Bangladesh Garment Manufactures and Exporters Association (BGMEA) is set to join hands with the Chittagong City Corporation (CCC) to establish apparel zone at Kalurghat in Chittagong.
The initiative is aimed at helping the RMG factory owners, who need to relocate their factories to make compliant on safety issues, according to BGMEA.
Due to safety assessment by the Accord on Fire and Building Safety and Alliance for Bangladesh Worker Safety, a good number of RMG units located in the port city need to be relocated, it added.
“The Chittagong Apparel Zone will be established in line with the safety standards prescribed by the global retailers and National Action Plan, BGMEA Vice President Mohammed Nasir told the Dhaka Tribune yesterday.
Factories, especially SME which has been affected due to the safety assessment by the Accord and Alliance will get priority in allocating the floor as they are in a great need to be relocated for the sake of safety and compliant issue, said Nasir.
In the proposed zone, there will have Effluent Treatment Plant (ETP), fire station, hospital, childcare centre, ambulance for workers and cargo lift, he said.
The BGMEA and Chittagong City Corporation will sign a Memorandum of Understanding (MoU) to establish “The Chittagong Apparel Zone” at GEC Convention Hall in the port city today.
The CCC will provide over 10 acre of lands to develop the zone while the BGMEA members will finance the project, which would be adjusted later on from the rents.
A total of eleven 7-storied buildings with 20,000 square feet on each floor for 30 to 35 entrepreneurs to relocate their factories.
According to MoU, an eligible factory owner has to pay 10% of total construction cost as down payment. The agreement will be valid for 40 years and it would be renewed automatically after every 10 years.
The factory owners has to pay Tk10 for per square feet as rent, which will be increased by 5% after every five year and 50% rent of the allocated space would be adjusted from the payment of construction.
