DCCI talks joint ventures with Pak team

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DCCI talks joint ventures with Pak team
Star Business Desk

The Dhaka Chamber of Commerce and Industry (DCCI) yesterday urged a visiting trade delegation from Pakistan to jointly set up industries in Bangladesh.

DCCI President Zafar Osman said there is wide scope to deepen bilateral trade relations between the two countries.

He was speaking at a meeting with a six-member delegation from All Pakistan Bed-sheet and Upholstery Manufacturers Association at his office.

Osman stressed high quality production and diversification of goods in the export sectors.

S Mohammad Aasim, who led the Pakistani delegation, stressed use of the sea route for direct export facilities. The delegation expressed eagerness to invest in Bangladesh.

Green shoots sprout in seed business

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Green shoots sprout in seed business

The gap between supply and demand for quality seeds to cultivate rice remains wide, although more than 100 seed companies are in operation now. Companies are investing a huge amount to introduce their own hybrid seeds, and storage and processing centres. Photo: Syed Zakir Hossain

Sohel Parvez

Seed business is thriving in the country backed by a number of corporate biggies who came up to grab a slice of around Tk 1,000 crore market for hybrid and high-yield seeds.

In the recent years more than half a dozen conglomerates such as Ispahani, Energypac, Square, Paragon, Getco and Northern signed up for the business, with Partex being the latest entrant to take hold of a portion, riding on the present supply shortage of quality seeds.

The existing old players such as Supreme Seed, Brac, Lal Teer, ACI and Aftab are consolidating their positions by concentrating on developing both backward and forward linkages such as investment in research and development (R&D) to introduce their own hybrid seeds, and storage and processing centres.

“We want to take the supply shortage of quality seeds as an opportunity,” said Mokhlesur Rahman, executive director of Partex Agro, a concern of Partex Group.

Partex made its debut in November 2008 in seed business as the demand and sales of high-yield seeds, including hybrid ones, are on the rise, spurred by the existing companies’ marketing campaign and the government support that almost doubled in the last three years.

In fiscal year (FY) 2006-07 over 5,000 tonnes of hybrid rice seeds were used to cultivate around 3.90 lakh hectares of land. So far in the current FY, the quantity of hybrid rice seeds used in around 8 lakh hectares is around 11,000 tonnes.

However the gap in supply and demand for quality seeds remains wide although more than 100 seed companies are in operation now.

Industry estimate shows that the demand for quality seeds stood at more than 11 lakh tonnes in FY2007-08, but both the private and public sector seed firms could supply 2.10 lakh tonnes. The rest were met either by farmers or importers, according to a publication released during the Seed Fair 2009.

“We want to produce quality seeds locally. We have already invested more than Tk 3 crore in R&D as part of our goal to produce seeds here,” said the Partex Agro official.

“We are also looking for some ‘short duration’ hybrid varieties to help farmers harvest early. We aim to introduce some aromatic rice varieties either,” he said.

Currently local production of high-yield seeds by public and private sector organisations remains very low.

According to agriculture ministry officials, out of the total of 11,000 tonnes of hybrid rice seeds used in the outgoing Boro season, only around 2,500 tonnes were produced locally and the rest were imported mainly from China and India.

The price of a kilogram of hybrid rice seeds at domestic market stands between Tk 180 and Tk 210.

Besides the shortage, tax and duty benefits for local production and imports have also encouraged companies to enter the market.

“The market is growing every year. Presently the market size is around Tk 1,000 crore but we can meet as much as Tk 300 crore of the market demand,” said Mohammad Masum, chairman of Supreme Seed Company.

“We welcome the entrants. But the days for short-term business are over. It’s time for those who are coming with a long-term vision,” he said. “But the overall growth of the market depends on how much of the rice land will be used for hybrid rice cultivation.”

Officials said there is no projection on how much of rice land the government wants to bring under hybrid rice cultivation, but expected that hybrid rice cultivation area would increase in the days ahead to ensure food security against the backdrop of declining arable land.

