$5b energy projects to be on offer for overseas investors

http://www.thefinancialexpress-bd.com/more.php?news_id=85521

$5b energy projects to be on offer for overseas investors
Road shows in London, NY, S’pore next month

M Azizur Rahman

The government will offer energy projects worth $5.0 billion to global firms for investment during the overseas road shows in London, New York and Singapore slated for next month, officials said Wednesday.

“The projects include large power plants and a liquefied natural gas (LNG) terminal,” power secretary Abul Kalam Azad told the FE.

The power ministry will urge international reputed companies to invest in the $4.0 billion power projects and $1.0 billion LNG terminal.

The road shows will be held in London on December 15-16, New York December 17-19 and Singapore December 21-22, said the power secretary.

“We will require investments worth $7.0 billion for electricity generation in the next five years until 2014,” Bangladesh Power Development Board (BPDB) chairman ASM Alamgir Kabir told the FE Thursday.

Several multilateral donor agencies, including the World Bank, Asian Development Bank and Japan International Cooperation Agency (JICA), have already committed to provide fund worth $3.0 billion for building the independent power producer (IPP) projects, said the BPDB chairman.

The remaining $4.0 billion IPP projects will be put in place for the global players during the road shows, he said.

The IPP projects that will be put on offer for investment during the overseas road shows include Bibiyana 450 megawatts (mw), Meghnaghat 450 mw and Bhola 225 mw projects.

Four coal-based power plants to generate a total of 2,000 mw of electricity and two furnace oil-run IPP projects to generate 100 mw of electricity each at Savar and Kaliakoir also planned for offer for investment.

“The LNG terminal project worth $1.0 billion has been incorporated for offer alongwith with the large power plant projects for offer to ensure the country’s future energy security especially in the port city Chittagong,” Petrobangla chairman Dr Hussain Monsur said.

Initially, the LNG project was not planned for offer during the road shows.

The government is planning to set up a LNG terminal in the port city Chittagong with a target to meet the soaring energy demand for the liquefied gas, said the Petrobangla chairman.

He said the capacity constraints of the country’s existing transmission pipelines along with the sharp fall of Sangu gas output have led to the energy supply crunch in the port city.

“The Ashuganj-Bakhrabad gas pipeline does not have the capacity to carry gas beyond 185 million cubic feet gas per day (mmcfd) from the country’s gas-rich northeastern Sylhet region to the southeastern Chittagong,” said the Petrobangla chairman.

This pipeline is currently carrying 170 mmcfd of gas.

The country’s lone operational offshore Sangu gas field is now supplying only around 40 mmcfd of gas, which was as high as 220 mmcfd before, he added.

The Sangu is experiencing pressure drop by day and the experts predict the field will be out of operation by next two years, Dr Monsur said.

He said setting up of the LNG terminal in Chittagong and the subsequent import of LNG will end energy crisis in Chittagong as the power plants and industrial units could meet their energy needs by LNG.

A number of industries could not go into operation in the port city only due to energy supply shortfall.

Energy ministry officials said the government has moved to arrange the overseas road shows to woo the global players for investment in the country’s energy projects, seen crucial to cope with the country’s soaring energy demands.

Bangladesh urgently needs new energy sources as government forecasts have indicated that its current gas reserves will run out by 2014-2015 at current consumption rates.

The country’s proven reserves now stand at 6.93 trillion cubic feet (Tcf) and probable reserves at 5.5 Tcf.

100 investors to be in London road show

http://nation.ittefaq.com/issues/2009/11/26/news0522.htm

100 investors to be in London road show
Staff Reporter

Prime Minister Sheikh Hasina will attend the opening function of the road show in London on December 15.

Prime Minister’s Adviser for Power and Energy Dr Tawfiq-e-Elahi Bir Bikram said it to The New Nation yesterday.

He said the government has already taken preparation to hold the road show.

The Prime minister will deliver a speech before investors in power and energy sectors with a call to invest in 10 large power plants and two LNG stations in Bangladesh.

The government will invite nearly 100 local and foreign investors in the London road show.

A total of 11 members including Dr Tawfiq-e-Elahi, State Minister for Power and Energy Brig Gen (retd) Enamul Huq, Power Secretary Abul Kalam Azad, Chairmen of the Board of Investment Dr SA Samad, Petrobangla Chairman Prof Hossain Monsoor, Power Development Board Chairman ASM Alamgir Kabir, and Bangladesh Petroleum Corporation, Energy Regulatory Commission Chairman Syed Yusuf Hossain, Deputy governor of Bangladesh Bank, PDB member generation and PDB member distribution will participate in the London road show.

