BEZA: Bangabandhu Sheikh Mujib Shilpa Nagar-Future Industrial Hub of Bangladesh

Bangabandhu Sheikh Mujib
Shilpa Nagar
Bangladesh Economic Zones Authority (BEZA)
Prime Miniter’s Office
Future Industrial Hub of Bangladesh

Agenda
BEZA at a glance
Industries in Construction and Production
Investors, Investment and Land Allocation
Infrastructure Development at BSMSN and Utility Services
Ongoing Projects and Other Interventions
Md. Abdul Quader Khan, Social Consultant, BEZA 2
BSMSN Development Project (PRIDE)

100
Setting up 100 Economic
Zones across the
country by 2030
10M
Generating direct &
indirect employment for
10 million people
$40B
Export / Production to the
tune of 40 billion USD
MISSION
BEZA’s
Vision
BEZA’s 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.
3

BEZA at a Glance
5
97 Approved Economic Zones
29 EZs under Construction
11 EZs Operational
41 Factories in Production
50 Industries under construction
45K Employment
Export
USA, Europe, China, Japan,
India, Nepal, Bhutan, etc.
FDI
China, India, UK, Germany,
Australia, Japan, USA, Norway, etc.
Md. Abdul Quader Khan, Social Consultant, BEZA

Economic
Zones
at
Power and Solar
Petrochemical
6

28 Billion
(FDI 1.5 b)
(Investment Proposal)
Full fledged
Government Policy
Support
Green
Industrialization
Dedicated OSS
Services
61,000+
Acres Land Bank
Planned Industrial
Cities
World - Class Industrial Infrastructu re
7
11 EZs are in Operational

Both domestic & International
Market
Ready Land
Utility Service
Uninterrupted
Fiscal & Non fiscal
Incentives
WHY
Bangladesh EZs?
Skilled Workforce
8
)

INCOME TAX
100% off: 1st 3 years
80%-20% off: 4th - 10th years
20% for perpetual
No Tax: 10 years
DIVIDEND TAX
No Tax: 10 years
CAPITAL GAIN TAX
VAT EXEMPTION
No VAT on Gas,
Electricity and Water
ROYALTY, TECH.
KNOW-HOW etc.
No Tax: 10 Years
INCOME OF FOREIGN
WORKER
No Tax: 3 years
DUTY FREE IMPORT
No duty: Capital Machinery &
Construction Material
FISCAL INCENTIVES
Scan this code to
get the details
9

BOND FACILITIES
Duty free import & export of
raw materials
Separate procedures for
customs in EZs
EASY CUSTOMS
No limit of TT
TELEPHONIC
TRANSFER
REMITTING REVENUE
EARNED IN BDT
Local Currency to
Foreign Currency
SENDING OF
DIVIDEND/PROFIT
100% profit allowed to
send home 100% allowed
REPATRIATION OF
DISINVESTMENT
SENDING OTHER
FEES
Need no permission up to 6%
turnover
NONFISCAL INCENTIVES
Scan this code to
get the details
10

125
37 88
53
29
BEZA OSS Centre
32
S T I P U L AT E D T I M E
COORDI NATI ON
11
Proving better
services for
reducing cost of
doing business

The country's largest
industrial city
12
x
Bangabandhu Sheikh
Mujib Shilpa Nagar
(BSMSN)

Bangladesh Economic Zones Authority (BEZA) 13
BSMSN Location Map

Bangladesh Economic Zones Authority (BEZA) 14
Master Plan |BSMSN
Precinct Name Size in Acres Size in %
A Residential/Supporting Amenities 4606.57 13.63
B City Centre/Technology Hub 1682.91 4.98
C Health and Education Centre 837.35 2.48
D Mixed Use/Residential 1778.59 5.26
E Administrative/Institutional 880.68 2.61
F Light and Medium Industrial 10043.12 29.71
G Port and Logistics 1802.29 5.33
H Transitional 1778.75 5.26
I Heavy Industrial 3956.35 11.70
J Green and Open Space 6030.42 17.84
K Leisure and Entertainment 350.89 1.04
L Cultural Center 56.85 0.17
Total Area 33804.76 100.00
Master Plan Approval Date: 20 Oct 2019

Transformation | Swamp to Industrial Hub
Under water land
oBEZA identified
only 550 acres land
for developing PPP
EZs at Mirsarai
oNo connectivity
oNo Electricity
oNo Water
oNo Gas
2013-15
Land development
The World Bank and
DFID come up
BWDB come up for
constructing super
dyke
KGDCL started the
process of gas
connectivity
RHD constructed of
approach road
PGCB constructed
transmission line and
Grid Sub-station
REB constructed
power sub-station
Approach Roads
constructed
2016-17
BEZA started land
allotment
Approved
investment $18
billion
The gas, water and
power are ready to
serve investors
About 35 km road
is ready
Investors started
construction of
Factory
2018-21
Now
• 4 industries is in
commercial
production
• 13 Industries is
under construction
• Approved
investment 20
billion

