Bangladesh Economy: News & Updates

[CaPtAiN_pLaNeT]

Exports cross $16.2b in FY2009-10

Wednesday, 14 July 2010 21:13

Business

Exports cross $16.2b in FY2009-10
Kazi Azizul Islam

The country’s export earnings in the just ended fiscal year 2009-10 crossed $16.2 billion, up by 4.2 per cent, over the previous fiscal, the commerce ministry officials said on Wednesday.

The growth became possible as increase again in the export shipments since February helped recover the negative growths in the previous months of the past fiscal year.

Monoj Kumar Sen, the joint secretary of commerce ministry, told journalists that provisional compilation of the Export Promotion Bureau data had estimated the country’s export earnings for the 2009-10 fiscal at $16,209 million.

He said that the ministry had also set a provisional export earning target for the current 2010-11 fiscal year at about $18 billion.

For the current year, the ministry targeted export growth at 10. 5 per cent, officials told New Age. ‘Export shipments to USA and EU recovered in the recent months and garment exporters are seeing very encouraging growths in new markets like Japan and Turkey,’ Monoj said, expressing the hope that the target for the current fiscal year would be achieved.

In 2008-09 fiscal year, export growth had been recorded at 10 per cent that was down from the previous fiscal year’s 16 per cent.

The global recession had started hitting hard Bangladesh’s apparel shipments to EU and the USA from the ending months of the 2008-09 fiscal and it turned severe in the beginning months of the following 2009-10 fiscal year.

In the last months of the past fiscal year, increased shipments of jute goods, raw jute, bicycle and other engineering products, and finished leather helped to raise export earnings.

But as garments exports ensure more than two-thirds of the country’s entire exports earnings, a slump in this sector until January of last fiscal kept its export growth at a negative zone till May.

In 11 months of the just ended fiscal year, apparel exports amounted worth $11.15 billion with a -0.5 per cent growth.

The commerce ministry officials guessed that with June shipment, garment export earnings might have crossed $12.5 billion with a growth of nearly 2 per cent over the last year’s apparel export earning of $12.35b.

 

[Skies]

Why sami6180 is banned? Can anyone tell? It could be double/fake ID user issue or mistake, otherwise, I have no clue why, as he only posts economic news and he does not argue even?

 

[bd_4_ever]

^^^
Yes i second that....it could be a mistake....sami6108 is only active in this particular thread and usually does not take part in any debate....


Cheers!!!

 

[TopCat]

^^^
me too.. thats weired.............

 

[fallstuff]

Remittance tops $15b


bdnews24.com, Dhaka


Foreign remittance topped $15 billion in the outgoing fiscal breaking all previous records.
Prime minister Sheikh Hasina told the parliament on Wednesday during a question-answer session that Bangladesh had earned over Tk 1054 billion (about $15.26 billion) in remittance till May 10 of 2010.
Hasina claimed that new job markets had been been opened up at a number of countries including Libya, Iraq, Italy and Papua New Guinea.
She said that her government was continuing its efforts to further explore the job market for Bangladeshi workers in Africa and Europe as well.
The PM said that over 640,000 workers had been sent abroad until May 10 during the current fiscal ending June 2009.

Link:

:: Remittance tops $15b

 

[bd_4_ever]

Projects worth Tk 600m for job creation, modernising BITAC


The Ministry of Industries has drawn up three fresh projects with an involvement of Tk 600 million for creating employment opportunities and modernising Bangladesh Industrial Technical Assistance Centre (BITAC), sources said, reports BSS.

The projects - Self-employment and Poverty Alleviation (SEPA), Mod-ernisation of BITAC, and Establishment of BITAC Bogra Centre -- will be implemented during the next five years.

The BITAC, an autonomous body had been providing various trainings on diverse trades aimed at turning the huge manpower into skilled and productive workforce.

Under the SEPA project, some 10,000 poor people, mostly women would be imparted vocational training to meet the growing demand for skilled manpower in industrial sector both at home and abroad.

Dr Ihsanul Karim, Project Director of SEPA told BSS that the trades include light machine tools, RMG maintenance, general welding (refrigerator and air- conditioning), plastic processing, household appliance maintenance and other disciplines.

He said the main objective of the project is to develop practical technical skill of the workforce to help bolster the growth of SME sector and contribute to the industrialisation process in the country.

Projects worth Tk 600m for job creation, modernising BITAC

 

[bd_4_ever]

ERL takes up large project to ensure energy security


Eastern Refinery Limited (ERL) has undertaken a nearly billion-dollar project to increase its capacity to provide the desired energy security and reduce petroleum product deficit in the country.

