Investors' response to KEPZ lukewarm

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Jasim Uddin Haroon
The Korean Export Processing Zone (KEPZ) is finding it hard to attract any significant number of investment proposals either from foreign or local entrepreneurs despite the fact that it had received operating license from the government in May this year.
A group of Korean investors, who earlier pledged to establish industries in the KEPZ, diverted their investments to other countries as the local licencing process took a longer than anticipated time.
The operating license of the KEPZ was issued to Youngone Group after more than seven years it had applied for.
The KEPZ authority has planned to invite foreign as well as local investors shortly and highlight the potentials and benefits that could be derived from setting up industries there.
It will invite investments in wide ranging sectors including textiles, leather, shoes, shipbuilding, steel mills, power generation, high tech industries such as ICT, electronics.
"Actually our neighbouring countries like India, Pakistan are offering more attractive facilities to woo foreign investors," said Zia Haider, an adviser to the KEPZ, Saturday.
Another KEPZ official told the FE that construction of a dedicated jetty in the river Karnaphuli might encourage foreign investors.
At least Tk 2.0 billion will be needed to construct a full fledged jetty to facilitate the industries to be located at the KEPZ.
KEPZ had already applied to the Chittagong Port Authority (CPA) for permission to construct the private jetty, sources said.
Sources said the work to ensure uninterrupted power supply has been continuing at the KEPZ besides developing other infrastructures.
The KEPZ is located on 2500 acres of land beside the Karnaphuli river at Anowara in Chittagong and the Youngone Group has invested Tk 1.0 billion to procure the land.
The KEPZ had a plan to accommodate around 500 industries with an investment of US$ 1.0 billion and employ around 100,000 people.