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EXPORT

PROCESSING
ZONE
BANGLADESH UNIVERSITY
OF
BUSINESS & TECHNOLOGY
(BUBT)
Program: BBA
Intake: 15th
Section: 04
Group Name: MEGH

Date of Submission: 27August, 2008

EXPORT PROCESSING ZONE (EPZ)

Introduction:
In order to stimulate rapid economic growth of the country, particularly
through industrialization, the government has adopted an Open Door Policy
to attract foreign investment to Bangladesh. The Bangladesh Export
Processing Zones Authority (BEPZA) is the official organ of the government
to promote, attract and facilitate foreign investment in the Export Processing
Zones. The primary objective of an EPZ is to provide special areas where
potential investors would find a congenial investment climate, free from
cumbersome procedures. Two EPZs, one in Chittagong and the other near
Dhaka are now operational.
In the wake of increasing demand of the investors, the Dhaka EPZ has been
expanded. Development work of the EPZ at Mongla, a southern port of
Bangladesh is progressing fast. It is expected to be operational soon. Two
other EPZs - one at Comilla and the other at Ishurdi are in implementation
stage.

Export Processing Zone (EPZ)


The concept of Export Processing Zones (EPZs) is not entirely new. It is a
kind of Free Trade Zone'' that combines manufacturing and trading
activities.
According to the United Nations Industrial Development Organization,
an Export Processing Zone involves the establishment of modern
manufacturing plants inside a customs-bonded industrial estate by
offering suitable package of investment incentives to both foreign
and domestic entrepreneurs.''
The concept is to provide incentives for investment, especially to motivate
multinational corporations or conglomerate companies to use the zone as a
low-cost production base for labor-intensive component manufacturing,
assembling and middle-stage processing for exporting to home or external
markets (Monsur, 1999).

EXPORT PROCESSING ZONE (EPZ)

Bangladesh Export Import Processing Zones


Bangladesh Export Processing Zones Authority (BEPZA) was set up by an Act
of Parliament in 1980 to attract foreign capital and technical know-how and
thereby

boost

exports

through

the

establishment

of

export-oriented

industries in special zones with special facilities. Earlier in 1980, the Foreign
Private Investment (Promotion and Protection) Act was passed by parliament
for promotion and protection of foreign investments. As per these acts,
BEPZA, an autonomous statutory body, came into being in 1983. It was
entrusted with the responsibilities of setting up and operating EPZs in the
country.

EXPORT PROCESSING ZONE (EPZ)

CHITAGONG EXPORT PROCESSING ZONE:


Location:
South Halishahar. 2.40 kames from the sea port, 5.63 kames from the main
business center,
7.24 kames from the Chittagong International Airport.
Profile Of Zone:
Zone area: 183.37 hectares (453 acres)
Number of industrial plots: 428
Size of each plot: 2000 sqm.
Tariff: US $ 2.20 / sqm / year.
Space of Standard Factory Building : 56368.34 sqm.
Tariff: US $ 2.75 / sqm / month.
Space of Warehouse : 2251 sqm.
Tariff : US $ 2.75 / sqm / month.

Utility Services :
Water Supply: From Chittagong WASA.

EXPORT PROCESSING ZONE (EPZ)


Storage Capacity 7.26 million liters / day.
Tariff : Tk. 17.71 / cm.
Gas Supply: From Bakhrabad Gas System Ltd.
Tariff Tk. 5.43 / cm.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff Tk. 3.98 / kwh.

Dhaka Export Processing Zone


Location:
Savar. 35 kms from Dhaka city centre, 25 kms from Zia International
Airport.
Profile Of Zone :
Zone area : 143.84 hectares (356.22 acres)
Number of industrial plots : 413
Size of each plot : 2000 sqm.
Tariff : US $ 2.20 /sqm /year.
Space of Standard Factory Building : 76000 sqm.
Tariff : US $ 2.75 /sqm /month.
Space of Warehouse : 2356 sqm.
Tariff : US $ 2.75 /sqm /month.

