BEZA seeks fund for land acquisition in Mongla zone

The authority concerned has sought funding from the government for acquisition of land for setting up an economic zone in Mongla.

The Bangladesh Economic Zones Authority (BEZA) already sent a proposal to the ministry of finance (MoF) seeking Tk 470 million for acquisition of land in the Mongla Port zone, an official said.

The official also said: "We have also selected land at different other places under the BEZA. However, several private parties have already been selected for doing the job of land development in the Mongla zone."

The government was in the final stage of issuing requests for proposal (RFP) to the selected parties and it would be done soon after the acquisition of land in the Mongla zone, he added.

In the Mongla zone the authority selected 205 acres of land to be developed for local and foreign investments. But the land is still under the Mongla Port Authority.

The authority initially needed money for transfer of land to the BEZA from the port authority. But after successful operation of several zones they would have their own money like the Bangladesh Export Processing Zones Authority (BEPZA), the BEZA official said.

He said: "Initially we need money from the government and once the land is under the BEZA, the private developers will pay us for it."

The BEZA Act 2010 provides for private investments in developing economic zones.

Another official said, "If the first venture is completed successfully, it will be a breakthrough in utilising unused land owned by both the government and private parties."

Apart from Mongla, the BEZA also selected land at Anowara and Mirersarai in Chittagong and in Sirajganj and Sherpur to be developed on the public-private partnership (PPP) basis.

But so far not a single acre of land could be brought under the BEZA, as they required funds from the government for acquisition of land.

Alongside the existing export processing zones (EPZs) the government decided to develop new economic zones with priority given to the local entrepreneurs who will do the job on the PPP basis.

Mr. Shahabuddin Ahmed, Additional Secretary of the Finance Division under the MoF, said: "We have got a proposal from the BEZA and we are assessing it."

He said it might take some time and there could be more proposals from the BEZA for acquisition of land in their other selected zones.  

A local construction firm showing interest in investment under the BEZA said the option of PPP in land development would encourage private entrepreneurs.