Bangladesh Economy: News & Updates

[fallstuff]

Ship recycling joint venture by local, Dutch companies

Ship building company Ananda Group signed an agreement with Greendock BV, a Dutch company specialising in ship recycling, for establishing multipurpose plants for repairing and recycling ships to attain a zero accident rate and cause zero pollution to nature.
Ananda Group’s chairman, Abdullahel Bari,
and Greendock’s president, Doebren Mulder, signed the agreement to develop a combination wharf in Chittagong to repair and dismantle ships as well as to build large vessels on the same spot.
With support from Greendock, the Ananda Group will introduce new technology used in the developed countries, based on sound professional and economic principles, for the safe dismantling of vessels, Abdullahel Bari told New Age on Tuesday.
The total project for the dismantling part is estimated at 50 million euros, including a waste incinerator to change waste into energy, he said.
It will be an industry with an investment of 90 million euros within a short span of time with support from several European countries, he said.
The old ships are broken now on distant beaches in a very unscientific and unsafe manner which causes many deadly accidents and pollutes the environment severely.
The Supreme Court has recently imposed restrictions on importing
ships which are not declared environmentally safe by the countries of origin.
In the beginning of the project, Greendock will conduct a feasibility study on the requirements of ship recycling industries here, said Bari.
Greendock can now dismantle about 24 vessels in a year, Mulder told New Age.
When asked why Greendock has chosen Bangladesh, he said they have found it much
more competitive then
its rival countries, including China and India, in the ship breaking industry. ‘Bangladesh is a booming market for ship recycling.’
About 1,200 workers, out of a total of 1,20,000 in 200 ship breaking yards, die every year, he said.
When asked about complying with the court’s directives to make ship breaking free from pollution and accidents, both Bari and Mulder said that Greendock’s technology will fully comply with the court’s decisions, the guidelines of the United Nation Environment Programme and the International Labour Organisation.
Bari said that the Ananda Group will be focusing on ship building and ship repairing with Greendock’s technology. ‘Ship breaking will be a bonus,’ he said.
When asked whether the Ananda Group and Greendock will be monopolising the technology, Bari said ship
recycling is a huge business with local specialities. ‘There will not
be shortage of business even if 20 safe ship recycling entities are established in the future,’ he said.
As many as 40,000 seagoing ships have been plying trade routes across the world, he said.
Ananda Group has so far exported seagoing vessels to Denmark, the Netherlands and Mozambique. It has orders at hand for supplying three seagoing vessels to Germany and oil tanker, tug boat and crane boat to Bangladesh.

link:
Business

 

[Skies]

Bangladesh Sept remittances down 5.6 pct on year
Reuters - Monday, October 11

Bangladesh Sept remittances down 5.6 pct on year - Yahoo! Malaysia News

DHAKA, Oct 10 - Money sent home by Bangladeshis working abroad slid 5.6 percent to $838.17 million in September from a year ago, the central bank said on Sunday, amid a slow pace in global economic recovery.

Overseas employment for Bangladesh has shrunk in recent times while the number of returnees increased, as jobs dried up in the traditional markets such as the Middle East countries and Malaysia.

The income from more than 6 million workers overseas, a key source of foreign exchange for the cash-starved economy, hit $10.97 billion in the 2009/10 fiscal year that ended in June, 13 percent above the previous year.

In July-September, the first quarter of the 20010/11 financial year, remittances totalled $2.66 billion, 1.8 percent lower than the same period of the previous year.

Nearly 360,000 Bangladeshis secured foreign jobs during January-September, the lowest in four years, government figures show.

However, the central bank expects remittances to reach $14 billion this fiscal year, aided by the gradual recovery of the global economy.

At the end of September the country's foreign exchange reserves fell to $10.88 billion from $10.99 billion in August.

Expatriate incomes are the second-biggest source of foreign income for Bangladesh after ready-made garments, which earn around $12 billion annually.

 

[CaPtAiN_pLaNeT]

IT Village to be set up in all divisional cities, other important places: PM

Thursday, 07 October 2010 23:03

Bangladesh Sangbad Sangstha (BSS)

IT Village to be set up in all divisional cities, other important places: PM

SANGSAD BHABAN, Oct 6 (BSS) - Prime Minister Sheikh Hasina told the House today that her government has taken steps to set up IT village in all divisional cities and other important places for speedy flourishing of information and communication technology (ICT) in the country.

