Crows dying, poultry culled

Fear of fresh round of bird flu grips Barisal, Kishoreganj

A few of the several hundred crows that met sudden death due to unknown diseases in and around Barisal city during the last two days, right, workers of Kishoreganj district livestock office culling bird flu infected hens at Bogadia village in Sadar upazila yesterday. Photo: STARStar National Desk

Barisal city and adjoining areas saw sudden death of a large number of crows in last two or three days while authorities destroyed at least seven thousand bird flu infected hens in Kishoreganj Sadar upazila yesterday.
Hundreds of crows that died at Girzamahalla, Medical College area, Sadar Road, Bells Park and Kirtonkhola riverbank areas in Barisal city during last two or three days are rotting in the open, reports our correspondent.
The crows were seen falling from trees and dying after a while, witnesses said.
Abdul Jabbar, Barisal district livestock officer, said their staffs are collecting samples for laboratory tests in Barisal and Dhaka to detect the disease that caused the massive deaths of crows.
“The crows may have died after eating some infected items,” said Dr Md Shawkat Ali, principal officer of Regional Livestock Disease Investigation Laboratory in Barisal.
“During the last few days, similar incidents have been reported from Patuakhali and Bhola towns. After laboratory test of the samples of dead crows sent from Patuakhali, no virus of avian influenza was found. The crows died due to eating of dead chickens infected with 'ranikhet' disease, not avian influenza,” he said.
Although he advised locals to bury the dead crows, the situation has raised a fear of fresh round of bird flu among them.
Livestock officials urged people to remain watchful of the situation and inform local livestock officials if unusual deaths of crows is seen anywhere.
Our Kishoreganj correspondent adds: District livestock officials destroyed around 7,000 avian influenza (bird flu) infected hens of Bhai Bhai Farm owned by Muzammel Huq at Bogadia village in Kishoreganj Sadar upazila yesterday.
Informed that some hens of the farm died of unknown diseases during the last few days, Dr Bahadur Ali, veterinary surgeon of district livestock office, visited the spot.
After primary examination of some collected samples, he detected those as affected by bird flu.
The report was sent to Dhaka central office from where a letter confirming the case as bird flu came on Wednesday night.
District Livestock Officer Nousad Hossain in presence of administration officers and police personnel arranged destroying the hens of the farm yesterday morning.
Farm owner Muzammel said the price of the hens would be around Tk 14 lakh.

Billion dollar outsourcing beckons Bangladesh: experts

Bangladesh can build a billion dollar outsourcing business by 2015 if the regulator ensures a business friendly environment, said experts at a seminar.

“We hope outsourcing business in the voice over internet protocol (VoIP) industry will touch more than a billion dollar within next five years,” said Habibullah N Karim, chief executive officer of Technohaven company.
“But the regulator has to create a congenial environment for this.”
VoIP is not only illegal but also an unethical business in the country because of the regulator's negative stance for the last couple of years, said Karim at a seminar organised by REVE Systems during BASIS SoftExpo 2011.
The stigma involving the VoIP needs to be addressed so that the young talented entrepreneurs feel encouraged to join the outsourcing business.
Speaking at a panel discussion, Sukanta Dey, ex-president of Tata Teleservices, said Bangladesh has a huge potential for outsourcing industry because it produces quality software.

Food costs at records, no let-up in prices: FAO

Star Business Desk

World food prices hit a record in January and recent catastrophic weather around the globe could put yet more pressure on the cost of food, an issue that has already helped spark protests across the Middle East.
Up for the seventh month in a row, the closely watched Food and Agriculture Organisation Food Price Index on Thursday touched its highest since records began in 1990, and topped the peak of 224.1 in June 2008, during the food crisis of 2007/08.
“The new figures clearly show that the upward pressure on world food prices is not abating. These high prices are likely to persist in the months to come," FAO economist and grains expert Abdolreza Abbassian said in a statement.
Surging food prices have come back into the spotlight after they helped fuel the discontent that toppled Tunisia's president in January and have spilled over to Egypt and Jordan, raising expectations other countries in the region would secure grain stocks to reassure their populations.
World Bank President Robert Zoellick urged global leaders to "put food first" and wake up to the need to curb increased price volatility.
"We are going to be facing a broader trend of increasing commodity prices, including food commodity prices," he told Reuters in an interview.
A series of weather events hitting key crops is likely to keep up the pressure on food prices as a massive cyclone batters Australia, a major winter storm ravages US crop belts and flooding hits key commodity producer Malaysia.
Drought in the Black Sea last year, heavy rains in Australia, dry weather in Argentina and anticipation of a spike in demand after unrest in north Africa and the Middle East has already pushed the price of wheat to its highest in 2-1/2 years.
The FAO's Abbassian pinpointed crop conditions.
"It is the supply situation. It is not the time when we get additional supplies from anywhere," he told Reuters.
"Supply is not going to look any better than it is now until we know what is happening (with crops in major producing countries) later on in the year," he said.
A mix of high oil and fuel prices, growing use of biofuels, bad weather and soaring futures markets pushed up prices of food in 2007/08, sparking violent protests in countries including Egypt, Cameroon and Haiti.
Cameroon on Thursday said it had created a body to buy and regulate the price of basic food imports, a move to avoid a repeat of price increases which led to 2008 riots in which 100 people were killed by the African nation's security forces.
Economists in Europe picked up on the threat to economies from surging food inflation.
Janis Huebner, economist at Germany's DekaBank said inflation partly fueled by increasing food prices could in turn trigger interest rate rises in several countries this year.
"This could mean a slowing down of growth in the countries which raise their interest rates," he said. "This could involve Asian countries and other regions, this would somewhat brake growth but I do not expect a hard landing."
National Australia Bank agribusiness economist Michael Creed said food markets may take a while to regain equilibrium.
"The broadbased nature of what crops have been wiped out over the past year means that it's going to take a while to actually rebuild and get production back in line with consumption," he said.
White sugar futures hit a record high and raw sugar futures rose to their highest in more than 30 years on fears of the damage Cyclone Yasi would bring to the Australian cane crop.
The worst winter storm for decades in the United States drove wheat futures to the highest in nearly 2-1/2 years, and Malaysian palm oil prices are at 3-year highs as flooding hit crops.
Some countries, particularly where food prices loom large in household budgets, have been building up food stocks to try to contain prices -- and to limit the political and social fallout.
In the run-up to the 2007/2008 food price crisis, the World Bank estimated that some 870 million people in developing countries were hungry or malnourished. The FAO estimates that number has increased to 925 million.
"2008 should have been a wake-up call, but I'm not yet sure all the countries in the world that we need to support this have woken up to it," the World Bank's Zoellick said.
In Bangladesh, price of rice further strengthened in January reaching new record highs. At Tk 36 per kg, prices were about 33 percent higher than a year ago.
Indonesia, Southeast Asia's biggest economy, last week bought 820,000 tonnes of rice, lifting rice prices -- although rice is one commodity that remains well below its 2008 prices. It has also suspended import duties on rice, soybeans and wheat.
Algeria last week said it had bought almost a million tonnes of wheat, bringing its bread wheat purchases to at least 1.75 million since the start of January, and ordered an urgent speeding up of grain imports, a move aimed at building stocks.
"Some of the demand story is centred around high food prices (that) then tend to lead to hoarding by a number of countries into their strategic reserves," said Wayne Gordon, a grains analyst for Rabobank in Sydney.
"So not only are they purchasing for current consumption, but they are also trying to build up strategic reserves, which basically are a bit of a double-barrelled demand event."

Panic brings down stocks

Star Business Report

Dhaka stocks fell heavily yesterday as panic-driven investors went for sell-offs fearing another collapse amid fresh liquidity crisis and two regulatory directives, said market operators.
In choppy trading, the benchmark general index of the DSE plunged 183.80 points, or 2.51 percent, to close at 7,125.33 points, as share prices of 231 issues out of the total 257 went down.
The DSE had experienced a similar trading on Wednesday but the general index of the bourse advanced 28.16 points as bank issues pulled the market for the day, although prices of 75 percent issues slid.
“All sectors retraced today,” said BRAC EPL Stock Brokerage Ltd in its daily market update yesterday.