To survive in the business, Masum stressed investment in R&D. “You will have to concentrate on developing your own hybrid variety through R&D. Unless you have your own variety, it’s tough to sustain,” said Masum whose company has developed its own hybrid variety, Hira 5, and invested in building its own storage and processing centres to preserve around 1,500 tonnes.

Himadri Kumar Saha, in-charge for seed and agri division of Ispahani Foods, a concern of Ispahani Group, said the company has started production of vegetable seeds.

“We already invested around Tk 12 crore in the last two years,” he said, adding that the company, apart from focusing on R&D, attempts to build stores and processing centres.

Other conglomerates like Square are yet to start operation in full swing in the rice seed segment. But the company now produces and markets certified seeds of potato, an official of Square said.

FH Ansarey, executive director of agribusiness division of ACI, also welcomed entry of new companies, saying that it would help expand the market, benefit the farmers and enhance efficiency.

“We are going for massive expansion to produce both the high-yield varieties and hybrid seeds locally. We have also built infrastructure to support expansion,” said the official of ACI, which aims to triple its hybrid rice seed production to around 600 tonnes this year from around 200 tonnes last year.

sohel@thedailystar.net

Dissemination of latest agro-technologies stressed

http://www.bssnews.net/newsDetails.php?cat=8&id=32014&date=2009-05-07&PHPSESSID=b925130c4b3c8f30ddbd2d823bc94b60

Dissemination of latest agro-technologies stressed

GAIBANDHA, Bangladesh, May 7 (BSS) – The agriculture experts at a function yesterday laid stress on the need for proper dissemination of knowledge about the latest agro- technologies to the farmers to increase country’s food production by reducing the use of insecticides.

“The production cost of all crops including paddy will be reduced and the soil fertility will be improved through proper usage of the Integrated Pest Management (IPM) method by the trained farmers at field level.”

They said this at a function on observing field day of IPM farmers field school at Hobibullahpur Block under Bongram union of Sadullapur upazila in the district yesterday.

Department of Agriculture Extension (DAE) organised the function with a view to train the farmers about the positive impacts of IPM method.

The experts also narrated the IPM method that would ensure the use of organic fertilizer in place of chemical fertilisers in the crop field and regain the lost fertility of soil side by side with protecting bio-diversity.

They also urged the farmers to disseminate and share the acquired knowledge at field level aiming at educating them in proper management of land, seed and water to build food security in the country.

Upazila agriculture officer Obaidur Rahman Mondal addressed the function as the chief guest and sub assistant plant protection officer Mahabur Rahman was present as special guest.

Master plan on ‘coal power dev’ on cards

http://www.theindependent-bd.com/details.php?nid=124974

Master plan on ‘coal power dev’ on cards
BSS, DHAKA

The power and energy ministry has taken a move to formulate a master plan on ‘coal power development’ in the country to accelerate the process of installing coal-based power plants to mitigate the nagging power situation.

To produce 1,000 MW of electricity from the coal-based power plants in the next couple of years, the government is set to start the work of feasibility study with the assistance of Japan International Cooperation Agency (JICA).

The ministry has also identified 13 areas across the country to install the proposed coal based power plants. These are Khulna, Bheramara, Meghnaghat, Mawa Upstream, Mawa Downstream, Chittagong, Cox’s Bazar, Mongla, Chandpur, Phulbari, Khalaspir, Dighipara and a third unit at Barapukuria coal mine areas.

“We primarily identified 13 places to set up coal based power plants. But our main objective is now to install four plants at Khulna, Mongla, Meghnaghat and Chittagong as we have infrastructure facilities here and we could install the plants at minimum time frame,” Alamgir Kabir, acting Chairman of Bangladesh Power Development Board (PDB), told the news agency today.

Although the power division has three master plans formulated in 1985, 1995 and 2005 the ministry felt those are not sufficient to focus on the present scenario, as the plans said the primary fuel of the proposed power plants would be gas.

“Petrobangla, the state-run oil and gas company, made it clear that it would be not able to supply gas to the future power projects from its existing reserve and some of our ongoing projects are being suffering due to gas supply shortage every day,” Adviser to the Prime Minister Dr. Tawfiq-e-Elahi Chowdhury, Bir Bikram, told the agency.
“Under the circumstances,” he said, “it would not be wise to go for more gas based power plants. We need to go for energy mix.”