The government will also arrange two-day Road show in Washington, which will start on December 18 while the two-day road show in Singapore will begin on December 21.

In Washington road show, the Board of Investment will invite 75 foreign and local investors while the volume of invitees in Singapore will be 60 persons, sources said.

The estimated cost for the three road show is $3, 09,026, Power Development Board (PDB) sources said.

The government will distribute gifts to foreign delegates and publish supplements in newspapers at an estimated cost of $1,71,526.

Besides, the transportation fares and other related cost will be $1,25,000 while transportation cost and hotel rent for delegation will be $ 12,500.

Ministry of Power, Energy and Mineral Resources has already requested the Board of Investment (BoI) of Bangladesh to invite chambers leaders of USA, UK, China, Malaysia, Korea, Russia and some others countries, sources said.

Besides, the Ministry also requested the BoI to invite the local investors in power sector. In this case, the local investors will bear all the expanses to join the road shows.

The government will hold the road shows to attract foreign direct investments in the projects like: Coal based power plants each having capacity of 500MW in Chittagong, Khulna , Mawna/ Jazira and Meghnaghat. FDI will be encouraged also for establishments of 450MW Bibiana Power Plant Unit-2, 450 MW Meghnaghat Duel fuel based Power Plant, 225MW Bhola Power plant Unit 2 , 450MW Sirajgonj unit-1 Power Plant, Kaliakoir and Savar Power Plant (each having capacity of 100 MW) and two LNG terminals, Power Division Secretary Md Abul Kalam Azad earlier told The New Nation .

The Power Division will also attract investments for installation of 400MW wind and solar based renewable power plants, he said. As per PDB estimates more than $5 billion will be required to install the power plants.

UK’s CDC to invest $10m in BD thru’ Swedish co

http://www.thefinancialexpress-bd.com/more.php?news_id=85361

UK’s CDC to invest $10m in BD thru’ Swedish co
A Z M Anas

The UK’s Commonwealth Development Corporation (CDC) will put US$ 10 million into a Swedish-financed private equity firm, as it looks to garner the potential of Bangladesh’s recession-proof economy, its top boss has said.

Richard Laing, chief executive officer of the British development finance institution, has said his organisation is on an investment trail and would funnel the fund through the Bangladesh unit of Brummer and Partners to ensure that companies in emerging economies have access to “patient” capital flow.

Last year, Brummer and Partners, which manages $ 7.0 billion assets across Europe and Asia, established the Frontier Fund with $ 53 million. This year the World Bank’s private lending arm International Finance Corporation (IFC) also provided it with $ 10 million to invest risk capital in Bangladesh’s responsibly managed companies.

“The key thing of private equity is patient. It’s not looking for 1-2 years for return,” he said in an interview last week.

“We see tremendous opportunities. Emerging markets have 130 private equity firms. Of them 30 are in India, but few in Bangladesh,” he said.

CDC’s net assets have more than doubled since the beginning of 2004, from 1.2 billion pounds to over 2.3 billion pounds. It also helped mobilise 2.3 billion pounds of third-party capital thanks to its investments in funds managed by Actis and Aureos.

In January 2009, CDC mapped out a new five-year investment policy in accordance with its shareholder – the Department for International Development (DFID).

Under the policy, the corporation aims to make more than 75 per cent of new investments in low-income countries including Bangladesh and at least 50 per cent in sub-Saharan Africa.

Currently, South Asia and sub-Saharan Africa are the largest destinations for CDC investments.

Last week, Mr Laing and his board were in the city as part of the investment exploratory mission, as the group visualizes Bangladeshi companies as the future of its business.

Despite the global recession, Bangladesh showed robust resilience, having managed to grow 5.9 per cent in the 2009 financial year, a slight drop from 6.2 per cent a year earlier.

The recession-proof economy may have prompted the CDC board to look into Bangladesh market, and Mr Laing called it “the next stage of exciting investment opportunity.”

The CDC boss said Bangladesh has the capacity to attract equity investment equivalent to one per cent of its economic output, and also said private equity industry makes up two to three per cent of GDP in mature economies.

Although such fund was not available in Bangladesh in the past, the CDC top executive has estimated that this country can tap at least US$ 1.0 billion in private equities.

