism, Recreational
facilities, Business
tourism, theme parks,
Marine Aquarium, Water
Sports, Water tourism,
Education & Health
Tourism
Figure 12: Conceptual Plan of Naf Tourism Park Figure 11: Hanging bridge plan
Annual Report 2016 Page 24
Annual Report 2016 Page 25
Narayanganj EZ
Narayanganj EZ will be the one of the closest EZ from
Capital city Dhaka . Narayanganj is 32 km away from
Dhaka city.
Connectivity:
Road Connectivity:
Narayanganj-Munsiganj Highway (R812);
Bandor-Madonpur Highway (R113); and
Dhaka-Narayanganj Link Road (R111)..
Sitalakhya Bridge is proposed across the Sitalakhya
River, which will link the capital with Sylhet and
Chittagong highway through Demra and
Narayanganj. Once functional, it shall connect
Madanpur-Madanganj-Sayedpur Road (R113) and
Fatullah (Panchaboti)-Munshiganj (Muktarpur)
Lohajang-Mawa Road (R812
Air Connectivity
Narayanganj EZ is located about 48 km from Hazrat Shah Jalal International Airport at Dhaka.
Port Connectivity
Proposed EZ is located at a distance of about 254 km from Chittagong port .
Rail
There are two major railway stations in Narayanganj district viz. Narayanganj and Chashara.
Narayanganj railway station is located at a distance of 7 km from the proposed EZ.
River
The proposed EZ is located adjacent to the confluence of three rivers viz. Meghna, Dhaleswari
and Shitalakhya.
Narayangunj river port is located within 3.5 km (Water way).
Item Key Information4
Area 316 acres
Access 32 km from Dhaka
Competitiveness
Proximity to highway
and waterway;
availability of power.
Employment
Creation ~70,000
Current
Development
Feasibility Study
EIA
SIA
Resettlement Plan
Suitable
Industries
Garments industries,
knitwear garments,
cold storage,
shipbuilding, Cement
etc.
Annual Report 2016 Page 26
Dhaka SEZ
Dhaka SEZ is located in Keraniganj upzila which is 18 km
away from the zero-point of Dhaka City.
Road Connectivity
EZ is located in between Zinzira-Keraniganj-
Nawabganj-Dohar-Srinagara Road (R820) and
Dhaka Mawa highway (N8)Air Connectivity
Dhaka SEZ is located about 30 km North East of
Hazrat Shahjalal International Airport in Dhaka.
Port Connectivity
Dhaka SEZ is located at a distance of about 254 km
from Chittagong port
River Connectivity
The proposed EZ is located adjacent to the
Dhaleswari river.
Dhaka river port is located within 6 km (Water
way).
Item Key Information5
Area 105 acres
Access 18 km from Dhaka
Competitiveness
Proximity to highway
and waterway;
availability of power.
Employment
Creation ~20,000
Current
Development
Feasibility Study
EIA
SIA
Resettlement Plan
Suitable
Industries
Information
Technology,
Packaging,
Pharmaceuticals,
Shipbuilding ,
Cement, Electronics,
and LPG
Figure 13 : Location map of Dhaka SEZ
Annual Report 2016 Page 27
Mirsarai Industrial City -The First Planned City
Mirsarai Industrial City will be
one of the most suitable large
sites of Bangladeshfor setting up
industrial establishments. It is in
the strategic location of Dhaka-
Chittagong industrial corridor. In
Mirsarai, as well as, in Chit-
tagong division, business costs
and cost of living are significantly
lower than those of the other
competing cities of the world.
At present the area of Mirsarai
site is about 20000 acres and
future expansion is possible up to
30000 acres. Mirsarai Industrial
City will drive , forward the
delivery of a truly world-class
business and industrial centre. For
Mirsarai Industrial City, BEZA
would like to build strong
partnership with the private sector
and local entrepreneurs. BEZA
has its time needed planning to
develop a comprehensive master
plan for developing the 1st self-
contained Industrial City in
Bangladesh, incorporating
Airport, Residential Area ,
Tourism Park, Power Plant,
Hospital, School and University.
We are committed to assist,
encourage and facilitate
investment in the Mirsarai
Industrial City. Now, BEZA are
working on detail Master Plan for
Mirsarai Industrial City.
LNG gas Connection Karnophuly gas
distribution Company Ltd.
working for LNG
connection to Mirsarai
industrial city.
Mirsarai EZ protection Embankment
to be constructed by BWDB ECNEC approed a project for
Mirsarai EZ protection . Total
cost of the proejct is BDT. 1182
crore
The duration of the proejct is
upto Dceember 2018
Power Grid Station
PGCB will establish a high voltage power grid station for dedicated power
Annual Report 2016 Page 28
Moheshkhali –The Next Planned City
Moheshkhali will be another planned Industrial city in our Country. A co-ordinated land use plan has
been developed by BEZA for Moheshkhali Upazila to accommodate Deep Sea Port, Utility infrastructure,
Industrial and Entertainment Zone, LNG terminal and Power Plant.
Figure 14: Conceptual Plan of Moheshkhali planned city
Area Distribution in Acre
A = CPGCBL -1414 J = Cox’ Bazar SE Z -11285
B = CPGCBL -1200 L = Gas Transmission Line -83.4
C = CPGCBL -1500 L = LNG terminal -700
D = CPGCBL -2000 M = Eastern Refinery -34
E = BPDB -5647 N = Roads & Highway -88.24
F = Industrial City – 8000 P = Fish Processing Plant -250
G = NAVY -100-1100-450 Q = Tourist Area -255
H = Coast Guards -5.1 R = Deep Sea port -2100
I = Maheshkhali EZ (1)- 1438 S = Coal Berth -250
K = Moheshkhali EZ (2) -827 T = FEZ -15000
O = Moheshkhali EZ (3) -670 W = Tourism EZ 1300
V = Coal Port -300 Y = Water Development Board 1540
Acre
X = Rail Line - 180
• Land use plan has been prepared by BEZA
• 7 EZ sites have been selected in Moheshkhali Island
• BEZA already got ownership of 16,962 acres land for Moheshkhali .
• JICA is funding for coal based power plant, Deep Sea Port and Township in Moheshkhali
• LNG terminal is being constructed to supply 500 MMCFD
• Moheshkhali is moving as a major power hub with 10000-12000 MW
• Railway and 4 lane Road connectivity are underway
Annual Report 2016 Page 29
Private Economic Zones
Private Economic Zones are established individually or jointly by local, non-resident Bangladeshis or
foreign investor, body, business organizations or groups.
The entry of the private sector into zone development has also changed the range of facilities, services
and amenities available within zones. Recent trends tied to the increase in private zone development
include the development of EZs and industrial estates on an integrated basis rather than stand-alone
basis, increased specialization of facilities catering to the unique needs of target industries (hi-tech,
petrochemical, software, among others) and the provision of a greater range of business support services
and specialized facilities.
BEZA has developed Private EZ policy for private developers. In the 1st phase BEZA has issued 4 Pre-
Qualifications license to AK Khan, Abdul Monem and Meghna group of industries . After obtaining pre-
qualification license from BEZA, all private developers have started on-site development activities. In
the 2nd
phase BEZA has issued another 3 pre-qualification license to Bay Private EZ, Aman Private EZ
, Arisha Private EZ and in the 3rd
phase BEZA issued another 4 Pre-Qualification license to United
City IT park,
Bashundhara SEZ
and East West SEZ .
Total USD 488
invested by the private
Economic Zone
developers
PEZ License to A.K. Khan
PEZ license to Abdul Monem
PEZ license to Meghna Economic Zone and Meghna
Industrial Zone
AK KhanEZ
AbdulMonem
EZ
MeghnaEZ
MeghnaIEZ
Aman EZ Bay EZ Arisha EZ
35 65 56 40
68 63
160
Figure 15 Investment trend in PEZs
Annual Report 2016 Page 30
A.K. Khan Economic Zone
Location:
Danga, Palash, Narshingdi.
Total land:
Gross Area 200 Acres.
At a glance (Site Information)
By river:
320 km (171 nautical miles) from Chittagong
port, directly connected with the River
Meghna& thus well connected with
Chittagong &Mongla port.
Employment Projection:
Approximately 40,000 workers
Other Key Information
A Riverside Inland Container Terminal
(RICT), as an Integral part of AKPEZ, will
cater port services to all Industries & Factories
of AKPEZ and it will be additional incentives
of this AKPEZ over the road connectivity for
its all investors whose products will need port
services. The attractiveness and advantages
are the followings:
Big scale logistic center will not be
required for the factories & industries of
AKPEZ due to presence of Container
Terminal at their door step .Only small space
for logistic /container truck will be sufficient
for the investors in AK Khan PEZ.
All the industries & factories of
AKPEZ will get port services at their door
step instead of waiting for few days to get it
from Chittagong Port. Arrangement will be
made to provide BL on boarding the container
on the barges of AKCT which will work as a
part of AKPEZ. Saving of time to get this BL,
which is bankable document, will be a great
advantage for the investors of AKPEZ.
For transportation of their cargo,
factories & industries of AKPEZ will be
benefited by using river route which is more
cost effective, safe & environment friendly as
compared to road transportation.
In house port facility
Quick shipment of goods, raw materials &
finished products
Nominal transport/ logistic cost for shipment
Free from any sort of strike / ‘hartaal’,
resulting in lower lead time
Easier & faster ICD storage facility
Special Storage facility for high-value import &
export items
Substantial reduction of production & operating
costs
Figure 16: Pre-Qualification License to A K Khan EZ
BEZA awarded license to A.K. Khan Group
on 10 February 2015
Construction of boundary wall is almost
completed
A.K. Khan has invested ~US$ 35 million
A.K. Khan has purchased additional land for
further expansion
Sand filling work for the land development is
in progress
A.K. Khan has completed EIA and Feasibility
study
Construction of boundary wall is almost
completed
DoE clearance is under final stage
Annual Report 2016 Page 31
Abdul Monem Economic Zone (AMEZ) EZ Site
AMEZ is located in Gazaria, Munshiganj on a land parcel of 216 acres with an option to expand up to
300 acres
Accessibility
Excellent Location at the Gateway to Dhaka
(Only 37 Km)
61km from Hazrat Shahlajal International
Airport
240 km for Chittagong Sea Port & 313.4 km
from Mongla Sea Port
600m from MeghnaGhat River Port
World Class Infrastructure
Industrial plot for long-term or short-term
lease
Utility Service (Captive Power Plant for 24/365, Water supply, Sewage treatment)
Multi-Modal Logistics & Dry Port (Road, River and Rail)
One-Stop Administrative Services
Commercial facility services (financial institutions, retail shops, restaurant & recreation centers
etc.)
On site Dormitory/Housing for employees, etc
Potential Industries : Textile & Garment and Accessories, Leather Products & Shoe Industry,
Pharmaceuticals, Food Processing, Plastics & Other Consumer Goods, Machinery Parts & Light
Engineering, Automobile & Accessories, etc
BEZA awarded license on 1 March
2015.
Abdul Monem invested US$ 65.42
Million
60% construction of Boundary wall is
completed
MoU is signed with 02 unit investors
Earth filling is almost completed
Feasibility study and Master Plan
have been cleared by BEZA
DoE cleared the EIA
Figure 17 : Construction activities of AMEZ
Annual Report 2016 Page 32
Meghna Private Economic Zone
Meghan EZ is the first private EZ license holder
in Bangladesh . Meghna Economic Zone (MEZ)
is situated at Meghnaghat, Sonargaon,
Narayanganj on the bank of the river Meghna
adjacent to the Dhaka – Chittagong highway.
Meghna Economic Zone is a sister concern of
Meghna Group of Industries-one of the biggest
and leading conglomerates in Bangladesh. This
Economic Zone is suitable for industries like Pulp
& Paper, Tissue Paper, Sanitary Napkin, Baby
Diaper, PVC plant, Oil Refinery, Flour Mill,
Power Plant, Petrochemicals, Ceramics and LPG
plant or any other industry at the choice of the Investor.
Connectivity:
Road Connectivity: Only 1 km away from Dhaka-Chittagong highway;
Rail Connectivity: 27 km away from Kamalapur Railway Station;
Air Connectivity : 38 km away from Hazrat Shahjalal International Airport (HSIA);
Port Connectivity: River port is quite adjacent to
the MEZ and Chittagong Sea Port is 230 km away
from MEZ.
Employment Projection: employment opportunity
is expected to be created more than 20,000.
Total land area of this zone is 68 acres
EIA report has been approved by
Department of Environmental on
03/08/2016 for Meghna EZ,
Environmental Monitoring is going on.
BEZA awarded license to Meghna PEZ
on 11 May 2015.
Meghna group invested US$ 56 Million
Construction of Boundary wall is 80%
completed
Construction of administrative building
is going on
Land development work is going on
Feasibility study and Master Plan have
been cleared by the BEZA
DoE cleared the EIA
Figure 18 : Factory building within the zone
Annual Report 2016 Page 33
Meghna Industrial EZ Meghna Industrial Economic Zone (MIEZ) is located at ChotoShilmandi,
Sonargaon, Narayangonj quite adjacent to the Dhaka – Chittagong highway with a gross area of 80 acres.
This is the 2nd
Economic Zone of Meghna Group.
Key site facts:
Total Land: Gross Area 80 Acres
Connectivity:
Road Connectivity: Quite adjacent to Dhaka-
Chittagong highway;
Rail Connectivity: Only 23 km away from
Kamalapur Railway Station;
Air Connectivity: 34 km away from Hazrat
Shahjalal International Airport (HSIA);
Port Connectivity: River port is 4 km
away from the MIEZ and Chittagong
Sea Port is 234 km away from MIEZ.
Suitable Industries: BOPP, Pharmaceutical Bottle, Ceramics,
Garments, Garments accessories, Auto
Bricks, Beverage, IT, IT Accessories etc.
or any other industry at the choice of the
Investor.
