Feb. 28, 2024
Expanding Industrial Park Project in Bangladesh- Construction started on Second-phase aimed at contributing to the industry development and diversification of industrial sector -
Sumitomo Corporation has been operating the Bangladesh Special Economic Zone ("BSEZ") in Narayanganj District, Dhaka Division, People's Republic of Bangladesh, alongside the Bangladesh Economic Zones Authority ("BEZA") and the Japan International Cooperation Agency ("JICA"), and construction has now begun on a second-phase subdivision and official sales commenced with the aim of further expanding this project.
BSEZ is located approximately 20 kilometers east of central Dhaka (about 1 hour by drive) and is the first special economic zone led by Japanese company in Bangladesh boasting infrastructure built to international standards through a Japanese government ODA loan project. Due to the surge of contracts signed during the first-phase sales that began in 2022, second-phase development will start ahead of schedule to secure more lots for sale. Although sales have not officially begun, several companies have already decided to set up operations in the second-phase subdivision, and investment interest in Bangladesh is expected to grow still further in future. Sumitomo Corporation will continue meeting the growing demand for manufacturing in line with Bangladesh’s economic growth.
Sumitomo Corporation has taken part in the business of development, sales and operation of industrial parks in Bangladesh, Indonesia, the Philippines, Vietnam, Myanmar, and India. As of February 2024, the existing industrial parks (nine locations) developed and operated by Sumitomo Corporation have invited 617 tenant companies with a total of over 230,000 employees, covering a total development area of 2,876 hectares. By leveraging the know-how acquired through these business operations in other countries, Sumitomo Corporation will support the operations of tenant companies and contribute to the development and diversification of industry and the creation of employment in Bangladesh.
An industrial park growing alongside the local community
Taro Kawachi, President, BSEZ
BSEZ has been granted long-term development rights by the Bangladesh government, and expectations are high for the second-phase subdivision on which construction recently began. There are not many projects being pursued over extended periods in today's rapidly changing business environment, but it is precisely because of projects such as this that we are able to work toward our long-term goals of contributing to the development of Bangladesh through industrial diversification and job creation and of growing alongside the local community.
In February 2024, Kumon Connect, a Kumon tablet-based learning service, was launched at public elementary schools in BSEZ’s neighborhood as a CSR activity providing educational opportunities to children unable to receive satisfactory education for economic reasons. The children's eyes light up at their first experience with tablets and the Kumon Method, and they are experiencing the joy of learning every day. In future, we hope to provide local residents with opportunities to acquire basic business skills by establishing a vocational training school in the BSEZ, leading to employment opportunities at tenant companies. We will continue growing together with the local community by further expanding the BSEZ.
BSEZ has been granted long-term development rights by the Bangladesh government, and expectations are high for the second-phase subdivision on which construction recently began. There are not many projects being pursued over extended periods in today's rapidly changing business environment, but it is precisely because of projects such as this that we are able to work toward our long-term goals of contributing to the development of Bangladesh through industrial diversification and job creation and of growing alongside the local community.
In February 2024, Kumon Connect, a Kumon tablet-based learning service, was launched at public elementary schools in BSEZ’s neighborhood as a CSR activity providing educational opportunities to children unable to receive satisfactory education for economic reasons. The children's eyes light up at their first experience with tablets and the Kumon Method, and they are experiencing the joy of learning every day. In future, we hope to provide local residents with opportunities to acquire basic business skills by establishing a vocational training school in the BSEZ, leading to employment opportunities at tenant companies. We will continue growing together with the local community by further expanding the BSEZ.
■Profile of the special economic zone (SEZ)
| (1) Operating body | ： | Bangladesh SEZ Ltd. |
| (2) Name of SEZ | ： | Bangladesh Special Economic Zone |
| (3) Investment ratios | ： | Sumitomo Corporation: 61% Bangladesh Economic Zones Authority (BEZA): 24% Japan International Cooperation Agency (JICA): 15% |
| (4) Location | ： | Narayanganj District, Dhaka Division, People's Republic of Bangladesh |
| (5) Development area | ： | Approx. 190 hectares (Phase 1: 83 hectares, Phase 2: 107 hectares (50 hectares of which will be developed ahead of schedule)) |
| (6) Total project cost | ： | Approx. 13 billion Japanese yen |