“Still, the share is small. That leaves an option to go after,” he told the FE.

CDC prefers an intermediated approach to enable it leverage capital from other investors, increasing capital flows to markets where there is great need.

It made its debut investment in a Bangladeshi non-bank financial institution in 1981, holding as much as 70 per cent of stakes in IPDC. Just a year after, it invested in Monno Ceramics Ltd, now a leading ceramic manufacturer.

Subsequently, it made a string of investments in companies like Beximco Group, KAFCO, Meghnaghat Power plant, United Leasing and BRAC Bank Ltd.

Its portfolios by sectors are as diverse as financials, energy and utilities, infrastructure, consumers, telecomm, healthcare and agri-business.

“CDC is a long-term investor and most of the funds that we invest in have a ten-year life. We are therefore able to look beyond short-term fluctuations in value,” Mr Laing added.

The light engineering sector

http://nation.ittefaq.com/issues/2009/11/24/news0378.htm

The light engineering sector

LIGHT engineering industries form an important sector of the national economy in terms of the number of units, employment and annual turnover. According to Bangladesh Engineering Industry Owners Association (BEIOA), a total of 40,000 such units are producing capital machinery, spare parts of imported machines – new or reconditioned. Their total economic value is claimed to be Tk 20,000 crore a year. The sector reportedly provides employment to some 20 lakh people. According to a recent report, export of light engineering equipment fetched US$220 million and US$189 million in 2007-08 and 2008-09 respectively. But potential of the sector cannot be fully utilised for lack of capital and support survices. In spite of having a large number of experienced technical hands, the sector cannot make innovations as they use age-old machinery. Banks and financial institutions are reportedly less interested to invest in the sector.

Bangladesh depends on foreign countries for costly capital machinery. Local light engineering industries can meet a part of the demand at cheaper prices if the industries are given financial support to produce modern machinery. These industries are already doing a significant part of maintenance works of the existing industries supplying spare parts fabricated locally and thus saving huge foreign exchange. Light engineering industries along with other SMEs are considered engines of industrialisation. They absorb more workforces and can help achieve the goal of poverty reduction.

Bangladesh has hardly any heavy industry. The country with about 30 million unemployed people needs labour intensive industries. Light engineering industries are specially suitable for their high labour intensity, innovativeness and low capital investment. Stakeholders in the sector want the authorities to create a special fund to provide loans at low interest rates. The SME Foundation may extend financial support to them. Policy support for the development of this vital sector would give rich dividends, say experts.

Egyptian entrepreneurs urged to invest in Bangladesh

http://nation.ittefaq.com/issues/2009/11/24/news0392.htm

Egyptian entrepreneurs urged to invest in Bangladesh
BSS, Dhaka

Industries Minister Dilip Barua on Monday urged Egyptian entrepreneurs to invest here at different potential sectors by taking advantage of various lucrative offers provided by the government to increase the country’s Direct Foreign Investment (FDI).

“Egyptian investors can also come forward for joint investment with the local businessmen aiming at increasing economic relations between the two countries,” he said while holding a meeting with the Egyptian Ambassador to Bangladesh Fayez Noseir at his office at the ministry here.

The Minister also suggested exchanging visit of business delegation to identify the potential sectors of commerce and trade cooperation between Dhaka and Cairo.

During the meeting, they also discussed matters related to bilateral issues and mutual interest as well as vulnerable position of Bangladesh due to adverse affect of climate change.

The Minister said, the government is considering to build coal-based power plant for quick solving the acute electricity crisis in view to build a industrialized Bangladesh.

Referring that the government has put special emphasis on building skilled and trained human resources through vocational education, the minister sought support of Egyptian government in this regard.

Praising the Bangladesh government role in building skilled manpower, the envoy said his government is keen to provide support to Bangladesh in this regard.

He also hoped that the cooperation between Bangladesh and Egypt in industry and technical sectors would be increased under D-8 forum in the coming days.

Re-launch of One Stop Service soon

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Re-launch of One Stop Service soon
Star Business Report

The state-run investment promotional agency will re-launch its One Stop Service to provide better services to entrepreneurs expediting investment processes, its chief told a seminar in Dhaka yesterday.

“Enhancing image through better service is our goal,” said S A Samad, executive chairman of the Board of Investment (BoI).

Canada-Bangladesh Chamber of Commerce and Industry (CanCham) organised the seminar on Bangladesh’s Potentials for Foreign Investment at the auditorium of Dhaka Chamber of Commerce and Industry.