MCCI links stock fall to abrupt policy shift

Hasina calls for increasing people's purchasing power

A delegation of Metropolitan Chamber of Commerce and Industry, led by its president Amjad Khan Chowdhury, meets Prime Minister Sheikh Hasina at the premier's office in Dhaka yesterday. Photo: MCCIStar Business Report

Frequent changes of policies and non-professional handlings by the regulators have created the recent 'havoc' on the stockmarket, said a leading chamber yesterday.
Metropolitan Chamber of Commerce and Industry (MCCI) also said the debacle has tarnished the image of the government to some extent.
"The recent drop in the stockmarket index needs to be evaluated and analysed judiciously," said the oldest trade body in a submission at a meeting with Prime Minister Sheikh Hasina at her office.
The prime minister called upon the MCCI leaders to take initiatives to increase the purchasing capacity of the people for expanding local markets of their commodities.
"People of the country will not be able to buy commodities manufactured by the local industries if their purchasing power is not increased," Hasina said.
MCCI also demanded punishment to the responsible persons for the recent stock debacle, after a proper investigation.
The MCCI said: "Bangladesh should focus on improving governance and developing advanced market products."
The trade body's observation came at a time when the stockmarket is trying to recover from the last month's collapse, depending on the government stimulus measures.
The plunge made many small investors bankrupt.
MCCI referred to the 1996 stock crash and said this year's incident also tarnished the image of the government to some extent.
The trade body also praised some government initiatives, including construction of 33 power plants of 2,941 MW and upgrading of Dhaka Chittagong Highway into four-lane to establish regional connectivity.
"Bangladesh can become an Asian commercial hub through better land, air and sea connectivity. However, creating public opinion is needed for effective implementation of the agreements," it said.
MCCI, however, said: "The government cannot alone do this job, it needs cooperation from all other political parties and civil society."
"Once dubbed as a bottomless basket, Bangladesh is now poised to become a middle-income country by 2021," said MCCI but added that GDP would need to grow at an annual rate of at least 8 percent in the next 10 years.
The chamber urged the government to build public opinion for implementations of agreements for improved regional cooperation and connectivity, signing of Free Trade Agreements (FTA) with India, China and ASEAN, settle issues like market access with India.
The delegation, led by its newly elected President Amjad Khan Chowdhury, also wanted upgradation of capacity of standards institutions, appointment of bureaucrats in ministries with their specific field of specialisation, improvement in law and order situation, expansion of Open Market Sales points.
MCCI suggested the government avoid gas-based power plants due to their low conversion efficiency, and introduce cyclindered gas for households to reduce wastage.
The trade body urged the government to finalise the draft coal policy soon so that coal can be used to generate power.
"Relying on imported coal for our power generation will make our energy security dependent on foreign supply and the cost will be prohibitive," it said.
The MCCI praised the government initiative to build Padma Bridge but said a clear timeline for execution of different stages of this project is needed. To ensure effective utilisation of the bridge, it also suggested development of the Mongla Port.
The chamber said the public private partnership (PPP) model has a high potential to draw substantial investments.
It also called for a comprehensive PPP act.
"In our view, the complexity of the PPP mechanism demands that it be governed by a law rather than by executive guidelines," it added.

Food inflation soars

Star Business Report

Food inflation has reached its highest in three years on a point-to-point basis in December 2010 due to rising food prices on both local and international markets.
According to Bangladesh Bureau of Statistics (BBS), food inflation increased by 1.2 percentage points to 11.01 percent in December, compared to the previous month, but non-food inflation decreased by 0.06 points to 3.27 percent.
The country's poor rural population felt the heat most, as food inflation there reached 11.76 percent in December, which was 10.53 percent in November.
Inflation increased to 8.28 percent on a point-to-point basis in December 2010, which was 7.54 percent in November.
Bangladesh Bank (BB) said rising trends of global food prices, energy and industrial commodities will be the short-term external source impacting domestic inflation in the coming months.
Food crop growers get price subsidies for fertilisers and irrigation fuel, but they are facing higher costs because of a rise in wages of agricultural labourers in recent years, BB said in its latest monetary policy statement.
Severe food inflation in India and high international prices of food commodities mean there would be no calming influence on food prices from imports by private sectors -- another reason why local rice prices are high and rising even after a good aman harvest.
The central bank said monetary policy actions will have little leverage on rising food prices in this situation. Fiscal measures like subsidised food grain sales from public-stock may need to be expanded to ease hardships of low income population, it said.
Domestic consumer prices have already contributed to wage increases in the apparels sector, declared four months in advance and will be effective from June.
An energy price revision to adjust high import prices of fuel oil and costly power from rental power plants is reportedly under process.
This will be effective in the remaining period of the current fiscal year and is expected to impart some upward spurt to non-food inflation.

An eco-resort that stands apart

http://www.thedailystar.net/newDesign/news-details.php?nid=170165
Green Tech
An eco-resort that stands apart

Left, a cottage of Mermaid Eco Resort; top right, a view of the sea from the resort, and the front view. Photo: Mermaid

Iqramul Hasan
Cox’s Bazar is no more clamouring to be listed as one of the New Seven Natural Wonders of the World, but it attracts tourists in increasing numbers from home and abroad.
Pechar Dweep, only a 15-minute ride from Kalatoli point of Cox’s Bazar toward Himchhori, is a place of natural beauty where the waves of the sea kiss the foothills.
It is rare that someone making a trip to Cox’s Bazar should be missing out on the panoramic Himchhori.
As you venture out on the long black tarred road to Himchhori and have travelled a few kilometres with the choppy sea on your right, a bright sign on a weather-washed board “Mermaid Eco Resort”. A cluster of tiny thatched cottages must attract your attention. There you are on the threshold of an eco-resort housed on five acres.
Anyone should easily understand that the resort operators must be an environment-conscious group as one glances at the nice sign of Mermaid painted on a piece of recycled wood pegged at the rather unassuming entrance.
Anisul Huque Chowdhury, managing director, explains why he says Mermaid is an eco-resort.
“Since I began the construction of this resort in 2003, one thing I kept in mind that there must not be any harm done to the natural beauty of the place,” Chowdhury said.
He said the resort would not be put in place without the sophisticated design of Ziauddin Khan, the chairman of the resort. “We invested around Tk 4 crore to develop and build the resort. The materials used in construction were mainly old blocks of wood.”
But the authorities did not allow felling a single tree within the resort area, keeping all the trees falling within the accommodation zone also intact, he said. “Also, we planted around 40,000 saplings to make the resort greener.”
Chowdhury said the first venture was Mermaid Café in Kalatoli area, where recycled materials were used in construction and fresh organic foods were served to the customers.
“The success of that café motivated us to build a resort some distance away from the town.”
The resort owner recruited 70 percent of the staff from the locality, most of whom had earlier been struggling to make a living by poaching natural resources from the nearby hill forests.
Chowdhury said a plant recycles the waste generated at the resort. “The end of the day sees us separating the food wastes, paper and bottles for recycling.”
Food wastes are recycled to generate fertiliser that again is used in the organic farming of vegetables the resort serves to the guests.
Chowdhury said Mermaid distributed the excess organic fertilisers among the village farmers.
The waste bottles are used in the decor of the resort and mixed with other materials to make mortar used in construction, he said.
Razib Ahmed, the marketing manager of Mermaid, said the resort wanted to attract mainly those tourists who are environment-conscious.
Christopher Craig, country director of a multinational company, said he felt at home being a guest at Mermaid and was happy with the standards maintained by the resort.
“To protect the natural beauty of the countryside like Cox’s Bazar, there is no alternative to building this kind of eco-resorts,” he added.
According to Craig, Cox’s Bazar is already congested and overburdened with dense concrete structures. He said, “It is not a very good thing for eco-tourism.”
“As an environment conscious traveller, I feel Mermaid makes efforts to protect the nature against contamination,” he added.
Ria Maria who visited the resort on several occasions said: “It is the best resort in the country as far as my experience goes.” Maria said the resort did not use any air conditioners; the natural air is sufficient there and so they save energy.
“The rather simple cottages and other structures were built in a way so that the natural atmosphere remains intact there,” she added. Maria said her friends who visited the resort had the same feelings.
There was a time, when eco-tourists avoided visiting Cox’s Bazar because of the widespread pollution of the local environment and the sea. Chowdhury said: “We got a lot of tourists in the last one year who really cared about the environment and enjoyed their stay at our resort.”
Tourists who come to Cox’s Bazar are mostly residents in different cities living in tall buildings, he added. “Tourists prefer a place which is in a natural setting and far from any noise.”
“We raised Mermaid using recycled wood and other materials, not exceeding the height of the existing trees.”
Mahfuz Ahmed, manger of the resort, said since inception they had received around 10,000 guests till then. Of them, more than 40 percent were foreigners and some of them revisited the resort on a number of occasions, he added. The tourism minister, diplomats, writers and many other environment lovers visited the resort.
Talking about their future plan, Chowdhury said he plans to instal solar panels of 5KW capacity soon. “We have a plan to supply power to the local households also, as Pechar Dweep does not have any other power supply.” A central effluent treatment plant is also included in his future plan.
The resort owner is building another resort, Club Mermaid, near the existing one.

Leather exports see recovery after recession

http://www.theindependentbd.com/business/finance/29117-leather-exports-see-recovery-after-recession.html
Leather exports see recovery after recession
AKRAM HOSSAIN
Dhaka, Jan 14: The country’s leather sector is moving swiftly to overcome the loss of sales caused by the global financial recession, taking advantage of surging international demand for leather and leather goods. The latest data published on the website of Export Promotion Bureau (EPB) showed that the country’s leather export earnings rose to US$ 128.72 million in the first half of the current fiscal year 2010-11 from $ 98.06 million in the corresponding period of the previous year—an increase of 31.35 per cent.
The EPB data revealed that the leather export target for the July-December 2010 period  was fixed at $ 139.33 million but leather exporters could ship goods worth only $ 128.27 million, which was 7.62 per cent lower than the target for that period.
An analysis of the EPB data showed that the country’s leather product export earning was behind target mainly owing to lower earnings from finished leather exports.
According to EPB data, total export earning of the leather products was $ 25.34 million in July-Dec, 2010 against the target for the corresponding period of $ 16.53 million,  or 53.30 per cent higher than the target.
Exports of leather product were 171.31 per cent higher than earnings of the same period of the previous year as the export earnings for that period (July-Dec) was $ 9.34 million.
Md. Sahin Ahmed, Chairman of Bangladesh Tanners Association, told The Independent that the country’s export earning of finished leather saw ups and downs in the past few years but earnings were expected to increase from now on mainly due to increasing global demand for raw hides and skins.
Sahin Ahmed expressed the hope that the finished leather exporters could achieve the export target of $ 293.94 million for finished leather in the fiscal year 2010-11, as the supply of hides and skins was good enough during the recent Eid-ul-Azha.
Four months months ago, when cattle in the whole country was affected by the anthrax scare, tanners were concerned over supply of hides and skins as the number of slaughtered animals was meager during that time, he said.
These worries ended as supply of hides and skins after the recent Eid-ul-Azha shot up, he added.
Export earning from leather products was lower than export earnings from finished leather due to the lack of technical knowledge, poor products and skilled workforce, he said.
“Many investors would invest in Bangladesh to set up modern leather product manufacturing company if bank loan with low interest rate, smooth supply of gas and electricity side by side establishment of training institutions ensured,” said an official of Bangladesh Finished Leather and Leather goods and Footwear Exporters Association (BFLLFEA).
To make quality leather product we need modern technology and trained workforce which facilitate to increase the export earnings of Bangladesh, the official of BFLLFEA said.
Despite of having a college of leather technology in Bangladesh, we could not get sufficient number of skilled workforces for this sector due to the shortage of necessary teachers in that college, the official said.
“If we get expert workers for both leather and leather product industry, country’s export earnings of these sectors would tremendously increase,” said the official.