EXPORT PROCESSING ZONE (EPZ)


Utility Services :
Supply: Own water supply system.
Tariff : Tk. 17.71 / cm.
Gas Supply: From Titas Gas Field.
Tariff Tk. 5.43 / cm.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff Tk. 4.18 / kwh.

Mongla Export Processing Zone


Location :
Mongla port area, Bagerhat. 105 kms from Jessore Airport and
350 kms from Chittagong port.
Profile Of Zone :
Zone area : 186.21 hectares ( 460 acres )
Number of industrial plots : 162 ( first phase )
Size of each plot: 2000 sqm.
Tariff : US $ 1.00 / sqm / year.
Space of Standard Factory Building : 18000 sqm.
Tariff : US $ 1.25 / sqm / month.
Utility Services :
Water Supply : Sweet water from Public Health Engineering
Department and own supply network.
Tariff : Tk. 17.71 / cm.
Gas Supply : From Shahbajpur Gas Field ( proposed )
Tariff Tk. 5.43 / cm.
Power Supply : 11 kv, 3 phase, 50 cycles/sec.
Tariff : Tk. 4.18 / kwh.

Ishwardi Export Processing Zone


Location :
Pakshl, Pabna. 10.6 kms from Ishwardi Airport, 150 kms from Jamuna
Bridge,
285 kms form Dhaka, 250 kms from Mongla port, 110 kms from Rajshahi

EXPORT PROCESSING ZONE (EPZ)


Airport
and 560 kms from Chittagong port.
Profile Of Zone :
Zone area : 125.07 hectares ( 308.97 acres )
Number of industrial plots : 166 ( first phase )
Size of each plot : 2000 sqm.
Tariff : US $ 1.00 / sqm / year.
Space of Standard Factory Building : 18000 sqm.
Tariff US $ 1.25 / sqm / month.

Utility
Services :
Water Supply : Own supply network.
Tariff : Tk. 17.71 / cm.
Gas Supply : From Gas Transmission Company Ltd.
( Western Zone Project, Proposed )
Tariff : Tk. 5.43 / cm.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff : Tk. 4.18 / kwh.

ADAMJEE Export Processing Zone


Location :
Adamjee Nagar, Shiddirgonj, Narayanganj, 15 Kms form Dhaka city centers
40 Kms from Zia International Airport, 255 Kms from chittagong Port

EXPORT PROCESSING ZONE (EPZ)


Profile Of Zone :
Zone area : 118.62 hectares (293 acres)
Number of industrial plots : 200 (60 in first phase)
Size of each plot : 2000 sqm.
Tariff : US $ 2.20 / sqm / year.
Space of Standard Factory Building : 42737 sqm.
Tariff US $ 2.75 /sqm /month.

Utility Services :
Water Supply : Own water supply system.
Tariff : Tk. 17.71 / cu-m.
Gas Supply : From Titas Gas Field.
Tariff : Tk. 5.76 / cu-m.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff : Tk. 3.98 / kwh.

Comilla Export Processing Zone


Location :
Comilla old Airport area. 167 kms from Chittagong port,
97 kms from Dhaka.

EXPORT PROCESSING ZONE (EPZ)


Profile Of Zone :
Zone area : 108.28 hectares(267.46 acres)
Number of industrial plots : 211
Size of each plot: 2000 sqm.
Tariff : US $ 2.20 / sqm / year.
Space of Standard Factory Building : 27000 sqm.
Tariff : US $ 2.75 / sqm /month.

Utility Services :
Water Supply : Own water supply system.
Tariff : Tk. 18.47 / cu-m.
Gas Supply : From Bakhrabad Gas system Ltd.
Tariff : Tk. 5.76 / cu-m.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff : Tk. 4.18 / kwh.
(Utilities will be charged at the current rate of US $)

Uttara Export Processing Zone


Location :
Shongalshi, Nilphamari. 18 kms from Syedpur Airport, 360 kms from Dhaka,
460 kms from Chittagong Port.