The ERL capacity will be increased to 4.5 million tonnes from 1.5 million tonnes per annum with total costs of $867 million, said a senior official of the refinery.

"We expect additional revenue of $220 million after the expansion by 2014 and the investment payback time will be less than five years," he said.

"It is a very lucrative project and we are looking for potential investors who will finance it," he added.

Many clients including local and multinational banks are showing interest to finance the project, the official said.

The country has a demand for 3.8 million tonnes of refined petroleum products per annum and 70 per cent of them are imported, with ERL supplying the rest 30 per cent.

"We could have taken up the project without looking for outside investors as the World Bank and Asian Development Bank have refused to finance the project," he said.

The project can be built on build-own-operate-transfer (BOOT), public- private partnership (PPP), finance-only or any other suitable option, he added.

In crude oil refining process, 14 by-products are produced including petrol, octane, diesel, jet fuel, furnace oil, bitumen and kerosene, another official of the ERL said adding, "All the by-products are sold in the market."

If the refinery can supply the imported 70 per cent refined petroleum products, the additional business revenue will stand at least $200 million, he said.

The refinery has already conducted a feasibility study on the project commissioning an international consultant, showing that it is a lucrative project, he added.

"We need the expansion to ensure energy security in the country and produce eco-friendly fuel," the official said.

There is a big price difference between prices of crude oil and refined oil and the potential investors or a consortium can make a good profit by investing in the project, he added.

"The financial and economic analyses reveal that $709 million will be needed in foreign currency and $158 million in local currency for the expansion project," the official said.

The ERL has already been working on a project to smoothly supply crude oil, which will have 77 kilometres of undersea pipeline constructed from Kutubdia to the refinery, he said.

The existing system of crude unloading is not sufficient as mother oil tankers do not come to Chittagong Port. Instead, they berth in the outer anchorage and light vessels ferry the crude oil from the tankers to the refinery, he added.

A floating platform will be built at Kutubdia, where the tankers can arrive, and through the undersea cables the crude will be supplied directly to the refinery, the ERL official said.

"After construction of the single-point mooring pipeline by 2012, about $10 will come down in freight cost per barrel," he said.

The total cost of the project is $136 million with Islamic Development Bank providing $129 million and the rest will come from the government, he added.

ERL takes up large project to ensure energy security

 

[bd_4_ever]

Bangladesh to export cement bags to India



Bangladesh is set to export cement bag for the first time to India, diversifying the country's export basket.

Shovon Woven Bag Manufacturing Company, a leading cement bag maker, has already signed an agreement with Calcom Cement India to supply 36 million pieces of bags worth US$ 7.0 million a year.

"We expect the first consignment with 350,000 pieces of cement bags will be shipped by the next few days," Ziaul Hoque Shovon, a director of the company having an annual turnover of $50 million, said.

"This will diversify our export basket," said Mr Shovon adding that his company is now also looking for markets in South American countries Brazil and Peru.

Kolkata-based Calcom Cement India, founded in 2004, is sourcing the woven bags for its Guwahati plant in Assam, a major city of India.

Calcom is a subsidiary of Vinay Cements Ltd, one of the largest cement manufacturing companies in India.

The Indian cement company launched its operation recently to provide the key construction material to the popularly known seven sisters -- Arunachal Pradesh, Assam, Meghalaya, Manipur, Mizoram, Nagaland, and Tripura.

But sourcing of such bags from the mainland of India by the Indian cement company is expensive, company officials said, making Bangladesh the automatic choice.

Mr Shovon said his company wants a long term agreement with the company.

"The annual requirement of cement bag for the Indian company is more than four million pieces a year," he added.

Shovon Woven Bag Manufacturing Company will supply its products through Tamabil land port.

The company launched its operation in 2000 and supplied bags to cement companies such as Holcim, Lafarge Surma Cement, MI Cement and Mongla Cement.

Like Shovon Bag Manufacturing company, local companies like Miracles and Sino Bangla also make woven bags by importing raw materials.

Analysts say such diversification of exports will help reduce the trade gap with the neighbouring country, which is heavily tilted in favour of India.

Bangladesh imports goods from India worth more than $ 2.0 billion and exports around $250 million a year.

Bangladesh to export cement bags to India

 

[bd_4_ever]

Banana farming becomes popular in Rangpur


RANGPUR, July 17: Banana farming in the district has become popular over the last couple of years for its economic viability.