Replying to a scripted question from BNP lawmaker Md Harun- or-Rashid, the Leader of the House also said the South Asian Sub- Regional Economic Cooperation (SASEC) Information Highway Project has been undertaken to establish connectivity between India, Nepal, Bhutan and Bangladesh.

The Prime Minister said the government has undertaken various plans at the initiatives of the Science and Information and Communication Technology Ministry for development of the ICT sector.

She said computer labs with Internet facilities were set up at 1,610 educational institutions in the last fiscal year and such computer labs will be established at 1,400 educational institution in the current fiscal.

The Prime Minister said community e-centers were set up on 147 upazila parishad complexes in the last fiscal year. "The community e- centers will be established in the rest of the upazila parishads in the current fiscal year, she said.

Through five separate projects, she said, union e-centers with Internet facilities will be built at 859 union parishads where electricity is not available.

To help flourish the ICT industry of the government, the PM said, an ICT incubator has been set up in Kawran Bazar, where 47 ICT firms are conducting their activities. " The government has already allocated Janata Tower at Kawran Bazar to expand this incubation facilities," she said.

Sheikh Hasina said the government has already announced to constitute a separate ICT ministry and the work on formation of the ministry is going on in full swing.

 

[CaPtAiN_pLaNeT]

Bangladesh, Netherlands to set up Tk 150cr ship assembling yard

Thursday, 07 October 2010 23:10

The New Nation - Internet Edition

Bangladesh, Netherlands to set up Tk 150cr ship assembling yard
BSS, Dhaka

Hollander Scholtens, a leading company of the Netherlands, has signed an agreement with local shipbuilder Delta Stream Shipbuilding Ltd to set up a ship assembling yard in Bangladesh. The Bangladesh-Netherlands joint venture shipyard with all modern technologies would be set up at Gojaria of Munshiganj district with an investment of Taka 150crore.

Jacob Gnodde, a member of the 17-member Dutch trade delegation, which is now visiting Bangladesh, disclosed this while talking to reporters after a meeting with business leaders in the conference room of Dhaka Chamber of Commerce and Industry (DCCI) here. The delegation members are mainly from maritime consultant, ship building and sea transport related companies.

DCCI president Abul Kasem Khan chaired the meeting. President of Bangladesh-Dutch Chamber of Commerce (BDCCI) Fredrik Oldenhuizing moderated the function, which was joined, among others, by director of Board of Investment (BOI) Tofazzal Hossain Mia, DCCI director TIM Nurul Kabir and a good number of trade body leaders.

Jacob Gnodde said technical drawing of the planned shipyard has been completed while land acquisition for the project is now under process.

Appreciating Bangladesh's shipbuilding progress, he said the country is likely to become a shipbuilding leader because of its cost-effectiveness.

Tofazzal Hossain said Bangladesh's shipbuilding industry has a good prospect as it has already been recognized as a ship- exporting nation in the world. "We always welcome foreign direct investment (FDI) and there is no restriction for investment in Bangladesh, rather there are incentives for foreign investors here," he said.

Abul Kasem informed the delegation that a target has been set to turn Bangladesh into a middle-income country by 2015 by eliminating illiteracy, enhancing contribution to industrial sector and increasing per capita income up to at least US$2000.

Traffic congestion and utility problems are the main barriers to higher economic growth, Fredrik Oldenhuizing said and added those problems should be resolved on an urgent basis.

The bilateral trade between Bangladesh and the Netherlands is increasing gradually as in 2009-10, export of Bangladesh to the Netherlands was 1016.88 million US dollars against import of 128.40 million US dollar, according to statistics of Export Promotion Bureau (EPB).

 

[CaPtAiN_pLaNeT]

Dräxlmaier Dhaka lab to design interior facilities for top car brands

Friday, 08 October 2010 23:24

Business

Dräxlmaier Dhaka lab to design interior facilities for top car brands
Kazi Azizul Islam

Yet to make cars, Bangladesh is set to enter the global automotive industry by hosting a Draxlmaier lab for designing interior facilities for top brands like BMW, Mercedes and Cadillac.

World’s leading suppliers to auto industry, Dräxlmaier Group decided to set up it’s a state of the art design lab in Dhaka, the company’s first in South Asia and 4th in Asia, after Thailand, Malaysia and China.

A five-member Dräxlmaier team led by the head of its design facilities in Asia, Grzegorz Ciupka, arrived in Dhaka on Thursday to complete some advanced tasks for the company’s lab Dhaka.

