Getting Migration Governance Right

Photo of Sheikh HasinaThe Embassy of Bangladesh in Paris is proud to share with you an article titled " Getting Migration Governance Right", authored by H.E. Sheikh Hasina, Hon'ble Prime Minister of Bangladesh. In her article, Hon'ble Prime Minister has called upon the international community to give a closer look at the issue of migration, one of the most serious challenges facing the world today. The article has been published in the Project Syndicate, a prestigious forum that provides original, high-quality commentaries to a global audience by featuring exclusive contributions by prominent political leaders, policymakers, scholars, business leaders, and civic activists from around the world.Link: Getting Migration Governance Right

Export Processing Zones (EPZ) in Bangladesh

 

Bangladesh has established several Export Processing Zones (EPZs) to promote the foreign investment and generate employment opportunities in Bangladesh. Bangladesh Export Processing Zone Authority (BEPZA) is an authorized agency and responsible for promoting, attracting, and facilitating foreign investment in Bangladesh.

 

List of Export Processing Zones (EPZ) in Bangladesh

SL

Title of Zone

Location

Profile of Zone Area

Export (Cumulative Million USD)

in FY 2014-15

Employment Cumulative (Number)

in FY 14-15

Investment

(Cumulative Million USD)

in FY 14-15

01

Chittagong EPZ

Established: 1983

South Halishahar

5.50 Km from Chittagong City

Zone area : 453 acres

Number of industrial plots : 501

Plot Size: 2000 sqm Avg.

Tariff for Plot: US $ 2.20 / sqm / year.

21,803.099

1,90,815

1,355.54

02

Dhaka EPZ

Established: 1993

Savar

35 Km from Dhaka City

Zone area: 356.22 acres
Number of industrial plots: 451
Plot Size: 2000 sqm Avg.
Tariff for Plot: US $ 2.20 /sqm /year.

18,300.15

86,638

1,141.36

03

Karnaphuli EPZ

Established: 2006

North Potenga, Chittagong
10 Km Chittagong City
6 Km from Chittagong Port

Zone area : 209.06 acres

Number of industrial plots : 255

Plot Size: 2000 sqm.

Plot Tariff: US $ 2.20 / sqm / year

2,105.22

54,812

372.53

04

Adamjee EPZ

Established: 2006

Adamjee Nagar, Shiddirgonj, Narayanganj

 15 Km form Dhaka City

Zone area: 245.12 Acres
Number of industrial plots: 229
Plot Size: 2000 sqm Avg.
Plot Tariff : US $ 2.20 /sqm /year

1,688.28

40,091

316.48

05

Comilla EPZ

Established: 2000

Comilla old Airport area 167 Km from Chittagong port, 97 Km from Dhaka.

Zone area: 267.46 acres
Number of industrial plots: 238
Plot Size: 2000 sqm Avg.
Plot Tariff: US $ 2.20 / sqm / year

1,373.28

21,821

224.50

06

Ishwardi EPZ

Established: 2001

Pakshi, Pabna
220 Km form Dhaka

Zone area : 309 Acres

Number of industrial plots : 290

Plot Size: 2000 sqm Avg.

Plot Tariff: US $ 1.25 / sqm / year

340.02

8,323

81.42

07

Mongla EPZ

Established: 1999

Mongla port area, Bagerhat
210 Km from Dhaka

Zone area : 255.41 Acres

Number of industrial plots : 190

Plot Size: 2000 sqm Avg.