EXPORT PROCESSING ZONE (EPZ)


Profile Of Zone :
Zone area : 107.18 hectares (264.99 acres)
Number of industrial plots : 221 (first phase)
Size of each plot : 2000 sqm.
Tariff : US $ 1.00 / sqm / year.
Space of Standard Factory Building : 18000 sqm.
Tariff US $ 1.25 /sqm /month.

Utility
Services :
Water Supply : Own water supply system.
Tariff : Tk. 17.71 / cm.
Gas Supply : From Gas Transmission Company Ltd.
(Western Zone Project, Proposed).
Tariff : Tk. 5.43 / cm.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff : Tk. 4.18 / kwh.

Karnaphuli Export Processing Zone


Location :
Chittogong Steel Mills Area, North Patenga, 5.6 Kms from Chittagong Port,
8 kams from main business center , 4.7 kms from chittogong International
Airport
Profile Of Zone :
Zone area : 90.04 hectares (222.42 acres)

EXPORT PROCESSING ZONE (EPZ)


Number of industrial plots : 211 (100 first phase)
Size of each plot : 2000 sqm.
Tariff : US $ 2.20 / sqm / year.
Space of Standard Factory Building : 2974 sqm.
Tariff US $ 2.75 /sqm /month.

Utility Services :
Water Supply : From Chittogong WASA & Own water supply by treatement
plant.
Tariff : Tk. 17.71 / cm.
Gas Supply : From Bakhrabad Gas System Ltd.
(Western Zone Project, Proposed).
Tariff : Tk. 5.76 / cu-m.
Power Supply : 11 kv, 3 phase, 50 cycles / sec.
Tariff : Tk. 3.98 / kwh.

E XPORT POLICY OF BANGLADESH EPZ:

EXPORT PROCESSING ZONE (EPZ)

Introduction:
1. Acceleration of production and expansion of trade result in growth of
national wealth. Increased production in export sectors may become the
prime mover in the development cycle in a densely populate of Bangladesh
like our as this will generate employment opportunities which in turn will
generate savings and investment on consequent flow of capital. The prime
national objective of poverty alleviation will thus be materialized. As a first
step towards reaching this goal we need to look at the country's production
infrastructure.
2. Our export trade is featured by the dominance of a few commodities in a
narrow market. Such dependence on at limited number of export items
targeted a limited market is not desirable for economic development. We
must, therefore, aim both at product and market diversification or else our
export trade will become stagnant in the near future.
3. Our export trade must keep pace with the projected GDP growth @ 7%
and make due contribution through increased export earnings. In this
exercise it is imperative to identify new thrust sectors, increased export of
higher value added items, diversify product wise , ensure products quality,
improve packaging, attain efficient productivity. We should aim at marketing
quality products at competitive price at the correct time.
4.. The Export Policy 1997-2002 has been designed to operate in the
imperatives and opportunities of the market economy with a view to
maximizing export growth and narrowing down the gap between import
payment and export earnings.

Objectives:
The principal objectives of this policy are :
1. To achieve optimum national growth through increase of export in
regional and international market;
2. To narrow down the gap between the country's export earning and import

EXPORT PROCESSING ZONE (EPZ)


payment through achievement of the export targets ;
3. To undertake timely steps for production of exportable goods at a
competitive price with a view to exporting and strengthening existing export
markets and making dent in new markets;
4. To take the highest advantage of entering into the post Uruguay
liberalized and globalized international market;
5. To make our exportable items more attractive to the market through
product diversification and quality improvement;
6. To establish backward linkage industries and services with a view to using
more indigenous raw materials, expand the product base and identify and
export higher value added products ;
7. To simplify export procedures and to rationalize and solidify export
incentives;
8. To develop and expand infrastructure ;
9. To develop trained human resources in the export sector;
10. To raise the quality and grading of export products to internationally
recognized levels.

