Bangladesh, a neighboring country to India and a member of South Asian Association for Regional Co-operation ("SAARC") adopts an 'Open Door Policy' to attract the foreign investors particularly through industrialization. The Bangladesh Export Processing Zone Authority popularly known as BEPZA is the administrative authority facilitate foreign investments in the EPZs.
EXPORT PROCESSING ZONES
At present, there are 8 Export Processing Zones in Bangladesh and the list is as under:-
- Adamjee EPZ: Adamjee Nagar, Shiddirgonj, Narayanganj, 15 Krns form Dhaka city centers, 40 Kms from Hazrat Shahjalal (R) Airport, 255 Kms from Chittagong Port.
- Chattogram EPZ: South Halishahar. 3.10 Ions from the sea port, 5.50 kms from the main business center, 1 1.30 kms from Shah Amanat International Airport, Chittagong.
- Cumilla EPZ: Cumilla old Airport area. 167 kms from Chattogram port, 97 kms from Dhaka.
- Dhaka EPZ: Savar. 35 kms from Dhaka city centre, 25 kms from Hazrat Shahjalal (R) Airport. 304 Kms from Chittagong Sea Port.
- Ishwardi EPZ: Pakshl, Pabna. 3.7 kms from Pakshi Bridge through by pass road, 10.60 kms from Ishwardi Airport, 130 lams from Bangabandhu (Jamuna) Bridge, 220 kms form Dhaka, 280 Ions from Mongla port, 110 kms from Rajshahi Airport, 484 Iqns from Chittagong port.
- Karnaphuli EPZ: North Potenga,Chittagong, 6 kms from Chittagong Port, 10 kms from main business center of Chittagong, 9 kms from Shah Amanat International Airport, Chittagong.
- Mongla EPZ: Mongla port area, Bagerhat. 105 lams from Jessore Airport and 210 kms from Dhaka, 407 kms from Chittagong port.
- Uttara EPZ: Shongalshi, Nilphamalå. 16 kms from Saiddpur Ailvort, 409 lams from Dhaka Airport, 682 kms from Chittagong Sea Port, 568 Kms from Mongla Sea Port
CLASS OF INDUSTRIES
Industries which may be set up in Export Processing Zones (EPZs) of Bangladesh are classified as under:
- Class A - 100% foreign owned including investment by Bangladeshi nationals ordinarily resident abroad;
- Class B - Joint venture prdjects between Foreign & Bangladeshi entrepreneurs resident in Bangladesh;
- Class C - 100% Bangladeshi entrepreneurs resident in Bangladesh.
Establishing an industry in Export Processing Zone has following benefits:
- Tax reliefs
- No ceiling investment
- Full repatriation of capital & dividend
- Remittance of royalty, technical and consultancy fees allowed
- Foreign Currency loan from abroad under direct automatic route
- Secured and protected bonded area
- Simplified sanction procedure
- Off-Shore banking facilities
- Relocation of foreign industries allowed
- Sub-contracting with export-oriented Industries inside and outside such export processing zones permitted.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.