Plot Tariff: US $ 1.25 / sqm / year

364.41

1,598

22.11

08

Uttara EPZ

Established: 2001

Shongalshi, Nilphamari.
409 Km from Dhaka

Zone area: 213.66 Acres
Number of industrial plots: 180
Plot Size: 2000 sqm. avg.
Plot Tariff : US $ 1.25 / sqm / year

166.70

16,003

80.49

 

Package of Incentives

The Government offers numerous incentives for sitting up factories in EPZs. The major Fiscal and Non- Fiscal incentives are listed below:

1.   Fiscal Incentives

       Tax Exemption

1.   10 years tax holiday for the industries established before January 1, 2012. Separate tax policy is applied to the industries set up afterwards are listed below:

Period and rate of tax exemption for Mongla, Ishwardi & Uttara EPZ for the industries set up after January 01, 2012:

Duration of Tax Exemption

Rate of Tax Exemption

First 03 years (1st , 2nd  and 3rd  year)

100%

Next 03 years (4th , 5th and 6th  year)

50%

Next 01 year (7th year)

25%

Period and rate of tax exemption for Chittagong, Dhaka, Comilla, Adamjee and Karnaphuli EPZ for the industries set up after January 01, 2012:

Duration of Tax Exemption

Rate of Tax Exemption

First 02 years (1st  and 2nd year)

100%

Next 02 years (3rd and 4th year)

50%

Next 01 year (5th year)

25%

 

2.   Exemption from income tax on salaries of foreign technician for 3 years (in case of Projects approved before March 22, 2009).

3.   Relief from double taxation subject to bilateral agreement.

4.   Complete exemption from dividend tax for tax holiday period for foreign nationals.

 

Duty Free Facilities

1.    Duty free import of machineries, equipments, and raw materials.

2.    Duty free import of two/three vehicles for A & B type industries subject to certain conditions (Projects approved before March 22, 2009).

3.    Duty free import of materials for construction of factory buildings in the zones.

4.    Duty free export of goods produced in the zones.

5.    Full repatriation of profit, capital, & establishment.

 

2.   Non-Fiscal

Investment

1.   All foreign investments are secured by the foreign Private Investment (Promotion and Protection) Act-1980.

2.   No ceiling on extent of foreign investment.

3.   100% foreign ownership is permissible.

4.   Repatriation of investment including capital gains, if any, is permissible.

5.   Overseas Investment Corporation (OIC) insurance and finance programs facilities is available. 

6.   Security and safeguards under the provision of Multilateral Investment Guarantee Agency (MIGA)

7.   Arbitration facility under the provision of the International Center for the Settlement of Investment Dispute (ICSID)

8.   Remittances allowed in following cases:

-       All post tax profit and dividend on foreign Capital.

-      Savings from earnings, retirement benefits, personal assets of individual on retirement/termination of services.

-       Approved royalties and technical fees.

 

Project Financing and Banking

1.   Off-shore banking facilities

2.   Foreign currency loan from abroad under direct automatic route (OBU facilities).

3.   Non-resident Foreign Currency Deposit (NFCD) allowed for 'A' type industries

4.   Local and international banking facilities also wide-open.

 

Export & Import

1.   Enjoys GSP benefits in EU countries, Japan, Australia, USA & Canada etc.

2.   No UD (Utilization Declaration), IRC (Import Registration Certificate), ERC (Export Registration Certificate), & renewal of bond license is required.

3.   100% backward linkage raw materials and accessories are allowed to sell for export oriented industries inside and outside EPZs.

4.   Import and Export on CIVI/CMP/CMT basis are allowed.

5.   Import from Domestic Tariff Area (DTA) and 10% export to DTA are permitted.

6.   Freedom from national import policy restrictions.

7.   Import of raw materials also allowed on Documentary Acceptance (DA) basis.

8.   Advantage of opening back to back LC for certain types of industries for import or raw materials.

9.   Import of goods from the domestic tariff area is permissible.

 

Operation

1.   Re-location of existing industries from one zone to another within the country is permissible.

2.   Sub-contracting within EPZ is allowed.

3.   No permission required for expansion of the project or product diversification.

4.   Inter-zone and intra-zone export are permitted

5.   All customs formalities are done at the gate site of the respective factory building within the zone.

6.   Permission for import/export is given in the same day.

7.   Repairing and maintenance of machinery and capital equipment from domestic tariff are allowed.

 