Strategies:
The following strategies shall be undertaken to attain the objectives of the
export policy 1997 - 2001 :
1. Simplifying export procedures, and helping the private sector achieve
efficiency. The Govt.. desires more and more involvement of the private
sector while the govt. will continue to play its facilitating role;
2. Enhancing technological strength and productivity and facilitating reduce
cost and attain internationally accepted standard of quality of exportable
products and thereby consolidate their competitiveness ;

EXPORT PROCESSING ZONE (EPZ)


3. Ensuring maximum use of local raw materials in the production of export
goods and encouraging establishment of backward linkage industries;
4. Participation in the international trade fairs, specialized fairs, single
country exhibitions abroad and also sending out trade missions, with a view
to consolidating our position in the existing market and creating new
markets;
5. Encouraging export of new category high value added readymade
garments and also encouraging the concerned trade associations for
establishment of a Fashion Institute ;
6. For promotion of high value added leather and leather goods export:
providing various facilities including bonded warehouse facilities for import of
materials such as raw hides, pickled, wet blue, crushed and finished leather,
components and chemicals etc. to 100% export oriented leather industries;
7. For promotion of export of shrimp: Extension and modernization of
traditional/semi-intensive method of shrimp cultivation and ensuring quality
as per buyers requirements ;
8. For promotion of export of jute and jute goods: Undertaking extensive
publicity of jute and jute goods as environment-friendly natural fibre and
diversification of the uses of jute products;
9. For promotion of export of tea undertaking programmers for establishing
brand name and developing linkage with established blending and
distributing agents;
10. For promotion of export of agro based products: undertaking
programmers for raising quality standard and expansion of market;
11. For the promotion of export of electrical and electronic goods ( including
computer software and data entry) : Building and ensuring conducive
infrastructure;

EXPORT PROCESSING ZONE (EPZ)


12. For the promotion of export of engineering consultancy and other
services and sub-contracting involving, in a bigger way, Bangladesh missions
abroad obtaining contracts;
13. Organizing regularly international trade fairs and product-specific fairs
with the country;
14. Making appropriate development and expansion of infrastructure
conducive to export;
3.15. Making arrangements for necessary technical and practical training for
development of skilled manpower in the export sector;
16. Ensuring maximum utilization of financial and other assistance extended
by the World Trade Organization to the Least Developed Countries;
17. Ensuring maintenance of ecological balance and pollution-free
environment in the production of exportable goods;
18. Extending technical and marketing assistance for development of new
products and for finding appropriate marketing strategies;
19. Taking necessary steps to assist procurement of raw materials by the
export oriented industries at world price.

Scope and General Provisions :


1. This policy shall apply to the customs areas (excluding Export Processing
Zones) of Bangladesh.
2. This policy shall take effect from 01.07.1998 and remain in force till
30.06.2002. However, the policy shall be considered valid until the next
Export Policy is announced.
3. If any provision of this policy is found inconsistent with any provisions of
the Imports and Exports ( Control ) Act, 1950, or of the Import Policy Order,

EXPORT PROCESSING ZONE (EPZ)


the Ministry of Commerce shall be entitled to amend, alter or modify such
provision.
4. The Ministry of Commerce may, as and when necessary, amend, alter or
modify any provision of the Export Policy including the export
negative/restricted items.
5. Different aspects of the Export Policy shall be reviewed annually.

Target:
For the policy period Export targets have been set at US dollar 5020
million for the fiscal year (F.Y.) 1997-98, US dollar 5,630 million for the
F.Y.1998-99, US dollar 6,340 million for the F.Y. 1999-2000, US dollar
7,175 million for the F.Y. 2000-2001 and US dollar 8,100 million for the
F.Y. 2001-2002. Details of the export targets have been shown at
annexure 'A'.

Export Promotion Councils/Committees:


1. A National committee on export has been formed. The highest level
committee on export promotion, is headed by the Honorable Prime
Minister and consists of the Honorable Ministers for Foreign Affairs,
Finance, Commerce and Industries, Planning, Jute and Textile as well
as senior government officials and representatives of important trade
associations. The committee reviews the export situation, provides
necessary directions and readily resolves problems.
2. For immediate attention and action on export related problem a task
force has been formed under the chairmanship of the Honorable
Minister for Commerce.
3. With a view to exchanging ideas with Chambers of Commerce and
Industries, Exporters' Associations and private sector organizations in
formulating export policy and strategies, and up lamenting policy
decisions an export council has been formed.
4. A task force shall also be formed to recommend practical measures

EXPORT PROCESSING ZONE (EPZ)


for export increase and monitoring the implementation of incentives
and facilities of thrust sector and crash programmed items.
5. Commodity Councils:
Commodity Councils shall be formed for jute, tea, shrimp, readymade
garments and leather & leather products.

