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Govt to lease out lands to private firms

Entrepreneurs will build 257 industrial units on unused lands of state enterprises

Rejaul Karim Byron
***The new industrial units will see more than Tk 5,000 crore in investment in the next two years if the average investment per unit isTk20 crore***
The government will allow private entrepreneurs to build 257 industrial units on lands owned but unused by state companies.
The cabinet committee on economic affairs yesterday approved a proposal of the Privatisation Commission — the first such move in Bangladesh.
The government will lease out the public lands to the private entrepreneurs initially for 35 years.
Mashiur Rahman, economic affairs adviser to the prime minister, will lead an 11 -member committee to deal with the issue.
The committee will mark out unused lands of different state-owned enterprises and commercial institutions.
The committee will submit its recommendations to the cabinet committee in two months.
The committee members include the executive chairman of the Board of Investment, chairman of the Privatisation Commission, governor of Bangladesh Bank, Prime Minister's principal secretary, and secretaries of Finance Division, textile and jute ministry, commerce ministry and industries ministry.
The Privatisation Commission has already conducted a survey on 39 state enterprises thathave 1,288 acres as surplus lands.
If the government parcels out five acres of land to one industrial unit, about 257 new industrial units can be set up on 1,288 acres, the commission said in its proposal.
The new industrial units will see more than Tk 5,000 crore in investment in the next two years if the average investment per unit is Tk 20 crore, the commission said.
If each industrial unit creates employment for 200 persons, a total of50,000 jobs
may be generated, the commission estimated.
The commission also said, if the proposal is implemented, scope for more industrialisation will be created without affecting the existing state enterprises.
The government may also increase revenue collection without losing its lands.
The commission said gas, power and
other infrastructures may be given to the new industrial units on the basis of lease or sub-lease from the existing government enterprises without creating new infrastructures.
Meanwhile, the cabinet committee on purchase gave a go-ahead to another proposal for purchasing 20,500 laptops at a total cost of around Tk 109.32 crore.
The laptops will be used in opening multi-media classrooms in 20,500 educational institutions at secondary and higher secondary levels. Each of the laptops will be purchased at Tk 48,527 from state-owned enterprise Telephone Shilpa Sangstha. The laptops will carry a three-year warranty.
Besides, the purchase committee approved a proposal for procuring 50,000 tonnes of wheat. An Indian trader, LMJ International Ltd, will supply wheat at $303.90 a tonne.