Sources at the energy ministry said the government is yet to take any decision on coal policy. So it needs to explore all options including importing coal from abroad to run the power plants.

According to the Power Cell, the country would need 9,000 MW of electricity by 2014 and if it could successfully complete the installation work of the proposed coal based power plants, then the gap between the generation and supply would stand at 1,500 MW per day.

The PDB can now produce 3,800 MW to 4,000 MW.

In the present gas scenario, the Power Cell assumes that 4,000-MW-capacity new power plants ought to be developed using domestic coal.

According to the National Energy Policy 2004, country’s total coal reserve is 2,527 million tonnes in four fields – 492 million tonnes recoverable from the reserves.
This recoverable coal reserve is equivalent to 14 trillion cubic feet (tcf) of gas.

Among the fields, Barapukuria holds in its womb 300 million tonnes, Phulbari 400 million tonnes, Jamalganj has a cache of 1,000 million tons and 450-million-tonne coal is in deposit in Khalaspir area.

Professor M. Tamim, former special assistant to the chief adviser of the caretaker government and a teacher of BUET, said the fuel crisis is the main obstacle to mitigating power crisis.  “We should be go for setting up on dual-fuel system of using coal and gas for the sake of better energy security.”

Bangladesh to export multipurpose ship to Denmark

http://www.theindependent-bd.com/details.php?nid=124816

Bangladesh to export multipurpose ship to Denmark
BSS, DHAKA

Bangladesh will export multipurpose container ships by handing over the ‘Stella Moon’ to the Denish government on May 10.

Ananda Shipyard and Shipways Ltd (ASSL), one of the premier shipbuilding companies of the country, has built the Stella Moon.

The Stella Moon is the eighth oceangoing ship to be exported.  Earlier, the company exported ships to Denmark, Germany, Norway and Mozambique.

Industries Minister Dilip Barua will inaugurate the handing over ceremony as the chief guest on the premises of the shipyard at Meghnaghat under Sonargaon upazila in Narayanganj district, Manager (Admin) of the ASSL Mosharref Hossain told BSS.

The ASSL has so far secured export orders for 34 ships involving US$ 373.50 million, the manager said.

Key RMG players shift to automated systems

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Key RMG players shift to automated systems

Operators handle a state-of-the-art fabric cutter at a garment factory in Gazipur. Leading readymade garment manufacturers are now shifting to automated production systems from the traditional ones to be more competitive in global apparel business. Photo: Amran Hossain

Refayet Ullah Mirdha

Leading readymade garment (RMG) manufacturers are shifting to automated production systems from the traditional ones to be more competitive in global apparel business, said industry insiders.

They said adoption of fresh technology in the apparel industry is paying dividends to owners, as it helps improve management, quality and delivery systems.

The industry operators have also brought about changes in cutting, knitting, dyeing, finishing and packaging through the application of these new technologies.

RMG workers previously cut fabric manually, or the cutting machine’s speed was time-consuming. But now it is possible to cut fabric many times faster with the auto cutter machine.

Similarly, in the case of quality control, the automated machinery in a very short while can check whether any needle or any other metal tool is mistakenly embedded in the packaged clothes, according to the workers.

The new technology helps finish dyeing of several hundred yards of fabric in a few hours, says a dyeing factory owner.

Viyellatex Group is the country’s first garments factory that has implemented the expensive Enterprise Resource Planning (ERP) solution from SAP Germany, said Group Chairman KM Rezaul Hasanat.

Some multinationals and other local business houses now adopt the ERP solution, but in the garments sector Viyellatex Group is using it, Hasanat pointed out.

“Viyellatex Group is one of the leading factories worldwide which is using ERP from SAP. The group implemented the ERP in its Gazipur based factory in December last year at a cost of $2million,” Hasanat added.

“I save time and wastage in my factory in almost all the sections. I can know the on-time production by one click alone,” the Viyellatex boss said.

Talking to The Daily Star, Shahadat Hossain Kiron, managing director of Dekko Group, one of the leading apparel makers, said he plans to install the SAP software to bring efficiency at all levels.