The BoI boss listed some facilities offered to investors, both local and foreign, which include cash incentives, zero tariff benefit for importing some specific raw materials and guaranteed loans against opening of letters of credit.

In this context he also pointed his finger at opening up a widened area of investments for all except four sectors including arms and ammunition, forest plantation, nuclear energy and security printing and minting. “ You have a lot of areas you can make investment.”

Samad assured foreign entrepreneurs that their interests are protected by the law of the land.

At present there are 44 Canadian projects in Bangladesh with an accumulated investment of $296.37 million employing 11,087 persons, he pointed out.

“The government is relentlessly trying to improve the law and order for creating a better investment climate in the country,” Samad said.

The decline in corruption and crime is a clear indication of the better law and order, he added.

In his speech, Canadian High Commissioner in Bangladesh Robert McDougall stressed improvement in Dhaka’s traffic congestion to attract foreign direct investment (FDI).

“Practical actions are needed, rather than soft words for reducing the city’s traffic jam,” he said.

Urging an accelerating pace in the execution of annual development programmes, CanCham President Masud Rahman lauded the government’s public-private partnership (PPP) initiatives saying it is a good effort to lure FDI.

However, he lamented that current investment offers are not enough in the cases of much-needed physical infrastructures like energy, port, roads and railways.

These areas need huge money with slow return, Rahman said.

“Appropriate policy support that envisages joint ventures and incentives may be given to attract investment in these areas,” Rahman added.

CanCham Vice-president John Douglas Hearns also spoke.

Japanese investors’ interest on rise

http://www.newagebd.com/2009/nov/22/busi.html#1

Japanese investors’ interest on rise
Kazi Azizul Islam

Japanese investors and importers are choosing Bangladesh as one of their major destinations. Trade negotiations, agreements and visits by investors have marked a significant rise in recent times.

According to a Japanese trade diplomat in Dhaka, Japanese investors are showing more interest in investing Bangladesh.

‘The express of interests from potential investors and importers in the past six months was definitely much higher than before,’ Tomohiro Kinomoto, the country chief of the Japan External Trade Organisation, told New Age.

The JETRO official observed, ‘Bangladesh should not miss this chance.’

Top-level officials of Shimamura, Japan’s second largest clothing retailer, and Okamoto, Japanese socks and hosiery market leader, visited Dhaka early this month.

Kinomoto said their visits were successful.

In 2007, Bangladesh apparel shipment to Japan was worth less than $30 million exposing the country’s inability to extract from Japan’s $25 billion plus market of imported apparels.

But, the opening of the Dhaka sourcing office in Mid-2008 by Japan’s number one clothing brand Uniqlo drew attention of other Japanese, who mainly source from China with some procurement from Vietnam, Thailand, and Indonesia.

In nine months to September 2009, Bangladesh apparel shipment to Japan crossed $80 million, which is more than double of the 2008 shipment.

Kinomoto finds highly significant the partnership between Bangladeshi ISP BracNet and Japanese telecom and internet service giant KDDI Corporation.

KDDI, which is partly owned by Toyota and Kyocera and has business with Google, announced last week that it had bought 50 per cent stakes in BracNet.

Kinomoto declined to name more companies that are close to make investment deals or doing feasibility studies in Bangladesh.

Sources in the Japan Bangladesh Chamber of Commerce and Industry said at least half a dozen Japanese textile and garment companies were in process of registration as investors.

‘Companies are also doing feasibility studies in sectors like pharmaceuticals, information and communication technology and leather,’ said a JBCCI official.

The JBCCI president, Abdul Haque, said Kenco Logistics and Konoike-Euro Logistics opened their offices in Dhaka while QTECH, an inspection company, announced opening of its office in February next year.

‘Arrival of a freight forwarder and an inspection company in a new place indicates huge increase in business in the near future,’ Akhtaruzzaman, a member of parliament and the agent QTECH, said.

Syed Nasim Manzur, managing director of Apex Adelchi Footwear, the country’s largest shoe manufacturer and exporter, felt that eagerness of Japanese investors towards Bangladesh had increased significantly in recent months.

For years, business seminars in Dhaka discussed the potential of Japanese investment in Bangladesh or possibility of relocations of Japanese manufacturing industries in the country.

But in reality Japan’s investments in Bangladesh remain insignificant comparing with Korea, China, Taiwan or even the UK or USA.