Estimated Cost of Infrastructure: $120
million for On-site Infrastructure and $3.5
million for Off-site Infrastructure.
Employment Projection: More than
10,000 employment opportunities is
expected to be created.
BEZA awarded license to Meghna
Industrial EZ on 11 May 2015
Meghna group invested US$ 14.92
Million
Construction of Boundary wall is in
progress
Appointed TAS firm for Feasibility
study .
Figure 19 : Master Plan of MIEZ
Annual Report 2016 Page 34
Aman Economic Zone
Aman Economic Zone has a gross area of 150 acres (aprox). The zone
has the potentiality to fulfill the conditions to become a successful economic zone with several number of
industries of Aman Group located within this zone . The developer has a plan to attract foreign and other
domestic investment to this zone.
Key Site Facts:
Location:Boidder Bazar, Sonargaon,
Narayangonj zilla in Hariamouza, Choto Daho
Bhugmouza & Sonamoymouza.
Total Land:
Gross area150 acres (approx.), 90 acres are
under construction & rest 60 acres are for
gradual.
Connectivity:
Aman Economic Zone is well
connected to Dhaka & Chittagong.
4 km from Mograpara Chow Rasta
towards Ananda Bazar Road to East,
South east from Loknath Mondir at
Barodi through LGRD road via connecting road to Sylhet
Narsingdi Highway.
Have convenient access through Meghna River.
• Major Milestones:
• BEZA awarded license to Aman EZ on 15
February 2016
• Aman group invested US$ 68 Million
• Construction of Boundary wall, land development ,
administrative building is in progress
• Aman cement invested US$ 120 million
• Feasibility study and Master Plan have been
cleared by the BEZA
• DoE has been cleared the EIA
Figure 20: Unit investment within the Aman EZ
Annual Report 2016 Page 35
Bay Economic Zone
Bay Economic Zone is owned by Bay Group. Bay Group is one
of the largest manufacturer and exporter of leather goods in
Bangladesh. Bay EZ is focusing mainly on manufacturing and export of leather goods from the zone,
followed by other industries.
Key Site Facts
Location: Konabari within Gazipur Sadar Upazila of
Gazipur district besides Dhaka-Tangail road.
Total Land: 60 Acres
Connectivity:
Road: Only 34 Km from Dhaka City & beside
Joydevpur-Tangail Highway.
Airport: Only 22 km from Hazrat
Shahjalal International Airport.
Sea port: Only 292 Km from CTG sea
port
Rail:…………….
Employment: Total Employment 100,000
persons (Appox)
Proposed Industry: Leather product &
Shoe,Shoe material & accessories, Agro
Based,Food processing,IT Chemical,
Electronic,Light Medical Equipment
Bay Economic Zone At a glance……….
Excellent scope of Future Expansion
Land is fully owned by Bay Group.
Smooth Connecting Point with the sea
port & land port through highway.
Designed by highly experienced
architect
Fully supported by BEZA .
Milestones:
BEZA awarded license to Bay EZ dated on
11 February 2016
Bay group invested US$ 63.38 Million
Construction of Boundary wall, land
development is in progress
MoU is signed with 02 unit investors
development , administrative building is in
progress
Feasibility study report submitted to BEZA
Preparation of EIA is in progress
Figure 21: Conceptual Plan of Bay EZ
Annual Report 2016 Page 36
Arisha Economic Zone
Arisha Economic Zone, owned by Maisha Group, is located at outskirt of Dhaka city
and on the bank of river Turag under Keraniganj Upazila of Dhaka.
Key Site Facts
Arisha Economic zone will be a multi-sectoral as well as closest EZ to the Capital city of Dhaka
encompassing on area of 150 acres, plot size of 2000 sqm each.
Location
• Washpur (Basila), Keraniganj Upazila of Dhaka district
• Only approx 4 km away from National Parliament Bhaban
• Desirable location for mid-level professionals and executives for civic facilities availability
Connectivity
• Located along the Mohammadpur-
Keraniganj 120 feet highway
• A major rail track for passenger and
freight transport
Kamlapur Railway junction only 15
km from the zone
• Shahajalal International Airport is
only 17 km from the zone
• Adjacent to the Burigonga river, A
dedicated jetty will be constructed
with the zone
• Chittagong Sea port 250 km,
Mongla Sea port 150 km
Infrastructure Facilities
Site Development Works almost 80% completed, Rest 20% land filling is in progress
Container Depot and Customs Office will be established
Boundary Wall 80% completed, rest 20% construction work is in progress
Admin Building 1st floor completed, another 10 floor will be constructed soon
Fire Station, Medical Centre, STP, Five Star Hotel Facilities, Investor Club
Suitable for Industries
• RMG
• Light Engineering & Auto Parts
• Finished Leather Goods
• Packaging
• Aeronautical Component Industry
• Telecommunication
• IT-enabled services
• Electronics
Automobile/Motorbike Assembly
• Milestones: BEZA awarded license to
Arisha EZ on March14, 2016
• Arisha group invested US$ 160.32
Million
• Construction of Boundary wall is in
progress
• Appointed consultancy firm for feasibility
study and EIA.
• 90% Land development completed
Figure 22 : 3D picture of Arisha EZ
Annual Report 2016 Page 37
G2G Economic Zones
G2G EZs are being established upon initiative by the government of a foreign country or the
Government of Bangladesh and/or in partnership between Government of Bangladesh and Government
of a foreign country.
We have received several requests from
various Asian countries like, Japan,
China, and India to develop G2G EZ.
Up to now India has signed MoU to
invest in 2 EZs, one in Kushtia
(Bheramara), another in Mongla.
Indian G2G:
Kushtia Economic Zone
Located in Bheramara Upazila, Kushtia
EZ has a total area of 477 acres. The
proposed area is situated within the 1
km form Hardinge Rail Bridge and Lalonshah RoadBridge. Proposed EZ is well connected through
river, road, railway and air. It is also near the Irshordi EPZ situated at the opposite side of the Padma
River. The existing India-Bangladesh 500 MW electricity line is within 2 km, water source from Padma
river is 1 Km away and gas line is within 5 km radius. BEZA signed an MoU with India for establishing Kushtia Economic Zones for the Indian investors. Mr. Paban Chowdhury, Executive Chairman, BEZA has signed the MoU on behalf of Bangladesh and Foreign Secretary Jaishankar signed on behalf of India.
The first meeting of
the Bangladesh-
India Joint Working
Group (JWG) on the
establishment of
Indian Economic
Zones (IEZs) in
Bangladesh was
held in Dhaka on
May 10, 2016.
Figure 23 : Meeting of the Bangladesh-India Joint Working Group (JWG)
Annual Report 2016 Page 38
Mongla Economic Zone (Indian G2G)
The proposed site for Mongla economic zone shares close proximity (within 200 meters) with Mongla
port, providing strategic advantage in terms of accessibility to various international market for trade.
The major export commodity handled in Mongla port includes jute, jute products, frozen food/shrimps,
clay tiles, betel nuts majority of which will be handled in containers. The frozen economic goods exports
have been increased since 2002 and is estimated that majority of the entire shrimp exports has been
conducted through Mongla, about 70% of which is destined to Europe and the rest to the US. Further,
there are few commodities such as coal, garments, leather, machineries etc. which are expected to be
handled by the port in coming years on account of thrust and high traffic at Chittagong port. Clinker is
one of the major components general imports through Mongla port‘s for the local cement plants that has
been increased in last few years due to regional infrastructural development projects. Food grains,
fertilizer, slag, fertilizer, gas, machineries and motor vehicles are other major commodities handled at
Mongla Port, together accounting for ~90% of total imports. The potential of Mongla port has not yet
been utilized like that of the Chittagong port. Government of Bangladesh is actively considering
revitalizing the port to become a national port with capacity / activity comparable with Chittagong port.
Mongla also enjoys the advantage of being along the banks of an inland river, especially since inland
water transport is a major mode of transportation in the country. Government plans to construct the
Padma Bridge as part of the Bangladesh Southwest Road Network Development Project. Following the
opening of new bridge road distance between Dhaka and Mongla will be reduced to 189 km, 74 km less
than the present 264 km distance between Dhaka and Chittagong – and the road will be much less
congested. The bridge is expected to revive the Mongla port, which is now operating at very low
capacity due to the long travel time required to reach Dhaka and other key locations.
In order to exploit the above opportunities and advantages India Government has become interested to
develpe one Economic Zone near Mongla Port to host investment exclusively from India.
BEZA signed an MoU with India for
establishing Mongla Economic Zones.
Paban Chowdhury, Executive Chairman,
BEZA signed the MoU on behalf of
Bangladesh and Foreign Secretary
Jaishankar signed on behalf of India.
Honourable PM Sheikh Hasina handed
over a replica map of the Mongla EZ to the
Indian Prime Minister Narendra Modi at
Shapla Hall, PMO. India will extend credit
facility for development of the EZs.
Annual Report 2016 Page 39
Chinese G2G EZ:
Anwara-2 (Chinese Economic and Industrial Zone ) Chinese Economic and Industrial Zone will be the first
specialized G2G economic zone, with an existing area of 774
acres. It has the potential to meet all the necessary conditions
to become a successful Economic Zone. Once the economic
zone is established, it is expected that there will be a huge
demand f or industrial plots, from potential investors.
China Government has nominated China Harbor & Engineering Company Ltd. as the developer and a
draft of SPC has been agreed with BEZA for development and operation of this zone.
The Zone has access to water transportation The site is suitable for export oriented industries due to
proximity of largest sea port of Bangladesh. It is expected to create employment for 1, 00,000 youth.
Location: Anowara Upazila, Chittagong .
Land area (acre) : 774.42
Multilane Tunnel is proposed under the River Karnaphuli. the multilane road tunnel shall reduce the
travel time and distance from Chittagong to the CIEZ
The CIEZ is located at a distance of 15 km from the Chittagong town.
Chittagong railway station is located at a distance of 17 km from the CIEZ.
The Port of Chittagong is the principal
Port of Bangladesh. CIEZ is located at a
distance of 18 km from Chittagong Port
CIEZ is located at a distance of 20 km
from Shah Amanat International
Airport, Chittagong.
Industries to be set up : Chemical ,
Automobile assembly , garments ,
pharmaceutical etc.
Figure 25 Proposed administrative Building of CIEZ
Figure 26 MoU with China Harbor Engineering Company Ltd
Figure 24 : Honorable Prime Minister with China President
Annual Report 2016 Page 40
Governing Board Meetings of BEZA
1st Governing Board Meeting
The Governing Board in its 1st Meeting held on 18 April 2012 with Honorable Prime Minister
Sheikh Hasina in the chair resolved the following;
A committee headed by Sr. Secretary, Economic Division, Ministry of Finance is was formed to
finalize BEZA e Employees s Service r Regulations, 2012 ;
A committee headed by Sr. Secretary, Economic Division, Ministry of Finance was formed to
review the Bangladesh Economic Zones Operation Rules, 2012, to send it to the Economic
Advisor to the Prime Minister and to send it to the Legislative and Parliamentary Affairs Division of Ministry of Law, Justice and Parliamentary Affairs with his observations for vetting;
The following sites were selected for setting up Economic Zones: Mirsarai EZ , Anwara EZ , Sherpur
EZ, Mongla EZ and Sirajganj EZ;
A committee headed by Executive Chairman BOI was formed to primarily select the sites for
future Economic Zones; The General Seal of BEZA was finalized; To avoid duplication in establishing special industrial area in different part of the country,
the Principal Secretary would take appropriate measures for proper coordination among the Ministries/ Authorities working for establishing industrial areas;
BEZA has undertaken initiative like promotional activities and study tours for reviewing development patterns, best practices and economic impacts of economic zones worldwide.
2nd Governing Board Meeting of BEZ
2nd
Governing Board meeting held on 18 February 2015approved- setting up of 17 Economic Zones
including 3 Private EZs;
Incentive package for developers and unit investors;
One stop service package;
Bangladesh Private Economic Zones Policy.
Annual Report 2016 Page 41
In that meeting decision were made that-
G 2 G EZs with Japan , China and India could be established;.
Bangladesh Economic Zones Act, 2010 and the Bangladesh Economic Zones (Appointmant of
Developer etc.) Rules, 2014 should be amendment;
The Governing Board also fixed up the fees for License, Application for Prequalification Letter and
second Phase application for Final License for PEZ and the tenure of PEZ at 15 years with provision for
its extension.
3rd Governing Board Meeting of BEZA
Following decisions were taken in the 3rd
Governing Board meeting held on 27 July 2016: ;
Beside the existing economic zone in Jamalpur, initiative had to be taken to establish new zone by
creating land from river dredging;
initiative had to be taken to establish zone in Narshingdi District where land could be purchased
at a very low price;
Suitable place was to be identified for establishing economic zone in Sandeep of Chittagong
District;
Beside the existing zone in Bhola District suitable place had to be identified from Government
Khas land for setting up new EZ;
Zone had to be established in new char land on priority basis rather using arable land;
Measures had to be taken to increase the area of land in Patuakhali, Moinamoti, and Fulbaria,
Mymenshing Economic Zones;
Since in Ashuganj Economic Zone there
existed high tension electric line land had to be
searched in nearby place to establish Economic
Zone;
24 sitswere approved for establishment of
Economic Zones;
To accelerate the process of establishing G2G
Economic Zones, BEZA would coordinate with
relevant department and agencies;
Measures would be taken to amend the
Bangladesh Economic Zones Act, 2010 in the
next session of the Parliament;
To activate One Stop Service of BEZA, a Policy had to be framed;
BEZA had to prepare a standard manpower set up and to send it to the Ministry of Public
Administration for approval;
To attract investment, supply of Gas and Electricity and Internet required for the Economic
Zones relevant Ministries would take necessary measures;
To establish EZ in boarder area, Ministry of Foreign Affairs would take necessary initiative to
start discussion with Myanmar and India;
The draft of the Bangladesh Economic Zones(Appointment of Developer) Guidelines, 2015 was
approve with instruction to publish it after vetting and approval of the Prime Minister.