Nine Bangladeshi engineers recruited by Dräxlmaier, undergoing an extensive training in the company’s plants and labs in Germany and elsewhere in Europe, are expected to return to Dhaka by the end of the year.

The design lab in Dhaka is expect to go into operation early next year, Bangladesh-German Chamber of Commerce and Industry executive director Daniel Seidl told New Age on Friday.

Dräxlmaier, he said, was looking for more Bangladeshi engineers and a CEO to coordinate its Dhaka operations.

At the large and sophisticated Dräxlmaier’s lab in Dhaka, he said, engineers would design automobile interiors, wiring and interior equipment using Computer Aided Design (CAD) tools.

The company’s product lines include interiors, cockpits, centre consoles, door panels, auto electric and functionally integrated systems (FIS).

By using natural materials such as leather, wood, and stone, the company makes functionally integrated interior components, cockpits, wiring harness and electrical management systems for new car models.

Globally acclaimed, Dräxlmaier designs for luxury brands like BMW, Mercedes-Benz or Porsche, Audi, Volkswagen, Jaguar and Cadillac.

Dräxlmaier officials had a crucial meeting with Daniel and other representatives of German-Bangladesh Chamber as it has been providing it the support to establish its lab in Dhaka.

The Dräxlmaier Lab, would be a milestone for Bangladesh, facilitating its entry into multibillion-dollar global automotives market, said German-Bangladesh chamber president, Saiful Islam.

A highly regarded entrepreneur in shipbuilding and high value leather goods manufacturing, Saiful and Daniel worked for months to convince Dräxlmaier about what can be done in Bangladesh.

Daniel said that one year’s license fee for CAD software for 20 terminals for the lab alone cost $1 million.

With an annual turnover of two billion Euros, five–decade old Dräxlmaier employs more than 30,000 personnel in its 51 plants and labs in 20 countries.

 

[TopCat]

^^^^^^^^^^^^^^^^^^^
Wow i am impressed. What would be the turnover of the new venture of this design lab??? Are they going to pay only for cooling that we will be doing sitting here?

 

[CaPtAiN_pLaNeT]

^^^^^^^^^^^^^^^^^^^
Wow i am impressed. What would be the turnover of the new venture of this design lab??? Are they going to pay only for cooling that we will be doing sitting here?

As far as I have heard.... if this engineers can do well... companies like BMW, Mercedes will come to bangladesh for designing their product and possibly in the future for their car manufacturing.... Out of 9... 4 of the engineers are my friends... so far that I have heard from them...

 

[BritishBangladeshi]

As far as I have heard.... if this engineers can do well... companies like BMW, Mercedes will come to bangladesh for designing their product and possibly in the future for their car manufacturing.... Out of 9... 4 of the engineers are my friends... so far that I have heard from them...

Good post.

 

[integra]

Looks it'll only be an R&D lab(engineers doesn't need creativity ). As for the design part they have their own design houses unless studios like pininfarina suddenly comes out of the blue to open a branch here.
But what the heck! A German automotive house taking interest on Bd land is super cool!!

 

[Skies]

US legislation to boost RMG exports from Bangladesh
October 12, 2010 (Bangladesh)


The approval of a bill by the US House of Representatives to protect the US companies and workers against the currency practices of China is expected to give a boost to the export of ready-made garments from Bangladesh.

The legislation will permit the US government to impose countervailing duties on those countries, which manipulate the exchange rates by going against the rules of free trade. The increase in the value of Chinese currency is expected to make the products, which are to be exported from China to the global market, more expensive.

China is slowly increasing the value of its currency. Over the past three years, the value of yuan was increased by 15 percent. If the currency is further appreciated by another 15 percent, it will enhance the exports from Bangladesh greatly.

The RMG sector contributes around 80 percent of the total export earnings of Bangladesh. But the boost in exports might negatively affect the import of the country.

 

[Skies]

WB to support Bangladesh for fisheries development project20:03, October 12, 2010

The World Bank is continuing discussion with the Bangladeshi government on a possible support for a new fisheries development project, which is estimated to cost 156 million U.S. dollars.

According to a press release of the Washington-based lender in Dhaka Tuesday, the six-year long proposed "Integrated Fisheries Livelihood Project" will aim to increase the incomes of the rural fishing communities and the availability of fish products for domestic consumption, by improving the productivity and quality of inland fishing and the access to markets.