Kinomoto of JETRO said due to the ‘China Plus One’ policy of the Japanese government, the Japanese manufacturers had started considering Bangladesh as an important investment and import souring destination.

‘The global recession has pushed the Japanese business to search lower cost manufacturing base and sourcing destinations,’ he added.

Power and gas supply would have to be improved, Kinomoto said adding that road condition would have to be improved and land has to be developed for setting up factories.

Citing establishment of a special economic zone by the Pakistan government for Japanese investors, he said, ‘The Japanese may not want that here, but spaces could be provided by expanding the existing EPZs immediately.’

The JBCCI president said the government and business bodies would have to actively welcome the latest interests of the Japanese investors and arrange necessary facilities in shortest possible time.

He said for meeting demand of Japanese investors immediately the government could offer them land belonging to closed state-owned enterprises.

Exports await boost as west crawls out of recession

http://www.newagebd.com/2009/nov/21/busi.html#1

Exports await boost as west crawls out of recession
Khawaza Main Uddin

The country’s economy may find stronger grounds for consolidating exports as a result of rising consumer demands in the west with the advanced economies crawling out of the recession.

In the coming months, economists anticipate positive implications of the recovery worldwide for Bangladesh, which remains largely insulated from the global financial meltdown.

They forecast that the national economy is most likely to escape the ‘tail effects’ of the recession as exports of both goods and manpower are expected to bounce back to normal trends cashing in on the latest economic growth in Europe and North America.

Demands for Bangladeshi garments in the west next summer and fall are high, say industry sources adding that exports of items such as frozen foods, jute and jute goods and leather products may also rebound, should the gains by mighty economies in terms of gross domestic product sustain.

However, the economists suggest that the government should now focus on long-term strategy for sustainable export earnings and remittances taking lessons from the country’s vulnerability to external shocks and also its resilience proven during the global recession spanning 2008 and 2009.

‘Demands for our products in the western markets are going to rise with the increasing consumer demands and if more employments are generated in the aftermath of the recession. Signs of an end to the financial crisis are there,’ said Ananya Raihan, executive director of research organisation D-Net.

Nazneen Ahmed, research fellow of the Bangladesh Institute of Development Studies, pointed out that the sales of goods and commodities in the run-up to the Christmas Day celebrations would ascertain whether the recession in Europe and America was over and the west could increase imports from countries such as Bangladesh.

Both the economists recommended that the government should always keep an eye on the latest developments in the global economy before taking any policy measures to support the exports and other sectors that might have impacts on taxpayers’ money.

A sub-committee of the officially-formed task force has recently advised the government to provide textiles and clothing units with partial interest waiver on bank loans and also cash incentive for exploring new markets, apart from floating a Tk 200 crore revolving fund to support the apparel sector. An amount of Tk 5,000 crore has been earmarked as stimulus package in the current budget.

In the past week, gross domestic products in the euro-zone area of 16 nations reportedly rose 0.4 per cent from the second quarter and joined the United States and Japan in returning to growth from the worst recession since the Second World War. Germany and France – two main destinations of Bangladeshi exports to the European Union – contributed more to compensating for households’ reluctance to spending.

The news of economic recovery in Europe in particular came in the wake of almost 12 per cent decline in Bangladesh exports in the first quarters.

When asked about the trends in export order receipts, Zafar Iqbal, director of a foreign company named Gooryong Dhaka Limited, mentioned that they had already witnessed approximately 40 per cent rise in the export orders targeting the next summer and fall.

‘Many factories especially larger ones are flooded with orders. However, the prices of garment items may vary and it depends on the capacity, including quality of products and bargaining power of individual entrepreneurs,’ he told New Age on Friday.

Nazneen Ahmed felt that Bangladesh was ‘perhaps’ going to avoid the ‘tail effects’ of the recession. ‘So, I believe, the government should maintain caution in paying direct stimulus with the taxpayers’ money,’ she said suggesting long-term measures to boost exports and remittances.

Ananya Raihan suggested trading with services instead of depending only on trade in goods and said Bangladesh had opportunities to export banking services to Africa, the Middle East and even South Asian countries.

He also recommended that the government could consider devaluation of Taka against dollar to give incentives to exports at a time when there was no pressure of higher import bills and foreign exchange reserves swelled to $10 billion mark.