4th
Governing Board Meeting of BEZA
In the 4rth meeting of BEZA governing Board-
• High Power Committee was formed to determine land tariff for EZs managed by BEZA;
• In-Principle Decision was made for enactment of One Stop Service Act covering BEZA, BEPZA,
BIDA, HTPA and PPA;
Administrative power was delegated to BEZA to declare
Annual Report 2016 Page 42
Strategic aspects of partnering with BEZA
Apart from providing sites for Economic Zones, BEZA also takes care of other strategic aspects needed
for development of these EZs. The
main features of these aspects have
been summarized below. Most of
the land provided are hassle-free;
various preliminary infrastructural
facilities will be provided to the
developers; whole set of attractive
incentive packages awaits for the
investors; BEZA will act a central /
one-stop go-to entity for a vast
gamut of clearances; appropriate
legislations in the form of Acts and
Rules are in place to render
structural strength to the whole process.
(i) Hassle-free Land
BEZA is essentially developing a land-bank all across Bangladesh for developers and unit investors,
resulting in well-connected industrial corridors spreaded across the country. BEZA is in the process of
acquiring lands and will acquire ~25,000 acres of land by the next year. Land for most of the sites are
hassle-free with minimum resettlement / rehabilitation issues. Most of the lands belong to government
without major land acquisition problems. This eliminates any risk of incurring extra cost or socio-
political turbulence for the developers and the unit investors.
(ii) Ready-made Infrastructure
All the sites are in close proximity to existing or planned ports, airports and National Highways,
thereby establishing seamless linkages / connectivity. This is augmented by availability of fresh water,
gas, electricity and readily developed land. BEZA will also provide some ready off-site infrastructure
facilities at the sites, viz. access road, admin building, boundary wall, retaining wall etc. BEZA will also
ensure supply of fresh water, gas and electricity and the construction of access roads and embankments
for the EZ premises. The following entities will ensure the same:
Proposed Economic Zones
Hassle-free Land
Ready-made
Infrastructure
Attractive
Incentives
One-Stop Services
Operations & Maintenance
Manual
Amended Legislati
ons
Annual Report 2016 Page 43
(iii) Attractive Incentives
BEZA would provide multiple incentives, other than infrastructure provision, to the developer of the
Economic Zone as well as to a particular manufacturing unit. Benefits to the zone developer will range
from income tax exemption to citizenship. The incentive structure for investor unit is also attractive,
ranging from fiscal incentives such as exemption of taxes, custom / excise duties to non-fiscal incentives
such as no FDI ceiling, work permits related and recommendation for Resident ship / Citizenship. BEZA
has taken vast initiatives such as; One Stop Service , attractive Incentive Packages to attract domestic
investors as well.
Incentive to Investors/Developers and its Circular
Table 1 : Incentives for EZ Developer
SL Incentive Explanation References
1 Income Tax Exemption for 12 years 1st 10 years – 100%
11th year – 70%
12th year – 30%
SRO No 227-law/IT/2015
2 VAT Exemption on Electricity Extent -100% Approved in GOB,
SRO yet to be issued.
3 VAT Exemption on local purchase Extent -100% Approved in GOB,
SRO yet to be issued
4 Exemption of CD on import Extent -100% SRO No-208/law/2015/45/
Customs.
MS Rod, Cement, Pre-Fab will
not be exempted
5 Exemption of Stamp Duty & reg.
fees for registration of land transfer
Extent -100% SRO No R-6/IM-8/85(part-1)-
330
dt.23-12-15
6 Exemption of Stamp Duty on
registration of loan document with
Scheduled Bank
Extent -100% SRO No.7-law/2016
7 Exemption of Land Development
Tax
Extent -100% SRO No.5-law/2016
8 Exemption of Local Govt. Tax(
Union Parishad)
Extent -100% SRO No.333-law/2015
9 Exemption from enforcement of BOI
Act in EZ
Extent -100% SRO No.108-law/2015
Table 2 : Incentive to investors
SL Incentive Explanation References
1 Income Tax Exemption for 10
years
Extent -100%
(for 1st, 2nd
, 3rd
year)
4th year – 80%
5th year – 70%
6th year – 60%
7th year – 50%
8th year – 40%
9th year – 30%
SRO No 226-law/IT/2015
Annual Report 2016 Page 44
10th year – 20%
2 VAT free Import of Machinery,
Construction Materials.
Extent -100% SRO No 209-
law/2015/46/Customs.
3 Duty free Import of Vehicle (One
Car, One Microbus- 2000 cc)
Extent -100% SRO No 210-
law/2015/47/Customs.
4 Declaration of EZ as Ware
housing Station- Duty free import
& Export of Raw material etc.
Extent -100% SRO No 221-
law/2015/48/Customs.
5 IT Exemption on salary of
Expatriates
Extent -50%
-3 years
SRO No 298-law/IT/2015
6 Exemption from Dividend Tax &
Royalty, Technical fees
Extent -100%
-10 years
SRO No 299-law/IT/2015
7 Exemption from Local Govt.
Tax(Union Parishad)
Extent -100% SRO No.333-law/2015
8 Exemption from land
development Tax
Extent -100% SRO No.05-law/2016
9 Exemption from registration fees
on land transfer & loan document
Extent -100% Circular -R-6/1 M-8/85(part-1)-
330
10 Exemption from stamp duty for
loan document created by
Scheduled Bank
Extent -100% SRO No.07-law/2016
11 Exemption from stamp duty on
lease of land/space
Extent -50% SRO No- 06-law/2016
12 Exemption of VAT Extent –Gas - 80%
Water - 80%
Electricity - 80%
Supplies - 100%
SRO No.168-law/2015/735-
VAT
Table 3 : Unit Investors – Non-Fiscal
SL Incentive Explanation Reference
13 Repatriation of Capital & Dividend Extent -100%
FE CircularNo.04
dt.14-2-16
14 No Ceiling of FDI Extent -100% FE Circular No (general )/
Industrial Policy
15 100% Backward Linkages of raw
materials to sell for E0I
Extent -100% FE Circular No. 04
16 Sale of finished product to DTA
from EPA
Extent -20% Approved in GoB. Customs
rules (EZ) yet to be published
17 Sub-Contracting with DTA Extent -100%
Approved in GoB. Customs
rules (EZ) yet to be published
18 Exemption of Double Taxation Subject to Double
Taxation arrangement
General IT Rules
19 Foreign Loan Extent -100% FE Circular (general) FE
Circular no. 04
20 Remittance of salary by expatriates Extent -75% FE Circular no. 04
21 Repatriation of Sale proceeds of
non-resident owned equity
Extent -100% FE Circular- 32
22 Repatriation of Royalty, Technical
fees
Extent -6% of Import
value of Machinery
FE Circular
23 FC Account for non-resident Extent - Full FE Circular (general)
Annual Report 2016 Page 45
24 FC Account for local & JV Extent - Full FE Circular (general)
25 Formation of JV Extent - Full Industrial policy
26 Issuance of work permit 5% of total employee Approved in GoB
27 Transfer of shares by foreign
shareholder to local
Extent - Full SEC circular
28 Re-investment of remittable
dividend as new investment
Extent - Full Industrial Policy
29 Resident Visa with $1,00,000 Extent - Full Industrial Policy
30 Citizenship with $10,00,000 Extent - Full Industrial Policy
One-Stop Services ‗One stop services‘ (OSS) is one of the ways employed around the globe to facilitate investment. It is the
way to enable domestic as well as international investors to submit regulatory documents at a single
location and/or to a single entity, which in turn facilitate
the investor to obtain necessary clearances. PwC (India),
a consultant firm appointed by BEZA, has designed OSS
services outlines based on which an OSS Act is being
drafted now.
BEZA has taken the initiative to develop and initiate one
stop service for investors. A total of 31 services has been
identified which will provided by an automated OSS
portal integrated in BEZA website. To provide OSS
services, as some of the Zones are going through
development, BEZA has planned to develop and initiate
OSS in a phase by phase manner, initially services will
be provided by a third party solution provider with per
service per investor basis rental. It will be started with
small number of initially required services then scale up
as required. A research and development work will go on
parallel for designing, development and testing of
BEZAs own OSS system. Hardware like basic network
solutions, server and storage units are on procurement
stage which will initially act as the platform for the rental
OSS and R&D.
On the initial stage a MoU has been signed with a software development company to develop and provide
five OSS service (Project Clearance, VISA recommendation, Work Permit Recommendation, Import
Permit and Export Permit) on rental basis.
Establishing investment friendly environment
To make the regulatory / clearance system investor friendly, BEZA is conceptualizing One-Stop-Service
(OSS) mechanism which will provide the investor with a single point of contact for necessary regulatory
clearances/registration required for setting up business in Bangladesh. BEZA will in turn coordinate with
respective authorities to ensure time bound clearances and approval. The aim of the service will be to
streamline and ease out the process of establishing business in its EZs. Also, having to deal with single
authority is likely to get more transparency in the system. The figure below illustrates the key value
proposition of OSS.
Investors (Developers and Unit Investors) Government
Reduction in time and effort
Cost saving through reducing potential
Ease in ‘Starting a Business’: Bangladesh
is ranked 115th by World Bank, ahead of
Annual Report 2016 Page 46
delays
Smoother investment facilitation
Easy access to information
Transparent system of tracking the status of
approval
a few neighbouring countries; OSS may
result in attracting investment and
further stimulate industrial growth
Bringing transparency and efficiency in
the system
Removal of redundancy as information is
collected through Single Window
Better adherence to government
regulations
Current Developments 1. List of Services under BEZA’s Single Window
BEZA has performed detailed study to shortlist services it would provide under its OSS. The authority
appointed external party to study various Bangladeshi Laws, rules and regulation to identify
clearance/approval required to set up business in Bangladesh. The study identified around 31
clearances/approvals from different government authorities and agencies. Some of these clearances are
one-time in nature whereas the other requires renewal at defined intervals.
It also conducted consultation with private organization and with government authorities to understand
the challenges in the current approval processes. Their inputs provided insights on the challenges in the
current process and hence, supported in shortlisting the list of services.
Moreover, an international benchmark study was conducted to ensure that the services at BEZA are at
par with OSS provided by authorities in other developing countries. The table below provides the
shortlisted services that have been suggested to be included in BEZA‘s OSS.
2. Operational model for OSS
Apart from shortlisting the list of services, BEZA liaised with other government authorities and
conducted workshop to design the operational model for OSS. The services under OSS will be delivered
via one of the following modes:
(a) In-house Clearance/Approval
BEZA will develop in-house capacity and capability to provide few clearances. This would include
services like Boiler Registration, approval for captive power plant, VISA recommendation etc.
(b) Clearance to be provided by the developer with supervision from BEZA BEZA has a defined Building Plan Rules which provides directive on the structure of the building, on
the electrical and water plumbing plan. Under BEZA‘s OSS, BEZA may provide developer the
responsibility to ensure adherence to the code and hence, developer would provide clearance on
building plan, water plumbing plan and electrical plan clearance to the unit investors. BEZA, in turn,
will retain the rights to conduct audits to ensure adherence to the defined code.
(c) Liaison with other Government Authority/Department
For few clearances, BEZA would liaison with other government authorities. For instance, it would
coordinate with department of environment for location and environment clearance, local authorities
for VAT registration etc.
Establishment of OSS would create an investment friendly environment and helps investors to avoid the
hassle of dealing with multiple authority. Moreover, BEZA recognizes that OSS is an evolving process
which needs to respond to policy alteration, technology improvements and change in the requirement of
the investors. Hence, BEZA intends to regularly revisit and update the portfolio of services provided
under OSS along with incorporating the impact of technological improvement on service delivery.
To a great extent, the fate of zone initiatives has been determined from the outset, by the choices made in
the establishment of policy frameworks, incentive packages, and various other provisions and
Annual Report 2016 Page 47
bureaucratic procedure. We hope that the introduction of OSS and attractive incentive package will
perform their purpose of attracting investments for Bangladesh.
(v) Operations, Maintenance and Quality Assurance Manual
BEZA has conceptualized preparation of Operations & Maintenance (O&M) Manual in order to set up
guidelines pertaining to operations, management & maintenance and quality assurance for economic
zones in Bangladesh. PwC (India) prepared separate manual for Mongla, Mirsarai-1, Mirsarai-2 and
Sreehatta EZ.
In any economic zone, area is demarcated into two parts viz. processing zone (development of land or
premises for the intended industrial usage) and non-processing zone (development of support activities
such as medical, educational, residential, lifestyle facilities). O&M Manual intends to provide standard
guidelines of development and operation activities for land use pattern in both the processing and non-
processing zone areas. Detailed provisions have been captured in this manual on various aspects such as:
Industrial use, Commercial and amenities, Transportation use, Utilities and Green zoning etc.
Social and Environmental Compliance The Economic zones are set to contribute immensely in the economy in Bangladesh as well as socio
economic development of the country. The Social Impact Assessment is one of the important
compliances for establishment of Economic Zone. The SIA help to understand positive and negative
social impacts of zone. The mojow social studies carried out by BEZA are in the followings:
Prepared 08 social Screening Report e.g. Mongla , Shrehatta,
Mirsarai, Dhaka SEZ , Sabrnag Tourism Park, Jaliardiwp SEZ,
Narayanganj EZ and Anwara-2 (CIEZ)
Prepared Social Impact Assessment (SIA) for Mongla ,
Shreehatta EZ , Mirsarai EZMirsarai-2, Sabrang Tourism Park,
Jaliardiwp SEZ, Dhaka SEZ, Narayanganj EZ, Anwara-2 EZ
(CEIZ).
