Bangladesh News Bangladesh - China Relation

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China pulled out of two of the largest railway projects -- Joydebpur-Ishwardi Double-Line Project budgeted at TK 14,250 crore and Akhaura-Sylhet Dual-Gauge Railway Line budgeted at TK 16,104 crore. Now the Bangladesh government is seeking new investors for these two projects which will improve connectivity of Dhaka with the north-east and north-west of the country respectively.

A report on financing of the two major railway projects was published in The Daily Star. Star News+ presents the gist of the story.

 

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China Machinery Engineering Corporation (CMEC) is going to invest around $300 million to implement Bangladesh's first waste-to-energy project at Aminbazar.

The Chinese company will set up a 42.5-megawatt waste-to-energy power project, Nasrul Hamid, state minister for Power, Energy and Mineral Resources, said in a press statement on Monday.

CMEC, Bangladesh Power Development Board, and Dhaka North City Corporation (DNCC) will sign a tri-party agreement on Wednesday at a city hotel in this regard, said a press release.

Md Tazul Islam, minister of Local Government and Rural Development, will attend the signing event as the chief guest.

Power division has long been pursuing the waste-to-energy power project to ensure proper municipal waste management.

Earlier, the first waste-to-energy project was planned to be built at Keraniganj, but the plan could not be implemented due to several technical and financial issues.

 

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Bangladeshi private company "Yiwu Yiou Export and Import Co Ltd" has signed a strategic cooperation agreement with Chinese company "Jiangxi Jingtian E-commerce Co Ltd".

The strategic cooperation agreement was finalized on Monday at Wuning County Industrial Park in Jiangxi Province of China.

Mohammad Saiyedul Islam, CEO of Yiwu Yiou Export and Import Co Ltd, and Zhang Huan Huan, chairman of Jingtian E-commerce Co Ltd, signed the agreement on behalf of their respective companies.

Yiwu Yiou Export and Import Co Ltd is working to promote and expand Bangladeshi products in the Chinese market.

 

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Bangladesh Railway has signed a contract involving Tk318.63 crore with a Chinese company to procure 580 metre gauge wagons to expand its capacity for carrying goods.

The railway authority signed the contract with CRRC Shandong Co Ltd on Tuesday under Bangladesh Railway's Rolling Stock Operation Improvement Project.

Project Director Md Mizanur Rahman and CRRC Shandong Vice-President Dai Xien signed the contract on behalf of their respective organisations.

CRRC Shandong Co Ltd is obliged to deliver the wagons within 18 to 30 months from the day of signing the contract, said Railway Minister Md Nurul Islam Sujon while speaking at the event at Rail Bhaban.

Bangladesh Railway is purchasing meter gauge wagons at a time when it has been implementing a master plan to upgrade its tracks from metre gauge to broad gauge to provide better services.

In response to a question in this regard, Railway Minister Md Nurul Islam Sujon said these wagons are being procured to provide freight services on the Dhaka-Chattogram route and the metre gauge tracks in the country's Eastern region.

"We aim to gradually upgrade our tracks from metre gauge to broad gauge, but it will take 10 to 15 more years," he said.

Regarding yesterday's contract, he said, "Under this project, Bangladesh Railway's old wagons will be replaced and the freight trains' capacities will be enhanced."

Among the 580 wagons, there are 386 Meter Gauge Bogie covered wagons, 174 Metre Gauge Bogie Open Wagons and 20 Metre Gauge Bogie Brake Vans.

The railway minister said another 420 broad gauge wagons will be procured from Hindusthan Engineering and Industries Ltd of India under the project's fifth package.

Md Salim Reza, secretary at the Ministry of Railway, said the estimated cost of the five packages of the Rolling Stock Operation Improvement Project is around Tk3,607 crore.

With the latest agreement, contracts regarding four packages under the project have been signed.

The Asian Development Bank is financing 79% of the cost of the project while the government is financing the remaining 21%.

Among others, Dhirendra Nath Mazumder, director general of Bangladesh Railway, spoke at the programme.

 

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Roads and Highways Department (RHD) today signed a contract with a Chinese consortium to turn the Hatirjheel-Rampura-Amulia-Demra road into a four-lane expressway.