Mobile user numbers grow 31pc

http://www.thedailystar.net/newDesign/news-details.php?nid=169957
Mobile user numbers grow 31pc
Star Business Report
The number of mobile subscribers in Bangladesh rose by nearly 31 percent last year to 6.86 crore despite high taxes on new connections, according to Bangladesh Telecommunication Regulatory Commission (BTRC).
This is the highest ever increase in the growing mobile sector since the state-run BTRC started to disclose figures of customers nearly four years ago.
Last year, six mobile operators — one state-run and five private ones — altogether sold 1.621 crore new connections, 30.91 percent up compared to 2009, according to the regulator.
In 2009, the number of active subscribers grew by 17.45 percent and 29.88 percent in the year before.
Grameenphone, jointly owned by Telenor and Grameen Telecom, has retained the top position, adding 67 lakh users to take the total tally to 2.997 crore.
Second-placed Banglalink also made big stride, as it sold 56.5 lakh new connections. The number of its clients now stands at 1.9 crore.
Re-branded Robi, owned by Axiata (Bangladesh), a joint venture between Axiata Group Berhad, Malaysia, and NTT DOCOMO, Japan, added 30.7 lakh customers to end the year at third place with 1.236 crore users in total.

Govt to get into import gear

http://www.thedailystar.net/newDesign/news-details.php?nid=170020
Food Stocks
Govt to get into import gear
Staff Correspondent
In a bid to boost the food stocks and make the local commodity market stable, the government yesterday disclosed its mega food import strategies.
According to its decision, the government will import nine lakh tonnes of additional rice to increase the stock to 12 lakh tonnes. The authorities previously targeted importing three lakh tonnes of rice for 2010-11 fiscal year.
Like the staple food, the government will import an additional 2.50 lakh tonnes of wheat from its previous target of 7.50 lakh tonnes for the current fiscal year.
Such quick move is necessary because the prices of basic commodities have soared recently and Bangladesh wants to build her stock to tackle any foreseeable crisis, observed ministers.
It will import two lakh tonnes of sugar through the state-owned Trading Corporation of Bangladesh (TCB), Commerce Minister Faruk Khan told the journalists at a press briefing at his secretariat office after a coordination meeting.
The commerce minister held the emergency coordination meeting on ‘purchasing food grains and basic commodities from the international market’ with Food and Disaster Management Minister Abdur Razzaque.
Two lakh tonnes of crude soybean and palm oil and 20,000 tonnes of grams (chick peas) will also be procured from the international market, added Faruk.
“Commerce ministry has asked for Tk 1000 crore from the government to strengthen the TCB, so that it can import the essentials to tackle the situation,” stated the minister.
The TCB will also import 10,000 tonnes of lentil to add to a stock of 25,000 tonnes, said Faruk adding, these are the government’s efforts beside the private sector’s continued imports.
“We are very worried with the prices and stocks of food items in the international market. This is why we are importing the food items to boost the stock and bring price stability in the local market,” mentioned the minister.
Abdur Razzaque said prices of rice in the local market have gone higher even in the full season of harvest because the mill owners stockpiled it for selling at higher prices in near future.
“I think the prices of rice and wheat are comparatively higher. We are making efforts considering the purchasing capacity of poor people,” said the minister.
“We are not purchasing from the internal market because it is unable to supply such a huge quantity of food grains.”
At present there is a stock of 8.22 lakh tonnes of rice and wheat in the government’s warehouses, he added.
Six lakh tonnes of rice and five lakh tonnes of wheat will arrive by next April because the letters of credit (LCs) have already been opened to this end, mentioned Razzaque.
“On Sunday, we have signed agreement with the Vietnamese government to import 2.50 lakh tonnes of rice. I hope the entire quantity will arrive at the end of February.”
The country will require 11,36,000 tonnes in rice and wheat by next April, he said adding, since the boro paddy will come by May, 7,86,000 tonnes of food grains will remain surplus in the government warehouses.
Replying to queries, Razzaque said a total of 3,80,000 tonnes of rice has already been imported and LCs for six lakh tonnes more have been opened up.
“We will import the remaining 2.50 lakh tonnes of rice mainly from Thailand and Pakistan.”
“We are in talks for importing three lakh tonnes of rice from India. If India does not agree we will not face problem as we have options to import the quantity from Thailand and Pakistan,” he said.

Home textiles make a comeback

http://www.thedailystar.net/newDesign/news-details.php?nid=169658
Ready Made Garments
Home textiles make a comeback
Refayet Ullah Mirdha
The export of home textiles is on the rebound with the western world making a recovery from the global financial recession.
Manufacturers are expecting hefty profits as orders from international buyers soared with the changed economic situation.
Recovery came with a bang when the sector earned $296.01 million in July-December, registering a 77.75 percent growth from the same time last year.
The home textile export target fixed for fiscal 2010-11 is $563.50 million. Earnings amounted to $402.49 million in the year before.
Industry insiders said even in July of the current fiscal year, the export of the item witnessed a decline of 10 percent for an economic dip in the western world.
But in recent months, home textile exports surged, industry insiders said.
Nurul Afsar, company secretary to Noman Group, one of the largest home textile makers in Bangladesh, said demand for home textiles in the West increased significantly with recovery from recession.
“We are receiving plenty of orders from international buyers. But, prices of the item are still low even after the prices of raw materials have gone up worldwide,” Afsar said.
Noman Group exports goods worth more than $15 million a month, but the profit margin is narrow nowadays, Afsar said.
IKEA of Sweden, Heritage of Canada, Jionmax of Germany, Asda of UK and Carrefour of France are the group’s major buyers, he said.
A senior official of IKEA said the export of home textiles increased mainly because of an increase in the value and volume of products.
“The price of home textiles increased by 30-40 percent over the last few months because of a hike in the prices of raw materials,” he said, requesting anonymity.
Moreover, international buyers are shifting to Bangladesh from China and Pakistan, the two major destinations for home textiles, because of the price hike over high production costs.
He said the devastating floods in Pakistan last year damaged the cotton crop as well as the industry. “As a result, buyers are shifting to Bangladesh to meet the growing demand for the item in the western world,” he added.
According to Bangladesh Textile Mills Association, more than 469.7 million metres of home textiles are now produced a year.

UK-China company to invest $2m in Mongla EPZ

http://www.theindependentbd.com/business/others/28452-uk-china-company-to-invest-2m-in-mongla-epz.html
UK-China company to invest $2m in Mongla EPZ
UNB
Dhaka, Jan 10: A UK-China based company will invest US$ 2 million in Mongla Export Processing Zone (MEPZ).
Mongla Knitwears (Pvt) Limited, a UK-China company, will set up a Knit Garments and Sweater Manufacturing Industries in the MEPZ. The companies will also create employment opportunity for 2047 workers including 30 foreign nationals, a BEPZA press release said. The Bangladesh Export Processing Zones Authority (BEPZA) and M/s.  Mongla Knitwears (Pvt) Limited signed an aggrementto this effect at BEPZA Complex in the city on Monday.
M Moyjuddin Ahmed, member (Investment Promotion) of BEPZA and Che Chit Meng, general manager of M/s. Mongla Knitwears (Pvt) Limited signed the agreement on behalf of their respective organizations.