Prepared Abbreviated Resettlement Plan for Mongla EZ
Prepared Resettlement Plan for Shreehatta EZ, Mirsarai-2,
Dhaka SEZ, Narayanganj EZ, Anwara-2 EZ (CEIZ).
Preparation of Resettlement and Social Management Framework
BEZA has agreed RSMF and Ethnic Minorities People Plan with World Bank as a precondition to utilize
the fund under PSDSP loan agreement
Social Compliance for Mongla EZ
BEZA have already been implemented the Abbreviated Resettlement Plan for Mongla EZ as a part of
social Compliance. BEZA formed a grievance Redress Committee to answer queries and address
complaints and grievances about any irregularities in using the guidelines adopted in the RSMF and for
implementation of this ARP. Grievance Redress Committee (GRC) for the EZ consisting of
members as suggested in the ARP to ensure proper presentation of complaints and grievances, as
well as impartial hearings and transparent decisions. Based on consensus, the procedure will help to
resolve issues/conflicts amicably and quickly, saving the aggrieved persons resorting to expensive, time-
consuming legal actions. The RSMF contains certain procedural conditions, which BEZA will observe to
safeguard integrity of the GRM.
Annual Report 2016 Page 48
Environmental Compliance In the Environmental Arena of the ‗Bangladesh Economic Zones Authority‘ capacity had been
built up in regard to environmental management and pollution control measures. Assistance was also
carried in proper implementation of industrial pollution control measures, to coordinate with the TAS
firms in carryout and approval process of Environmental Impact Assessment (EIA) studies for various
proposed EZs. Coordination & supervision of the environmental safeguard actions as per the legal
framework between WB & GOB was done as well as onsite guidance to the master Developers and
the contractors on the implementation of EMP and the EMF.
4.2 Environmental Clearance status:
Economic Zone Status of
ToR of EIA
Status of EIA Approval Remarks
PPP Zones
Mongla Approved by DoE
on 29/03/2015
Approved by DoE on
21/07/2015
Monitoring is going on as
per EMP of EIA
Mirsharai Approved by DoE
on 11/05/2015
Approved by DoE on
26/11/2015
Monitoring is going on as
per EMP of EIA
Sreehatta
(Sherpur) Approved by DoE
on 11/05/2015
Approved by DOE on
03/08/2016
Monitoring will be going
on as per EMP of EIA
Mirsharai-2 Approved by DoE
on 02/05/2016
Prepared by TAS firm and
Reviewed by the respective
committee
Feasibility study is going
and EIA has been
submitted to DoE
Jaliar Deep EZ Approved by DoE
on 13/06/2016
Prepared by TAS firm and
Reviewed by the respective
committee
Feasibility study is
ongoing and EIA has been
submitted to DoE
Sabrang Tourism
Park Approved by DoE
on 13/06/2016
Prepared by TAS firm and
Reviewed by the respective
committee
Feasibility study is
ongoing and EIA has been
submitted to DoE
Anwara-2 Approved by DoE
on 13/06/2016
Prepared by TAS firm and
Reviewed by the respective
committee
Feasibility study is
ongoing after that EIA will
be submitted to DoE
Dhaka SEZ Approved by DoE
on 13/06/2016
Prepared by TAS firm and
Reviewed by the respective
Feasibility study is
ongoing after that EIA will
Annual Report 2016 Page 49
Economic Zone Status of
ToR of EIA
Status of EIA Approval Remarks
committee be submitted to DoE
Narayaganj Proposed TOR has
been submitted to
DOE, will
approved by
August, 2016
Prepared by TAS firm and
Reviewed by the respective
committee
Feasibility study is
ongoing after that EIA will
be submitted to DoE
PEZs
Abdul Monem Approved by DoE
on 02/05/2016
Approved by DOE on
03/08/2016
Aman Approved by DoE
on 02/05/2016
Approved by DOE on
03/08/2016
Meghna Approved by DoE
on 02/05/2016
Approved by DOE on
03/08/2016
Legal Framework of BEZA For rapid economic development of Bangladesh through industrialization, Employment
generation, upgrading the production level, earning foreign currency by expanding the export it was an
unavoidable necessity to establish an Authority to control and manage the setting up and operation of
economic zones planned to be developed and maintained on Public -Private Partnership basis, by
private sectors and Government initiatives. With that view, Bangladesh Economic Zones Act, 2010 (the
Act) was enacted with provision, among others, for establishing an authority naming Bangladesh
Economic Zones Authority, popularly known as BEZA. BEZA was established under Section 17 of the
Act. For smooth administration and proper management of the activities in respect of Economic Zones,
BEZA framed rules and formulated policy. Also for widening the scope of its activities, the Act and rules
have been amended. For attracting the investors, a competitive incentive package has been declared.
BEZA, with the support of the Project, has always been striving to bring improvement in the existing
provisions of laws and rules-regulations and also to formulate new rules and policies for meeting the
needs of the day, for protection of rights and interest of the investors and ,on the other hand, for
facilitating BEZA to properly perform its regulatory functions.
Annual Report 2016 Page 50
The Project took up the program for updating and enriching BEZA‘s legal instruments of for the
purpose aforesaid, a Legal Consultant has been appointed. All the legal instruments, as of today, except
Bangladesh Economic Zones Act, 2010 (Act No. 42 of 2010) have been Prepared and after observing the
required process including discussion and sharing of views in the in-house meeting, inter-ministries
meeting, scrutiny by special purpose committees, and vetting as was required case to case, those have
been brought in to operation.
The Bangladesh Economic Zones Act was passed in 2010. Thereafter its Authentic English Text was
published as per requirement of Section 38 of this Act.
The following are the major achievements of project’s legal wing during last three years:
Framing of “Bangladesh Economic Zones (Appointment of Developer et.) Rules’
Section 38 of the Act, provides that, the Government, for achieving the objectives of the Act, may frame
Rules. Accordingly, Bangladesh Economic Zones (Appointment of Developer etc. Rules, 2014 have been
framed in Bangla version. For making it easily understandable to the foreign investors, its Authentic
English Text, at the initiative of the Project, has been published. The rules covers many important
principles including transparent competitive appointment of developer, tenure of the appointed
developer, Qualification, Rights, privileges and Duties of developers, suspension and cancellation of
developer‘s permit, Appointment of substitute developer, remedies of developer and Authority, interim
management of the Economic Zones in case of cancellation of Developer‘s permit etc.
A provision for formulation of guidelines for appointment of developers was very wisely incorporated
in these Rules with another enabling provision that until guidelines are formulated, the Authority may,
after obtaining approval of the Prime Minister, appoint developers in accordance with the Guidelines for
Formulation, Appraisal and Approval of Large Projects, the Guidelines for Formulation, Appraisal and
Approval of Medium Projects and the Guidelines for Formulation, Appraisal and Approval of Small
Projects formulated under the Policy and Strategy for Public-Private Partnership (PPP), 2010 issued by
the Prime Minister‘s Office‘s letter No. 03.068.014.03.00.005.2010 (Part-2) -323dated 1 August, 2010.
However, the Authority did not sleep over the matter and, with the assistance of the Project, took up the
task of formulation of guidelines before any unreasonable delay.
The Guidelines for Appointment of developer:
As required under Section 4 0f the Act, The guidelines for Appointment of Developer was drafted. The
Draft was finalized after sharing the views of a committee formed in an Inter-ministrial meeting, it being
vetted by the Law and Parliamentary Affairs Division of the Ministry of Law Justice and parliamentary
Affairs (LPAD of MoLJPA). the Guidelines has been publish though S.R.O. No. 44- Law/ 2016. The
guidelines was finally titled as ―The Bangladesh Economic zones ―(the Procedure of Appointment of
Developer) ― Rules, 2016, popularly Known as the Guidelines.
Annual Report 2016 Page 51
This Guidelines is applicable to the Economic Zones and Special Economic Zones on Design, Build,
Finance, Operate and Transfer (DBFOT) basis through Public-Private Partnership (PPP). Noteworthy that
for Developer Agreement and permit etc. the guiding principles are contained in the Private Economic
Zones Policy, 2015. keeping in tact the eligibility, rights, privileges and duties of the developer, the
provisions of Rules 2014, these Guidelines are a complete set of rules to be followed from starting to end
of the process of appointment of developer.
To make the process of appointment of developer transparent, a prohibitory clause against Corrupt,
fraudulent, collusive, coercive, obstructive Practices have been incorporated and on the other hand
principle of competitiveness has been ensured in these rules. The Rules provides for two stage process (
RFQ and RFP) with discretion of the Authority to follow only one Stage inviting process, where
applicable. Provisions relating to Pre-application or pre-proposal meeting, site visit, addressing the
request for clarification, amendment of RFQ, opportunity of Modification, substitution or withdrawal of
application or proposal, etc. have made these rules flexible and on the other hand, the provision in respect
of strict evaluation process basing on the set criteria has enriched these Rules to the optimum standard.
The outline of what should be within the draft developer Agreement and moreover, the provisions of
Vetting of draft Agreement has ensured a quality daft of the developer agreement acceptable internally
and internationally. The Final approval by the Cabinet committee for Economic Affairs, as contained in
the process of appointment of developer, will make the process more transparent and free from any kind
of blemishes of arbitrariness on the part of the Authority.
Amendment of Law and Rules: A time needed steps
Amend of Bangladesh Economic Zones (Appointment of developer) (Rules, 2015.
Background: In the original Rules there were two major hurdles one of the Qualifications for being a
Developer was ―(i) at least 3 (three) years‘ experience in establishing and operation of sole, multiproduct
economic zone, special economic zone, industrial park or free port; and (ii) experience in designing of or
financing in at least one economic zone, special economic zone, industrial park or free port within last
3(three) years (iii) the amount of gross revenue of 25 million US Dollar per year within last 3 (three)
years for operation of economic zone, special economic zone, industrial park or free port ; and (iv) net
worth of at least 10 (ten) million US Dollar‖.
It was foreseen that none of the Bangladeshi person or enterprise would be able to come forward to
participate in the bidding process with the above two qualification Criteria, as none of them have such
experience as sought for t in the rules. Hence, initiative was taken for bringing changes in the rules
incorporating also other criteria also make the opportunity of competing in the bid only by economically
Annual Report 2016 Page 52
sound person or enterprise modification in the amount of gross revenue has been made. After
amendment, the present qualification Criteria is “(a) experience in establishing and operation of sole,
multiproduct economic zone, special economic zone, industrial park or free port and operation thereof, or
experience in development, construction of infrastructure, management and operation of any large project
; (b) experience in designing of or financing in at least one economic zone, special economic zone,
industrial park or free port or any large project (c) the amount of gross revenue of 10 (ten) million US
Dollar per year within last 3 (three) years for operation of economic zone, special economic zone,
industrial park or free port or any large project ; and (iv) net worth of at least 25 (twenty five) million US
Dollar‖.
The positive impact of the above amendment is a large number of Bangladeshi enterprises, in
consortium with other local entities have been coming forward to participate in the bids for appointment
of developer with an intent to establish economic zones in Bangladesh.
Amendment of Bangladesh Economic Zones Act: A well thought endeavour for G2G initiatives
between Government of Bangladesh and government of Foreign countries and also between BEZA
and other Government organizations.
As envisaged under original Section 4 of the Act, there were four categories of Economic Zones,
namely- (i) Economic Zones established through public and private partnership by local or foreign
individuals, body or organizations;(ii)Private Economic Zones established individually or jointly by local
non-resident Bangladeshi or foreign investors, body, business organizations or groups; (iii) Government
Economic Zones established and owned by the Government; and (iv) Special Economic Zones
established privately or by public-private partnership or by the Government initiative, for establishing any
kind of specialized industry or commercial establishments. As the Government of some foreign countries
including Japan, China and India were showing their interest for joining hands with the Government of
Bangladesh for setting up, operation and expansion of Economic zones in Bangladesh, the Government of
Bangladesh found reasons, for rapid economic development of the country, to procced together with a
further view that Bangladesh may Take G2G initiatives with Government of any foreign country, if found
beneficial for Bangladesh. Secondly, BEZA took into consideration the fact that some Government
organizations have un-utilized fund and/or land and/or expertise that can well be utilized for the interest
of country‘s economy by developing and operating Economic Zones in collaboration with those
organizations.
But the Law, as cited above, was not supportive of establishing Economic Zones on G2G basis and on
joint initiative of BEZA and other Government organizations. Necessity therefore arose to go for
amendment of Law. As BEZA required, full assistance from the legal wing of the project was provided
Annual Report 2016 Page 53
for drafting the amending Act. Overcoming all the procedural stages, the draft Act was presented as a
Bill which has been passed by the Parliament as the Bangladesh Economic Zones (Amendment)Act,
2015 (Act No. 29 of 2015) and it has come into force at once.
By the abovementioned amendment wide scope has been created to establish, operate and expand
Economic Zones in Bangladesh at the initiative by or in partnership between the Government of
Bangladesh and the Government of other countries or any Industrial entrepreneur and also at the initiative
by and in collaboration or partnership between BEZA and one or more Government Corporation,
Authority or Enterprise.
While under ther the original provision no land under jurisdiction of any City corporation,
Paurashava and Cantonment Board could be declared as Economic zone , now after bringing change to
that provision, any such land can be declared as economic zone for the public interest exclusively for the
purpose of establishing Information Technology related Economic Zone has been brought by the
amending law that also any land can be
By the said amendment a special procedure has been laid down for implementation of any of the above
initiatives.
Publication of Authentic English Text of the Bangladesh Economic Zones(Appointment of Developer
et.) Rules.