Govt plans BTC in Dubai to tap Asian, African export markets

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Govt plans BTC in Dubai to tap Asian, African export markets
Sheikh Shahariar Zaman

The government is planning to open another Bangladesh Trade Centre (BTC) abroad, this time in Dubai, to tap Asian and African export markets.

Dubai is a business hub where Asian and African businesses have their offices and Bangladeshi exporters can have direct communications with them through the centre, commerce minister M Faruk Khan told the FE on Thursday.

The Dubai centre will be opened next year, he said.

The first ever BTC will be opened on November 29 in Port of Spain, the capital of Trinidad and Tobago, and Prime Minister Sheikh Hasina is expected to inaugurate the centre.

The Port of Spain BTC will be run by a Bangladeshi businessman and he will bring business from the countries in the Caribbean, South and Latin Americas and earn commission from the total business turnover, the commerce minister said.

“The government will support him financially for six months and from June he will bear all office expenses,” he added.

The office will have state-of-the-art facility and local exporters can hold video conference with importers of the region, Mr Faruk said.

When asked why Bangladesh is opening a trade centre at such a location where it does not have much trade relations, he said the objective is to expand market for Bangladesh products in the Caribbean, South and Latin Americas.

“We have big markets in the US and EU and also have presence in Africa and Asia but we do not have trade relations with countries in the Caribbean, Latin and South Americas,” he said.

“The main objective is to tap and diversify the market,” he added.

Special incentives will be given to exporters for product and market diversification under a stimulus package, he said.

The BTC at the Port of Spain will be able to furnish information on the country’s trade, history, tradition and culture.

The trade centre has been set up on a 1,000 sqf office space, provided free of cost by Bangladesh’s honorary consul general Razei Azad Rahman for five years, the minister said.

India Trade Fair from Feb 25 in city

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India Trade Fair from Feb 25 in city
FE Report

A three-day long ‘India Trade Fair (ITF) 2010′ will be held from February 25 to 27 at the Winter Garden and Tennis Court of Dhaka Sheraton Hotel.

India-Bangladesh Chamber of Commerce and Industry (IBCCI) in cooperation with Indian High Commission in Dhaka will organise the event.

“The fair will help establish linkage between the business communities of both the countries,” Abdul Matlub Ahmed, president of IBCCI said at a press conference Wednesday.

Participants from South India, Punjab, Gujarat and many other parts of India, who are generally still unaware of the business potentiality in Bangladesh, are expected to take part in the fair, he explained.

The Indian entrepreneurs will have the opportunity to assess the Bangladesh market; he added hoping that the Indian companies will come forward with bigger investments in Bangladesh.

“Bangladeshi companies willing to export products and services to India will get discounts to encourage them to take part in the ITF 2010,” the IBCCI president said.

Two seminars will be held on the sidelines of the fair where business personalities from both the countries will present the business perspectives and potentialities of the two countries, he added.

A large number of Indian and Bangladeshi companies will exhibit their products in 79 stalls and 16 pavillions in the fair.

Dewan Sultan Ahmed chairman of the Fair Sub-Committee, IBCCI; Kazi Wahidul Alam managing director of Triune Exhibition and Event Management Services Ltd and Abul Kashem Ahmed first vice president of Federation of Bangladesh Chambers of Commerce and Industry, among others, were present in the programme.

Raw materials for UK’s restaurants

http://nation.ittefaq.com/issues/2009/11/19/news0973.htm

Raw materials for UK’s restaurants

DURING last week’s Dhaka visit of a group of British investors, the United Kingdom’s 3.5 billion pound-a year-curry industry run by the Bangladesh-born British citizens figured with due importance as they complained at a press conference that they don’t get Bangladeshi materials for the industry. What they specified was that eighty per cent of the materials they use are imported from India although they do not find any reason for not buying products from Bangladesh if the quality and packaging are of European standard. Britain’s curry industry, run by Bangladeshi-born British citizens, is doing good business as they acquired specialisation in the field. It has been extended to the US across the Atlantic.

Bangladeshi restaurants have sprung up in dozens even on a single street in New York’s Manhattan for popular spicy dishes. Bangladesh could get rewards by becoming a supplier of raw materials to the UK’s curry industry as opportunities are there. Produces like vegetables, species, rice are now mostly sourced by the United Kingdom from India. The only major product that now goes from Bangladesh is shrimp and prawns. The Bangladesh-born restaurant owners asked for government support to open up a trade avenue from Bangladesh. They demanded subsidy for such exports and a cutting-edge standard testing facility for curry industry products to the UK.