Banana is cultivated in thousands of hectares of land every year and about 30 thousand people are directly involved in it. The farming has also changed fate of many educated unemployed young people.

Banana has largely been cultivated at Pirgonj upazilla of the district. According to Rangpur Department of Agriculture Extension, no target has been set for banana cultivation in eight districts of the Rangpur-Dinajpur region this year. However, Banana was cultivated on 1500 hectares of land in Rangpur, 20 hectares in Lalmonirhat, 727 in Dinajpur and 115 hectares of lands in Thakurgaon districts.

Sources of Pirganj upazilla DAE told the FE that some one thousand hectares of land in 15 unions of the upazilla were brought under banana cultivation this season with the production target of 2500 bunches of banana per hectares.

The varieties of banana produced here include -- Meher Sagor, Deshi Shobori and Chapa. If the weather remains favourable, at least 2.5 million bunches of banana would grow. The market price of the total produce is about Tk 300 million. A bunch of banana sells in retail markets at Tk 100 to Tk 130.

The farming has not only changed the lot of the farmers but also created permanent employment opportunities for thousands of people in the district.

Upazilla Agriculture Officer Makbul Hossain said 15 workshops were arranged on banana farming for the growers of the upazilla this season where they were trained in latest and developed method of the farming.

He also mentioned frequent farming of the crop on the same land lessens the fertility of the soil. So, the farmers are advised to diversify crops for re-fertility of land.

Abdul Jabber, a graduate of Gongarampur village, found no job and engaged himself in banana farming. He said the farming gave him double profit with little investment and made him self-reliant. The production cost in one acre of land is about Tk 50-55 thousand while the return was about Tk 0.1 to 0.12 million.

Many of the farmers at Pirganj Bazaar said the production cost of the farming has increased this year as the price of pesticides increased in the market. Fungal diseases and the seasonal storms were the main enemies of the crop. Regular spraying of pesticides is essential to save the plants from pest attack.

They also urged the government to introduce easy bank loan for them.

Banana farming becomes popular in Rangpur

 

[CaPtAiN_pLaNeT]

20 mmcfd gas to be added to national grid

Thursday, 15 July 2010 21:28

20 mmcfd gas to be added to national grid

20 mmcfd gas to be added to national grid
Jashim Uddin

Brahmanbaria, July 15: Bangladesh Gas Fields Company Limited (BGFCL) inaugurated the work-over of Titas well 12 Wednesday to add above 20 million cubic feet daily (mmcfd) natural gas to the national grid.

The work-over is likely to be completed by end of next month (August).

High officials of BGFCL and the project were present on the occasion.

Total estimated cost of the project is Tk 350 million (Tk 35.00 crore) under the self-financing programme of BGFCL.

BAPEX, the state run gas exploration company, is completing the all work of BGFCL as a drilling contractor.

To meet the growing gas demand of the country, BGFCL has undertaken various development activities for augmenting gas production. It took nine projects at a cost of above Tk 23.50 billion. BGFCL meets Tk 5.70 billion of total amount from its self-financing fund.

A fresh natural gas amounting to 25 mmcfd has been added to the national grid from Bakhrabad well 2 and Titas well 14 of BGFCL after completing the wells work-over from last year, sources also said.

BGFCL added above 33 mmcfd natural gas to the national grid from well after the successful completion of work-over from July 6 of the year 2010. Total estimated cost was Tk 195.00 million under the self-financing programme of BGFCL.

BGFCL has adopted a vigorous augmentation plan under "Fast Track Programme" to increase gas production from six wells of Titas field Gas Fields to add 160 mmcfd gas in 2011.

Besides, in view of producing 10-mmcfd gas , the company took the plan to drill the new well of Bakhrabad Gas Fields in 2012, official sources said.

Presently, this raises the overall production of BGFCL to 740-742 mmcfd of natural gas from 30 wells of its producing fields against the country's total gas production capacity of 1960 mmcfd.

BGFCL meets more than 40 percent of country's natural gas demand, sources also added. BGFCL has been contributing to the national economy by paying considerable amounts to the public exchequer every year through natural gas production, sources added.

The company is entrusted with production of natural gas, processing of gas to pipeline quality and supplying of gas to transmission systems.

BGFCL is a state owned company of Petrobangla. It is the largest gas production company in the country and owns six gas fields, namely, Titas, Hobigonj, Bakhrabad, Narsingdi, Meghna and Kamta gas fields.