He said currently almost all modern factories are setting aside their traditional methods and adopting automated systems. “Efficiency in cutting, knitting, dyeing and finishing has been attained because of the application of these technologies,” Kiron said.

Ghulam Faruque, chairman of SQ Group, a leading sweater maker, said he hired a Bangladeshi born British specialist for his group to develop ERP aiming to ensure better management and production systems.

“I hope SQ Group would be able to implement ERP in next six months,” he said.

Faruque said Bangladeshi manufacturers mainly use sophisticated European and Japanese technologies in their production units.

He said since manufacturers are now shifting to lean systems, they prefer these technologies to enhance efficiency.

Bangladesh Textile Mills Association data say Bangladesh imported capital machinery and other technologies worth Tk232.768 crore for the textile sector during July-April period of the current fiscal year.

reefat@thedailystar.net

Light engineering sector produces at least 50 pc substitutes of imported items

http://www.thefinancialexpress-bd.com/2009/05/07/65749.html

Light engineering sector produces at least 50 pc substitutes of imported items

Munima Sultana

Light engineering sector (LES) that draws the least attention of the policymakers, has emerged as a potential cost cutting sector by producing at least 50 per cent substitutes of imported items in the country.

This important sub-sector is now providing critical support to industrial, agricultural and construction sectors by manufacturing a wide range of spare parts, castings, moulds and dices, oil and gas pipeline fittings and light machinery, as well as repairing those.

Sector players claim that electrical goods like switch, socket, light shed, channel, cables and electrical fans, which are manufactured by the LES are now meeting 48 to 52 per cent of the country’s demands, which was earlier met through import.

Besides, the sector’s contribution to production, maintenance and repair of automobile spare parts is worth about US$ 75 million. Statistics show that the country spent US$ 2.3 billion in import of cars and another US$ 74 million in automobile spare parts in 2007-08 fiscal year.

In the agricultural sector, all the shallow tubewell spare parts like liner, diesel engines are now coming from the LES, which are located in rural areas of the country, they claimed.

Though having limited investment opportunity, some products of this sector have successfully turned into well-known brands like Al-Amin Fan, BRB cables and Sunflower cables, among others, they added.

According to official statistics, the market turnover of the sector was $ 2.1 billion in 2008 with an average estimated growth of 7 to 8 per cent. The earnings from this sector is $ 2.8 billion per annum.

According to Export Promotion Bureau, export earnings from this sector was $310 million during 2007-08, which was $285 million in 2006-07. Export growth was estimated at 30 per cent.

President of Bangladesh Engineering Industries Owners’ Association Abdur Razzak claimed the sector’s actual growth remained invisible due to lack of detailed study on this vital support sectors.

He termed light engineering sector as ‘the mother of all sectors,’ because it provides backup support to cement, paper, jute, textile, sugar, food processing, railway, shipping, garments capital machineries by repairing and maintaining those. The sectors growth rate was 10 per cent, he added.

A recent study conducted by International Finance Corporation (IFC) in partnership with UK Department for International Development and Norwegian government shows that LES has in its employment 600,000 people involved in 50,000 micro enterprises and 10,000 Small and Medium Enterprises.

Another study conducted by Bangladesh University of Engineering and Technology however, estimates that LES comprises of around 40,000 enterprises employing around 800,000 people.

Abdur Razzak said whatever growth was being projected in the sector it cannot be considered encouraging as it still stands on low capital and low investment climate scenario because of inadequate support from policy makers and financial institutions.

Sources said despite demands in the country, most products of light engineering sectors could not penetrate the market due to use of old machineries, lack of quality finish and inadequate manpower training.

The IFC-SEDF (South Asia Enterprise Development Facility) study shows that machineries including lathe, shaper, milling and drill used in different LES industries are on an average 23 years old.

At present, the country’s lone quality assurance authority BSTI (Bangladesh Standards and Testing Institution) lacks the capacity to standardise most of the LES products.

Recently, in an attempt to develop partnership between sectors, an agreement was signed between Singer and Al Amin Fans under which the latter would produce Singer brand fans.