To meet the gradually increasing demand particularly from the representatives of interested foreign
investors, and also to fulfill the requirement of rule 15 of the original Bangla Version, the Authentic
English Text of Bangladesh Economic Zones(Appointment of Developer et.) Rules, has been published, it
being Drafted with the project Assistance and finally vetted by the LPAD of MoLJPA. the English
version of the Rules is equally authentic as its Bangla Version , but in case of any contradiction between
the two the Bangla text shall prevail. the English Version of the rules has made the easily understandable
to the interested foreign investors.
Promulgation of Private Economic Zones Policy: A self-contained guidance for Private Economic
Zones:
A remarkable achievement of BEZA and the Project is that the Project at the reuirement of BEZA
could complete the Draft Pivate Economic Zones Policy in Banglaaand finalized it after getting it
vetted from the LPAD of MoLJPA. The Policy entitled ―Bangladesh Private Economic
ZonesPolicy,2015‖ was published in April, 2015 by S.R.O No. 82- law/2015. Its English Text was
published by S.R.O No.354 law/ 2015.
Annual Report 2016 Page 54
In the Policy , Emphasis has been given, among others, to the provisions relating to application
procedure, Principle to be followed in declaring Private Economic Zones and awarding License to the
applicant, rights and obligations of the Licensee, developer, Operator, User and Residents, causes for
cancellation of license, providing all necessary permits, clearances et. through one Stop Service
Office, Environmental Protection, safeguards of rights of the workers etc.
This Policy has been facilitating the prospective applicants willing to establish Private Economic
Zones in properly following the process and, on the other hand, indicating the appropriate ways to
the concerned officials of BEZA to perform their regulatory functions in respect of Private Economic
Zone under the set policy and procedure.
Legal Reforms Underway
One Stop Service Act:
According to Section 12 of the Bangladesh Economic Zones Act the Authority has a responsibility
to make arrangements to facilitate the economic zone developers and industrial units in respect of
legal documents which include permission for Economic zone site selection, declaration of economic
zones, clearances, certificates, certificate of origin, permits for repatriation of capital and dividents,
resident and non-resident visa, work permit, construction permit etc through One Stop Service Office.
Also Articles 18, 19 and 20 of the Bangladesh Private Economic Zones Policy have laid down a
narrative guidelines for ensuring all kinds of services for the Private economic Zones by the One Stop
Service Office to be established by the Authority at its Head office and Branch Offices. With a view
to provide time-bound accelerated services as required by the act and Policy by One Stop Service
Office, A draft One Stop Service Act has already been prepared ans it is in the Process of finalization.
Hopefully this Act, will diminish the unreasonable delay in getting necessary permissions and
clearances needed for setting up, operation, maintenance and expansion of the economic Zones.
Building Construction Rules:
Sensing the necessity of ensuring the quality construction in developing the Economic Zones a set of
regulatory rules have been drafted in the name ―Bangladesh Economic Zones (Construction of
Building) Rules‖ keeping in view the special requirements for construction of building and other
infrastructure. It is under process of finalization. Expectedly these rules will guide the Developers
and the Authority in construction of building and infrastructure according to the international
standard.
Improvement of legal documents: a target which is being achieved with the experiences acquired
gradually:
Annual Report 2016 Page 55
The draft ―Request for Proposal‖ document was prepared earlier. while applying it in practice it was
examined and modified as required for the particular Economic Zone.
The draft Developer Agreement being a very important document, it was taken care of before
finalization. examination re-examination and vetting by the LPAD has made this document well
workable.
A plan is there to bring further modification in the Draft RFP and Developer Agreement in case of
zone-specific necessity and also strive to prepare a standard RFP documents containing a draft of
standard Developer agreement , and as required by Clause7 of the Bangladesh Economic zones (the
Procedure of Appointment of Developer) ― Rules, 2016.
Preparing the format of Letter of Award, Pre-qualification letter etc.
By the assistance of the Project BEZA has developed the format of letter of award which has been
awarded for Mongla Economic Zone. It will be used for other Economic Zones with necessary
modification.
The format of Pre-qualification letter to be issued to the applicants for establishing Private Economic
Zone has been prepared by the project‘s assistance.
Providing legal opinion on matters involving legal issues: a readily available legal assistance provided
through the Project.
In performing the functions BEZA and Project Authority had to face matters involving legal issues where
legal opinion was asked for. The Legal Consultant of the project has provided legal opinion on various
legal issues both in writing and sometimes verbally while sharing in the meetings.
Drafting memorandum of Understanding (MoU):
While rapidly proceeding ahead, BEZA had to sign MoU with other entitie(s). The Draft of MoU have
been prepared and finalized after necessary modification by the legal side of the Project. The Draft MoU
sometimes sent by the counterpart entity was examined and finalized by project‘s legal wing.
Steps for disposal of court cases:
As required by BEZA, the Legal Consultant of the project took necessary steps in the Courts. as a
result, two long pending writ cases could be disposed of protecting the interest of the Government.
Preparation and publication of the SROs for Exemptions, incentives and benefits : A well-timed
declaration for attracting the developers and investors:
Section 13 of the of the Bangladesh Economic Zones Act has empowered the Government to exempt any
Economic Zone or any organization thereof from application of all or any provision of all or any act as
Annual Report 2016 Page 56
listed in that section or to pass order that any Act or any provision thereof, in its application in the
Economic Zone, be subject to such modification or amendment as may specified therein. According to
the spirit of the said provision a number of draft notification was prepared by the legal wing of the project
and the Government has published in the official gazette.
The incentives declared by the Government has created an investment friendly environment
encouraging thereby the local and foreign investors to invest in the Economic Zones of Bangladesh.
The Project has always been supporting BEZA in updating and enriching its legal framework.
The Legal Consultant has performed his part in the above activities. The opinion and views of all other
concerned officials of BEZA has contributed a lot in the process. The Present Project director by sharing
his knowledge and experience and by his valuable advice fortified by relentless personal care has
accelerated all the process. The present Executive Chairman has explored the innovative ideas and
instructed to initiate the reforms without any delay. His prudent guidance, sharp scrutiny, active
supervision and dynamic leadership with a sense of patriotism has encouraged al concerned to
strengthen BEZA‘s Laws rules ,policy and other legal documents.
The appreciable support of the World Bank has facilitated the legal wing of the Project in
properly and efficiently discharging the duties.
Enriching the law is a continuing process. BEZA‘s case is not any exception. Still, so far BEZA as a
new-borne institution has achieved, BEZA may legitimately claim that it has now a stronger legal
framework.
Feasibility Study BEZA has already completed 4 feasibility study for Mirsarai, Shreehatta , Anwara EZ by Japan
Development Institute and Mongla EZ by PwC. BEZA has also engaged 03 (three) reputed consulting
firms: i) The Consortium of DOHWA Engineering Co. Ltd., SGI Consulting Incorporated and Young
Consultants Ltd. from South Korea for Anwara EZ-2 (CIEZ) and Sabrang Tourism Park ii) The
Consortium of Unicunsult and SPC. from Germany for Jaliradiwp EZ and Narayanganj EZ and iii) IIFC
from Bangladesh for Mirsarai EZ-2 and Dhaka SEZ.
Review of Private Economic Zone Feasibility Study Report
As per private EZ policy, private EZ will prepare feasibility study report and BEZA will approve the
feasibility report. Support to Capacity Building of BEZA project assisting to BEZA to review the
feasibility study report.
A K Khan Economic Zone , Abdul Monem Economic Zone, Meghna Economic Zone and Aman
Economic Zone and another 03 feasibility study report (Bay Economic Zone, Arisha Economic
Zone and Meghna Industrial Economic Zone ) approval is under process.
Annual Report 2016 Page 57
Initial Site Assessment BEZA conducted Initial Site Assessments for 21 sites by the TAS Firm – PricewaterhouseCoopers, PwC,
India (Mahindra Consulting Engineers Ltd, MACE) was the sub-consultant. The assignment covered site
survey, context surrounding each site, landscape, soil, climate, vegetation, industry activity, on-site and
off-site infrastructure available, environmental issues, social aspects, interaction with government
officials and private sector, ranking of the sites, and indicative cost estimations. The sites were as follows:
SN EZ/SEZ Location (Upazila & District) Approximate Land
Area (Acre)
1 Narayangonj Narayangonj 885
2 Panchgarh Panchgarh 610
3 Anowara-2 Chittagong 774
4 Dhaka SEZ Karanigonj, Dhaka 105
5 Sabrang Tourism Teknaf, Cox‘s Bazar 1,027
6 Dhaka (Dohar) Dohar, Dhaka 316
7 Bhola Sadar Bhola 304
8 Kushtia Bheramara, Kushtia 477
9 Nilphamari sadar Sadar, Nilphamari 323
10 Manikgonj Shibalaya, Manikgonj 300
11 Shariatpur Jajira, Shariatpur 525
12 Jaliar dip Teknaf, Cox‘s Bazar 271
13 Ashugonj Ashugonj, B.Baria 328
14 Agailjhara Agailjhara, Barisal 300
15 Shariatpur Goshairhat, Shariatpur 750
16 Cox‘sbazar Moheshkhali, Cox‘sbazar 8,784
17 Moheshkhali-1 Moheshkhali, Cox‘sbazar 1,438
18 Moheshkhali-2 Moheshkhali, Cox‘sbazar 827
19 Moheshkhali-3 Moheshkhali, Cox‘sbazar 676
20 Narayangonj-2 Sonargaon, Narayangonj 1,000
21 Natore Lalpur, Natore 3,220
Investment Promotion abroad and Study Tour Introduction
BEZA is committed to attract Foreign Direct Investment (FDI), promote export and create employment
through establishment of Economic Zones in Bangladesh. To bring the industrial investments in our
country and the best practices of operations, ―Support to Capacity Building of BEZA‖ Project conducted
so many international tours to enhance its understanding of industrial development around the world. As
part of this endeavor, this project has taken several visits to several industrial zones/facilities of develop
and developing countries. Through those tour there is a strong opportunity to share the experience to
Annual Report 2016 Page 58
establish EZs in our country. Further, those visits was also utilized to meet with the foreign investors of
those visited countries and to attract them in choosing Bangladesh as an investment destination.
Objectives/ Aims of Study Tour
Meet with potential investors from the Non-Resident Bangladeshi (NRB) and encourage them to
invest in the EZs of Bangladesh.
Attract the Foreign Investors and motivate them to invest in the EZs of our country and become a
developing partner.
Meet with government representative for G to G level negotiation for the foreign investment in
our country.
Gather practical knowledge for establishing EZs in Bangladesh.
Share the experiences regarding EZs management system and one-stop service.
Visited Countries & Economic Zones (EZs)
BEZA delegates has visited the Economic Zones of United Kingdom (UK), Indonesia, Malaysia,
Singapore, India, Thailand, Philippines, Japan, United States of America (USA), China & Hong Kong
and also share the experience with the EZ’s authority of those countries. Key Takeaways from Study Tour Program
Key takeaways from the “Study Tour/ Investment Promotion Program” organized by this
Project is given below and BEZA may consider it for the development of EZs in our country.
Most of the visited EZ‘s/Industrial Estates are an integrated city with all the facilities (such as
residential complex, hospitals, educational institutes etc.) inside the city. BEZA may plan to develop
the proposed EZ‘s in the similar way where all the facilities can be planned within one campus. BEZA may consider aggressive marketing and investment promotion strategies to attract some
anchor units in the EZ‘s. There can be secondary revenue sources from the SEZ apart from selling/ leasing/ renting the land/
premise. BEZA may consider of similar alternate revenue sources (utilities, internal transportation). Customs Clearance and Regulating Authority‘s office present in all EZ‘s/Industrial Estates visited.
The same are constructed by the developer of the SEZ. The developer also provides accommodation
for officials of the Regulatory Authority and Customs who operate out of the SEZ. Most of the zones had CCTV surveillance systems located at strategic locations across the SEZ. One Stop Service centers are completely operational in both these countries. Philippines has
everything electronically managed and Thailand manually. Clark Freeport zone had an international airport located inside the zone. EZA may evaluate such
options by identifying land parcels which could house an International airport within the zone. The Non-Processing areas of the zones were exceptionally well utilized by the developers. Banks, 5
star hotels, housing complexes, malls, casinos, other recreational facilities all present in the SEZ. Regulatory Authority Call centers operate 24x7 inside the SEZ. Thereby reducing the chances of a
major accident at the SEZ. Employees operate in shifts. BEZA may evaluate considering the same. IEAT, Thailand had a fully operational ―Operations Centre‖ located at their head office in Bangkok.
This operation center works 24x7 and closely monitors activities through CCTV cameras across the
Industrial Estates. As a pilot, IEAT has done this in 2 Industrial estates. This center monitors
Annual Report 2016 Page 59
industrial estate and factories inside them for efficient management of environment and safety
issues. Fire brigade and Police station were present inside the zone.
Marketing of the zones to attract locators/unit investors was jointly carried out by the regulating
authority and the private developers. BEZA may also consider working jointly with the developer of
EZ‘s in Bangladesh
For IT/ ITES industry, India is progressing by leaps and bounds. Bangladesh needs to develop on the
IT/ ITES front and for that it needs to promote the IT and High-Tech SEZ‘s aggressively.
In the next NASSCOM event, Bangladesh may think of organizing/ sponsoring a separate workshop
topic on opportunities in Bangladesh- this will provide extensive coverage to Bangladesh in the
global IT arena.
Bangladesh may consider aggressive investment promotion and marketing activities for IT/ ITES
industry in the country and for the planned/ developed IT SEZs.
MWC is the first integrated city of India and the functional aspects of the SEZ PPP model (11%-
89% share between TIDCO-Mahindra) followed there can be replicated in Bangladesh.
MWC is a multi-sectorial SEZ with focus on three broad sectors: IT/ITES, Textile and Auto-
ancillary. The evolution of this SEZ and the practices/ standards adopted there can be benchmarked
in the case of the SEZs proposed by BEZA.