The Chinese consortium will build and maintain the expressway for the next 25 years under the Public Private Partnership model. The government will collect toll from commuters and the consortium will get a certain amount from it.

The consortium of China Communications Construction Company Limited and China Road Bridge Corporation will invest Tk 2,094 crores in the project, while the government will invest Tk 1,209.6 crores.

Chief Engineer of RHD, Abdus Sabur, and a representative of the consortium signed the contract at a city hotel today.

 

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China, the largest economy in Asia, has decided to grant duty-free access to 98% of Bangladeshi products through the inclusion of 383 new products, especially leather and leather goods, in the zero-treatment list.

In this way, the number of products enjoying the duty holiday will stand at 8,930.

Commerce Secretary Tapan Kanti Ghosh confirmed it to The Business Standard.

To bring this extra facility into effect, Bangladesh and China will sign a letter of exchange.

Chinese Ambassador to Bangladesh Li Jiming has already signed the document on behalf of his government. On the other hand, Bangladesh's commerce ministry has started the signing process, according to sources familiar with the matter.

The Chinese embassy in a note verbale forwarded to the commerce ministry on Wednesday said the Chinese government will grant the duty-free treatment for imported goods originating from Bangladesh with a view to promoting the economic development of China and Bangladesh, as well as to strengthen the economic and trade relations between the two countries.

"It would be appreciated if the Bangladesh government could complete the signing of the letter of exchange as soon as possible, so as to facilitate the enterprises and people of Bangladesh to benefit from the special tariff treatment soon," the letter said.

In 2020, China offered 97% of Bangladeshi products duty-free access to its market and 8,547 Bangladeshi products came under such treatment. But some leather goods, a major exportable to China, were left out of the facility.

This time these left-out items have made it to the list, according to sources at the commerce ministry.

"We have got a new list of products granted duty-free access to the Chinese market today [Wednesday] from the Chinese embassy," Noor Md Mahbubul Haq, additional secretary to the commerce ministry (FTA), told TBS.

They are analysing harmonised system codes of products in the list written in Chinese. So, they cannot say names of the products right now, he added.

The leather and leather goods are included in chapter 48 of the HS code list. Earlier, six of such products were given the duty-free facility. The number of products will go up in the new list, Noor noted.

Seeking anonymity, a commerce ministry official said Bangladesh exports its local leather and leather goods mainly to China. And, the items it exports to European countries are produced after importing leathers from abroad.

So, the duty-free treatment for Bangladeshi leather and leather goods in China will help boost exports, the official added.

Mohiuddin Ahmed Mahin, president of Bangladesh Finished Leather, Leather Goods and Footwear Exporters Association, told TBS that China's decision to include leather and leather goods in the list of duty-free products was a positive move.

"The increased duty-free access to the Chinese market will be a blessing for us at a time when China's imports are declining because of the pandemic," he added.

Dr Mostafa Abid Khan, former member of Bangladesh Tariff and Trade Commission, said 99% of export products, including all RMG items, have been covered under the 97% duty-free facility provided by China. But some items of leather and leather goods were left out.

Bangladesh will now get 100% benefit if these are included in the list, he added.

As a single country, Bangladesh imports the most from China, while its exports to the Chinese market are very low. The country's duty-free export facility increased from the first day of the last fiscal year, but exports to the destination have not gone up much.

According to the Bangladesh Bank, Bangladesh's imports from China in FY21 amounted to about $13 billion, which is one-fourth of the country's import expenditure. At the same time, it exported $681 million worth of goods, up by 13.42% over the preceding year.

In July-December of the current fiscal year, Bangladesh's exports to China amounted to $357 million. The export items included woven garments, knitwear, home textiles, leather and leather products, footwear, jute and jute products and plastic products.

However, businesses believe that there are opportunities to increase exports of readymade garments, leather and leather goods, jute and jute products, frozen fish and other products to China.

Shafiul Islam Mohiuddin, former president at the Bangladesh Garment Manufacturers and Exporters Association, told TBS that the cost of manufacturing garment products in Bangladesh is lower than in China. With China tending to produce high-value products, Bangladesh's apparel exports to the former are likely to increase in the coming days.

ATM Azizul Akil, senior vice-president of the Bangladesh-China Chamber of Commerce and Industry, said, "China is now not only the world's largest exporter, but also at the top in terms of imports. Therefore, if we can increase our capacity, Bangladesh will be able to fetch billions of dollars cashing in on the duty-free facility provided by China."