Thrust Sector:
1. Leather and leather goods industries, high and high value added
readymade garments, computer software and agro-processing sectors have
been identified as thrust' sectors in this export policy. Although the leather
and leather goods sector has enormous export potential the sector has not
been able, till date, to achieve desired results. On the other hand, the
readymade garments sector is expected to stage a breakthrough in the
export of high-priced, high value added garments of newer categories after
having survived successfully the initial phase of exporting low-end
garments. Likewise computer software and agro-processing sectors could
not record the desired level of export through the sectors offer bright
prospects for earning foreign exchange. These -four sectors have been
declared, 'Thrust Sectors', in this policy to ensure priority with the following
lines of actions :
2. Leather & Leather Goods :
2.1. Leather manufacturing units shall be modernized in order to enable
them to produce increased quality of finished leather out of raw hides.
2.2. With a view to reducing cost of production, steps shall.

Why foreign investors invest


Foreign investors are required to invest in convertible foreign currencies.
There are options to establish public/private limited companies or sole
proprietorship/ partnership concerns. All foreign investments in Bangladesh
are secured by the Foreign Private Investment (Promotion and Protection)

EXPORT PROCESSING ZONE (EPZ)


Act, 1980.
The insurance and finance programs of Overseas Private Investment
Corporation (OPIC), the U.S., are applicable here. Security and safeguards
are available under Multilateral Investment Guarantee Agency (MIGA), of
which Bangladesh is a member.
Arbitration facility of the International Center for the Settlement of
Investment Disputes (ICSID) is also available.

Investment Guarantee:

Foreign Private Investment (Promotion and Protection) Act, 1980


secures all foreign investment in Bangladesh.
OPIC's (Overseas Investment Corporation, USA) insurance and finance
programmers operable.

Security and safeguards available under Multilateral Investment


Guarantee Agency (MIGA) of which Bangladesh is a member.

Arbitration facility of the International Center for the Settlement of


Investment Dispute (ICSID) available

[ Investment Opportunities & Incentives for EPZ ]


In order to stimulate rapid economic growth of the country, particularly
through industrialization, the government has adopted an Open Door Policy
to attract foreign investment to Bangladesh. The Bangladesh Export
Processing Zones Authority (BEPZA) is the official organ of the government
to promote, attract and facilitate foreign investment in the Export Processing
Zones. The primary objective of an EPZ is to provide special areas where
potential investors would find a congenial investment climate, free from
cumbersome procedures. Two EPZs, one in Chittagong and the other near
Dhaka are now operational.
In the wake of increasing demand of the investors, the Dhaka EPZ has been
expanded. Development work of the EPZ at Mongla, a southern port of
Bangladesh is progressing fast. It is expected to be operational soon. Two
other EPZs - one at Comilla and the other at Ishurdi are in implementation
stage.

EXPORT PROCESSING ZONE (EPZ)

ELIGIBLE INVESTORS:
Type - A
100% foreign owned including Bangladesh nationals ordinarily resident
abroad.
Type - B
Join venture between foreign and Bangladesh entrepreneurs resident in
Bangladesh.
Type - C
100% Bangladesh entrepreneurs resident in Bangladesh.

MODE OF INVESTMENT:
Investment in convertible foreign currencies by foreign investors. Option to
establish public/private Ltd. Companies or sole proprietorship/partnership
concerns.

INVESTMENT GUARANTEE:
Foreign Private Investment (promotion and Protection) Act, 1980secures all
foreign investment in Bangladesh.
OPICs (Overseas Private Investment Corporation, USA) insurance and
finance programmes operable.
Security and safeguards available under Multilateral Investment Guarantee
Agency (MIGA) of which Bangladesh is a member. Arbitration facility of the
International Center for the Settlement of investment Dispute (ICSID)
available.

