Commencement of Sales of Industrial Park at Greater Dhaka, Bangladesh

Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Masayuki Hyodo) has commenced sales of the industrial park developed in a special economic zone in Narayanganj District, Dhaka Division, Bangladesh together with Bangladesh Economic Zones Authority (referred to as BEZA hereinafter).

Bangladesh borders India on the north, east and west, and Myanmar on the southeast, placing at a geographically important location connecting South and Southeast Asia. Bangladesh has abundant human resources, with 170 million people (ranking 8th in terms of population in the world) and the labor market is expected to increase at a pace of more than 2 million people every year for the next 20 years. Not only is Bangladesh expected to have a large domestic market, the country is expected to play an important role in the supply chains of products as an export hub for products to neighboring countries. Bangladesh government has set a goal of developing 100 special economic zones by 2030 with aim to diversify industrial areas, and global companies have made inroads into Bangladesh recently as a result.

The industrial park is located approximately 20 kilometers east of central Dhaka (about 1 hour by drive), and approximately 190 hectares are now being developed. The industrial park started its on-site infrastructure development construction works in November 2021 and is scheduled for completion to begin operational in December 2022. The industrial park features international standard infrastructure set up through a Japanese government ODA loan project and One Stop Service through BEZA for license and approval procedures for investors. Sumitomo Corporation is investing 76% stake in the industrial park entity, which amounts to approximately 13 billion Japanese Yen.

Sumitomo Corporation has taken part in the business of development, sales and operation of industrial parks in Indonesia, the Philippines, Vietnam, Myanmar and India. As of February 2022, the 7 industrial parks have invited 563 tenant companies with 220,000 direct employment. This year marks the 50th anniversary of diplomatic relations between Bangladesh and Japan. Sumitomo Corporation will utilize its know-how obtained through industrial park business operations in other countries to support tenant companies and contribute to the diversification of the industrial sector and encouraging job creation in Bangladesh.

Note: Special economic zones: Zones to which legal and administrative incentives are given for economic development.

＜Reference＞

■Overview of the special economic zone

■Location

■Aerial View of the special economic zone

■Commencement Ceremony at Dhaka on March 16th, 2022

Sumitomo Corporation’s Material Issues

Sumitomo Corporation Group positions “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This project especially contributes to the following material Issues.

Achieving Harmony with the Global Environment

To realize recycling-oriented society and mitigate climate change, we are working to establish frameworks for the efficient use of resources and stable supply of renewable energy. In doing so, we will achieve growth in harmony with the global environment.

Contributing to the Development of Local Communities and Industries

We steadily procure and provide goods and services to meet the needs of people in various countries and regions and contribute to developing industrial platforms. Through these means, we will create a virtuous cycle in which we can grow and develop together with local communities.

Establishing a Foundation for Comfortable and Enriching Lifestyles

We strive to realize more convenient and comfortable lifestyles by providing goods and services for daily use while also responding to needs for high-quality lifestyles in order to support the physical and mental health of people around the world.

Providing Diverse “Accessibility”

We provide diverse accessibility to open up the possibility of creating new value. To this end, we will improve mobility for safe and efficient flow of people and goods, and expand the network connecting information and finance.

Developing Human Resources and Promoting Diversity

In order to create new value and innovation by allowing our diverse personnel to fully exercise their abilities in a variety of fields, we will promote the development and empowerment of human resources, which represent our most important management resources.

Enhancing Governance

We will enhance our ability to draft and implement strategies for achieving sustainable growth and to provide appropriate supervision of these strategies, all while maintaining transparency. In this manner, we will improve management efficiency and maintain sound management.