Besides, meeting has also been held with other potential users including the REHAB to encourage sale of products coming from the sector.

Pak textile team talks jt venture possibilities

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Pak textile team talks jt venture possibilities
Star Business Desk

A Pakistani textile delegation, led by S Muhammad Aasim, met yesterday the leaders of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) at the trade body’s office in Dhaka.

During the meeting, the two sides discussed various possibilities of investment and joint ventures in the textile industry and importing materials from Pakistan for the Bangladeshi garment industries, according to a press release.

The BGMEA side was led by its Vice President Faruque Hassan. It raised various problems that the association members face while importing textile products from Pakistan.

The meeting concluded with the decision to exchange of visits from the two countries to sort out problems and improve trade relations.

Islamic banking less risky

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Interview
Islamic banking less risky
Says top StanChart official

Afaq Khan

Sajjadur Rahman

Islamic banking is now an issue of great interest for many, including Western non-Muslims, because the system still remains almost unhurt by the ongoing global financial crisis.

Banks from the US to UK and China to India also prefer such banking.

“Islamic banking operates in real economy. This banking has no room for gambling, speculation, excess leverage, or the greed for windfall profit,” said Afaq Khan, chief executive officer, Islamic Banking of global finance giant Standard Chartered Bank.

Khan who was on a short visit to Dhaka had a conversation Tuesday with The Daily Star at StanChart’s Bangladesh headquarters, on prospects of Islamic banking in Bangladesh.

He joined StanChart in 2003 with a mandate to launch the Islamic business division for the bank. Since then, he has been responsible for the strategic build-up of a global Islamic banking business covering retail, corporate and investment banking with a wider product capabilities and award winning solutions.

Khan thinks the less risk is a major factor that contributes in growing Islamic banking.

“Conventional banking is riskier than Islamic banking because it deals with debt trading and keeps itself in market speculation, which European and American banks experienced,” he noted.

Another interesting feature is Islamic banking remains immune from the recession fallout, as the global financial institutions experienced, especially in the US and Europe.

Demand from the world’s 1.66 billion Muslims for investments compliant with their beliefs is soaring. Assets that go by Islamic law are currently estimated at $900 billion-$1 trillion. The annual growth rate is 15-20 percent.

Khan, who has 20 years of banking experience, believes Bangladesh could be a big market for Islamic banks as over 85 percent of the country’s nearly 150 million people are Muslims.

But he feels the business prospect would depend on diversification of products, services and the adequate training the officials concerned require.

“People here take much interest on the Islamic banking system. Some 99 percent customers prefer such banking,” observed Afaq Khan, who looks after StanChart’s Islamic banking services globally.

“Saadiq” is the brand of this bank’s Islamic banking, which has rolled out around 100 products and solutions relating to consumer and wholesale banking.

An Islamic bank traditionally generates its profits from Sharia-compliant investment activity. This profit is shared back with the bank’s customers at a pre-agreed ratio. An account holder is entitled to a share of these profits according to the funds he holds in his account.

This banking industry in Bangladesh also continues to show strong growth since its inception in 1983.

At present, out of 48 banks, 6 private commercial banks are operating as full-fledged Islamic banks. Besides 21 branches of 10 conventional banks are engaged in Islamic banking, Bangladesh Bank data shows.

Total deposits with Islamic banks and Islamic banking branches of the conventional banks in the country stood at Tk 34,730 crore by the end of June 2008. This deposit accounts for 24.4 percent of the deposits with all private commercial banks and 16.1 percent of the deposits with the total banking system.

Around Tk 34,910 crore is the total investment of the Islamic banks and Islamic banking branches have made, which is 26.8 percent of all private banks and 19.3 percent of the entire banking system.

Afaq Khan said Islamic banking differs from conventional banking, primarily because it does not look to charge or deliver interest.

“None can ‘make money from money’, instead, profit is generated through investment and trading,” Khan told The Daily Star.

The official said this return rate has to match the level of return provided by interest levels of conventional banking.

The global banking giant targets Bangladesh as one of the potential markets for its Islamic financial products and services.

As part of the move, the bank on Tuesday launched a home loan scheme titled “Saadiq Home Finance” in Dhaka.

