Govt to examine special EPZ for shipbuilding: Faruk

The government will examine the possibility of setting up a separate export processing zone (EPZ) for shipbuilding sector of the country, Commerce Minister Faruk Khan said yesterday.

He also said Denmark will invest a huge amount in the shipbuilding sector of Bangladesh in the months to come.

The minister was speaking at a function styled Denmark Bangladesh Matchmaking Event at Westin Dhaka.

A 21-member Danish business delegation within the shipbuilding and fisheries sectors is in the city now to look for local partners and investment potential. Danish embassy has organised the function and the trip for November 8-15.

The minister said the government will also consider tax holiday facility for the potential sector.

He said if the Danish companies invest in the backward linkages of shipbuilding, the sector will be able to save the same amount of money by reducing import of shipping machinery and equipment.

Khan also called upon the delegation members to be careful about environmental and labour issues if they operate business in the country.

He urged the Danish businesspeople to invest in dredging sector also, as presently the country requires many dredgers to maintain its rivers' navigability.

Danish Ambassador Einar Hebogaard Jensen said investing in Bangladesh has different advantages including cheap labour.

Investment cost is 50 percent lower in Bangladesh compared to other countries in the region including Vietnam, he added.

He also told the function that the first ship exported from Bangladesh to Denmark, Stella Maris, is now plying smoothly there.

Bangladesh Enterprise Institute President Farooq Sobhan and President of Bangladesh Shipbuilders' Association Mahmudur Rahman also spoke at the function.