Employment

1.   Liberal employment of foreign technicians/experts is allowed.

2.   Foreigners employed in the zones enjoy equal rights similar to those of Bangladesh nationals.

3.   Law forbids formation of any labor union in the zones. Strike within the zones is prohibited.

    

One Stop Facilities

1.   BEPZA offers One Window Same Day service.

2.   Simplified project approval procedure.

3.   Work Permits issued by BEPZA.

4.   Import and Export Permits issued by BEPZA within the same day through automation system.

5.   Customs clearance is done at the factory site.

6.   Investors are required to deal only with BEPZA for Investment and all other operational needs.

 

Factory Setup Process in EPZs

1.   Collect BEPZA Project Proposal Form on payment of Taka 3000.00. (Payment to be made in the Accounts Department of Executive office, BEPZA, Dhaka.

2.   Submit the filled in BEPZA Project Proposal Form along with some required documents mentioned in the Project Proposal with a forwarding letter addressing to the Executive Chairman, BEPZA.

Required Documents

1.   Letter addressed to the Executive Chairman

2.   Filled in Project Proposal for investment in EPZ

3.   Pro-forma invoice of machinery and equipment to be imported

4.   Bank solvency certificates of the Shareholder Directors

5.   Copy of Money Receipt

6.   Memorandum & Articles of Association along with Certificate of Incorporation duly certified by the RJSC

7.   Joint Venture Agreement (If applicable)

8.   Copy of Passport of Shareholder Directors

9.   Recent Photograph of Shareholder Directors

10. Deceleration of the re-location of machinery (if applicable)

Required Time for disposal: 05 working days

 

Contact Information

Zone Name

Designated Officer

Contact Address

Chittagong Export Processing Zone

Md. Khorshid Alam

General Manager 
Mobile : 01713-105063

Chittagong EPZ , South Halishahar, Chittagong
Phone : +880 31 741446, +880 31 740919
Fax : +880 31 740031, Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Dhaka Export Processing Zone

Md.Adus Sobhan

General Manager

Mobile: 01713-016415

Dhaka EPZ, Ganakbari, Savar, Dhaka
Phone : +880 2 7789002, +880 2 7788822
Fax : +880 2 7789003, E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

Karnaphuli Export Processing Zone

S.M. Akhter Alam Mostafi

General Manager

Mobile: 01713-102995,

Email : This email address is being protected from spambots. You need JavaScript enabled to view it.

Karnaphuli EPZ , Karnaphuli, Chittagong
Phone : +880 31 2501470, 2501469
Fax : +880 31 2501460

Adamjee Export Processing Zone

Md. Shah Alam Sarker (General Manager)

Mobile: 01713-043004

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Adamjee EPZ, Adamjee Nagar, Siddirgang, Narayangang
Phone : +880 2 7692938, 7691207
Fax : +880 2 7692939

Comilla Export Processing Zone

Md. Mehboob Ali

General Manager

Mobile:01713-106675,

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Comilla EPZ, Airport Area, Comilla
Phone : +880 081 77055, +880 081 71009
Fax : +880 081 77056

Ishwardi Export Processing Zone

Md. Ruhul Amin

General Manager (In Charge)

Mobile:01711-419246,

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Ishwardi EPZ, Ishurdi, Pabna

Phone : +880 731 59002, +880 731 59009

Fax : +8800 731 59008

Mongla Export Processing Zone

Md. Mahmud Hasan

General Manager

Mobile: +88 01713402040

Mongla EPZ, Mongla, Bagerhat

Phone : +880 04662 75199

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Uttara Export Processing Zone

Md. Tanvir Hossain

General Manager (In Charge)

Mobile: 01713-201068,

Uttara EPZ, Shongalshi, Nilphamari

Phone : +880 0551 61307, +880 0551 61119

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.