MWC is an integrated city with all the facilities (such as residential complex, hospitals, educational
institutes etc.) inside the city. BEZA may plan to develop the proposed EZ‘s in the similar way
where all the facilities can be planned within one campus.
BEZA may consider aggressive marketing and investment promotion strategies to attract some
anchor units in the EZ‘s. BEZA may consider discussions with the private EZ owners/ developers to plan EZ‘s inside the
main Dhaka city &/or in the suburbs where small land parcels are available adjacent to the
residential areas. These land parcels can be developed as commercial hub, single sector SEZ
(especially IT/ ITES SEZ). There can be secondary revenue sources from the SEZ apart from selling/ leasing/ renting the land/
premise. At Hiranandani SEZ, bus service is available, which is a profit making source of earning
for the developers. BEZA may think of similar alternate revenue sources. Rental rate is INR 95 to 120/ sq. ft. for IT firms and for the non-processing zone, land price is USD
500 to 750/ sq. ft.
Ease of doing business:
Unique in offering Free Zone and Non Free Zone jurisdiction.
One Stop Shop for business formation.
Quick and effective service.
Political and economic stability.
Non restrictions of hiring expatriates.
Fixed exchange rate against US$.
Duty free trade across GAFTA (Greater Arab Free Trade Agreement) countries.
UAE has double taxation avoidance agreements with 55 countries.
Annual Report 2016 Page 60
Investment Promotion & Road Show within the country Stakeholder consultation and investment promotion are important elements behind development of
economic zones to define or adapt project configurations. An economic zone developed in public-private
partnership mode is typically an inter-government responsibility, as it involves several infrastructure
linkages (such as connectivity and utility connection etc.) like road, rail, air, power, water supply, optical
fiber etc. Further to the same, active participation of the private sector is pivotal for the development of
economic zones. BEZA‘s role to enhance inter-government interactions effectively, in communication
with other government agencies, is also important.
The process of regular contact with government stakeholders and business communities would enable
BEZA to understand business and incentive needs and investment trends and subsequent action can be
formulated accordingly.
Investment Promotion Road-Shows and Stakeholder Consultation activities undertaken by BEZA are
crucial to develop congenial relationship between the private sector and the government authority.
Chittagong road-show is envisaged to be organized for achieving the following stated objectives:
Spreading Awareness about:
Development of EZs under Public-Private Partnership (PPP) and Private implementation models
for prospective developers
The various ongoing activities and initiatives of BEZA
Exploring potential opportunities w.r.t. prospective developers and unit investors who will be
invited at the road-show
Information dissemination among the investors about economic zones in Bangladesh
Obtaining feedback from the investors to assess their requirements, factors influencing
investment decisions and support sought by the private sector from the government
Key messages of the Road-Show
Strategic benefits of partnering with BEZA
Apart from providing sites for Economic Zones, BEZA also takes care of other strategic aspects needed
for development of these EZs. The main
features of these aspects have been
summarized below. Most of the lands
provided are hassle-free; various
preliminary infrastructural facilities will
be provided ready-made to the developers;
a whole set of attractive incentive
packages awaits the investors; BEZA will
act a central / one-stop go-to entity for a
vast gamut of clearances; a detailed
operations & maintenance manual has
been designed specifying each operational
parameter; appropriate legislations in the
form of acts and rules are in place to render structural strength to the whole process. Such benefits will
reduce the upfront cost of the investors to a great extent, and will help in enhancing their returns. The
features of incentives, one-stop services and infrastructural facilities would be discussed in greater detail
in the road-show.
Competitive incentive package
BEZA, within the scope of the enabling provisions of sections 10, 11, 12 and 13 of the BEZA Act, has
taken measures to provides multiple incentives to the developer of the EZs as well as the investors in a
particular industrial unit which includes, among others, fiscal benefits, such as exemption of taxes,
custom/excise duties and non-fiscal incentives, such as no FDI ceiling, work permits and residentship /
Proposed Economic
Zones
Hassle-free Land
Ready-made Infrastructur
e
Attractive Incentives
One-Stop Services
Operations & Maintenance
Manual
Amended Legislation
s
Annual Report 2016 Page 61
citizenship. As initiated by BEZA, the Governing Board has approved incentive packages under 8 heads
for the Developers and under 26 heads for the EZ Users/ Unit Investors. 6 SROs have already been
notified in the official Gazette, while others are under the ongoing active process of such notification.
This attractive Incentive Packages will encourage Developers and the Investors.
One Stope Services
The OSS services can either coordinate with other agencies to obtain the approval or attain legal authority
to provide approvals on behalf of other government authorities. The decision to undertake either of the
courses depends on multiple factors, including political willingness, competency and capacity of the OSS
center or nodal agency. Additionally, documents (as highlighted in figure above) for any approval or any
registration can either be submitted in physical or electronic format.
As can be seen, BEZA offers quite competitive incentive packages w.r.t. its neighbouring economies.
BEZA also referred to the EZ packages usually offered at its neighbouring economies like India and
China and has adopted some best practices as enunciated below:
Investment in world-class infrastructure for smooth operation of upcoming EZs
Offering of tax incentives to the participants in the EZs
Redesign of the bureaucratic approval structure to reduce complexity
Limiting the times required for each step in the approval, accelerating the procedure
Ability to invest for manufacturing products in SEZ for domestic distribution
Allowing foreign entrepreneurs as well as individuals to invest in the EZs
Privileges on import of machines, raw materials, components and instant products
Discounts and tax exemption, foreign currency account balances
Transferring profits outside the country, land use rights
Benefits for Residents of foreign business, family and followers, etc.
Encouraging foreign investment by SEZs in Shenzhen, Zhuhai, Shantou and Xiamen
Investment Promotion Road-Show, Chittagong
This was the one of the success event conducted by BEZA on 29 November 2015 for promoting its EZs
to the investor community, mainly located in and around Chittagong. The event was attended by more
than 170 invitees including the private sector, government officials and the media personelle. The event
mainly centered on the need for EZs in the present economic scenario of Bangladesh and how these can
be potential tools for propelling the economic engine of the country. At the same time, it would be a win-
win situation for the investors who would receive attractive incentives from the one-stop service offred
by BEZA. The event was well-covered by the media.
Cabinet Secretary Mr. Mohammad Shafiul Alam attended the
programme as chief guest. Md Shahidul Haque, secretary of Legislative
and Parliamentary
Affairs Division, and
Mahbubul Alam,
president of
Chittagong Chamber
of Commerce and
Industry, were present
as special guests,
presided over by
BEZA executive chairman Mr. Paban Chowdhury.
Cabinet Secretary Mohammad Shafiul Alam said the
Inaugural Session
Business Session 1
Business Session 2
Figure 28: Investment Promotion Road Show at Chittagong
Annual Report 2016 Page 62
EZs could be the key driver of economic growth and employment generation, and could be the major
factor in transforming Bangladesh into a middle-income country by 2021. He also said, The availability
of large hassle-free lands is important to set up EZs.
BEZA executive Chairman MR. Paban Chowdhury Said, Industrial units can be set up within two years
in the first economic zone developed on 550 acres in Mirsarai upazila. He also said that the construction
of an access road to the zone has already started and Mirsarai EZ will be first planned industrial district in
Bangladesh.
Participants Attendance The show was attended by
various delegates from Private,
Govt. organizations as well as
people from print media. It was
dominated by Private
companies; 47% people were
from private sector.
Investment Promotion Road-Show, Dhaka
The key objective of the road show was to create awareness among private-sector investors from home
and abroad and to promote the upcoming economic zones' projects to the potential zone developers and
unit investors.
Principal Secretary Mr. Md Abul Kalam Azad
attended the programme as chief guest. Senior
secretary at the Finance Division Mahbub Ahmed,
Secretary of the Prime Minister's Office (PMO)
Suraiya Begum and Bangladesh Garment
Manufacturers and Exporters Association
(BGMEA) president Md Siddiqur Rahman also
attended the inaugural session, presided over by
BEZA executive chairman Paban Chowdhury
Dr Qazi Kholiquzzaman Ahmad, chairman of Palli
Karma Sahayak Foundation (PKSF), chaired its
business session titled 'investment opportunities
in EZs and role of economic zones'.
Professor Mustafizur Rahman, executive
director of the Centre for Policy Dialogue
(CPD), spoke on investment climate in
Bangladesh. Mohammed Shoheler Rahman
Chowdhury, manager of BEZA, presented a
paper on 'EZ regime and its dimension'. Manish
R Sharma, partner, Pricewaterhousecoopers Ltd,
described 'financing EZ development and its
commercial aspects'. ASM Mainuddin Monem,
Private(Foreign) 2%
Government(Non BEZA)
14%
Media 23%
Private(Domestic) 47%
TAS firm 6%
BEZA 8%
Number of Attendees (%)
Private(Foreign)
Government(NonBEZA)
Figure 29 : Participant at the Road-show, Dhaka
Figure 30: Business session of Road Show , Dhaka
Annual Report 2016 Page 63
Managing Director of Abdul Monem EZ Ltd, gave a presentation on role and importance of private
EZ.Shoichi Kobayashi, chairman of Japan Development Institute (JDI), gave detailed work plans on
infrastructure development and FDI in EZ.
Participants from government and business community, including representatives from the
Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), Metropolitan Chamber of
Commerce and Industry (MCCI), and development partners like the World Bank (WB), the Asian
Development Bank (ADB), the International Finance Corporation (IFC) and Japan International
Cooperation Agency (JICA) attended the investment conference.
.
6.5.1 Attendance
The show was attended by various delegates from Private, government organizations as well as
people from print media. It was dominated by Private
companies; 52% people were from private
sector.
Collaboration with others an Investment Road Show
International Investment Promotion & Road Show
Bangladesh Roadshow UK 2015 has got underway
at London‘s Winter Garden Canary Wharf in a bid
to attract foreign investment.
The two-day event started on 10th September
2015 with the welcome address from Bangladesh‘s
High Commissioner to the UK Md Abdul Hannan
Mr. Abul Kalam Azad, Principal Secretary, Prime
Minister‘s Office spoke on the investment
opportunities in the country at the event. He made a
pitch for environment-friendly investment in
Bangladesh.
High Commissioner Hannan said many investors had shown interest to bring funds to power, energy
and infrastructure sectors in. Bangladesh Economic Zones Authority was co-organizer of the event.
Figure 31: Mr. Md. Abul Kalam Azad, Principal Secretary at Dhaka Road Show.
Figure 32. Bangladesh Investment Roadshow UK 2
Annual Report 2016 Page 64
Bangladesh Investment and Policy Summit
To support the government‘s initiatives to enhance investment environment and attract investors, BUILD,
Board of Investment and the Prime Minister‘s Office have come together to jointly organize a forum for
both private sector investors and the government to engage in dialogue and exchange latest policy
developments, promote investment opportunities in Bangladesh and explore ways to make the business
climate more business-friendly.
Objectives
To highlight latest policy developments for private sector growth in Bangladesh
To showcase private sector investment opportunities in key sectors in Bangladesh and
demonstrate opportunities for potential value addition in those sectors for a sustained economic
growth of Bangladesh.
Outcomes of the conference Bangladesh Investment & Policy Summit 2016 aims to secure public and private sector commitment for
catalyzing an integrated approach to policy and to obtain the institutional and investment changes
required to reduce the policy gaps prevail in the country. Besides there are some other following
outcomes was:
Better knowledge on business- sensitive policy design and implementation;
Exchange of ideas among policymakers and policy reformers and increased trust between them;
National and international investors with better knowledge on investment opportunities and
policies on foreign/regional investments.
Venue and Date
Board of Investment (BOI), Bangladesh Economic Zones Authority BEZA), Business Initiative Leading
Development (BUILD) and Prime Minister‘s Office (PMO) are jointly organizing Bangladesh Investment
& Policy Summit: on January 24-25, 2016. The summit will be held in Radisson Blu Water Garden Hotel
Dhaka. Honorable Prime Minister of Bangladesh, Sheikh Hasina was the Chief
Guest of the conference.
4th Bangladesh Investment Summit, Asia
The 4th Bangladesh Investment Summit is take place in Hong Kong on
Tuesday (26 April 2015) to examine trade and investment opportunities for
Asia‘s sovereign wealth funds, public and private pension funds and other
financial investors in Bangladesh‘s market.
Finance minister Abul Mal Abdul Muhith was present the keynote speech on
the vision for Bangladesh‘s future, while the prime minister‘s energy advisor
Tawfiq-e-Elahi Chowdhury was present a keynote on the energy outlook for
Bangladesh. Chief economist of Bangladesh Bank Biru Pakksha Paul spoke on
monetary policy for the future in Bangladesh. Mr. Paban Chowdhury ,
Executive Chairman of spoke on investment opportunities in Bangladesh .
The panel discussions at the summit cover power and energy, export potential
and ICT development, investing in the economic zones, investment
Annual Report 2016 Page 65
opportunities for foreign investors in Bangladesh, PPP and their role in Bangladesh, and Bangladesh
capital markets.
Inauguration of Development Activities of 10 Economic Zones
The key objective of the inauguration was to create awareness among private-sector investors from home
and abroad and to promote the upcoming
economic zones' projects to the potential
zone developers and unit investors.
The inauguration of development activities
of 10 economic zones held on 28 February
2016 , aiming to boost both foreign and
domestic investment in the country.
Honorable Prime Minister Sheikh Hasina
formally inaugurated the development
activities at a function at Bangabandhu
International Conference Centre (BICC).
The
eco
no
mic
zon
es are -- Mirsarai Economic Zone, Sabrang Tourism Park,
Srreehatta Economic Zone, Mongla Economic Zone, AK
Khan Economic Zone, Abdul Monem Economic Zone,
Meghna Economic Zone, Meghna Industrial Economic
Zone, Bay Economic Zone and Aman Economic Zone.