“We are willing to offer more Islamic banking solutions to Bangladesh customers to cater to their needs,” Khan says.

Kamran Sunjoy Rahman, head of StanChart’s Islamic banking for Bangladesh, said launching more financial solutions to help customers are now under the StanChart’s financial management planning.

Rahman said the bank’s next plan is to launch Shariah-based business account for small and medium enterprises.

“Also, we eye Islamic investment banking,” he added.

Sandeep Bose, head of StanChart’s consumer banking, Bangladesh, Nepal and Sri Lanka, said “Saadiq” is growing faster than the bank’s conventional banking. But he declined to disclose the share of Saadiq in the bank’s total business portfolio.

On Islamic banking training for officials, Afaq Khan said such training is internally arranged.

“Courses are developed on the basis of key Islamic products and wider areas from a structuring, developmental, accounting and pricing viewpoint,” he added.

sajjad@thedailystar.net

Main emphasis laid on private sector in new industrial policy

http://www.thefinancialexpress-bd.com/2009/05/06/65705.html

Main emphasis laid on private sector in new industrial policy

FE Report

Industries Minister Dilip Barua said the government has given main thrust on the private sector in its new industrial policy for rapid industrialisation in the country.

“We’ll also encourage Public-Private Partnership (PPP) for the sake of increased investment and greater industrialisation,” he said.

He was speaking at a function organised by American Chamber of Commerce in Bangladesh (AmCham) on the occasion of the US Trade Show 2009 at a city hotel Tuesday evening.

The ministry of industries unveiled the draft industrial policy on April 25.

The minister said the present government has taken an initiative to formulate a new and comprehensive industrial policy keeping the opportunities and challenges of global recession in mind.

In the new policy, emphasis will be given on knowledge-based and hi-tech industries, he said.

“Similarly, the coming policy will also give emphasis on labour intensive sectors to generate employment in line with the government’s election pledge to provide jobs to at least one member of a family by 2021,” he said.

The minister said the government emphasises the need for efficient use of energy, conserving resources and environment friendly corporate policy for sustainable development in the country.

“We’re committed to building a knowledge-based society with a view to establishing an industrialised Bangladesh by 2021. Our top priority is to meet the challenges of the millennium,” said Mr. Barua.

“As per the guidelines of Vision-2021 announced before the parliamentary election, we will make a Digital Bangladesh ensuring e-governance, e-management, e-commerce, e-learning as well as service in every sector of the society.”

The minister said Bangladesh is not free from the possible threats of global economic crisis.

“In order to face the challenges of global meltdown, we have no other alternative than strengthening our domestic industrial capacity and diversifying our export,” he added.

“We should be prepared to cope with the changing situation by ensuring necessary adjustment and readjustment in our national economic policy instead of being afraid of global meltdown.”

“The country needs to develop its indigenous and local industries so that we can meet the domestic demand of 15 million people from our own production. If we are able to achieve self-sufficiency in supplying the required products as per the demand of our people it will change the economic scenario of the country.”

He said the country can take the advantage of the huge labour force, one of the cheapest in the world, and produce quality products at a very competitive price.

“Our huge labour force is considerably cheaper in costs compared to that of the developed countries. This will also create a new avenue for our export expansion to the developed countries. It will certainly provide a positive scope for us in spite of global financial meltdown.”

The minister said the government is giving top priority to industrialisation for the sake of national economy.

“In this regard, the role of government would be a proactive facilitator. Of course, there must be provision for some state controlled industries for ensuring national interest and national safety,” he added.

Reopening of closed mills and industries is one of top electoral pledges of the present government, he said adding that the government has already reopened Chittagong Chemical Complex (CCC), which has substantial demand for its product.

The government is also working sincerely on establishing a congenial political atmosphere and a healthy relationship among the employers and the workers. “I personally believe, without a stable political environment and strong confidence among the investors, industrialisation process cannot go on smoothly,” he added.

“We are going to set-up Special Economic Zones (SEZs) instead of Export Processing Zone (EPZ) to ensure equal opportunities and facilities for the local investors,” Mr. Barua said.

