Beza hands over plots to six cos for $457m investment in pharma, hospitality

Six companies will invest $457 million in pharmaceutical and tourism sectors in two economic zones in Chattogram and Cox's Bazar.

They signed land lease agreements with the Bangladesh Economic Zones Authority (Beza) Wednesday (21 September).

Healthcare Pharmaceuticals Limited will set up a $4০০million manufacturing facilities for medicine and pharmaceutical raw materials in the Bangabandhu Sheikh Mujib Shilpa Nagar at Mirsarai of Chattogram.

Five firms will build hotels, resorts, motels and cottages in the Sabrang Tourism Park in Cox's Bazar.

Ifad Autos, East West Travels and Tours Ltd and three firms of Dipta Group – DIRD Composite Textiles Ltd, Dipta Garments Ltd and DIRD Garments Ltd will invest in the tourism and hospitality sector in the country's first tourism zone set up by the Beza.

Their investments, amounting to $57.13 million, are expected to start shaping the exclusive tourism park with hill and sea views in the country's extreme south-eastern point. 

The allocated plots in the two economic zones span a total of 17 acres, while the investments are expected to generate at least 8,219 jobs, according to the Beza.

Healthcare Pharmaceuticals Limited, which has been allocated 10 acres of land in the Bangabandhu Silpa Nagar, already has 30 acres in the economic zone. 

The drug-maker says it will invest $400 million in the Bangabandhu Silpa Nagar to expand businesses to active pharmaceutical ingredients and formulated pharmaceuticals products.

Muhammad Halimuzzaman, deputy managing director of Healthcare Pharmaceuticals, said they hope to begin commercial production in the Silpa Nagar from 2023.  

"Around 98% of the medicines required in Bangladesh are manufactured locally, as we import 90% of the raw materials. But we want to be self-sufficient in raw materials too," he added.

He said Healthcare Pharma now manufacturers tablets, capsules, injections, vaccines and biotech products at Rajendrapur factory in Gazipur. 

The new venture, according to Halimuzzaman, will generate nearly 7,000 jobs. 

Healthcare started its journey in 1988 by establishing Healthcare Distribution Limited in association with Roche Limited – a Switzerland based multinational company. Until 2001, Healthcare Pharma was responsible for importing and distributing Roche products to the local market.

Apart from being the fourth latest local market player, Halimuzzaman said they export drugs to many Asian and African nations. 

In the Sabrang Economic Zone, Ifad Autos will invest $16.20 million to build a 3-star hotel and resort on 1 acre of land. According to the investment proposal, it will generate employment for 350 people.

Ifad Autos, a subsidiary of Ifad Group, is a local industrial giant with prominence in consumer goods and commercial vehicles.

Iftekhar Ahmed Tipu, chairman of IFAD Group, told The Business Standard that their venture will also have a mini-amusement park.    

"We are stressing on keeping the international standard hospitality costs with the reach of the people," he added.

Three firms of Dird Group – Dird Composite Textiles Ltd, Dipta Garments Ltd and Dird Garments Ltd – will invest a total of $38.21 million in hotel, resort and motel business in Cox's Bazar's Sabrang, according to the investment proposal. 

The group expects at least 669 people will be employed in the new businesses. 

Coming into operations in 1984, Dird Group is involved in garment manufacturing, textile, engineering, software and agricultural sector.

With a $2.72 million investment, the sixth company East West Travels and Tours Ltd will also build a hotel at Sabrang on 1 acre of land.  

Established in 1988, East West Travels runs a travel agency and tourism business in Bangladesh.

Executive Chairman of the Bangladesh Economic Zones Authority Shaikh Yusuf Harun said the authority has already taken various plans to develop the Sabrang Tourism Park into a world-class tourism hub.