Rangpur Dairy proving a resounding success

http://www.thefinancialexpress-bd.com/more.php?news_id=122513&date=2011-01-11
Rangpur Dairy proving a resounding success

Fresh Milk from RD Milk. Source: http://www.rdmilk.org/

Our Correspondent
RANGPUR, Jan 10: The Rangpur Dairy (RD) Milk processing factory at Boldipukur in Mithapukur Upazila of the district has provided solvency to hundreds of monga-hit poor people in Rangpur.
These poor people are now rearing cows at home and selling milk to factory, first ever small private industry set up in the district after the commissioning of Jamuna Bridge.
Rangpur Dairy Milk undertook a laudable step earlier, to support the poor providing cows on easy terms to produce milk at home so that they might be benefited financially.
RD Milk Manager Ashraful Alam said, “We provided 425 cows among 375 families of Salaipur and Muradpur under Mithapukur Upazila.
He said, “The Company not only aims to do business but also wants to create a financially sound community in the process.”
He said, “RD Milk has not donated the cows to the beneficiaries free of cost. They have to pay the purchase rate of the cows in exchange of supplying milk to the factory for a certain period. When the prices of the cows are completely realised, the authority would transfer ownership of the animals to them.” he said.
Motin Miah at Muradpur in Mithapukur Upazila who received two cows from RD Milk said that he paid the price of the cow to the company. He is now milking 30 litres out of which earning Tk 750 a day.
RD Milk Managing Director Foqruzzaman said, the poor people of Rangpur as well as dairy farmers in the district are getting benefit from RD. He said the dairy farmers in Rangpur who were in utter frustration and were about to close their farms due to frequent losses even two years back are now getting profit by selling milk to RD Milk.
RD Milk has now been producing full cream milk through Ultra High Temperature (UHT) method. Only three companies in the country were producing full cream milk through UHT method. The companies include Pran, Akiz and RD milk.
“We are now supplying the milk products to Dhaka and other parts of the country including the northern districts. At present, about 15000 litres of milk are being processed a day in the industry”.
Foqruzzaman told The Financial Express, “We have a plan to turn RD Milk as one of the biggest milk processing industry of the country so that about 30,000 dairy farmers of Rangpur and its adjoining districts may get benefit.”
He said the authority has completed preparation to produce RD Butter, RD Tea, and RD Sweets. He however expressed his dissatisfaction at the absence of gas supply through pipeline and adequate electricity in Rangpur.
The production cost will be reduced at least 50 percent if there is uninterrupted gas supply. Power shortage also often hampers production resulting in loss to the company, he added.
Regarding prospect of RD Milk, FBCCI Vice-president and former President of Rangpur Chamber of Commerce and Industry Mostafa Azad Choudhury said it is the first ever industry of its kind set up in Rangpur with the Equity Entrepreneur Fund (EEF) of Bangladesh Bank. He expressed optimism that RD Milk might help a lot in bringing socio-economic change in Rangpur.

Banks asked to lend money to dairy farms with bio-gas plant

http://newagebd.com/newspaper1/business/4547.html
Banks asked to lend money to dairy farms with bio-gas plant
Bangladesh Sangbad Sangstha . Pabna
Bangladesh Bank governor Atiur Rahman on Sunday urged the commercial banks to increase their credit flow for agriculture sector particularly for setting up commercial dairy farms with bio-gas plants in rural areas.
A coordinated dairy farm is not only environment-friendly, but also meets three basic demands of farmers- protein, fuel and fertiliser, he said.
The governor was addressing a function at Titli tala of Jagannathpur upazila while visiting an Agrani Bank financed bio-gas and hybrid baokul and guava cultivation project.
Bangladesh has enormous capacity of establishing around 40 lakh coordinated dairy farms with four cattle in each, he said referring to a recent survey.
He said the dairy farms can yearly produce 480 crore cubic metre bio-gas, 120 million tonnes of high quality organic fertiliser, 1,700 crore litre milk and one million tonnes of meat apart from creating job for around 1.2 crore skilled and non-skilled rural people.
‘So, it’s huge opportunity for commercial banks to pursue green business on integrated dairy farm and bio-gas plant,’ Atiur said adding that Bangladesh Bank has been trying to make the integrated dairy farm model popular among the people.
The governor said a small dairy farm with four cows and one bio-digester everyday can produce 17 litre milk, 100kg organic fertiliser and 100 cubic biogas.
Director (news) of Channel-I Shykh Siraj, managing director of Agrani Bank Syed Abdul Hamid, government officials and local elites spoke, among others, on the occasion.
Referring to the Bangladesh Bank’s Tk 200 crore re-financing scheme for solar power generation and waste management, the governor urged people to take the opportunity.
The governor lauded the Agrani Bank’s financing project for the bio-gas plant and hybrid baokul and guava cultivation in Pabna and said many commercial banks already invested their money for solar power generation.
He urged the commercial banks to invest more in such projects and said it’s very encouraging to see that the commercial banks are providing the farmers with credit for fruit cultivation.
‘Such initiative will help farmers for cultivating high value crops, making the country more green and contributing to country’s economy,’ said the governor.
The governor urged the commercial banks to give emphasis on ‘area approach’ and provide loan for cultivation of a crop that grows more in a particular area.

Govt targets growth at 9.8pc in manufacturing in 6th 5-yr plan

http://www.thefinancialexpress-bd.com/more.php?news_id=124184&date=2011-01-27
Govt targets growth at 9.8pc in manufacturing in 6th 5-yr plan
Economy to grow to 8pc by 2015
FE Report
The government has targeted an ambitious 9.8 per cent average growth per year during the sixth five-year plan period from the manufacturing sector to spur the economy into 8.0 per cent by FY2015, officials said Wednesday.
At a consultation meeting on the draft five-year development plan with government bodies and private sector exporters in Dhaka, the General Economic Division (GED) of the Planning Ministry has disclosed the growth projection.
Exporters said the growth target would not be achievable if the government did not give boost to the country’s ailing infrastructure including energy supply and diversify the export products.
Trade bodies, policymakers, economists and development experts were present at the consultation meeting on the five-year plan to be implemented during FY2011- FY2015, with Planning Minister AK Khandaker in the chair.
The GED has already drafted the sixth-five year plan to achieve 8.0 per cent growth by FY2015, in which Tk13.3 trillion investments will be required from the private and public sectors.
GED member Professor Shamsul Alam said the sixth five-year plan looks to an average 9.8 per cent annual growth in the manufacturing sector, marking a rise from the depressed level of 5.7 per cent in FY2010 to 11.5 per cent at the concluding year of FY2015.
Industries Minister Dilip Barua said that in the name of back-up to the local industries, we should not undertake policies that would make Bangladesh a market of foreign goods.
Bangladesh Bank governor Dr. Atiur Rahman said growth of low-tech industries should be given more focus in the development policy in addition to the high-tech industries to widen the labour-intensive manufacturing sector.
He said the young graduates should be encouraged to come to the manufacturing sector to turn Bangladesh into a middle-income country by 2021.
Salman F. Rahman, president of Bangladesh Association of Pharmaceutical Industries, said Bangladesh has adequate industry back-up for exporting billions of dollars’ worth drugs, but it needs more support of the government.

BTRC slashes bandwidth prices by 31pc

http://www.thedailystar.net/newDesign/news-details.php?nid=171669
BTRC slashes bandwidth prices by 31pc

Md Fazlur Rahman
The telecom regulator has reduced the monthly rental bandwidth price for leased internet access through submarine cable by one-third to spread the communication services among the masses.
The monthly rental bandwidth price for leased internet access through submarine cable will be a maximum of Tk 12,000 per Mbps, said Bangladesh Telecommunication Regulatory Commission (BTRC) in a circular on Tuesday.
There are more than 80 lakh internet users in the country, which will soon cross the one-crore mark, keeping pace with the boom of mobile users, according to BTRC.
Internet services providers said the internet users should get 20 percent extra bandwidth due to a 31 percent decrease in bandwidth prices.
“But it is difficult to say now how much the end-users will be benefited, as our operation and other associated costs will remain the same,” said Rashed Amin Biddut, joint secretary general of Internet Service Providers Association of Bangladesh.
The association will sit today to discuss the issue, he said, adding that the benefit would not be so high for the internet users if they pass on the amount of money they are paying to the industry regulator to get connected with Nationwide Telecommunication Transmission Network (NTTN).
“Each ISP is paying between Tk 12 lakh to Tk 25 lakh to be connected with underground network to operate services in the capital. We have no other way but to pass the costs onto the customers,” Biddut told The Daily Star.
This is the second time the present government has decreased the prices of bandwidth to spread uses of information and communication technology under its Digital Bangladesh vision. It brought down the prices to Tk 17,400 from Tk 28,000, soon after coming power in January 2009.
It was Tk 127,000 until 2006, before the caretaker government brought it down further. Industry people said the rate would be brought down to Tk 10,000 per Mbps.
Analysts say the prices should go down further if the government really wants to boost internet penetration.
“Mobile penetration in the country shot up because of its low-cost nature, and also the call charge is much lower. The same can be true for internet penetration,” said Bangladesh Computer Samity President Mustafa Jabber.
Jabber said the impact would be tremendous. “We had been fighting for long to bring bandwidth prices to this level. It’s a good step forward.”
He said the government should give up its mentality of making profit out of everything and cut bandwidth prices further. “The government buys each Mbps at Tk 6,000. They should make profit of maximum Tk 500. If they even give free bandwidth the return will be huge.”
Jabber said internet users using services of Wimax and mobile operators would be particularly benefited. “They hold the majority share of the growing market. It will spur more price war among operators, ultimately benefiting the customers.”
Mobile operators however said the fixing of the price from the regulator is a piecemeal solution and will not be beneficial for the market competition.