To capitalise on the zero-tariff treatment, the country needs to diversify export products alongside ensuring standards, ATM Azizul Akil pointed out.

There is also a huge potential for exports of freshwater fish and poultry items to China. For that, Bangladesh must strictly maintain product quality, he added.

 

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Officials of the Chinese state-owned company Poly Technologies Inc (PTI) at BNS Sheikh Hasina.

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Responding to a question, Momen said foreigners say that Bangladesh is becoming the tail of China and Bangladesh is falling into the debt trap of China like Sri Lanka.’If you want to get into a debt trap, you’ve to take out a 40 percent loan. Our country’s total debt is just over 15 percent or about 16 percent. Still far away,’ he said.

He said if they look at the countries and the institutions, they have borrowed the most from the World Bank, the Asian Development Bank and the IMF while the next most borrowed from Japan. ‘Our borrowing from China is not even close to just over 5 per cent.’

Momen said some ignorant people say Bangladesh is becoming the tail of China because 80 per cent of Bangladesh’s military equipment is bought from China.

‘This is a blatant lie. What we purchase, we purchase from all countries. We purchase from everywhere. India also wants to give us. Our military knows what to purchase,’ he added.


 

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Two Chinese companies have won the construction deal of the proposed elevated expressway between Panchabati in Narayanganj and Muktarpur in Munshiganj with a quotation of Tk 1,206.9 crore.

In a virtual meeting on Thursday, the cabinet committee on public purchases awarded the deal to Shandong Luqiao Group Co Limited and China Shandong International Economic and Technical Cooperation Group Limited.

The meeting, presided over by finance minister AHM Mustafa Kamal, took the decision following a proposal by the Bangladesh Bridges Authority in this regard, said newly-promoted secretary Md Shamsul Arefin at a briefing.

The Chinese joint-venture won the deal with a quotation of Tk 1,206.9 crore in an open tender participated by 13 bidders, according to bridges authority officials.

Shamsul said that the main aim of the elevated expressway was to solve congestions along the vital corridor between Dhaka and Munshiganj.

He said that the construction work would be carried out under the overall expressway project worth Tk 2,243.78 crore approved by the Executive Committee of the National Economic Council in December 2020.

The major components of the approved deal are the acquisition of 44.50 acres of land, the construction of a 14.79-kilometre-long median, a 25-metre-long bridge and four toll plazas.

The project, expected to be completed in 2025, will facilitate the traffic from the southern region to bypass Dhaka city to get on the Dhaka–Chattogram Highway.

Six more proposals were also approved by the committee, said Shamsul Arefin.

The approved proposals include the appointment of a joint-venture of National Development Engineers Ltd and China Gezhouba Group Company Ltd for construction of diagnostic imaging centres in medical colleges of seven divisions at a cost of Tk 401 crore.

Two proposals from the ministry on purchasing two 24-inch cutter suction dredgers at Tk 212.63 crore from Ananda Shipyard and Slipways and two same types of cutter suction dredgers from Karnafuly Shipbuilders Ltd at Tk 213 crore were also approved.

The committee also approved two proposals from the Bangladesh Computer Council for upward revision of two previous deals by Tk 85.89 crore in connection with its network expansion project up to union levels.

A proposal by the Bangladesh Chemical Industries Corporation for the import of 30,000 tonnes of phosphoric acid at a cost of Tk 231.68 crore was approved.

A meeting of the cabinet committee on economic affairs, also presided over by the finance minister, was also held on the same day.

The meeting approved a proposal from the Civil Aviation Authority of Bangladesh for purchasing three sets of explosive detection system under direct purchase procedure.

The explosive detectors will be installed for improving scanning of the Hazrat Shahjalal International Airport in the city.

The Update Aviation Limited, Dhaka, is likely to provide the explosive detectors at a cost of Tk 41 crore.

 

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Foreign Minister Dr AK Abdul Momen has said China has come forward with a "basket of money" along with "aggressive and affordable" proposals amid Bangladesh's growing infrastructure need when help from many countries is "declining".

However, Indian External Affairs Minister Dr Subrahmanyam Jaishankar laid emphasis on making an "informed decision" and cited the problems that they have seen in some countries in the region.