Many of the Bangladesh-British citizens who are running curry industry for generations have shown keen interest in investing in agriculture exclusively for producing Bangladesh varieties of fresh raw materials instead of importing from other countries. A number of farms have grown up with such investments from expatriates in Mymensingh and other rural areas for feeding UK’s curry industry though on a small scale. Recruiting the required manpower from Bangladesh to cater to the expanding needs in the UK creates very often problems.

Adidas plans Bangladesh project

http://www.newagebd.com/2009/nov/18/busi.html#2

Adidas plans Bangladesh project
Kazi Azizul Islam

German sport-goods giant Adidas has under taken a project to produce low-cost trainers for poor buyers, a London-based newspaper reported on Tuesday.

Quoting an Adidas spokesman, the newspaper stated that the project was undertaken after being convinced by the noble laureate and founder of Grameen Bank, Mohammad Yunus.

Jan Runau, the Adidas spokesman, told Daily Telegraph that an agreement had been signed to begin production of the shoes in Bangladesh next year. He, however, said that the project was at an early stage and it had not yet been decided whether the shoes would carry the Adidas tag.

Jan also said Adidas is to make trainers [active shoes] at the price of one Euro per pair for millions of people around the world who can not afford to buy shoes.

Pilot production would begin next year in Bangladesh, he said.

Adidas usually makes expensive footwear and celebrity sponsorship but, according to the Telegraph, [Bangladesh] project was inspired by Muhammad Yunus, the pioneer of micro-loans which help the poor start their own businesses.

He [Yunus] told the company [Adidas], which has been criticised for exploitation in the developing world, that Bangladesh needed ‘social businesses’ which would create jobs in the country.

‘It is correct that Adidas Group in conjunction with Muhammad Yunus aims to put such shoes on the market,’ he said.

‘The company has now agreed it will produce shoes in Bangladesh on a non-profit basis, although a spokesman stressed the final price may be higher than the €1 (89 pence) target.’ The Telegraph wrote.

Adidas pays former England football captain David Beckham £3 million per year as a brand ambassador and to use his name to promote their Predator football boots, which sell for £130 a pair. It spent a reported £50 million to sponsor the Beijing Olympics last year and has pledged a further £100 million for the London Olympics in 2012.

He said it had not yet been decided whether the shoes would carry the Adidas brand or its trademark three stripes design, ‘Key decisions on design and branding have yet to be finalized.’

Malaysia keen to invest in Bangladesh’s petroleum, ship building and energy sector

http://www.bssnews.net/newsDetails.php?cat=8&id=71550&date=2009-11-17

Malaysia keen to invest in Bangladesh’s petroleum, ship building and energy sector

CHITTAGONG, Bangladesh, Nov 17 (BSS) – Malaysia is keen to invest in Bangladesh’s petroleum, ship building and energy sectors to the mutual benefits of two economies.

Malaysian High Commissioner to Bangladesh Jamaluddin Bin Sbeh said this while taking part in the views sharing meeting with the leaders of Chittagong Chamber of Commerce and Industry (CCCI) here today.

He also assured of further simplifying the visa issuing process of the Bangladeshis, especially for the businessmen, towards that effect.

Describing Bangladesh as one of the most potential trade and investment hubs in South Asia, the Malaysian envoy laid emphasis on increasing bilateral trades between the two brotherly countries.

“Initiatives would be undertaken for facilitating visits of increased number of Malaysian entrepreneurs to Bangladesh to witness the overall investment-friendly atmosphere prevailing here,” he said.

Welcoming the Malaysian envoy, CCCI President M A Latif MP urged his government to import more Bangladeshi products to help reduce the ever increasing trade imbalance between the two nations.

After the meeting, Jamaluddin Bin Sbeh along with his entourage members left the port city for Bandarban, Cox’s Bazar and Teknaf this afternoon to see for themselves the huge prospects in tourism and fishery there.

CCCI President M A Latif MP and Director Emdadul Haq Chowdhury are accompanying the Malaysian envoy during the visit.

Dhaka targets rise in investment, trade with Turkey, UAE

http://www.thedailystar.net/newDesign/news-details.php?nid=114490

Dhaka targets rise in investment, trade with Turkey, UAE
Rejaul Karim Byron

Investments in Bangladesh’s energy and communications sectors will top the agenda of the upcoming meetings with Turkey and the United Arab Emirates separately.