At the same time, the government is giving special emphasis on foreign direct investment (FDI), he said adding that the government will encourage foreign and local investors as well as expatriate Bangladeshis to invest in Bangladesh taking the advantages provided by the government.

“I assure you that the government is committed to protect the investments of foreign as well as local entrepreneurs,” said the industries minister.

He said the country has some emerging sectors like-Ship building, Ceramic, Automobile, Pharmaceutical, Plastic, Small and Medium Enterprises (SME) with opportunities for subcontracting etc., which have huge potential to help flourish and boost the economy.

Deputy head of mission, US embassy, Geeta Pasi, president of AmCham Syed Ershad Ahmed, vice-president Trevor MacDonald, executive director A Gofur and chairman of Bangla Trac Limited Tarique E Haque, among others, attended the function.

StanChart launches Islamic home finance

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StanChart launches Islamic home finance

Star Business Report

Standard Chartered Bank plans to launch a number of Shariah-based products to strengthen its Islamic banking services in Bangladesh, officials said yesterday.

As part of the move, the bank yesterday rolled out a home loan scheme titled “Saadiq Home Finance” in Dhaka.

“We are willing to offer more Islamic banking solutions to Bangladesh customers to cater to their needs,” Afaq Khan, chief executive officer of Standard Chartered Saadiq, told reporters in a news briefing.

StanChart’s Islamic banking is called “Saadiq”.

“We are committed to bringing new products to Bangladesh. It is one of the few markets where we want to grow,” Khan said.

Kamran Sunjoy Rahman, head of StanChart’s Islamic banking for Bangladesh, said the new Saadiq home finance is part of a series of products to be launched by next year.

“We will roll out more financial solutions to help our customers in their financial management planning,” Rahman said.

He said the bank’s next plan is to launch Shariah-based business account for small and medium enterprises.

“Also, we are planning to launch Islamic investment banking,” he added.

On the new products, Khan said: “Our product strategy has always been a truly customer-centric approach. The launch of new products depends on the customers’ need.”

Standard Chartered Bangladesh has a wide variety of Islamic financial products, such as savings and current accounts, fixed deposit, credit card, personal and auto finance.

Officials said the new Saadiq home finance would provide potential as well as existing homeowners with a variety of choices in property purchases and renovation.

The maximum limit of the loan will be Tk 75 lakh. The scheme will be based on the concept of “Hire-Purchase under Shirkatul Melk”.

In Shirkatul Melk, co-ownership is formed between two or more persons who share the ownership of a tangible asset in an agreed proportion. One of these co-owners undertakes to buy in periodic installment of the proportionate share of the other co-owners until the full ownership of the asset.

Standard Chartered Islamic Banking in Bangladesh was launched in 2004 and has been growing significantly in the last two years.

Sandeep Bose, head of StanChart’s consumer banking in Bangladesh, Nepal and Sri Lanka, was also present at the briefing.

‘Consumers opting for locally-made refrigerators’

http://www.theindependent-bd.com/details.php?nid=124593

‘Consumers opting for locally-made refrigerators’
Economic Reporter

RB Group, the first local company to start producing refrigerators and other electronic goods, offers refrigerators at 20-30 per cent reduced rates compared to other imported foreign refrigerators

Walton, a brand of RB Group, offers a 10-cft refrigerator at Tk. 20,700 while a similar size imported refrigerator is selling between Tk 30,000 and Tk 33,000, says a showroom manager of Walton at Bashundhara City.

The group recently launched commercial production of refrigerators at its manufacturing plant in Gazipur.

The plant of Walton Hitech Industries now produces about 0.60 million units of refrigerators against demand for 0.40 million units in the country. Company officials hope that the locally made refrigerators would be exported Thailand, South Korea and some African countries, including Sudan, from July as negotiations are on to sign the export deals.

Marcel, another brand of the company, also offer refrigerators at a similar price.

PM okays draft MoU on N-power plant with Russia

http://www.newagebd.com/2009/may/05/front.html#17

PM okays draft MoU on N-power plant with Russia
Bdnews24.com . Dhaka

The prime minister, Sheikh Hasina, on Monday provisionally approved a draft memorandum of understanding with Russia on installation of a nuclear power plant, officials with knowledge of the matter said.