Industries Minister Amir Hossain Amu and Planning
Minister AHM Mustafa Kamal addressed the function as
the special guests, while Housing and Public Works
Minister Engineer Mosharraf Hossain joined the videoconferencing from Mirsarai Economic Zone,
Chittagong.
Honorable Prime Minister‘s Sheikh Hasina said: ‗I would like to urge local people to extend cooperation
so that the investors could build the (economic) zones in a faster pace and 'beautiful atmosphere', and thus
would help establish a hunger and poverty-free prosperous Bangladesh.‘
Prime Minister‘s also said "I would like to inform you all that as many as 100 economic zones will be
established across the country in the next 15 years. That will increase export earnings by 40 billion U.S.
dollars and generate about 10 million additional employments.
Honorable Prime meet with foreign investors where more than 100 foreign investors from Japan , China,
Hong Kong, Taiwan, UK, India, USA, Thailand , Malaysia was present . Honorable Prime Ministers
spoke with all of investors regarding their investment plan. This was one of the successful event of
BEZA as well as Bangladesh.
Among others, Mr. Abul Kalam Azad , Principal Secretary, Prime Minister‘s Office , Ms. Suraiya
Begum ndc, Secretary , PMO , Mr. Paban Chowdhury , Executive Chairman(Secretary) was present .
Figure 33: Honeralbe Prime Minister Sheikh Hasina formally inaugurates the development activities of 10 economic zones at a function at BICC in Dhaka on Sunday, February 28, 2016
Figure 34 : Investors participate a photo session with Honorable Prime Minister Sheikh Hasina
Annual Report 2016 Page 66
Up-gradation of Website
BEZA web site is aimed to disseminate information and data that will attract promising investors. The
portal will give information about the BEZA and its activities, services, all committees and other
information. The website will enhance the flow of information between the prospect economic zone
license applicant, investors and mother stake holders. It
will ensure accountability and transparency for the
Economic Zone related activities for all its stakeholders.
The structural design of the previous website was not up to
the mark and the structure was not allowing modular
information block which is essential for organization like
BEZA. BEZA website (www.beza.gov.bd) has been
completely re-designed to meet the need of investors.
Current BEZA website contains separate section for
Tender, RFP‘s, Publication, Legal Documents and
microsites for each of the Zone. The site has been
converted from static site to dynamic word press based
site which gives the leakage for quick update and content
management. BEZA web site is also device sensitive; it
changes its size and orientation depending on the size of
the screen.
Under the support to capacity development project of BEZA , the website has been redesigned as modern
Content Management System (CMS) based dynamic site. The Architectural Design, Sitemap and content
creation was done internally. The developer company developed and migrated existing contents to the
new site. Also the hosting was moved from local service provider to one of the world‘s renowned web
hosting service provider hostgator.com, which is more reliable, secure and faster. The website is
constantly under maintenance and up-gradation process.
Annual Report 2016 Page 67
Memorandum of Understanding Signed with Investors
According to BEZA act 2010 and Private EZ policy 2015, BEZA will ensure utility connection for
economic zones . As a part of this project assisting to BEZA to make memorandum of understanding with
utility services provider. We have already completed MoU with PGCB, DPHE, BRDB, Titas Gas ,
distribution company ltd. We have also assist to BEZA to signed MoU with China Harbor Engineering
Company Ltd. to develop G2G economic zone in Bangladesh and Zejanung Zindun , China for 1320 MW
Power plant in Mirsarai EZ .
MoU with China Harbor Engineering Company Ltd to develop G2G EZ in Anwara (CEIZ)
Bangladesh Economic Zones Authority (BEZA) signed a deal with China Harbor Engineering Company
Ltd (CHEC) on June 16,2016 for the development of an exclusive China economic zone at Anwara
Upazila in Chittagong.
According to Memorandum of Understanding
(MoU), the Chinese state-owned firm CHEC will be
assigned to develop the site for Chinese Economic
and Industrial Zone (CEIZ) on a 774-acre land in
Anwara. Prime Minister‘s Office Principal
Secretary Mr. Md Abul Kalam Azad, China Harbour
Engineering Company Vice-President Mr. Bai
Yinzhan, Bangladesh Garment Manufacturers and
Exporters Association (BGMEA) President Mr. Md
Siddiqur Rahman and BEZA Executive Chairman
Mr. Paban Chowdhury will attend the MoU signing
ceremony.
A MoU signing ceremony was held on 12
March 2015 on the development of Sabrang
Tourism Park between Bangladesh
Parjatan Corporation & BEZA. Mr. Rashed
Khan Menon, Minister, Ministry of Civil
Aviation and Tourism; Mr. Abul Kalam
Azad, Principal Secretary of Prime
Minister‘s Office; Mr. Paban Choudhury,
Executive Chairman of BEZA and Mr.
Aparup Chowdhury, Chairman of
Bangladesh Parjatan Corporation were
present in the ceremony.
Annual Report 2016 Page 68
MoU with Zhejiang Gross Seamless Steel
Tube Co, Jindun Holding Group of China
BEZA has been Signed a MoU with Mr. Jancan
Zhou, Chairman, Zhejiang Jindun Holding
Group of China and discussed about investment
opportunities in our Economic Zones . To
achieve rapid economic growth of Bangladesh
through sufficient Power Supply in the
industrial and other potential sectors, has been considering in the positive, setting up a power plant in the
Mirsharai Economic Zone by the requiring Company, subject to necessary approvals for setting up the
Power Plant and for investment in Bangladesh and other formalities by the requiring Company;
MoU signed with utility Service Providers
MoU with PGCB
BEZA and Power Grid Company of Bangladesh Ltd.
signed a Memorandum of Understanding on 21 April 2016
to establishing a Grid Substation in Mirsarai Economic
Zone. BEZA have agreed to provide PGCB 50 acres of
land to construct the substation. PGCB also have a plan to
construct grid line station another 12 EZs within the 2018.
As we know that dedicated and uninterrupted quality
electricity is one of the main instrument of business. PGCB
will ensure dedicated grid substation for economic zones.
MoU with DPHE
This Memorandum of Understanding (MoU) is
made on this 11th day of October, 2015, 2015
between the Department of Public Health
Engineering and Bangladesh Economic Zone
Authority towards installation of water supply
facilities by DPHE for BEZA in Mirersharai,
Chittagong and Sreehatta (Sherpur), Maulavibazar.
DPHE is working for water supply pipeline of
Mirsarai . DPHE already been completed a study
regarding sweet water source of Mirsarai EZ .
Annual Report 2016 Page 69
MoU with BREB
This Memorandum of Understanding
(MoU) is made on 14 January, 2016
between Bangladesh Rural
Electrification Board and
Bangladesh Economic Zone
Authority towards electricity supply
facilities by BREB for BEZA in
Mirersharai, Chittagong and
Moheshkhali, Cox‘s bazar. REB also
will supply electricity to upcoming
economic zones .
MoU with TGTDCL
This Memorandum of Understanding (MoU is
also made on 14 January, 2016 between Titas Gas
Transmission and Distribution Company Ltd and
Bangladesh Economic Zone Authority towards
Natural Gas Connection to Private Economic
Zone, Abdul Monem Economic Zone, Gazaria,
Munshiganj.
MoU with BWDB
BEZA and Bangladesh Water
Development Board signed a
Memorandum of Understanding on
26 July 2016 to construct sluice gate ,
embankment and bridge in Mirsarai
Economic Zone as a deposit work.
Annual Report 2016 Page 70
Publications & Campaign of BEZA
Publication is one of the important activities to aware the stakeholders about development activities of
BEZA. As a part of publication BEZA published different type of brochure, poster, billboard,
advertisement, booklet and souvenir about project which is;
Brochure of BEZA.
Brochure of Tourism Park.
Brochure of Sabrang, Mongla , Mirsarai and Shreehatta EZ.
Vision documents of BEZA.
A Souvenir for inauguration of 10 EZs development activities.
Booklet for Principal secretary tour to Cox‘s Bazar, Mirsarai and Mongla.
Billboard for BEZA development activities.
Advertisement about BEZA‘s incentives and OSS.
Video documentary on government economic zones.
Video documentary of private EZs.
Video documentary on BEZA‘s activities
Figure 35 : Opening Ceremony of vision document of BEZA
Annual Report 2016 Page 71
Ongoing project of BEZA 1. Support to Capacity Building of Bangladesh Economic Zones Authority Project.
Project Title : Support to Capacity Building of Bangladesh Economic
Zones Authority Project.
a)Sponsoring
Ministry/Division
b) Executing Agency
Prime Minister‘s Office (PMO)
Bangladesh Economic Zones Authority (BEZA)
Objectives of the Project:
I. Overall
The overall objective of the project is to develop Bangladesh Economic Zones Authority
(BEZA) in to a fully functional organization equipped with all rules and regulations needed to
develop zones that will facilitate growth in investment in the emerging manufacturing and
services sectors of the economy with the aim of generating employment.
II. Specific
The Specific objectives of the project are to :
(i) Select and design zones according to well-planned and specified criteria ;
(ii) Ensure Private sector involvement and participation in the development and management for
the zones;
(iii) Establish adequate operational guidelines to monitor performance of the master developer
under the concession agreement for zones development;
(iv) Provide the conducive business environment by developing a dispute resolution mechanism
(DRM) to monitor disagreements within the zones and one-stop shop system to deal with firm
requirements for registrations, permitting etc. ; and
(v) Builds better linkages between firms within zones and related suppliers by providing training
and supporting collaboration in applied research and improved standard.
Project Implementation
period
a) Original: i) Date of commencement : November, 2011
ii) Date of completion : June 30, 2016
b) Revised: i) Date of completion : June 30, 2019
Revised Cost of the
Project
(In lakh Taka)
i) Total : 13982.61
ii) GOB : 463.90
iii) P.A. (RPA) : 13518.71
Annual Report 2016 Page 72
2. Bangladesh Economic Zones Development Proejct (Phase-1)
Project Title : Bangladesh Economic Zones Development
Project (Phase 1)
Sponsoring Ministry/Division : Prime Minister‘s Office (PMO)
Executing Agency : Bangladesh Economic Zones Authority (BEZA)
Objectives of the Project:
I. Overall
Encouraging rapid economic development, creation of employment opportunities through attracting
Foreign Direct Investment (FDI) and transfer of advanced technology are the main policy directives
from government of Bangladesh. This will provide immense economic opportunities for all sections
of the society in Bangladesh. The Bangladesh Economic Zones Act, 2010 (Act No. 42 of 2010)
aims to promote Economic Zones (EZ) in the Private sector, Government led EZs or EZs through
public and private partnership, G2G and specialized EZs. The long term objectives of this project is
to establish and develop Economic Zones in all potential areas including backward and
underdeveloped regions for the purpose of encouraging rapid economic development through
industrialization, employment generation, production and increase diversification of export.
The objectives are to provide basic infrastructure (off-site) for establishing economic zones in
Mongla, Sirajgonj, Mirshorai, Anwara and Sherpur on public-private partnership, provide a
conducive business environment and attract international and local entrepreneurs to develop the
economic zones and invest in Bangladesh.
II. Specific
To promote balanced development of multiproduct industries in different regions of the country;
To create basic infrastructure for the establishment of Economic Zones;
To develop Economic Zones with on-site and off-site infrastructure and other utilities for the
local and foreign investors;
To create a conducive business environment to attract SPV/SPC to develop and operating
Economic Zones;
To create employment opportunities for the people of Bangladesh;
To promote industrialization and apprehend the Vision 2021 of the government.
Major Location/Components/Cost centers of the project: Division District Upazila Status
Chittagong Chittagong Mirsarai In Progress
Chittagong Chittagong Anwara
Chittagong Teknaf, Cox’s Bazar Sabrang
Chittagong Mirshorai 2 B EZ Sonagazi
Chittagong Teknaf, Cox’s Bazar Jaliardip
Dhaka Dhaka Karanigonj
Khulna Bagerhat Mongla In Progress
Sylhet Moulvibazar Moulvibazar Sadar
Sylhet Hobigonj Chunarughat
Dhaka Narayanganj Bander &Sonargaon
Project Implementation period:
a) Original : i) Date of commencement : January 01, 2014
ii) Date of completion : June 30, 2016
b) 2nd Revised: i) Date of completion : January 31, 2021
Annual Report 2016 Page 73
Information regarding Budget: i) Total Budget: 90531.88 Lac ( GOB- 1912.53 Lakh and IDA
88619.35 Lakh)
Expenditure statement : Total Expenditure: 1684.57 Lakh ( GOB- 142.3 Lakh and IDA- 1542.27 Lakh)
3. Establishment of Jamaplur Economic Zone
Project Title: Establishment of Jamalpur Economic Zone
a) Sponsoring Ministry/Division: Prime Minister‘s Office (PMO)
b) Executing Agency: Bangladesh Economic Zones Authority (BEZA)
Objectives of the Project:
Overall
The objectives of this project is to establish an ‗Economic Zone‘ in Jamalpur District to attract
foreign & local investment to industrialize the country for export promotion and to meet up the
requirements of local areas that leads to employment generation and economic development of
the country.
II. Specific
i) To acquire land and some on-site and off-site infrastructure development for establishment of
Jamalpur Economic Zone;
ii) To promote development and create multiproduct Industries within the EZ;
iii) To create a favorable business environment to attract Indian and local companies to develop
and operate in industrial units;
iv) To generate employment opportunities for sustainable economic development through
establishment of SME units in the zone and expansion of forward and backward linkage
industries of other economic zones within the country.
Location of the Project and Map :
Division District Upazila Name of EZs (Comments)
Mymensingh Jamalpur Jamalpur Sadar Jamalpur Economic Zone,
Estimated Cost of the Project: i) Total : 30258.00
(In lakh Taka) ii) GOB : 30258.00
Project Implementation period: i) Date of commencement : January 1, 2016
ii) Date of completion : December 31, 2017
Approval Status: Approved
Implementation Status: In 2016-17 ADP, 169.99 crore taka allocated for implantation of
this project. Land acquisition process is going on and Project
Director and Deputy Project Director's appointment
are in final stage.