In the Joint Economic Commission (JEC) meeting with Ankara, due on November 18-19, Bangladesh is going to propose these investments under public-private partnership (PPP).

A delegation, led by Finance Minister AMA Muhith, that left Dhaka yesterday for the Turkish capital will attend the JEC meet to be held after a long gap.

The last JEC meeting with Turkey was held in 1992.

Besides, the JEC meeting with the rich Gulf country, also a long overdue as the last one was held in 1991, will take place in Dubai on November 21-22.

Mainly migration of workers and exports of new products including medicine and jute goods will come up for discussion in the Dubai meet.

Official sources say a bilateral framework for Turkey’s investment in Bangladesh has also been prepared for placing before the Ankara meet.

The obstacles in the way of bilateral trade with Turkey will also be reviewed.

Bangladesh will propose that the UAE hire more workers. Enhancing trade between the two countries is another goal of the delegation attending Bangladesh-UAE economic talks.

About 10 lakh Bangladeshis now live in the UAE. However, the recent global recession has led to a drop in manpower exports.

Dhaka will also propose formation of a joint committee to make the MoU, inked between the two countries in 2007, more effective.

Bangladesh will try to validate the stay of the immigrants living in the UAE without valid documents.

A set of proposals on investment in tourism, energy and mineral resources, power and communications will also be placed from Bangladesh side.

Bangladesh also targets having a feedback of the parleys with both Turkey and UAE at Istanbul on the sidelines of the World Bank-IMF meeting.

Sea Resources signs joint venture with Cosmos Trawl

http://www.thedailystar.net/newDesign/news-details.php?nid=114194

Sea Resources signs joint venture with Cosmos Trawl

A Rouf Chowdhury (left), managing director of Sea Resources Ltd, and Einar Hebogård Jensen (middle), ambassador of Denmark, exchange documents after signing a tripartite deal in Dhaka yesterday. Sea Resources and Danish fishing gear company Cosmos Trawl will set up a joint venture company supported by Danida. Amanullah Chowdhury (background, second from left), joint managing director of Sea Resources, and Georg Jensen (second from right), managing director, and Lars Jensen (extreme right), deputy director of Cosmos, are also seen. Photo: Sea Resources

Star Business Desk

Sea Resources Ltd and Danish fishing gear company Cosmos Trawl A/S have signed an agreement to set up a netloft joint venture company. The deal marks the third phase of a business-to-business project, supported by Danida.

After one-year trial partnership, the two companies will step into the joint venture, named SRL-Cosmos Trawl Ltd, according to a joint statement released yesterday.

The new company will be based at Ichhanagar/Sardarghat in Chittagong, headed by Lars Jensen of Cosmos as managing director.

A Rouf Chowdhury will be the chairman of the joint venture.

Eirikur H Sigurgeirsson, Cosmos chief technical adviser, who will be stationed in Chittagong from January 2010, will look after day-to-day affairs.

Under the deal, the construction of a new 1,500sqm netloft will start soon. “Meantime, activities will continue from Sea Resources’ current operation alongside Fishers Shipyard,” the statement said.

The products will range from traditional fishing gear to modern and more efficient alternatives such as Cosmos semi-pelagic trawls, high-opening bottom trawls, wide-bodied and multi-rig bottom shrimp trawls and larger mid-water trawls and multi-purpose purse seines.

The joint venture will make import substitutes and open a one-stop shop where all equipment and accessories for modern fishing will be available.

“The new netloft will be state-of-the-art, with all kinds of helping equipment, to improve working conditions and efficiency,” the statement said.

“In addition, all employees will undergo training by Cosmos CTA in modern fishing gear technology, supported by a two-year net maker course developed by the International School of Commercial Fishing Gear Technology in Iceland.”

This will replace fishing method with modern technology transfer.

A general consultancy service for fishing operation will also be offered to all operators, the statement added. Cosmos Trawl is part of the international Hampidjan Group.

“Once the new netloft is fully operational, the joint venture will expand production and service towards regional fishing nations to secure a new stronghold in Asia,” the statement said.

Cosmos Trawl is recognised as Denmark’s largest and oldest net maker company, with large production facilities in both Hirtshals and Skagen, according to the company’s website.

Products by Cosmos Trawl are sold mainly in Scandinavia and the North Atlantic, but the company has clients in Asia, South America and the Far East of Russia.