Jute contributes 4.68pc in export earnings

http://www.theindependentbd.com/business/finance/31499-jute-contributes-468pc-in-export-earnings.html
Jute contributes 4.68pc in export earnings
STAFF REPORTER
DHAKA JAN 27: Jute will regain its earlier glory as it is becoming popular globally, the speakers said today at the opening session of International Jute fair.   “Jute sector is contributing 4.68 per cent in export earning last fiscal year and two per cent increase during last two years,” said secretary of Textiles and Jute ministry Ashraful Moqbul, adding  “Though its contribution is not notable at present like the 1960′s but there is no scope to deny its contribution in national economy.”
He was speaking as the chief guest at the opening session of the fair jointly organised by International Jute Study Group (IJSG) and National Jute Board (NJB) of India with collaboration European Union (EU) at Bangabandhu International Conference Centre (BICC).
Among others, executive director of Jute Diversification Promotion Centre (JDPC) Khandaker Mokhlesur Rahman, secretary of NJB Atri Bhattacharya, first secretary of EU Andrew Barnard and secretary of IJSG Bhupendra Sigh addressed the session.
Jute will be one of the most important cash crop in coming days due to the automobile sector around the world are using jute products, Ashraful said.
He further said, jute is versatile fibre and environment friendly so its use increasing entirely which is good signs for the jute sector of the Bangladesh and India . Both India and Bangladesh will be benefited if joint initiate to promote the diversification of jute, secretary of Textiles and Jute added.
First secretary of EU Andrew Barnard said at least 40 million farmers of   Bangladesh would be benefited directly from this sector and it had a huge prosperity.
Bangladesh is producing quality jute products that can secure market in Europe countries, he said.
He also said that Bangladesh earned US $ 140 million from raw jute export and $ 47 million from jute products.
The fair will open form 9 am to 9 pm started from today (January 27) and continue till January 29.

AWD irrigation can save 30 p.c underground water: Experts

http://www.bssnews.net/newsDetails.php?cat=0&id=157916&date=2011-01-28
AWD irrigation can save 30 p.c underground water: Experts

Alternate wetting and drying (AWD) irrigation. Source: http://www.knowledgebank.irri.org/Watermanagement/index.php/coping-with-water-scarcity/alternate-wetting-and-drying-awd

RANGPUR, Jan 28 (BSS) – Agri-scientists and experts have said that popularization and mass adoption of Alternate Drying and Wetting (AWD) irrigation technology in Boro farming can save 30 percent underground water.
Mass applications of the technology can reduce five number irrigations compared to the farmers’ general practice, reduce 30 litres diesel consumption per hectare for irrigation, and produce 500 kg more paddy per hectare.
They said that the country would be benefited by about Taka 6,000 crore annually by adopting the AWD technology for farming Boro in 4.85 million hectares land only for reduced irrigation costs and increased paddy yields in addition to saving huge water.
The ecology, environment, bio- diversity would be improved with retardation in the desertification process as 30 percent less water would be lifted for irrigation purposes every year saving its underground reserve.
Liaison Scientist of International Rice Research Institute (IRRI) for Bangladesh and former Director General of Bangladesh Rice Research Institute (BRRI) Dr M A Hamid Miah recently narrated BSS about the AWD technology.
Rice scientist Dr MA Mazid said that efforts of the agri- related departments and research organisations are continuing to popularize the technology among the farmers.
Principal Scientific Officer of BRRI and its Rangpur Station Chief Dr Gous Ali narrated the ongoing and expanding field level AWD activities to popularize the easiest technology.
They said that the farmers generally consume 3,000 to 5,000 litres irrigated waters to produce one kilogram paddy under different topographical locations, when the paddy plants hardly need 1,500 to 2,000 litres for the same if AWD technology was used.
Dr Hamid Miah said that AWD is a simplest technology of determining irrigation times in Boro fields and it requires a 25 cm long PVC pipe or hollow bamboo pieces or even waste bottles of cold drinks like coco cola etc.
Fifteen cm on one side of the pipe is perforated for easy horizontal movement of water and it is to be installed vertically with its perforated portion under the ground level when the soil within the pipe is scoped out so that soil at the lower end of the pipe is visible.
The farmers should irrigate fields in such a way that water does not overtop the imperforated portions, watch leaching down of water through the pipes, and irrigate when the soil at the bottom of the pipes will be visible with no water standing on the soil hat.
If the AWD were adopted for farming Boro in 48.5 lakh hectares during this season, the country would get benefit of Taka 6,000 crore from additional paddy productions, less use of diesel and electricity alone, the scientists and experts said.
Dr Mazid today told BSS that expanded use of AWD would also allow lifting 30 percent less underground waters annually for irrigation purposes to increase its reserves and get an uncountable national benefit amid the formidable threats of climate changes.
They suggested for ensuring mass use of AWD technology through coordinated efforts of all for availing its full advantages through additional paddy productions and uncountable benefits by saving huge underground waters.

Belgium to invest $ 6.756m in DEPZ

http://www.theindependentbd.com/business/finance/31492-belgium-to-invest–6756m-in-depz.html
Belgium to invest $ 6.756m in DEPZ
STAFF REPORTER
DHAKA, Jan 27: Tigerco Limited, a Belgium origin company, will set up a high tech garment manufacturing industry in Dhaka Export Processing Zone (DEPZ), says a press release. This 100per cent foreign direct investment accounts $6.756 million in setting up their unit which will produce bullet-proof jacket, tent, and protective clothes and garments items.
The company will also create employment opportunity for 409 Bangladeshi nationals.
In this connection an agreement was signed between Bangladesh Export Processing Zones Authority and Tigerco Limited in BEPZA Complex, Dhaka recently.
Md. Moyjuddin Ahmed, member, Investment Promotion of BEPZA and Iqbal Hossain, managing director of Tigerco Limited signed the agreement on behalf of their respective organisations.
Major General A T M Shahidul lslam, ndu, psc, executive chairman, A.K.M Mahbubur Rahman, member, Finance, Md. Shawkat Nabi, secretary, A.Z.M. Azizur Rahman, general manager, Investment Promotion and other officials of BEPZA were present at the signing ceremony.

Software fair creates buzz

http://www.thedailystar.net/newDesign/news-details.php?nid=172471
Software fair creates buzz
Star Business Report
The country’s largest software and ICT-enabled services exposition — BASIS SoftExpo — started yesterday in Dhaka to bridge the gap between service providers and users.
Finance Minister AMA Muhith inaugurated the five-day event at Bangabandhu International Conference Centre (BICC). About 110 local companies and 10 firms from Denmark and Netherlands are participating in the ninth edition of the exposition themed “Digital Bangladesh in Action”.
Bangladesh Association of Software and Information Services (BASIS), the national trade association of software and IT-enabled services industry, is organising the annual event in association with the Ministry of Science and Information and Communication Technology and Access to Information (A2I) programme of the Prime Minister’s Office.
BASIS President Mahboob Zaman, while chairing the inaugural ceremony at BICC, said the government should use public private partnership initiative in the ICT sector, which could be the main lifeline of the economy in next five to seven years.
He urged the government to set up an ICT authority and also demanded fund allocation.
The BASIS chief said the government should continue tax exemption facility for the ICT sector for at least another 10 years for the development of the sector, after the fiscal immunity expires this year.
Speaking as the chief guest, Muhith said among the government’s programmes, the digital Bangladesh activity has advanced a lot.
He said although he is personally against allowing tax exemption facility to any industry, the demand of the country’s growing ICT sector would be considered while reviewing fiscal changes.
“All of us should make a habit of paying taxes. We are taking steps so that taxes are at tolerable level, and nobody gets into any trouble.”
The finance minister said many industries that earlier enjoyed tax exemption facilities have been awarded with low taxes.
Muhith also said his government would also consider awarding dedicated funds for the sector.
Commerce Minister Faruk Khan said they hope the ICT sector would also emerge as a billion-dollar industry in future like apparel sector.
He requested the finance minister to take steps to connect Bangladesh with second submarine cable network, instead of relying on one, which regularly witnesses troubles, creating disruptions.
Yeafesh Osman, state minister for science and information and communication technology, said there is no doubt that the ICT sector would outperform the garment industry.
“We have cut the price for bandwidth. We are trying to lower it further,” he said, referring to 31 percent cut in bandwidth prices from Tk 17,400 to
Tk 12,000 per Mbps last month.
Md Nazrul Islam Khan, national project director of A2I Programme, said the government has taken a raft of steps to take ICT services to the people.
He said: “We have already set up information services centres at union level. We have also completed the automation of district administration in Jessore, the first ever in the country.”
“Within a year, all offices at district levels will come under automation. We will also bring all upazilas under the automated system later,” Khan said.
On the sidelines of the exposition, an IT job fair would also be organised, which aims to create employment opportunities for IT professionals with over 400 BASIS member companies. Face-to-Face interviews will be arranged at the Expo venue.
The event will also feature over 20 seminars on software and ICT related issues along with a number of competitions.
BASIS Secretary General Forkan Bin Kashem, its Senior Vice President AKM Fahim Mashroor and GPIT Chief Executive Kazi N Islam also spoke.
The exposition will remain open to visitors from 10am to 8pm everyday. The entry fee is Tk 30. Students, however, will enjoy free entry, organisers said

Solar energy use sees major growth

http://www.thefinancialexpress-bd.com/more.php?news_id=124464&date=2011-01-30
Solar energy use sees major growth

People enjoying TV powered by a Grameen Shakti Solar Power System. Source: http://www.gshakti.org/