TELE-COMMUNICATIONS:
E-mail, Internet, Telex, Fax and International Dialing Services connected
through satellite system available.

COMMUNICATIONS:

EXPORT PROCESSING ZONE (EPZ)


Adequate sea, rail, road and air communication services available.

ONE WINDOW SAME DAY SERVICE AND


SIMPLIFIED PROCEDURE Bangladesh Export
Processing Zones Authority (BEPZA) :
Sanctions projects generally within one week.
Issues required Import/Export Permits
Issues required Work Permits for foreign nationals working in
Export Processing Zones (EPZ) enterprises
provides required infrastructural facilities in EPZs
Offers One Window Same Day Service to investors in EPZs

PRODUCTION ORIENTED LABOUR LAWS:


Law forbids formation of any labour union in EPZS. Strike within the zones
prohibited. BEPZA is vested with responsibility to administer labour matters
for all enterprises in EPZs.

MINIMUM WAGES (MONTHLY):


Apprentice/Trainee
US$
22.00
Unskilled
US$
22.00
Semi-skilled
US$
22.00
Skilled
US$
22.00
Other benefits include Conveyance Allowance, House Rent, Medical
Allowance and Festival Bonus.

Off - Shore Banking Units


Foreign investors do not have the opportunity of availing credit facilities
from the Different Financial Institutions (DFI) of Bangladesh.
In order to cater the need of financial support off-shore Banking
facilities is being provided to the foreign owned/ Join Venture unit in

EXPORT PROCESSING ZONE (EPZ)


the EPZs of Bangladesh.
Presently Foreign Banks in Bangladesh have licentiated for doing offshore banking like:
1.
Standard Charter Bank Ltd.
2.
HSBC Ltd.
3.
Woori Bank Ltd.
4.
Citi N.A. Bank Ltd.
5.

Commercial Bank of Ceylon.

Apart from that local bank of Bangladesh also provide off-shore banking
like:
1.
2.
3.
4.
5.

Prime Bank Ltd.


Dhaka Bank Ltd.
South-East Bank Ltd.
National Bank Ltd.
Estern Bank Ltd. (EBL).

6.

Bank Asia Ltd.

More local Bank in the pipe-line to have off-shore Banking license from
Bangladesh Bank (Central Bank).
Standard of schedule charge are practicing among the off-shore
Banking units.

WORKING HOURS:
48 hours a week in a factory.
39 hours a week in an office.
6 working days a week.

EMPLOYEES LEAVE:
10 days Casual leave.
17 days Annual leave.

FACILITIES AND INCENTIVES


FACILITIES :

EXPORT PROCESSING ZONE (EPZ)


Land and factory buildings are available on rental basis.
Electricity, tele-communications, gas and water are provided by the
zones.
Import and export permits are issued by EPZ within 24 hours.
Work permits are issued by BEPZA.
EPZ is a secured and protected area.
Recreational facilities are available.
Availability of food stuff and beverages on payment of nominal tax for
foreigners working in EPZs.
Potential investors are required to deal only with BEPZA for investment
and all other operational purposes.
Permanent resident ship to a foreign citizen investing a minimum of
US$ 75,000 or equivalent amount (non-reparable) similarly citizenship to
any foreign citizen investing US$ 500,000 or transferring US$ 1,000,000 to
any recognized Bangladeshi financing institution (non-repatriable).

INCENTIVES FISCAL
I. Tax Exemption
Tax holiday for 10 years.
Exemption of income tax on interest on borrowed capital.
Relief from double taxation subject to bilateral agreement.
Complete exemption from dividend tax for tax holiday period for
foreign nationals.
Exemption of income tax on salaries of foreign technicians for 3 years
subject to certain conditions.
II. Duty Free Import and Export
Duty free import of machineries, equipment and raw materials.
Duty free import of three motor vehicles for use of the enterprises in
EPZs under certain conditions.
Duty free import of materials for construction of factory buildings in
the zones.
Duty free export of goods produced in the zones.
GSP facilities available for export to USA, European and Japanese
markets.
Export from Bangladesh to USA enjoys Most Favoured Nation (MFN)
status.

