Japanese EZ to go into production next year: Envoy

Factories in Araihazar Economic zone, dedicated to Japanese entrepreneurs will start next year, Japan's Ambassador to Bangladesh Ito Naoki said.

He disclosed the information during a courtesy call with Md Jashim Uddin, president of the Federation of Bangladesh Chambers of Commerce & Industries (FBCCI) on Thursday afternoon, reads a press statement.

Ito Naoki said Bangladesh would be a major destination for Japanese entrepreneurs to invest in the future.

"The interest of Japanese companies is increasing, especially around the Araihazar economic zone. There is an opportunity to further develop the economy of Bangladesh by utilising this interest," he said.

However, the Japanese envoy called for making the investment environment friendlier.

Restriction on overseas remittance from branches, limitation in loans for working capital, restriction on royalty remittance, overdue payment, delay of LC, collection of additional income taxes and VAT, renewal of bond licence, the wage gap between inside and outside EPZ etc. are creating barriers to the investments, he said.

FBCCI President Jasim assured that his organisation will work sincerely with the government to solve the problems mentioned by Naoki.

He said more than a hundred Japanese companies have been doing business in Bangladesh for many years. Besides, Japan is one of the major partners of Bangladesh in development projects.

He added the popularity of Japanese products in this country is also relatively high as the domestic market has increased due to economic development.

Therefore, Japanese companies investing in Bangladesh are more likely to be profitable, he said.

FBCCI Vice Presidents Mohammad Amin Helaly, Md Habib Ullah Dawn, Directors Md Naser, Priti Chakraborty and Secretary-General Mohammad Mahfuzul Hoque were also present at the meeting.