Govt seeks investment in dormant state factory sites

The government has taken an initiative to attract domestic and foreign investment by making use of the land and infrastructure of state-owned enterprises that are closed, loss-making or no longer operational.

As part of this, Prime Minister Tarique Rahman yesterday met prominent industrialists and business leaders and assured them of full government support for reviving underperforming state-owned factories.

He said the government was committed to removing obstacles and creating a more business-friendly environment, reports UNB.

“We just want you to grow further, and we want to help you by providing all necessary support,” he told the meeting, jointly organised by the Ministry of Industries, the Ministry of Textiles and Jute, and the Bangladesh Investment Development Authority (Bida) at the Prime Minister’s Office in Tejgaon, according to PM’s Deputy Press Secretary Hasan Shiplu.

Addressing entrepreneurs, the prime minister said the government wants businesses to expand and contribute more to the country’s economic growth.

“I have said before that we want you to move forward. You have raised a number of issues and shared your views on how the government can support you in addressing them within a short period. We have already started working on some of these matters,” Shiplu quoted Tarique Rahman as saying.

The prime minister said it is the responsibility of an elected government to remove barriers and help create solutions, but acknowledged that progress would take time. “The reality is that we cannot solve all problems at once. But we can address them gradually,” he said.

At the meeting, chairmen of five state-owned corporations, including the Bangladesh Chemical Industries Corporation (BCIC), Bangladesh Sugar and Food Industries Corporation (BSFIC), Bangladesh Steel and Engineering Corporation (BSEC), and Bangladesh Textile Mills Corporation (BTMC), shared plans to transform factory sites into economic zones, technology parks, agro-processing centres and high-tech industrial hubs.

Investors and business leaders were presented with details of 44 factories, including their locations, existing infrastructure, investment facilities, transport links and potential for expansion.

Business leaders later took part in an open discussion on investment-related issues, raising around 50 questions that were answered by the relevant authorities.

Finance and Planning Minister Amir Khosru Mahmud Chowdhury; Commerce, Industries and Textiles and Jute Minister Khandakar Abdul Muktadir; Economic and Planning Affairs Adviser Rashed Al Mahmud Titumir; Posts, Telecommunications and Information Technology Adviser Rehan Asif Asad; Bida Executive Chairman Ashik Chowdhury; Bangladesh Bank Governor Mostaqur Rahman; and Principal Secretary ABM Abdus Sattar were present.

PRAN-RFL Group Chairman and CEO Ahsan Khan Chowdhury, Kazi Farms Limited Managing Director (MD) Kazi Zahedul Hasan, Meghna Group of Industries Chairman and Managing Director Mostafa Kamal, Transcom Group CEO Simeen Rahman and Head of Transformation Zaraif Ayat Hossain, ACI Limited MD Arif Dowla, BRAC Enterprises MD Tamara Hasan Abed, Nabil Group of Industries Managing Director and CEO Md Aminul Islam, Akij Venture Group Chairman SK Shamim Uddin, and Square Food & Beverage CEO Parvez Saiful Islam, among others, attended the meeting.

Representatives from several Japanese companies and organisations, including Marubeni Corporation, Toyota Tsusho Corporation, Sumitomo Corporation, MUFG Bank Limited, Mitsui & Co. (Asia Pacific) Pte Ltd, Sojitz Asia Pte Ltd, JETRO Bangladesh and the Embassy of Japan in Bangladesh, also joined the programme.

Speaking to The Daily Star, Ahsan Khan Chowdhury, chairman and CEO of PRAN-RFL Group, said there is scope for billions of dollars in investment if dormant state-owned industrial units are revived and put to productive use.

He said discussions focused on how underutilised and loss-making state-owned enterprises could be brought back into economic activity. “We discussed what kinds of investments could be made and what product lines these facilities could support.”

The presentations included factories under BCIC, BSFIC, BTMC, BSEC and other state-owned entities.

Chowdhury said the prime minister appeared keen to encourage investment in agriculture and agro-based industries. “For a country like Bangladesh, where land is scarce and access to capital remains limited, making use of existing industrial infrastructure can significantly accelerate industrialisation,” he said.

“Many of these factories were established decades ago and would require modernisation and rehabilitation. But the land is already developed, and basic infrastructure is in place. If investment comes in, the scale could be substantial,” he added.

Simeen Rahman, group CEO of Transcom Group, described the initiative as “highly encouraging”, saying it demonstrates the prime minister’s commitment to providing policy support for investors.

“If closed and sick factories are revived, employment opportunities will be created, exports will rise, and the entire country will progress,” she said.

She said the prime minister’s support is not limited to agriculture. Investors interested in sectors such as pharmaceuticals, light engineering and electric vehicles would also receive government support.

“We are very optimistic that this kind of initiative by the prime minister will bring about something good for the country,” she added.

Mostafa Kamal, chairman and managing director of Meghna Group of Industries, welcomed the move. “It is a very good initiative. The prime minister listened to us with patience. It is good for us that we can share our issues with him directly.”

Md Aminul Islam, managing director and CEO of Nabil Group of Industries, said businesses have been assured of maximum policy support from the government. “We have expressed our interest in Setabganj Sugar Mill and Rajshahi Sugar Mill at the meeting,” he said.