Mushir Ahmed
The country is making a big stride in the use of renewable energy with companies and charities doubling the number of solar-powered houses to nearly 800,000 last year.
Soft-credit by a government-owned financiers, stepped-up marketing and a longing for a better life by millions of rural poor are powering the growth of solar energy use, officials said Saturday.
Grameen Shakti (GS), a sister company of Grameen Bank, is leading the surge, aided by more than two dozen firms and non-government organisations, in what experts describe as a major private sector push in power sector.
With 50 per cent of the country’s households still remaining outside the power grid such firms have now unveiled an ambitious plan to bring 35 million people under the coverage of renewable energy by 2015.
“When the GS started 14 years back, I never imagined that a day would come when we can add 1,000 solar home system (SHS) a day,” said Ruhul Quddus who now heads Rural Services Foundation (RSF), a for-profit charity owned by Rahimafrooz.
Quddus was at the helm of GS when the firm sold only 228 SHSs in fiscal 1996-97. Last year 29 firms and charities sold 400,000 SHSs to take countrywide solar-powered homes to nearly 800,000.
“It took us 10 years to cross the 10,000 threshold. And now we are in a position to power a million households every year,” he said.
Emboldened by its recent success, the GS aims to cover five million households under solar power, making the renewable energy available to some 25 million people in the next five years and other firms and charities hope to power the rest 10 million.
Last year alone the GS powered some 200,600 households with solar system, taking its tally to half a million. The RSF sold more than 50,000 and Brac, Srizony, Ubomus, Hilful Fuzul and other charities, the rest 130,000.
Officials said a 5.0-8.0 per cent soft credit lent to the solar firms by state-owned renewable energy financier, IDCOL, sparked the growth four years back, making the SHS affordable to villages not connected to the national grid.
Development of a monthly payment package and 20-year product maturity and service period made the system financially attractive to poor and middle income clients.
It means a rural poor can now buy a basic 20-50 watt SHS just at the cost of his monthly kerosene or candle bill.
“A 50 watt SHS is most popular because it powers four lights and a black and white television set. And the cost is around Tk 25,000, which can be paid back in small installments in three years,” said Abser Kamal, chief executive officer of the GS.
Kamal said his company has set a target to double SHS clients to one million in 2011 — a feat it had earlier hoped to achieve by 2015.
“We also revised our long term plan following success in 2010. By 2015, we want to sell solar system to five million households. And we think it is achievable,” he said.
He said people in the coastal areas, migration-prone districts and wealthy villages in Chittagong and Sylhet were first to convert to solar power.
But now, the company has offices in every sub-district town in the country, employing 8,500 trained staff and it is planning to recruit thousands more.
RSF chief Quddus said his charity would add 100,000 new SHS this year and seek to expand aggressively in urban areas where an acute power crisis has forced the authorities to freeze connections to new apartment projects.
The firms have also unleashed new solar-powered thermal system, irrigation, mobile phone base stations and geysers in an effort to help boost growth.
Late last year, a group of entrepreneurs launched SolarEn Foundation to sell SHS mostly to the urban clients.
“We think SHS will have high growth in cities this year because power-starved realtors are keen to use solar power in almost all their new projects,” said SolarEn’s chief Monir Hossain.
“It is costly. But a lot of realtors don’t have any choice,” he added.
As part of its urban drive, Rahimafrooz Renewable Energy had set up solar system at the PM office and Bangladesh Bank last year and the GS brought 18 big clients including those in district and sub-district headquarters under its large-scale SHS programme.
A company does not get soft credit benefit from IDCOL if it sells solar system to grid areas especially in cities, but officials said declining cost of solar panel has made this form of alternative energy attractive to urban consumers.
RRE’s $5.0 million solar panel plant kicks off production this March, aimed at substituting import and cutting cost. Another group, Electro, has already launched a similar factory on a test-case basis.
“As far as we know, six more companies are on the pipeline to build solar panel manufacturing plant in Bangladesh this year,” said RRE programme manager Istiaq Ahmed.
The RRE also took its solar success to seven African countries, lighting up the streets of the dark continent, in the first such case of export in the Bangladesh’s history, he said.
“From batteries to panel to cable, the success of solar energy has opened up array of new opportunities in the country’s industrial sector,” Dipal C Barua, who headed GS for many years, had said earlier.
“It is poised to become a big driver of our growth,” he added.

SME financing fair due February

http://www.thedailystar.net/newDesign/news-details.php?nid=172004
Pockets of Change
SME financing fair due February

Md Fazlur Rahman
Bangladesh Bank and SME Foundation will organise a financing fair in Chittagong in February, to bridge the gap between entrepreneurs and lenders.
The two-day fair at the Engineers Institute in the port city is scheduled to be held on February 15-16. The fair is a part of the government’s attempts to extend the much-needed financial services to prospective small and medium entrepreneurs across the country.
The aim of the fair is to create awareness among entrepreneurs about small and medium enterprises (SME) financing products that are available in the market.
It will also facilitate financing through a display of loan products and procedures, and required documents for funding.
It will also support SMEs to prepare new, innovative and demand-driven projects; act as a platform for match-making between the SME entrepreneurs and financial institutions; offer spot advice and guidance to potential SMEs; and identify strategies to reduce procedural bottlenecks in delivering loans to the SMEs.
The fair, which will start at 10:30 am and be open until 8pm, will also feature seminars. Besides, banks will have to answer queries made by entrepreneurs, said an official of SME and Special Programmes Department of Bangladesh Bank.
The participating banks and financial institutions will also offer SME loans directly at the fair, he said. Each lender will lend to at least five entrepreneurs.
Fairs will also be organised at all divisional cities and major district towns, such as Bogra, Comilla and Mymensingh.

Summit strikes deals to finance three power projects

http://www.thedailystar.net/newDesign/news-details.php?nid=172050
Summit strikes deals to finance three power projects
Star Business Report
Local Summit Group and US General Electric (GE) signed an agreement on Thursday with IDLC to receive $115 million from the World Bank’s Investment Promotion Facilitation Fund to implement two 341-megawatt power projects in Bibiyana.
On the same day, the two companies signed another deal with Janata Bank and Industrial and Infrastructure Development Finance Company (IIDFC) to raise Tk 1,500 crore through zero-coupon bonds. This fund will be pumped into the Meghnaghat dual fuel 335MW power project.
Summit was awarded the Bibiyana gas-fired projects and the Meghnaghat power project about four months back. The Bibiyana projects will need $560 million (Tk 3,920 crore) and Meghnaghat Tk 2,100 crore investment.
The Thursday’s deal ensures a large part of financing for these three power projects expected to begin production in early 2013 of the cheapest electricity costing less than Tk 2 per kilowatt hour.
Summit Group Chairman Muhammed Aziz Khan said Janata Bank and IIDFC would provide Summit with Tk 1,500 crore against a sanction of Tk 2,100 crore financing. The remaining Tk 600 crore is deducted as advance interest for the next four years.
“As infrastructure like this has long gestation periods, zero-coupon bonds enable companies to implement these projects with an optimised cash flow.”
The bonds carry a 5 percent discount and 12 percent convertible to the shares of Summit Meghnaghat Power Company at net asset value of the company.
Summit Power Ltd has recently become the lowest in yet two more power tenders, Syedpur 100MW power plant and Shantahar 50MW power plant. Reports say the prime minister signed the work award orders on January 21.

Software fair creates buzz

http://www.thedailystar.net/newDesign/news-details.php?nid=172471
Software fair creates buzz
Star Business Report
The country’s largest software and ICT-enabled services exposition — BASIS SoftExpo — started yesterday in Dhaka to bridge the gap between service providers and users.
Finance Minister AMA Muhith inaugurated the five-day event at Bangabandhu International Conference Centre (BICC). About 110 local companies and 10 firms from Denmark and Netherlands are participating in the ninth edition of the exposition themed “Digital Bangladesh in Action”.
Bangladesh Association of Software and Information Services (BASIS), the national trade association of software and IT-enabled services industry, is organising the annual event in association with the Ministry of Science and Information and Communication Technology and Access to Information (A2I) programme of the Prime Minister’s Office.
BASIS President Mahboob Zaman, while chairing the inaugural ceremony at BICC, said the government should use public private partnership initiative in the ICT sector, which could be the main lifeline of the economy in next five to seven years.
He urged the government to set up an ICT authority and also demanded fund allocation.
The BASIS chief said the government should continue tax exemption facility for the ICT sector for at least another 10 years for the development of the sector, after the fiscal immunity expires this year.
Speaking as the chief guest, Muhith said among the government’s programmes, the digital Bangladesh activity has advanced a lot.
He said although he is personally against allowing tax exemption facility to any industry, the demand of the country’s growing ICT sector would be considered while reviewing fiscal changes.
“All of us should make a habit of paying taxes. We are taking steps so that taxes are at tolerable level, and nobody gets into any trouble.”
The finance minister said many industries that earlier enjoyed tax exemption facilities have been awarded with low taxes.
Muhith also said his government would also consider awarding dedicated funds for the sector.
Commerce Minister Faruk Khan said they hope the ICT sector would also emerge as a billion-dollar industry in future like apparel sector.
He requested the finance minister to take steps to connect Bangladesh with second submarine cable network, instead of relying on one, which regularly witnesses troubles, creating disruptions.
Yeafesh Osman, state minister for science and information and communication technology, said there is no doubt that the ICT sector would outperform the garment industry.
“We have cut the price for bandwidth. We are trying to lower it further,” he said, referring to 31 percent cut in bandwidth prices from Tk 17,400 to
Tk 12,000 per Mbps last month.
Md Nazrul Islam Khan, national project director of A2I Programme, said the government has taken a raft of steps to take ICT services to the people.
He said: “We have already set up information services centres at union level. We have also completed the automation of district administration in Jessore, the first ever in the country.”
“Within a year, all offices at district levels will come under automation. We will also bring all upazilas under the automated system later,” Khan said.
On the sidelines of the exposition, an IT job fair would also be organised, which aims to create employment opportunities for IT professionals with over 400 BASIS member companies. Face-to-Face interviews will be arranged at the Expo venue.
The event will also feature over 20 seminars on software and ICT related issues along with a number of competitions.
BASIS Secretary General Forkan Bin Kashem, its Senior Vice President AKM Fahim Mashroor and GPIT Chief Executive Kazi N Islam also spoke.
The exposition will remain open to visitors from 10am to 8pm everyday. The entry fee is Tk 30. Students, however, will enjoy free entry, organisers said

