A vibrant and expanding middle class, high returns on investment, and substantial infrastructure development are the key factors drawing foreign investments into Bangladesh, experts observed at the Bangladesh Investment Summit 2025 on Thursday.
During a session on agriculture and agro-processing, part of the four-day summit organised by the Bangladesh Investment Development Authority (BIDA), several strategic insights and commitments were unveiled to enhance Bangladesh's investment arena.
Two Memorandums of Understanding (MoUs) were signed between Bangladeshi and Dutch private sector entities aimed at developing the agriculture and agro-processing sectors in Bangladesh.
Presenting the keynote paper, Md Ariful Hoque, director general (international investment promotion) of BIDA, said Bangladesh has one of the most lucrative geographic locations, situated between China, the Association of Southeast Asian Nations (ASEAN), and the Middle East, which has direct trade routes to over three billion consumers.
"Our port connectivity projects are going on and after their completion, we could get a one-third reduction in export lead time," he said.
"We also have duty-free access to the European Union (EU) and China, and have the potential to sustain a 7.0 per cent gross domestic product (GDP) growth rate for the next half decade," said Hoque.
"The country's middle and affluent classes have now exceeded the total population of Malaysia," he said.
"By 2040, Bangladesh's economy is expected to triple in size, growing at a compound annual growth rate (CAGR) of 10 per cent. The investment environment will remain secure and promising," he added.
The BIDA official said widespread regulatory reforms are already underway.
"We are open to reviewing and amending any regulation that investors find problematic. This is just the beginning - the opportunities are abundant," Hoque emphasised.
He also called for stronger support for post-harvest loss management through agro-processing innovations.
Nuria López, representing the EU Chamber of Commerce in Bangladesh, said Bangladesh's fertile soil, favourable climate, and strong rural foundation are some key factors that would make it a promising hub for agricultural investment and agro-processing development.
"Agriculture in Bangladesh has the potential to rival the garment and service sectors in job creation," she said.
She also said 35 million members of the country's growing middle class demand safe, high-quality food, putting a premium on products that meet the EU standards. "There is high investment potential in premium and traceable food segments."
However, López also stressed the need for a faster, more transparent, and investor-friendly system in Bangladesh. Among her recommendations was provisional licensing to enable investors to begin operations within a month.
She also demanded genuine one-stop service facilities, digitisation and automation to reduce delays and human involvement, protection of intellectual property and plant breeders' rights, stronger phytosanitary certification processes, extending benefits beyond export processing zones (EPZs) and economic zones (EZs), and locating factories within agricultural production zones.
She also put emphasis on the importance of aligning growth with sustainability, social business models, and rural value chain development.
Andre Carstens, head of mission at the Embassy of the Netherlands in Bangladesh, reaffirmed the country's strategic partnership with Bangladesh in diversifying, modernising, and commercialising agriculture.
A major collaboration was also announced between the Netherlands-based Green House Delta and Bangladesh's ACI Limited, with both sides signing a MoU to establish a 20,000-square-foot greenhouse in Maona of Gazipur.
Dr FH Ansarey, head of agribusiness at ACI, told The Financial Express, "The new facility will allow local entrepreneurs to access greenhouse fabrication services, use locally sourced glass, reduce overall costs, and receive training support."
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