The proposed project would improve the rural livelihoods of at least 1,000 fishing communities and 250,000 households, it said.

Some estimates suggest that another one million hectares of inland waters can be developed for productive fishing, the World Bank (WB) said adding 1.8 million fish ponds are now in degraded and abandoned state.

Some 1.5 million new jobs will be created, mostly for the rural poor from the increased fish production, it said adding further the increased production will create more upstream and downstream indirect jobs and enterprises.

Source: Xinhua

 

[Skies]

ADB gives Bangladesh $40 mln loan to boost food security20:08, October 13, 2010


The Asian Development Bank (ADB) and the Bangladeshi government Wednesday signed a loan agreement for 40 million U.S. dollars to grow high-value crops including vegetables, spices, and fruits that will boost incomes for poor farmers and support the nation's food security.

The assistance from ADB's concessional Asian Development Fund will support the Second Crop Diversification Project to develop high-value crops in 27 districts in the southwest and northwest of Bangladesh -- including some of the poorest, least developed and most climate-vulnerable areas in the country.

The Manila-based lender in a press release issued here in Dhaka on Wednesday also said over 75 percent of Bangladeshis are involved in agriculture, with rice the dominant crop. The country lacks sufficient supplies of fruit and other nutritious foods, forcing it to rely on pricey imports, it said.

According to the ADB, the new project will build on the gains of an earlier ADB-assisted Northwest Crop Diversification Project. It will provide farmers in targeted districts with the latest in high-value crop production techniques, including "green" technologies for organic manure.

With Bangladesh highly susceptible to extreme weather events due to its low-lying position along the Bay of Bengal, the ADB said the new project will pilot test climate-resilient varieties of crops in drought and flood-prone areas.

As small farmers typically lack savings to make business changes, it also said the project will provide about 175,000 of them with access to agriculture credit to diversify into new crops.

Source: Xinhua

 

[Skies]

Oct. 13, 2010, 10:14 a.m. EDT · Recommend · Post:

Z3 Enterprises Seeks International Relationships at Manhattan Summit Featuring Bangladesh Officials, Companies, and Investors

HENDERSON, NV, Oct 13, 2010 (MARKETWIRE via COMTEX) -- Z3 Enterprises, Inc. /quotes/comstock/11i!bibb (BIBB 4.00, 0.00, 0.00&#37 (pinksheets:BIBB) (Z3E or the Company) announced today that representatives of the company will be attending The US Bangladesh Technology Summit. The event will be held Wednesday, October 13, 2010 at The Marriott Marquis Times Square in Manhattan, New York. The Summit, organized by The Bangladesh Association of Software and Information Services (BASIS), US Bangladesh Partners, the US Bangladesh Technology Association, and the Greater New York Chamber of Commerce, takes place concurrently as part of the Global Sourcing Forum (the largest technology conference and exhibition of its kind held in New York annually).

Z3 Enterprises /quotes/comstock/11i!bibb (BIBB 4.00, 0.00, 0.00%) (pinksheets:BIBB) will be represented by financial representatives from The Bull Consulting Group, who are currently working on finalizing a strategic acquisition on behalf of Z3E with at least one technology company offering synergistic products and services. The Company is particularly interested in establishing relationships at the Summit which are expected to benefit Z3E's recently acquired subsidiary Usee, Inc. (UseeIsee Video Phone), a major provider in the VoIP technology sector.

The Summit draws a large number of senior business executives and decision makers from the USA and internationally who are responsible for the overall profitability and performance of their companies. Speakers will include several officials representing the government of The People's Republic of Bangladesh, who will share the Bangladesh Government's strategic plans to facilitate trade and investment for US companies in high-tech areas of Bangladesh. This event (US Bangladesh Technology Summit 2010) will also be attended by top executives from Fortune 500 Companies, IT Associations, business chamber leaders, government officials, policy makers and journalists.

Z3 Enterprises (formerly BIBB Corp.) recently completed a forward split and name change approved by FINRA last week. The company's diverse revenue streams and product offerings are expected to benefit its shareholders in a US economy bouncing back from the challenges facing companies operating in a single industry with isolated product lines. The diversity of the company's products and services has contributed to its current partnerships and recently obtained structured financing.