 

[CaPtAiN_pLaNeT]

Govt begins 450MW Sirajganj power plant process under PPP

Thursday, 15 July 2010 21:30

Business

Govt begins 450MW Sirajganj power plant process under PPP
Staff Correspondent

The government has initiated a tender process for the installation of 330MW–450MW Sirajganj power plant under public-private partnership.

This will be the first plant under public-private partnership, where the state-owned Power Development Board or any of its subsidiaries will have 29 per cent of the share. The remaining of the share will be owned by a selected local private or international company.

The Power Cell in the past week invited application from bidders for pre-qualification to take part in the tender for the Sirajganj power plant, which will be installed on a ‘build, own and operate’ scheme.

The Sirajganj power plant was first initiated by the BNP-led government in 2003 as a public-private partnership project but the project was scrapped after selecting a local company in controversial circumstances as there was no PPP policy.

The BNP-led government and the immediate past interim regime wanted it to be installed as an independent power plant, operated by a private company and the power board will buy electricity from it but four tender bids failed.

The present government initiated a move to install different infrastructure and power projects under public-private partnership in 2009 but failed. The government again initiated the move this financial year for projects under public-private partnership.

‘The Sirajganj power plant will be a PPP project as it was during the BNP-led government. A partner for the power board will be selected for the installation of the plant,’ said a board official.

This time the power plant will, however, be dual fuel-run, fuel oil and gas, instead of being gas-fired as there is gas shortage, he said.

The selected company will arrange funds and the power plant will be run as an independent power plant from where the power board will buy electricity. The power board or its subsidiary will get the share of the power price.

He said the power board’s share in the plant might come from the land and other facilities. ‘If needed, we will also have to make investments. We may seek funds from the Power and Energy Fund or from the government’s PPP fund.’

The Power Cell will be receiving prequalification documents from interested companies till September 15. ‘After evaluation of the documents, qualified companies will be selected for taking part in the final bidding. We hope the plant will be installed in two to three years,’ the official said.

He said the power board might go for a few more large power plants under public-private partnership.

 

[bd_4_ever]

BB Chief opens solar irrigation in Barguna


Bangladesh Bank Governor Dr Atiur Rahman on Saturday called for proper use of money to ensure development.

"There is no dearth in money. The dearth is in confidence," he said while inaugurating high- powered 'Solar Irrigation System' project at Kumarkhali-Fultala village here in the morning. The project is being implemented on 40 acres of land at a cost of Taka 38 lakh. Private organisation Resource Development Foundation (RFD) is implementing the project.

Mutual Trust Bank is financing the project while Rahim Afrooz providing the technical support. Eighty-three families will enjoy the benefit of the project that is expected to produce 140 metric tons of paddy. Presided over by RDF President M Emranul Haq Chowdhury, the inaugural function was also addressed by Bangladesh Bank Deputy Governor Murshid Kuli Khan, Mutual Trust Bank Managing Director

Anis A Khan, NCC Bank Director Mohammad Nurul Amin, Shahjalal Islami Bank Managing Director Mohammad Ali, Rupali Bank Managing Director M Farid Uddin, Barguna Deputy Commissioner (DC) M Mujibur Rahman, Municipality Mayor Advocate M Shajahan, local Press Club President Monir Hossain Kamal, RDF Coordinator Abdul Motaleb Mridha and local Union Council Chairman Ziaul Ahsan Hiru. Talking to BSS, the local farmers expressed their joy over the implementation of the project.

They said they could not grow crops more than once a year in the past. This is for the first time that they are growing the second crop this time. Farmers Anwar Hossain and Golam Sarwar said they are overwhelmed with joy to know that they would be able to grow crops three times a year under the project area.

After the function, the Bangladesh Bank governor inaugurated micro credit programme of RDF, unveiled the plaque of under-construction RDF Tower and exchanges views with journalists and government and non-government officials.

The New Nation - Internet Edition

 

[CaPtAiN_pLaNeT]

Circular water route in capital is likely to start in 2012

Thursday, 15 July 2010 21:27

Bangladesh Sangbad Sangstha (BSS)

Circular water route in capital is likely to start in 2012

SANGSAD BHABAN, July 15 (BSS)-The government has taken steps to introduce circular river route around Dhaka city to reduce pressure on the transports in the capital, Shipping Minister Shajahan Khan told the House today.

"The development work for the river route from Ashulia to Demra/Kanchpur is going on under a project titled The Introduction of Water Route around Dhaka City (2nd phase)," he said in reply to a question from Jatiya Party lawmaker Begum Salma Islam.