Infrastructure
Development
at
BSMSN
16

17
x
◉ 2500 Acres of land is already developed
and leased to the Investors
◉ 1138 Acres of land developed by BEPZA
◉ 500 Acres of land developed by
Bashundhara Group
◉ 500 Acres of land developed by SBG (PPP
developer)
◉ 100 Acres land developed by Bangladesh
Auto Industries Limited
◉ 100 Acres of land developed by TK Group
◉ 100 Acres of land developed by Nippon-
McDonald
◉ 40 Acres by Samuda Food Products
Land Development | BSMSN

18
)
◉ 10 KM Road (2 Lane)
◉ Implementing Agency: RHD Department
Access Road | Sheikh Hasina Sarani
◉ 4 Lanes
◉ 21 Culverts
◉ 1400 metre retaining wall
Future Interventions

Infrastructure
Development
19
◉ 30 KM Road and Storm Water Network in
2A and 2B Zone
◉ Implementation by: PRIDE Project
◉Target: by 2025
Road | Internal Road and Storm Water Network

Infrastructure
Development
20
◉ 22.5 km super dyke is built for the
protection of Economic Zone
◉ 19.5 km Developed by BWDB
◉ 3 km developed by BEZA
Embankment | 22.5 km Super Dyke

21
)
◉ Sheikh Hasina Sarobar was developed on
212 Acres of Land in Zone-6
◉ Lake is created for natural symmetry and
emrgency water supply
◉ For the beautification of the lake already
Vitti Sthapati Brindo Ltd is contracted off
Water Reservoir | Sheikh Hasina Sarobar (Lake)

)
22
Commendable initiative of BEZA to make BSMSN as a world class investment destination
19 KM Super dyke 10 KM Sheikh Hasina Saroni 1 CGS, 2 DRS & 15 KM Gas Line 230 kV Grid Line
Connecting bridge
Jetty
afforestation
Water Network
Telecommunication Network
Power Network
Rail Network Water Supply

23
Investors, Investment and
Land Allocation

24
Land Price at BSMSN
Mode of
payment
Category of
land
Annual rent
per sq. meter
(US$)
Development
Surcharge per
sq. meter
Total Rent per
sq. meter per
year (including
VAT)
Contract
period (Year)
Per sq. meter
total rent
(US$) (for 50
year
Upfront
Payment
(Onetime)
Developed 0.60 0.40 1.00 50 50.00
Undeveloped 0.30 0.40 0.70 50 35.00
Specialized
Infrastructure
0.345 0.40 0.745 50 37.25
Annual rent
basis
Developed 1.50 1.00 2.50 50 -
Undeveloped 0.75 1.00 1.75 50 -
Specialized
Infrastructure
0.90 1.00 1.90 50 -
)

Industries in Production and
under Construction at
BSMSN

 Land: 20 Acres
 Investment: $26 Million
 Employment: 350
 Products: Paints
 Land: 100 Acres (70 + 30)
 Investment: $59.19 Million
 Employment: 2200
 Products: Pre-fabricated Steel
Asian Paints Bangladesh Limited Nippon and McDonald Steel Building
McDonald Steel Building Products Ltd.

 Land: 490 Acres
 Products: Chemicals, Steel,
Readymix
 Country: Bangladesh
 Land: 20 Acres (10 + 10)
 Products: PHC Pile
 Country: Bangladesh (TK Group)
Bashundhara Industrial EZ Limited Samuda Construction Limited

 Land: 10 Acres
 Employment: 200
 Products: Chemicals
 Country: China
 Land: 20 Acres
 Products: Virgin Pet Chips
Zhuzhou Jinyuan Chemical Industry Co., Ltd. Modern Syntex Limited

 Land: 100 Acres
 Products: Automobiles
 Country: Bangladesh
 Land: 20 Acres (10 + 10)
 Products: Electrical Equipment
 Country: Bangladesh (SQ Group)
Bangladesh Auto Limited Techno Electrical Ltd. & Vicar Electricals

 Land: 500 Acres
 Number of Factories: 41
 Land: 1138.55 Acres
 Number of Plots: 539
 Foreign Investors: 350
BGMEA Garments Village BEPZA Economic Zone

Utility Services

Demand Forecast
3200 MW
32
Utility Services | Electricity and Power Network
⚡ B-R Powergen Ltd. Plant | 150 Mw
⚡ Provision of Solar Solar Power
Generation (Green Initiative) by PRIDE
Project
⚡ National Grid will meet the demand
⚡ Three Substations already established
⚡ Zone 2A & 2B Power Network
implementation will be done by PRIDE
Project