Annual Report 2016 Page 74
4. Acquisition of Land for Development of Anwara-2 Economic Zone (Chinese Economic &
Industrial Zone)
Project Title: Acquisition of Land for Development of Anwara-2 Economic Zone
(Chinese Economic & Industrial Zone)
Sponsoring Ministry/Division: Prime Minister‘s Office (PMO)
Executing Agency: Bangladesh Economic Zones Authority (BEZA)
Objectives of the Project:
Overall The economic dimension of Bangladesh‘s bilateral relations with China has rapidly grown from the bilateral
agreement was signed in 1976. Chinese impressive economic growth is an opportunity for Bangladesh and it
can gain a lot of benefit from the increased cooperation with China. Under this project government will
ensure land as an incentive for Special Purpose Vehicles (SPV) / Special Purpose Company (SPC)/ G2G
funding of on-site infrastructure and facilities.
There are currently 2,301 zones in 119 developing and transition countries, clustered mainly in Asia and the
Pacific and the Americas. China alone accounts for about 19 percent of these zones. Over half of them are
privately owned and operated. Altogether, these zones account for approximately $200 billion in gross
exports per annum and directly employ some 40 million workers and perhaps some 60 million indirectly.
Massive employment generation, industrialization through attracting Foreign Direct Investment (FDI),
transfer of advanced technology and reduce pressure of public investment for economic development are the
major policy thrust of government. To ensure sustainable economic development considering these
phenomena Government enacted BEZA Act 2010, aims to promote of Economic Zones in the Private sector,
government led EZs or EZs through public and private partnership and specialized EZs in exercise of the
powers conferred under section 4 of the Act.
The project will provide land and basic infrastructure for establishing Economic Zone in Anwara-2 to attract
Chinese Special Purpose Vehicles (SPV) / Special Purpose Company (SPC) to develop the economic zones
and invest in Bangladesh. It will concrete the way of industrialization to comprehend the Vision 2021 of the
Government.
II. Specific i) To provide land for establishing Anwara – 2 Economic Zone (Chinese Economic Zone)
ii) To promote stable development and create multiproduct Industries within the EZ
iii) To create a conducive business environment to attract Chinese companies to develop and operate in
industrial units
iv) To generate employment opportunities for sustainable economic development.
Location of the Project :
Division District Upazila Name of EZs (Comments)
Chittagong Chittagong Anwara Anwara-2 Economic Zone,
(Chinese Economic Zone)
Estimated Cost of the Project: i) Total : 42036.94
(In lakh Taka) ii) GOB (interest free loan) : 42036.94
Project Implementation period: i) Date of commencement : July 01, 2015
ii) Date of completion : December 30, 2016
Approval status: Approved ( by ECNEC)
Implementation Status: Land acquisition process completed. Iplementation of
some infrastructure related works are in
progress.
Annual Report 2016 Page 75
Media Coverage The print and electronic media coverage were impressive to highlight the BEZA‘s activities nationally
and internationally most of the articles were hopeful about BEZA‘s EZs to bring huge progress and
prosperity in the industrial landscape of Bangladesh. News of the BEZA was widely reported in both
English and Bangla in Bangladesh. This resulted in widespread publicity and promotion of BEZA as
newly developed organization. Headlines were available on popular print and electronic media on a
regular basis. All sectors of the media were involved, from print & electronic area focusing the interest
and collaboration of the government and the private sector as a whole about the potential revolutionary
implications of EZ.
Annual Report 2016 Page 76
At a glance activities pictures of BEZA
Figure 36.28 Executive Chairman (BEZA) exchanging views with the villagers in Mirsarai and explained to them about the benefits of establishing a EZ in their Upazila.
Figure 38. Executive Chairman visiting Meghna Industrial EZ
Figure 37.27 Pre-Qualification license to Akij EZ
Figure 39. Mr. Mirza Azam, Honorable State Minister for Textile & Jute visited the office of BEZA. He expressed his satisfaction on progress made in establishing Jamalpur Economic Zone.
Annual Report 2016 Page 77
Figure 4029 : Ms. Heba Shams, Lead Specialist, Investment Climate, World Bank Group made a Call on the Executive Chairman
Figure 4130 : POWERCHINA International Group Limited is exploring the possibility of establishing an Industrial Park in Mirsarai Economic Zone. Mr. Pan Dengyu, Vice President-Eurasia led the POWERCHINA delegation during their meeting with the Executive Chairman, BEZA.
Figure 43. Workshop On Pre-feasibility Study of Sabrang Tourism Park and Conceptual Planning of the Chinese Economic and Industrial Zone (Anowara-2)
Figure 42.31 Pre-Qualification License to Sonargoan EZ
Annual Report 2016 Page 78
Figure 44.32 Mr. B. S. Agrawal, President, The Southern Gujrat Chamber of Commerce & Industry and his delegation with Deputy High Commissioner, Bangladesh Deputy High Commission, Mumbai, India .
Figure 4533 : 1st
License Private License Awarding Ceremony to Meghna EZ
Figure 46 : Honorable Commerce Minister Mr. Tofael Ahmed visiting Powerac EZ stall at Thailand
Annual Report 2016 Page 79
Figure 47.34 Young Entrepreneurs from Kunming, China visit BEZA office for invest in EZ.
Figure 48: Yunnan Yunnei Power Group, China
Figure 359: Mr. Tofael Ahmed, Honorable Minister for Commerce and Executive Chairman BEZA visiting proposed Bhola EZ
Annual Report 2016 Page 80
Figure 5136 Pre-Qualification license to Bashundhara SEZ and East-west EZ
Figure 50 : Mr. Abdul Matlub Ahmad, President, FBCCI and Mr. Mohd. Noor Ali, Managing Director, Unique Group meet with Executive
Chairman BEZA for investment opportunity
Figure 372 : Executive Chairman visiting Jamalpur EZ Figure 53 : Pre-Qualification License to United City IT Park
Figure 5438 : Mr. Ibrahim Mansaray, Deputy Minister of Trade & Industry, Sierra Leone visit BEZA office for investment
Annual Report 2016 Page 81
Figure 5539 : senior executives of Sumitomo Corporation, Tokyo visited BEZA Office
Figure 56.40 Executive Chairman, BEZA at Bangkok for Bangladesh Trade & Investment Conference 2016
Figure 57 Ministry of Commerce and EXIM Bank in Beijing, China to discuss about financing the offsite infrastructure of CEIZ.
Annual Report 2016 Page 82
Figure 58 : Meeting with Mr. Bai Yinzhan, Vice-president, China Harbour and Engineering Company and discussed about the progress of CIEZ
Figure 41 : Meeting with the Hong Kong General Chamber of Commerce
Figure 5942 : Principal Secretary Md. Abul Kalam Azad with Mr. Dominichi Hideaki, SVP, JICA in JICA Headquarter , Tokyo.
Annual Report 2016 Page 83
Figure 61 : Bangladesh-Japan Public Private joint Economic Dialogue and Bangladesh Investment Seminar held in Tokyo, Japan
Figure 60: Officers of the Embassy of Switzerland visited the BEZA office
Figure 62: Developer agreement for Mongla EZ
Figure 62: World Bank Delegation with Executive Chairman, BEZA
Annual Report 2016 Page 84
Figure 44 meeting with the representatives from Bangladesh Women Chamber of Commerce and Industry.
Figure 6745 : Bangladesh Investment and Policy Summit 2016
Figure 63: Pre-qualification License to the Bay EZ Figure 64: Pre-Qualification to Aman EZ 43
Figure 66: meeting with a IFC delegation headed by Ms. Wendy Werner, Country Manager, Bangladesh, Bhutan & Nepal
Annual Report 2016 Page 85
Figure 68: Exchanged views with leaders of Chandpur Tea Garden Workers Association (Habiganj) on smooth implementation of Habiganj EZ
Figure 69: Major General Mohd Habibur Rahman Khan, ndc, psc visited BEZA office on 01 November 2015
Figure 69 : Mongla EZ visit by Principal Secretary , PMO
Figure 70:46 Honorable Prime Minister presided over the 3rd Governing Board meeting of BEZA at Chameli, Prime Minister's Office on 21 October 2015.
Annual Report 2016 Page 86
Approved Economic Zones
SL.
No
Name of Economic Zone District Upazila
1 Anwara Economic Zone Chittagong Anwara
2 Anwara- 2 Economic Zone Chittagong Anwara
3 Mirsharai Economic Zone Chittagong Mirsharai
4 Shrihatta Economic Zone Moulavibazar Sherpur Sadar
5 Mongla Economic Zone Bagerhat Mongla
6 Shripur Economic Zone Gazipur Shripur
7 Sabrang Tourism SEZ Cox‘sbazar Teknaf
8 Dhaka SEZ Dhaka Keranigonj
9 Jamalpur Economic Zone Jamalpur Jamalpur sadar
10 Narayanganj Economic Zone Narayanganj Bandar & Sonargaon
11 Bhola Economic Zone Bhola Bhola Sadar
12 Ashuganj Economic Zone Brahmonbaria Ashuganj
13 Panchaghar Economic Zone Panchaghar Debiganj
14 Narsindi Economic Zone Narsindi Narsindi Sadar
15 Nilphamari Economic Zone Nilphamari Nilphamari Sadar
16 Kustia Economic Zone Kustia Veramara
17 Agailjara Economic Zone Barishal Agailjara
18 Manikganj Economic Zone Manikganj Sibaloi
19 Dhaka Economic Zone Dhaka Dohar
20 Habiganj Economic Zone Habiganj Chunarughat
21 Shariatpur Economic Zone Shariatpur Jajira
22 Shariatpur Economic Zone-2 Shariatpur Gosaerhat
23 Jaliardiwp EZ (Naf Tourism) Cox‘sbazar Teknaf
24 Cox'sbazar SEZ-2 Cox‘sbazar Moheskhali
25 Moheskhali Economic Zone Cox‘sbazar Moheskhali
26 Moheskhali Economic Zone-2 Cox‘sbazar Moheskhali
27 Moheskhali Economic Zone- 3 Cox‘sbazar Moheskhali
28 Narayanganj Economic Zone Narayanganj Sonargaon
29 Natore Economic Zone Nator Lalpur
30 Gopalganj Economic Zone Gopalaonj kotalipara
31 Araihazar Economic Zone Narayanganj Araihazar
32 Moheskhali SEZ Cox‘sbazar Mohaskhali
33 Rajshahi Economic Zone Rajshahi Paba
BEZA wants to establish 100 Economic Zones on 30000 hectares of land in the next 15 years with
an employment generation for 10 million people. As a part of 100 zone development, BEZA have
already identified 74 Economic Zones.
Annual Report 2016 Page 87
34 Serpur Economic Zone Serpur Serpur Sadar
35 Feni Economic Zone Feni Sonagaji
36 Mongla Special Economic Zone Bagerhat Mongla
37 Gopalganj Economic Zone- 2 Gopalganj Gopalganj Sadar
38 Patia Economic Zone Chittagong Patia
39 Moheskhali SEZ- 4 Cox'sbazar Moheskhali
40 Sundarban Tourism Park Bagerhat Sharankhola
41 Bogra Economic Zone- 1 Bogra Sajahanpur
42 Khulna Economic Zone- 1 Khulna Batiaghata
43 Khulna Economic Zone- 2 Khulna Terakhada
44 Sylhet Special Economic Zone Sylhet Goainghat
45 Kurigram Economic Zone- 1 Kurigram Kurigram Sadar
46 Netrokona Economic Zone-1 Netrokona Netrokona Sadar
47 Moheskhali Economic Zone-4 Cox'sbazar Moheskhali
48 Mymensingh Economic Zone, Mymensingh Ishsargonj
49 Mymensingh Economic Zone Mymensingh Mamensingh Sadar
50 Alotila Special Economic Zone Khagrachari Matiranga & Khagrachari
51 Araihazar Economic Zone- 2 Narayangonj Araihazar
52 Jamalpur Economic Zone- 2 Jamalpur Jamalpur Sadar
53 Rampal Economic Zone Bagerhat Rampal
54 Gajaria Economic Zone Munsigonj Gazaria
Private EZ
SL Name of EZ District Upazila
1 A.K Khan Economic Zone Narshindi Polash
2 Abdul Monem Economic Zone Munsigonj Gazaria
3 ''Garments Silpa Park'' BGMEA Munsigonj Gazaria
4 Megna Industrial Economic Zone Narayangonj Sonargaon
5 Megna Economic Zone, Narayangonj Sonargaon
6 Famkam Economic Zone Bagerhat Rampal
7 Comilla Economic Zone Comilla Megna
8 Aman Economic Zone Narayangonj Sonargaon
9 Bay Economic Zone Gazipur Konabari
10 Sirajganj Economic Zone Sirajganj Sirajganj Sadar & Belkuchi
11 Alliance Economic Zone Comilla Daudkandi
12 Arisha Economic Zone Dhaka Saver & Karanigonj
13 United IT Park Ltd. Dhaka Dhaka Vatara, Badda
14 East Cost Economic Zone, Habigonj Bahubal
15 Sonargaon Economic Zone Narayangonj Sonargaon
16 Bashundhara Economic Zone Dhaka Keranigonj
17 East-West Special Economic
Zone
Dhaka Keranigonj
18 City Economic Zone Narayanganj Rupganj
19 City Special Economic Zone Dhaka Demra
20 Akiz Economic Zone Mymensingh Trishal
Annual Report 2016 Page 88
Annual Report 2016 Page 89
Economic Zones in Bangladesh The Ultimate Investment Destination
Bangladesh Economic Zones Authority
www.beza.gov.bd