Mida chief eyes to turn Moheshkhali-Matarbari into township like Singapore
The MIDA chief mentioned that the Matarbari-Moheshkhali region was chosen for such a multifaceted project owing to several competitive factors like necessary draft for deep sea port; proximate land to build synergic ecosystem of for power, energy, manufacturing and heavy industry, marine and fishing.
Moheshkhali Integrated Development Authority (Mida) Executive Chairman Chowdhury Ashik Mahmud Bin Harun today (3 September) said the government is going to formulate a master plan to turn Maheshkhali-Matarbari into township with a developed and modern port area like Singapore and Shanghai.
"To properly leverage the core strengths, the long-term vision was divided across three periods or phases - incubation, expansion, and diversification. A strong start to that is the 120-day work plan spanning the fourth quarter of 2025. Collaboration across 10+ different organisations and ministries will ensure the finalisation of the Mida Master Plan by the end of Q4. It is the first step towards the crystallisation of the long-term roadmap that will help evolve MIDA as an economic hub," he added.
He mentioned that the 120-day work plan has already handed over to the Chief Adviser Professor Muhammad Yunus.
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Ashik Chowdhury, also executive chairman of the Bangladesh Investment Development Authority (Bida), made the remarks while speaking at a press conference at the Foreign Service Academy in the city.
In his speech, he explained that the Moheshkhali-Matarbari Integrated Development Initiative is planned as a core to develop one of the largest commercial hubs in Bangladesh.
"It brings logistics, energy and power, manufacturing and fishing industry to one location. Simply put, the idea is to combine deep sea port facilities with energy terminals, power plants and economic zones so that industries can operate close to their source of fuel and with logistics support," he added.
The Mida chief mentioned that the Matarbari-Moheshkhali region was chosen for such a multifaceted project owing to several competitive factors like necessary draft for deep sea port; proximate land to build synergic ecosystem of for power, energy, manufacturing and heavy industry, marine and fishing.
The ambition is to build an integrated economic hub for trade and investment leveraging direct access to international shipping lines is central to improve competitiveness and future growth, he noted.
Pointing out on successful execution that could bring about a considerable impact to the economy of Bangladesh, the Mida chief informed that a study by JICA suggests investment of $60-65 billion in the next 20-30 years.
"Private investment is anticipated at $47 to $48 billion of which 10% ($4.8 billion) is targeted FDI investment. The total GDP impact is projected at $150 billion. Of that amount, direct GDP impact will be $70 to $75 billion."
"This is backed by the creation of-1.5 lakh direct jobs (25 lakh direct + indirect) in the long term. Further, this region will become an essential element for long term sustainability of Cox's Bazar's regional economy, resulting in 1.5 times the current tourist footfall in the region," he added.
Describing the execution of the plan, Ashik Chowdhury said they have identified four main pillars, like port and logistics, manufacturing, power and energy, fishing.
"There has been ongoing revision and consultation regarding the portfolio mix of these pillars to tap into the geographical advantage meaningfully. The four pillars will also be sustained by supporting physical and social infrastructure, including a tourism zone at Matarbari. Each of the pillars has both short and long-term strategies, along with economic impact," he added.
He said the first pillar of the initiative is the deep sea port and its connected logistics system which will save 30% of shipping cost.
"This part of the project is designed to handle both bulk cargo and containers in a way that current ports in Bangladesh cannot. The port at Matarbari is built with a natural depth of about 18.5 meters, which allows large ships to dock directly. This is a significant change from Chattogram, where smaller vessels are required and goods need to be moved in several steps," he added.
He said these changes will allow a projected increase in port capacity by -50% in the next 30 years.
With the advantage of the natural depth, it is estimated that Matarbari will cater to-25% of the country's bulk traffic and -45% of container traffic, he added.
Furthermore, he said, saving up here will have spillover effects in the cost of other essential commodities.
"For instance, this reduction in shipping cost can reduce the cost of a 12kg LPG cylinder in Bangladesh by -Tk 50, The risk-factored numbers were procured with a few developments underway container freight stations, widening to 4-lane roads, Intermodal Container Yard at Chakaria to double-line rail connectivity till Dhaka to name a few. Subsequent large-scale ship building, recycling, and steel manufacturing prospects are also being considered," he added.
Since the deep-sea port is bringing about cost competitiveness for both bulk and containerised goods, Ashik Chowdhury said the synergy of a manufacturing hub comes naturally.
"Large volumes of industrial commodities will be traded via the Matarbari port, providing ready feedstock for manufacturing. After three stages of scrutiny, nine suitable industries were identified including steel, agro and food processing, automobile, electronics, etc. Additionally, pharmaceuticals and API, synthetic fibres, and shipbuilding were identified for export diversification," he added.
Overall, he said, Balance of Payment savings equivalent of $6 billion could be achieved in the long term.
Attracting the right investments with a package deal of deep-sea logistics and captive power, the hub is expected to directly contribute to 10% of Bangladesh's manufacturing output by the next 30 years, he added.
The Mida chief, however, said that the third pillar is developed keeping the -6.7% Compound Annual Growth Rate (CAGR) of power demand in mind.
"Being significantly import dependent and affected by global price volatility, Bangladesh aims to generate 90% of power demand on its own in the long term. With that end, the plan for a power generation hub was devised," he added.
Referring an analysis, Ashik Chowdhury showed that the hub can take up 80% and 60% of demand for LNG and LPG imports respectively.
Mentioning the uncharted waters as the fourth pillar ventures, he said that being part of a multi-billion-dollar market, deep sea fishing and fish processing are evidently obvious choices.
"Yet, it has been largely unexplored. The advent of Mida makes the choice to tap into that potential now more than ever," he added.
He said the four pillars will also be backed by supporting infrastructure, like access roads, rail links, township etc.
Among others, Chief Adviser's Press Secretary Shafiqul Alam and Mida Member (Additional Secretary) Md Sarwar Alam were present on the occasion.
