A total of 2,500 employees will be primarily recruited by the factories
Nippon & McDonald Steel Industries Limited and Nippon Koei of Japan are set to make a joint venture investment worth $59.19 million on the Mirsarai Economic Zone (EZ) in Bangladesh.
A land lease agreement has also been signed between the Bangladesh Economic Zones Authority (BEZA) and Nippon & McDonald Steel Building Company Limited.
Md Harunur Rashid, executive member of BEZA and Mohammed Sarwar Kamal on behalf of Nippon & McDonald Steel Industries Limited signed the agreement at the BEZA office in Dhaka yesterday.
They will build large manufacturing and import substitution industries on around 40 hectares of land of the economic zone. The investors are set to begin development work in the zone around 2 months from now.
The investors of the companies said that they would implement the project within two years and pay annual rent to BEZA. They also will use 50% of local raw materials for the manufacturing units.
They further added that they will construct factories, an administrative building, a warehouse, a logistic yard, an effluent treatment plant, a waste treatment plant, roads, drainage, utilities, a dormitory, a training centre and health service in the zone.
A total of 2,500 employees will be primarily recruited by the factories.
BEZA Executive Chairman (Secretary) Paban Chowdhury said: “Japan is our ally. The country is associated with our development in various ways.
“If both countries can continue with such investment, the Mirsharai economic zone will progress to a high international standard,” he added.
The Japan External Trade Organization acting country representative Koga Taiki told the Dhaka Tribune: “Japan is always interested in investing in Bangladesh. This country has potential. The labour cost is also low compared to other countries.”
M Emdadul Haque, BEZA executive member presided over the function while other high officials were also present.