Eight cos of Karnaphuli EPZ being relocated to Ctg, Comilla EPZs
Monday, 12 October 2009
E Report
Eight companies, whose leased plots were cancelled in the country's newest Karnaphuli EPZ in Chittagong early this year, are now being relocated to Chittagong and Comilla EPZs, sources said.
The Fgovernment cancelled the allotted plots of 14 foreign companies in the KEPZ extension at Halishahar in March this year citing 'unavoidable circumstances.'
Five foreign companies, mostly shoemakers, are now being relocated to the Steel Mill area and three to Comilla EPZ. However, the authority is yet to take any decision regarding the remaining six companies.
Cosmos Shoes, a Taiwanese company, which was a victim in the Karnaphuli EPZ, started its trial operation from Sunday.
"Cosmos Shoes initially started its small trial operation to train its workers for future facility," said chairman of the company Chuang Feng Jiunn.
"The company is going to invest $7.0 million (70 lakh) in three re-signed plots," he said.
The eight companies are expected to invest $70 to $80 million and the investment will create employment opportunities for 10,000 to 15,000 people, he added.
The Bangladesh Export Processing Zones Authority (BEPZA) has provided Cosmos with a building on temporary basis with around 1,200 square metres of space and it is converted into a workshop to train about 250 people, he added further.
He expressed the hope that the factory will go into operation by 2010 and it will export footwear all over the world while its major destination will be European Union.
The 14 companies demanded compensation package when their leased plots were cancelled but so far the government has not informed the investors in this regard although the government had formed a compensation committee.
BEPZA has only agreed to deduct our lease payment (building and plots) from deposit, Chuang said.
However six out of 14 companies affected by the cancellation of plots have already sought about $100 million worth of compensation.
A letter issued by the BEPZA cited 'unavoidable circumstances' for the suspension order, although sources blamed the food ministry's 'dogged demand to reclaim its lost property' behind the cancellation of land allotment.
The letter was sent after the BEPZA board of governors led by Prime Minister Sheikh Hasina on March 22 decided to return the land, formerly used as a central storage depot (CSD), to the food ministry.
Eight companies, whose leased plots were cancelled in the country's newest Karnaphuli EPZ in Chittagong early this year, are now being relocated to Chittagong and Comilla EPZs, sources said.
The Fgovernment cancelled the allotted plots of 14 foreign companies in the KEPZ extension at Halishahar in March this year citing 'unavoidable circumstances.'
Five foreign companies, mostly shoemakers, are now being relocated to the Steel Mill area and three to Comilla EPZ. However, the authority is yet to take any decision regarding the remaining six companies.
Cosmos Shoes, a Taiwanese company, which was a victim in the Karnaphuli EPZ, started its trial operation from Sunday.
"Cosmos Shoes initially started its small trial operation to train its workers for future facility," said chairman of the company Chuang Feng Jiunn.
"The company is going to invest $7.0 million (70 lakh) in three re-signed plots," he said.
The eight companies are expected to invest $70 to $80 million and the investment will create employment opportunities for 10,000 to 15,000 people, he added.
The Bangladesh Export Processing Zones Authority (BEPZA) has provided Cosmos with a building on temporary basis with around 1,200 square metres of space and it is converted into a workshop to train about 250 people, he added further.
He expressed the hope that the factory will go into operation by 2010 and it will export footwear all over the world while its major destination will be European Union.
The 14 companies demanded compensation package when their leased plots were cancelled but so far the government has not informed the investors in this regard although the government had formed a compensation committee.
BEPZA has only agreed to deduct our lease payment (building and plots) from deposit, Chuang said.
However six out of 14 companies affected by the cancellation of plots have already sought about $100 million worth of compensation.
A letter issued by the BEPZA cited 'unavoidable circumstances' for the suspension order, although sources blamed the food ministry's 'dogged demand to reclaim its lost property' behind the cancellation of land allotment.
The letter was sent after the BEPZA board of governors led by Prime Minister Sheikh Hasina on March 22 decided to return the land, formerly used as a central storage depot (CSD), to the food ministry.