Nazmul Huda Khan, science and technology secretary, told the news agency that they expected an agreement to be signed later this month when a Russian minister was expected to visit Dhaka.

Bangladesh and Russia finalised the draft to sign an agreement after the three-day negotiations in April in Dhaka on installation of a nuclear power plant.

Ministry officials said the capacity of the power plant would be finalised in the final deal but the government decided to set up two plant each with 1000MW capacity.

Russia did specify the financial terms which would be settled after the final agreement, sources said.

Sources said Russia was interested to provide loan, probably on easy terms, rather than grant. The Economic Relation Division will settle the terms and conditions.

Russia has supplied as many as 65 plants to Iran, India, China, Armenia, Ukraine, Hungary, Slovakia, Czech Republic, Finland, Bulgaria and Germany, including 10 in last year.

It is constructing 11 power plants.

The first initiative to install nuclear power plant at Rooppur in Pabna was taken in 1961.

Beacon Pharma to launch IPO soon

http://www.theindependent-bd.com/details.php?nid=124594

Beacon Pharma to launch IPO soon
Economic Reporter

Beacon Pharmaceuticals Ltd, an innovative and technology-driven company, only within two years of its operation has introduced substantial number of new and innovative technologies in the pharmaceutical industry.

Beacon was the first to establish hi-tech anti-cancer drugs manufacturing facility in the Bangladesh.

For expanding the operation as well as repay the term loan of the bank the company intends to offload its shares (IPO) and has appointed ICB Capital Management Ltd. (ICML) as Manager to the Issue of the IPO.

In this regard an agreement was signed recently at the Board Room of the company between Beacon Pharmaceuticals Ltd. and ICML. The agreement was signed by Mohammad Ebadul Karim, Managing Director of Beacon Pharma and Md. Abdur Rouf, CEO of ICML on behalf of the respective companies, says a press release.

Bangla Moti, alternative variety of Basmoti

http://nation.ittefaq.com/issues/2009/05/05/news0277.htm

Bangla Moti, alternative variety of Basmoti

BSS, Dhaka

‘Bangla Moti’- a new variety of high- quality aromatic rice produced in Bangladesh for ‘Polou’, a local delicious dish of rice and meat boiled in butter will hit the market by 2012.

The government has undertaken a project considering the demand for the aromatic rice among people of the country as well in the export market, sources in the ministry of agriculture said here on Monday.

The Bangla Moti is the brand name of BRRI-50 invented during the last Caretaker Government under a project “Fine Rice Production and Marketing Project”.

So far, the seeds of the high quality rice have been procured from only Aman rice only. But the government, with the aim of raising its production, has taken step to procure its seeds from Boro rice from this year.

They said the best type of rice now used for ‘Polou’ is ‘Basmoti’, an Indian variety, along with other categories like Chini Atap, Katari Vogh, Bashful, Radhuni Pagal and Dula Vogh.

But all of these costly varieties are not aromatic ones, despite having high demand among the people for many social occasions and festivals irrespective of their living conditions.

The sources said the interest among farmers to cultivate the aromatic rice is declining fast due to lack of proper marketing system. The project to boost production of ‘Bangla Moti’ would help meet local demand, reduce price of aromatic rice locally and enlarge its export market, they said.

Officials said the present government asked the Bangladesh Agriculture Development Corporation (BADC) to produce the seeds of the rice and allocated about Taka 10.38 crore for the five- year project.

Under the project, they said, five tonnes of seeds were produced this Boro season with a target of producing 50 tonnes of seeds in the coming year. The rice will be cultivated in Rajshahi, Nagoan, Chapainawabganj, Dinajpur and Joypurhat districts.

They said seeds of BRRI-50 will be made available for farmers in 2011 and its rice “Bangla Moti’ will come to local market in 2012.

Additional secretary of the agriculture ministry Anwar Faruk said the Bangla Moti would be an alternate local variety of Indian ‘Basmoti’. The high quality and delicious rice would meet the shortage of aromatic rice in the country, he said.