NBR beats target for revenue receipts

http://www.thedailystar.net/newDesign/news-details.php?nid=172313
NBR beats target for revenue receipts

Star Business Report
The National Board of Revenue has achieved a big success in revenue receipts, 27 percent or around Tk 3,000 crore more than the target, in the first six months of current fiscal year.
If the trend continues, NBR will be able to realise more revenues than the target at the end of the current fiscal year, said NBR Chairman Nasiruddin Ahmed.
During July-December, the revenue administrator collected Tk 33,550 crore in revenues, up from Tk 26,394 crore in the same period of the previous fiscal year.
The body set a target to gather Tk 72,590 crore in revenues in fiscal 2010-11, which was fixed at Tk 30,720 crore for the first six months.
Ahmed disclosed the information at a press meet at its conference room in Dhaka yesterday.
The revenues collected from income taxes saw a growth of 34 percent, the highest this time. Realisation of value-added-tax (VAT) increased by 34 percent at local level while the collection went up 27 percent at import level.
“The higher the income tax collection the more it contributes to build a society,” the chairman said.
“It was the result of NBR’s sincere efforts.” He said NBR officials are no more confined to office-based duty and frequently go on field trips that lessened fears among taxpayers. “It boosted revenue collections,” he said.
He also said the tax collection process had been made simpler. The electronic tax collection has been introduced in many cases. These actually helped the organisation collect the revenues at all levels, he added.
The NBR has taken many people-based programmes this time, which helped increase the number of income tax returns submissions, said NBR member Basir Uddin Ahmed.
The number of submissions as of December 2010 was 9.83 lakh, up from 7.72 lakh in the same-year-ago period, he said.
NBR’s income tax policy member Aminur Rahman said the target for revenue earnings from the sector will not fall short despite a recent fall in the share market.
NBR made the tax projection from the share market anticipating a daily transaction of Tk 1,500 crore. The average daily transaction will maintain the projected rate, regardless of a decrease in transactions in recent times, Rahman added.
Another NBR member, Farid Uddin, said: “In future we will attach highest emphasis to income tax.” Mentioning the NBR team’s recent visit to South Africa, he said only 4 percent of the tax comes from import level and 24 percent from VAT. “Income tax provides the rest.”
NBR member (customs) Hussain Ahmed said the tenure of pre-shipment inspection system has been extended to December 2012. The appointment of a new company is now under process, he said.

Bangladeshi Company Invest US$ 1.22 m in Uttara EPZ

http://www.bssnews.net/newsDetails.php?cat=2&id=158604&date=2011-02-01
Bangladeshi Company Invest US$ 1.22 m in Uttara EPZ

Uttara Export Processing Zone. Source: http://www.epzbangladesh.org.bd/

DHAKA, Feb1 (BSS)- M/s SA international, a Bangladeshi Company, will set up a Sweater Manufacturing Industry in Uttara Export Processing Zone.
Fully Bangladeshi owned company will invest US$ 1.22 million in setting up their unit to produce sweater items. The company will also create employment opportunity for 525 persons including 2 foreign nationals.
An agreement to this effect was signed between Bangladesh Export Processing Zones Authority and M/s SA International in BEPZA Complex, Dhaka yesterday.
Moyjuddin Ahmed, Member (Investment promotion) of BEPZA and Siddiqul Alam, executive partner of the company signed the agreement on behalf of their respective organizations.
Major General A T M Shahidul Islam, Executive Chairman of BEPZA, among others, were present at the signing ceremony.

Barisal emerging as a shipbuilding zone

http://www.thefinancialexpress-bd.com/more.php?news_id=124567&date=2011-02-01
Barisal emerging as a shipbuilding zone

Barisal Division. Source: http://en.wikipedia.org/wiki/Barisal_Division

A Correspondent
BARISAL, Jan 31: Barisal is going to emerge as a shipbuilding zone which is already been enriched with at least 10 shipyards.
Meanwhile, these shipyards are capable of floating a good number of passenger vessels and cargo ships that ply through different domestic water routes and in coastal areas with capacities up to 2500 tonnes and also several lighters which are engaged in Chittagong and Mongla Port.
It is becoming evident that some owners of the passenger vessels of south Bengal including Barisal are now showing interest in cargo ship and lighter business.
Crescent Shipping Lines built two lighters which are now engaged in unloading freight at Chittagong wharf. On the other hand, the shipyard situated at Dapdapia built several cargo ships.
Golam Mawla, Owner of Crescent Navigation, pointed out that Barisal region had been having a heritage of shipbuilding from ancient period.
“Most of the large double-and triple-decker luxury passenger carrying water vessels now plying on major river routes of the country were built here maintaining international standards,” Mawla said.
Before liberation, Azahar Uddin, owner of a Bhola launch company, set up a dockyard on the bank of Shaheber Hat Channel to repair small launches.
After liberation, Golam Mawla, the pioneer navigation investor, founded a small dockyard there but in the course of time that dockyard is now quite capable of building massive passenger vessels like ‘the Surovi-7′, a modern luxurious ship’.
Prime Shipping Lines, an associate of Sundarban Navigation Company, has built the biggest cargo ship of Barisal.
Another lighter ‘Sundarban-4′ of 182 feet long and 32 feet wide with15 feet loaded draft and a capacity of 1300 tonnes, equipped with two Chinese engines of 300 HP (horse power) has been rendering its service well. To accomplish “Sundarban-4″ the craftsmen took about one year.
The biggest and most modern and luxurious passenger carrying vessel ‘Sundarban-7′ also slides down to its waterway from this shipyard.
Kawsar Hossain, Deputy Director. Environment Bureau, Barisal and Linkon Bain, Resource Officer, Bangladesh Environment Lawyers’ Association, Barisal Division, opined that shipyard establishment in Chittagong caused deforestation there which was harmful to the environment but to establish shipyard in vast sands area on the bank of the Kirtonkhola river will not do that.
Md Shamsul Haq, Senior Program Officer, The Asia Foundation, a non-government orgaisation that has been working on the development of business and investment, said that the government is going to make a policy on shipbuilding industry.
“For the development of Barisal shipyard, dredging and sanctioning long term loan have to be included therein”, said he.
At the same time necessary attempts should be made to attract foreign investors.
Saidur Rahaman Rintu, Senior Vice-President of the Barisal Chamber of Commerce and Industries as well as Secretary of District Business Forum, Barisal, said that the shipyards situated at Dapdapia and Beltala on the bank of Kirtonkhola had built launches and coastal ships and seven more cargo ships with capacities of 1500-2500 tonnes are under construction there. Three of them are about to be completed.
About 350 workers are engaged in different shipyards in Barisal.
As Barisal is a riverine district, it is much more convenient to carry raw materials to Barisal by river.
So shipbuilding industries in Barisal hold a bright prospect to notably contribute to the national economy as the Garments Industries.

Govt plans to strengthen consumer rights protection

http://www.thefinancialexpress-bd.com/more.php?news_id=124895&date=2011-02-03
Govt plans to strengthen consumer rights protection
Talha Bin Habib
The government has planned to strengthen the functions of the Directorate of National Consumers Right Protection (DNCRP), officials said.
As part of the plan, there will be offices of DNCRP in all districts to protect the rights of the consumers.
To this end, initially, the ministry of finance has already given approval for 233 posts of the department.
“DNCRP started functioning last year. We have taken a move to set up our offices at the district level so that unscrupulous traders cannot violate consumers rights,” Md Abul Hossain Mian, additional secretary and director general (DG) of DNCRP, told the FE.
Asked when the district offices of his organisation could start their functions, he said, “We hope they will start in near future once the government decision on determining the required manpower is finalised and subsequent completion of appointments”.
About the function of his organisaiton he said, the main function of the DNCRP is to stem unscrupulous traders for not selling date expired and spurious commodities that kept in packet to the customers.
He said if any consumer feels cheated and deprived by unscrupulous trader then he/ she could lodge complain to the authority of DNCRP.
“The DNCRP fights for the protection of the consumers’ rights after filling the law suit by the deprived customer. If the court gives order for giving financial compensation to the ‘deprived and aggrieved’ consumers then they could get a considerable portion of fined money”.
He said the officials of DNCRP, in their on going raids to different shops and markets in the capital have realised notable amount of taka from the unscrupulous traders.
Earlier the government has formed National Consumers Rights Protection Council (NCRPC). The commerce minister is the chairman of the council.
The function of the NCRPC is to monitor the activities of the DNCRP. It will also provide necessary policy supports and guidelines to the DNCRP.
Representatives of different chamber bodies such as FBCCI, BSTI, CAB, are also the members of the NCRPC.