The shipping minister said the work on the project is likely to complete in June, 2012 and as a result the plying of vessel on the route will start in July the same year.

He said eight landing stations were set up from Sadarghat to Ashulia to introduce circular water route around Dhaka city to reduce pressure on the vehicles in the capital. "The work on development of the waterways from Ashulia to Kanchpur Bridge is going fast," he said.

Shajahan Khan said the BIWTC would run passenger vessels on the route after introduction of the circular river route by the BIWTA.

Responding to another question from treasury bench member Giasuddin Ahmed, the shipping minister said a launch terminal is being built by the BIWTA at Shyampur to remove the existing traffic jam in the Sadarghat area.

"Necessary arrangement will be made for movement of big vessels of the southern region including Barisal and Patuakhali from the terminal," he said.

 

[CaPtAiN_pLaNeT]

Remittance tops $15b


bdnews24.com, Dhaka


Foreign remittance topped $15 billion in the outgoing fiscal breaking all previous records.
Prime minister Sheikh Hasina told the parliament on Wednesday during a question-answer session that Bangladesh had earned over Tk 1054 billion (about $15.26 billion) in remittance till May 10 of 2010.
Hasina claimed that new job markets had been been opened up at a number of countries including Libya, Iraq, Italy and Papua New Guinea.
She said that her government was continuing its efforts to further explore the job market for Bangladeshi workers in Africa and Europe as well.
The PM said that over 640,000 workers had been sent abroad until May 10 during the current fiscal ending June 2009.

Link:

:: Remittance tops $15b

Thats for the 1st 17 months of awami league government not for the last year.

 

[CaPtAiN_pLaNeT]

`Virtual shops' to be set up at all unions

Saturday, 17 July 2010 21:01

Bangladesh Sangbad Sangstha (BSS)

`Virtual shops' to be set up at all unions

DHAKA, July 17 (BSS) - The government is planning to set up virtual shops based on e-commerce -- business through digital devices -- at all unions for creating direct market linkage between rural producers and consumers.

"We have the plan to open virtual shops at all our information centers being set up at 4,498 unions of the country to reach benefits of digital devices to the doorstep of the rural people," National Project Director of Access to Information (A2I) Nazrul Islam Khan told BSS today.

The A2I programme is being operated from the Prime Minister's Office with the support of UNDP to facilitate different digital innovative ideas across the country in line with the vision for building a digital Bangladesh.

Under the initiatives, the country's rural people will be able to sell their products at fair prices to even international markets using e-commerce through websites from the virtual shops to be set up at the information centers, he said.

A rural entrepreneur can be registered with the virtual shops without any fee. After being registered, the pictures of their products like Nakshi kantha, handmade boutiques and crafts would be uploaded on the website with prices, contact numbers and profiles of the producers.

Consumers from any parts of the country or world can make an order for their chosen items using their credit cards after surfing pictures and prices of the products, uploaded at the website.

N I Khan said a private organization namely `Future Solution for Business (FSB) Bangladesh' has already implemented the virtual shop concept at Mongla as pilot basis.

Marketing Director of FSB Sadequa Hassan Sejuti told BSS that they had started the initiatives on pilot basis last year at a remote village of Mongla Mithakhali through building an e-commerce center there with the help of local people.

Sejuti said it seems like a miracle to the rural people as one click of that e-commerce website Mongla have opened the entire world in front of them.

After lunching the website for Mongla, she said they had approached Bangladesh Bank (BB) governor Dr Atiur Rahman for introducing online purchase banking in the country.

The BB accepted the concept of e-commerce and approached the banks for facilitating the online transaction. "BRAC bank has already signed an agreement with us and will start online transaction through our website from next month," she said. The facilitating company and bank will get 3.5 percent commission each and the e-center eight percent for each transaction and the remaining money will directly go to the rural producer.

Another Director of FSB Ataur Rahman said the initiative of purchasing products through online would be a major landmark in line with the present government's pledge to build digital Bangladesh as it would bring fruits of digital devices to the doorsteps of the common people.

He said presently FSB is replicating the concept in seven more districts after getting success in Mongla. "Not only the handmade boutique products, we are planning to link farmers of Narsingdi with the retailers of Dhaka through our website," he added.

"The retailers of Dhaka will then be able to directly buy vegetables from the farmers of Narsingdi through our website and it will reduce the prices of vegetables in the capital."