Demand Forecast
mmcfd 500
33
Utility Services | Gas and Gas Network
� KGDCL already installed 1 CGS, 2 DRS and 17
km Gas Pipeline | mmcfd 200
� PRIDE has BDT 170 Crore for Gas Network
implementation for Zone 2A and 2B

Demand Forecast
1000 MLD
The Water Supply demand will be resolved using the
following three options:
⚙Natural Resource: “Establishment of WTP & DTW
in BSMSN” from Muhuri Water Reservior 100 (50 +
50) MLD Project is going on by BEZA own fund
⚙35 Deep Tube Well setup by DPHE; already 15 are
installed | 17.5 MLD
⚙Desalination Plant: 90 MLD from three plants
(3x30). This will be costly.
⚙Water Supply Network: 7 km completed in Phase-
1, 12.74 km by WTP Project and 15 km by DPHE
⚙About 1000 MLD Water from Meghna River by
building 120 km transmission pipeline with the
help of CWASA
Utility Services | Water and Water Supply Network
34

BUDGET
BDT 4347.21 Crore
IDA: BDT 3967.4682 Crore (91.26%)
GoB: BDT 379.7420 Crore (8.74%)
PROJECT OBJECTIVE
 Promote private investment
 Job creation
 Environmental sustainability
PROJECT DURATION
01 Jan 2021 – 31 Dec 2025
Bangabandhu
Sheikh Mujib Shilpa
Nagar Development
Project (PRIDE)
35

• 30 km Roads
• 31 km Drainage Network
• Power Network
• Telecom Network
• Gas Network
• Skill development center, Child Care
Centre, and Investors Club
• Environmental Lab, Emergency response
Centre etc.
• Security Amenities
• Construction of CETP
• Rooftop and Floating Solar
Power Plant
• Solid Waste Management Plant
• Desalination plant
• Industrial Symbiosis
• Skill Development for 22000
workers, including 2000
intervention area people
• Voucher Program
• Grant for Green Industries
[x] Technical Support for IMD Green EZ, Port, RESA, National Master Plan, Smart Economic EZ
PRIDE Project | Major Interventions

37
Mosque
Investor’s
Club
Desal
Plant
Emergency
Center
Childcare &
Env Lab
Skill
Development
Center
CETP
Bio Gas
Plant
Solid
Waste
Plant

Public Private Partnership (PPP) Interventions in PRIDE
38
PPP
Initiatives
DESALINATION PLANT
STEAM NETWORK
Waste Sorting &
Material Recovery
CENTRAL EFFULENT
TREATMENT PLANT
BIO GAS PLANT
SOLID WASTE
MANAGEMENT
SOLAR POWER

39
22,000
Skills & Social
Development(SSD) &
Skills Voucher Program
(SVP)
SVP
SSD
Program
SVP
SVP
To builds social development and employment pathways for 2,000
targeted beneficiaries in the BSMSN area especially for affected HHs
SSD
Program
SSD Training Program based on Stakeholder
Engagement, Social Inclusion strategy, and Demand-
Driven Skills Analysis.
To increase the attractiveness of EZs by ensuring that
valuable skills are available for Tenants and developers.
To encourage Tenants and developers to access the
market for skills development services in Bangladesh
The SVP is expected to fund for 20,000 accredited training
and placement during project life (December 2025)
)

Social Responsibility
Ban g lad esh Econ omic Zon es A u th ority
Relief Distribution among 10000
families during Pandemic
• Training local people for skill
development enhancing
employment opportunity
• Ensuring the Labour rights
Building Houses
for 800 homeless families
BEZA has set an initial target of
planting 2 million trees in EZs. 40%
have already been planted
40

GREEN ECONOMIC ZONE INITIATIVE
BEZA is committed to the long-term sustainability of the economic zones
 The Green and Resilient Economic Zone(GREZ)
guideline and Business Continuity
 Grant support for construction and production
of Green Industries in EZ
 IMD Green Zone
 Central Effluent Treatment Plant
 Solid Waste Treatment Plant
 Renewable energy
 Sewage management and flood management
 Development of green belt
 Development of lakes and water bodies
Technical Partners
Green Initiatives
41

Smart City |
Road Map

Bangladesh Economic Zones Authority
N o t a b l e D e v e l o p e rs / I n v e s t o rs
43

44
Now time to explore the Industrial City
Thanks
Md. Abdul Quader Khan
Social Consultant, BEZA
aqkbeza@gmail.com

BEZA: Bangabandhu Sheikh Mujib Shilpa Nagar-Future Industrial Hub of Bangladesh

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