EXPORT PROCESSING ZONE (EPZ)

NON- FISCAL
I. Investment
All foreign investments secured by law.
No ceiling on extent of foreign investment.
Full repatriation of profit and capital permissible.
Repatriation of investment including capital gains, if any, permissible.
Remittances allowed in following cases :
I.
All post tax profit and dividend on foreign capital.
II.
Savings from earnings, retirement benefits, personal assets of
individual on retirement/ termination of services.
III.
Approved royalties and technical fees.
II. Project Financing and Banking
Off-shore banking facilities available.
Local and international banking facilities also wide-open.

III. Import
Freedom from national import policy restrictions.
Import of raw materials also allowed on Documentary Acceptance (DA)
basis.
Advantage of opening back to back LC for certain types of industries
for import of raw materials.
Import of goods from the Domestic Tariff Area (DTA) permissible.
Enterprises can sell their 10% of the product to the DTA on payment of
duties and taxes under certain conditions.
IV. Project Implementation
Re-location of existing industries from abroad allowed.
Re-location of industries from one zone to another within the country
permissible.
V. Operation
Sub-contracting within EPZ allowed.
Inter-zone and intra-zone export permitted.
All customs formalities done at the gate site of the respective factory

EXPORT PROCESSING ZONE (EPZ)


building within the zone.
Permission for import/export given in the same day.
Repairing and maintenance of machineries and capital equipment form
domestic tariff area allowed.
VI. Employment
Liberal employment of foreign technicians/ experts allowed.
Foreigners employed in the zones enjoy equal rights similar to those of
Bangladesh nationals.
VI. Employment
Customs office, Post office, Medical center, Fire station, Police station are
within the zone.
Electrical equipment and components
Electronic products
Software
Optical goods
Woven and knitted fabric Engineering
products
Leather products
Foot-wear
Toys
Medical and biological instruments
Pharmaceutical products

Household fittings and equipment


Specialized garments
Head-wear
Jewellery
Horological instruments
Scientific measuring instruments
Aircraft instruments
Laboratory ware
Printing and publishing
Printing and copying equipment and
accessories

EXPORT PROCESSING ZONE (EPZ)


Plastic moulded products
Do-it-yourself tools and equipment
Industries based on new uses of jute Musical instruments
Cutting/polishing of precious and semi- Products based on laser technology
precious stones
NB: This list is not exhaustive, only indicative.
Information Source: Bangladesh Government Publications

Service Charge Rent


ELECTRICITY

GAS

WATER

(US $ / KWH)

(US $ / CUM)

(US $ / CUM)

Chittagong,
Ishwardi,
Adamjee &
Karnaphuli EPZ

0.05

0.08

0.25

Dhaka, Comilla,
Mongla & Uttara
EPZ

0.06

0.08

0.25

Meghna & Feni


EPZ

-----

-----

-----

ELECTRICITY

GAS

WATER

(US $ / KWH)

(US $ / CUM)

(US $ / CUM)

0.05

0.08

0.25

0.06

0.08

0.25

ZONE

Service Charge - Utilities


ZONE
Chittagong,
Ishwardi,
Adamjee &
Karnaphuli EPZ
Dhaka, Comilla,
Mongla & Uttara

EXPORT PROCESSING ZONE (EPZ)


EPZ
Meghna & Feni
EPZ

-----

-----

-----

CONCLUTION
Export Processing Zone(EPZ) is very important for economic
development of a country. Mostly the developing countries must be
needed an EPZ to develop their economical power. In BANGLADESH
there are many opportunity to develop by EPZ. There have MAN
POWER that must be needed establish to an EPZ. At last we can say
that, EPZ can be maintain the economical balance of a country.

EXPORT PROCESSING ZONE (EPZ)

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