2 agro-processing units in the offing in Rajshahi region

http://www.theindependentbd.com/business/others/32637-2-agro-processing-units-in-the-offing-in-rajshahi-region.html
2 agro-processing units in the offing in Rajshahi region
BSS
RAJSHAHI, Feb 3: Construction works of two modern agro- processing factories are progressing fast in the region with an ultimate goal of adding value of the agricultural products especially mango, tomato and potato. A plant named Hashem Agro-processing Industry is being built on 40 bighas of land at Rishikul under Godagari upazila of the district with the initiative of Sazib Corporation setting target to manufacture mango pulp in the coming mango season.
Another factory is being planned be Vegan Group on 50 bighas of land at Rohanpur under Chapainawabgonj district, where a pulping plant will also be established.
With this venture, cold storage for both mango and tomato is going to be built for the first time in the two districts.
In addition to pulp preservation, the factories will preserve mango, tomato and potato in small-scale.
Sohel Rana, Plant Manager of Hashem Agro-processing Industry, told BSS that the plant will process 30,000 tons of mango and 20,000 tons of tomato every year for producing pulp with ultimate goal of manufacturing mango-juice and tomato-sauce respectively. “We will establish cold storage assembling modern machineries for the pulp preservation,” Sohel Rana said.
He added that the plant will also have provision for preservation of adequate mango, tomato and potato after segregating the quality ones with modern automatic machine.
On commissioning, he said around 500 people will get job in the factory directly, which will benefit another around one lakh people indirectly.

Export to US sees robust growth

t

http://www.theindependentbd.com/business/finance/32603-export-to-us-sees-robust-growth.html
Export to US sees robust growth
UNB
Dhaka, Feb 3: Export earnings from the United States, the largest market for Bangladesh goods, registered 41.47 percent growth in the first four months (July-October) of the current fiscal with buoyant performance of readymade garments, frozen shrimp and home textiles. Export earnings from the US in the July-October period of fiscal 2010-11 totaled US$ 1626.05 million compared to US$ 1149.43 million during the corresponding period of last fiscal (2009-10).
The amount was 24.19 percent of the total export earnings of the first four months.
According to statistics provided by the Export Promotion Bureau (EPB), the export of RMG items including knitwear to the US amounted to US$ 1486.37 million in July-October 2010 compared to US$ 1076.79 million during the corresponding period of 2009.
The RMG items including knitwear witnessed 38.04 per cent growth in the US market.
The major exports to the US market during the period were woven garment ($1053.43 million), knitwear ($432.94 million), frozen shrimp ($34.44 million), cap ($12.79 million) and home textiles ($ 28.62 million).
During the July-October period, around 44.84 percent of the country’s total woven garment exports entered US market, followed by knitwear 14.99 per cent and frozen shrimp 19.97 per cent.
Bangladesh’s export earnings from the US in the 2009-10 fiscal totaled US$ 3.14 billion, a 7.74 per cent fall over US$ 3.4 billion registered in 2008-09 mostly because of the global economic recession.
Exports of RMG including knitwear witnessed a sharp fall of over 6 per cent in |the last fiscal (2009-10) fetching US$ 2.9 billion as against US$3.1 billion in fiscal 2008-09.
The last fiscal (2009-10) marked the end of an up-and-down decade for Bangladesh exports to the US.
From a high of US $2.5 billion during the 2000-01 fiscal, exports had fallen below US$ 2 billion by 2003-04. Exports rose steadily to cross the US$ 3 billion mark in 2005-06, and peaked at nearly US$ 3.6 billion during the 2007-08 fiscal.

Govt plans Tk 14,876cr infrastructure spending

http://www.theindependentbd.com/business/finance/32642-govt-plans-tk-14876cr-infrastructure-spending.html
Govt plans Tk 14,876cr infrastructure spending
STAFF REPORTER
DHAKA, FEB 3: In the Sixth Five Year Plan (SFYP), the government aims to connect all rural areas with national road network in order to provide basic social access and promote pro-poor growth, along with neighbouring countries, through regional cooperation forums. Over the next five years, the government would invest about Tk. 14,876 crore in developing the transport system.
According to the SFYP, about 5,416 km of new roads would be constructed over next five years. There would also be 7,809 km of rehabilitation, 45,107 metres of bridge, culverts and overpass constructions, 6,229 metres of bridges and culverts would be reconstructed, and 730 metres of tunnel would be constructed during the period.
Communication minister Syed Abul Hossein, shipping minister Shahjahan Khan, civil aviation and tourism minister GM Quader, chairman of university grant commission Prof. Nazrul Islam, former adviser Prof. Jamilur Reza Chowdhury, secretaries of concerned ministries, transport and urban experts and high officials, among others, were present at the dialogue.
GED member Dr Shamsul Alam placed a presentation on the topic.
Political and economic philosophy of the present grand-alliance government has been reflected in Vision 2021, planning minister AK Khandaker said, adding, “This perspective plan will be materialised through implementing two five years plan.”
He was addressing as the chairman of the national dialogue of SFYP on “Transport services for reducing trade logistic cost”, organised by general economic division of Planning Commission, at the conference room of national economic council (NEC), at Sher-e-Banglanagar. He assured that the suggestions of experts and ministries would be incorporated in the plan, to achieve GDP growth of 8 per cent, and to make a country a middle income one by 2021.
Communication minister Syed Abul Hossein said the government had undertaken a number of initiatives for development of railways.
Criticising the previous government, he pointed out that the four-party alliance government had not taken any initiative to develop the railways.
He further said that necessary suggestions and opinions would be received from the communication ministry, within one week, which will be incorporated in the plan.
Shipping minster Shahjahan Khan alleged that the suggestions placed by Bangladesh Inland Water Transport Corporation (BITWC) had not been incorporated in the plan.
Civil aviation and tourism minister GM Quader said that the tourism sector needs to be emphsised in the SFYP.
GED member Dr Shamsul Alam said in his presentation that traffic is forecasted to grow by three times over the next 20 years, leading to a need to increase capacity significantly.
Maintenance needs a higher priority, more resources, improved management and better quality, he added.
Alam proposed to increase Bangladesh railway market share from 4 per cent-15 per cent in freight transport, 10 per cent-15 per cent in container transport between Dhaka and Chittagong port.
He further recommended introduction of modern technology, such as metro rail, mono rail and electric traction, particularly for Dhaka city, as well as improvement of financial performance through efficiency measures.

Govt plans Tk 14,876cr infrastructure spending

http://www.theindependentbd.com/business/finance/32642-govt-plans-tk-14876cr-infrastructure-spending.html
Govt plans Tk 14,876cr infrastructure spending
STAFF REPORTER
DHAKA, FEB 3: In the Sixth Five Year Plan (SFYP), the government aims to connect all rural areas with national road network in order to provide basic social access and promote pro-poor growth, along with neighbouring countries, through regional cooperation forums. Over the next five years, the government would invest about Tk. 14,876 crore in developing the transport system.
According to the SFYP, about 5,416 km of new roads would be constructed over next five years. There would also be 7,809 km of rehabilitation, 45,107 metres of bridge, culverts and overpass constructions, 6,229 metres of bridges and culverts would be reconstructed, and 730 metres of tunnel would be constructed during the period.
Communication minister Syed Abul Hossein, shipping minister Shahjahan Khan, civil aviation and tourism minister GM Quader, chairman of university grant commission Prof. Nazrul Islam, former adviser Prof. Jamilur Reza Chowdhury, secretaries of concerned ministries, transport and urban experts and high officials, among others, were present at the dialogue.
GED member Dr Shamsul Alam placed a presentation on the topic.
Political and economic philosophy of the present grand-alliance government has been reflected in Vision 2021, planning minister AK Khandaker said, adding, “This perspective plan will be materialised through implementing two five years plan.”
He was addressing as the chairman of the national dialogue of SFYP on “Transport services for reducing trade logistic cost”, organised by general economic division of Planning Commission, at the conference room of national economic council (NEC), at Sher-e-Banglanagar. He assured that the suggestions of experts and ministries would be incorporated in the plan, to achieve GDP growth of 8 per cent, and to make a country a middle income one by 2021.
Communication minister Syed Abul Hossein said the government had undertaken a number of initiatives for development of railways.
Criticising the previous government, he pointed out that the four-party alliance government had not taken any initiative to develop the railways.
He further said that necessary suggestions and opinions would be received from the communication ministry, within one week, which will be incorporated in the plan.
Shipping minster Shahjahan Khan alleged that the suggestions placed by Bangladesh Inland Water Transport Corporation (BITWC) had not been incorporated in the plan.
Civil aviation and tourism minister GM Quader said that the tourism sector needs to be emphsised in the SFYP.
GED member Dr Shamsul Alam said in his presentation that traffic is forecasted to grow by three times over the next 20 years, leading to a need to increase capacity significantly.
Maintenance needs a higher priority, more resources, improved management and better quality, he added.
Alam proposed to increase Bangladesh railway market share from 4 per cent-15 per cent in freight transport, 10 per cent-15 per cent in container transport between Dhaka and Chittagong port.
He further recommended introduction of modern technology, such as metro rail, mono rail and electric traction, particularly for Dhaka city, as well as improvement of financial performance through efficiency measures.