About Z3 Enterprises, Inc. /quotes/comstock/11i!bibb (BIBB 4.00, 0.00, 0.00%) (pinksheets:BIBB) (formerly Bibb Corp.): Z3 Enterprises is a producer of national entertainment content for TV and motion picture distribution, online and real-time mobile phone applications, and health and wellness products. The company recently acquired Usee, Inc., a leading provider of VoIP technology. Z3's past projects include TV and feature film production, an in-house publishing division and a series of health and wellness publications, and special events marketing. For more information, visit Z3 Enterprises, Inc. and UseeIsee Video Phone

Safe Harbor Statement This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are based on the current plans and expectations of management and are subject to a number of uncertainties and risks that could significantly affect the company's current plans and expectations, as well as future results of operations and financial condition. A more extensive listing of risks and factors that may affect the company's business prospects and cause actual results to differ materially from those described in the forward-looking statements can be found in the reports and other documents filed by the company with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

[CaPtAiN_pLaNeT]

Govt earns Tk 18.5b revenue exporting BSCIC products

Tuesday, 12 October 2010 23:59

Govt earns Tk 18.5b revenue exporting BSCIC products

Govt earns Tk 18.5b revenue exporting BSCIC products
FE Report

Export of products from Bangladesh Small and Cottage Industries Corporation (BSCIC) witnessed a significant increase in last few years and the government earned Tk 18.5 billion revenue in 2009-10 fiscal, said officials.

BSCIC exported products worth about Tk 152.4 billion from its 774 export-oriented industrial units in 2009-10, Tk 133.26 in 2008-9, Tk 123.06 billion in 2007-8, Tk 95.36 billion in 2006-7,said officials of BSCIC to the FE Tuesday.

At the same time the government gained Tk 18.5 billion in 2009-10 fiscal year from this sector.

According to the officials the Corporation has now 74 completed industrial estates where 9,409 out of 10,330 plots so far have been allotted for 5,488 industrial units.

And 3,937 out of 5,488 industrial units are now on production where 393,000 people have been employed until June, 2010.

About Tk 142 billion have been invested in the industrial units.

Chairman of BSCIC Fakhrul Islam told the FE Tuesday that the Corporation was going to build many specialised economic zones (SEZ) and it has taken projects to extend the old estates and make many new industrial estates which would boost up export in the future.

Thousands of jobless people would be employed through implementation of these projects, he expected.

"Leather industries state at Savar (shifting of Hajaribag leather industries), Active Pharmaceutical Ingredients (API) industry at Gajaria in Munshiganj, BSCIC industrial parks at Mirsharai, Sirajganj, Gopalganj (extention) and Comilla (extention) are the parts of our scheme to develop small and medium industries," said Fakhrul. "Most of the proposals of these projects already have been approved by the ministry".

He said besides these, the Corporation is going to extend its 10 to 12 industrial estates seeing the growing interest of the investors.

"Under the extension project we will help the investors by giving infrastructural facilities like power, gas and water supply, roads and drainage facility, development of the plots etc.

BSCIC is also helping the investors and workers with its skill development initiatives.

"Besides this we are also helping the investors in getting financial facilities from banks. We are insisting on the financial institutions to provide them with loans," said the chairman.

He, however, said the Corporation is now working on a plan to run the rest 1,551 industrial units which now remain unused.

"Considering the small and medium investors' interest and for increasing employment generation in the country the BSCIC has been working since 1957," said Fakhrul.

 

[CaPtAiN_pLaNeT]

Western Marine building ferries for Pakistan

Wednesday, 13 October 2010 00:01

Business

Western Marine building ferries for Pakistan
Business Desk

Local shipbuilder Western Marine Shipyard Limited has started building two passenger carriers for Karachi Port Trust of Pakistan.

The company that got a $2.35 million contract from KPT recently for building two ferries held a keel-laying ceremony for the vessels last week said a press release.

The vessels -- each 30 metre long with capacity to carry 200 passengers -- will be built under the supervision of French classification society Bureau Veritas and are expected to be delivered in November 2011, it said.

The KPT floated an international tender in February 2009 for construction of the two passenger carriers and Western Marine won the contract beating shipyards of shipbuilding nations including South Korea, UAE, Sri Lanka and Pakistan, said the company.

Company officials said that they were now eyeing entry into more SAARC countries.

Western Marine chairman Saiful Islam said after a successful foray into European market, the company had focused on SAARC countries considering huge prospect.

The company managing director Sakhawat Hossain hoped that the successful completion of this project would draw more shipbuilding orders from SAARC nations.

The company has so far received orders for building 18 ships from European buyers.