The Foreign Ministers of Bangladesh and India came up with their own views during a panel discussion titled "A Sea Change: Regional Order and Security in the Indo-Pacific" on the second day (Saturday) of the Munich Security Conference 2022.

While asking a question, Dr Momen said Bangladesh is doing "pretty well" in terms of economic development and since the country is doing pretty well, the aspirations of common people have also gone up.

"They want more facilities and more opportunities for their better life and there's a demand for more infrastructure facilities in the country. But we don't have money. Neither do we've technology," said the Foreign Minister.

He said they need to have further development to face this public demand while help from many countries is declining.

Dr Momen thanked Japan saying they are one of the best friends and the country is investing in Bangladesh's infrastructure.

He also thanked India with remarks that the country has been giving line of credit to Bangladesh for various projects.

Dr Momen said the development process is going on in Bangladesh in line with people's demand for more infrastructure development.

"And there we need a completion. We need more funding from our development partners," he said, adding that unfortunately, they come with a lot of strings making things very difficult.

The Foreign Minister said till today Bangladesh borrowed maximum loans from the World Bank, the International Monetary Fund and the Asian Development Bank (ADB).

Responding to Dr Momen's question, his Indian counterpart Dr Jaishankar said international relations is "competitive" and every country will look for opportunities and see what it can do.

"But while doing so, it's in their own interest to be prudent and do due diligence about what they are getting into…we've seen now countries, including in our region, being saddled with large debts, we've seen projects which are commercially unsustainable, airports where aircraft doesn't come, harbours where ship doesn't come. I think people would be justified and ask themselves what I am getting into," said the Indian External Affairs Minister.

He said it is in the interest of the country concerned and also in the interest of the international community because unsustainable projects do not end there. "There're real concerns over there."

"I think it's very important that all of us make an informed decision but of course a very competitive decision," said Dr Jaishankar.

The 58th Munich Security Conference (MSC) is scheduled to end today (Feb 18-20) at its usual venue in Munich, the Hotel Bayerischer Hof.

 

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Although Bangladesh's overall export earnings from China increased 9.81 per cent year-on-year to $426.14 million in the last seven months, apparel shipments to the East Asian nation failed to meet expectations despite enjoying duty benefits.

Apparel shipments to China fell to $131.20 million in the July-January period of the current fiscal year, a decrease of 19.66 per cent from $163.30 million in 2020-21.

Of the total garment exports to the world's second-largest economy during the period, knitwear shipments brought home $53.53 million and woven products fetched $77.68 million, registering a negative growth of 30.77 per cent and 10.36 per cent respectively, data from the Export Promotion Bureau showed.

China became a highly promising export market for local apparel products after Beijing extended duty-free benefits to 97 per cent of Bangladesh's garment items considering its status as a least-developed country in July 2020.

Products that now enjoy duty-free access to the world's most populous nation include 299 garment items, of which 226 products are also covered by the Asian Pacific Trade Agreement.

Under the garments category, Bangladesh mainly exports woven T-shirts, polo shirts, trousers, sweaters, and other knitted items to China, the world's largest apparel producer and exporter.

Other items that enjoy the same benefit are jute and jute goods, leather and leather goods, live and frozen fish, and agricultural products.

With China's move to allow duty-free access for Bangladeshi apparels, an opportunity to export $25 billion worth of garment items has opened up, according to a number of research papers showed.

To be more precise, Bangladesh's exports to China could grow to $25 billion if local suppliers just grab an additional 1 per cent share of the Chinese apparel market of $350 billion.

Currently, the country's share of exports to the Chinese market is 0.05 per cent, which is equivalent to a bit above $1 billion.

Syed Sadek Ahmed, chairman of Space Sweater Ltd, said he has been exporting sweaters to China for many years but the number of shipments is on a downward path. He declined to elaborate.

However, Faruque Hassan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), did speak extensively on the matter.

Garment exports to China fell in recent months for mainly two reasons, he said.

First, China has almost completely stopped importing garment items as a part of its zero-tolerance policy towards the spread of Covid-19.

Second, Chinese consumers were affected by a recent depreciation in their local currency.

"So, the Chinese government is encouraging the production of their own garment items, which negatively impacted Bangladesh's exports," Hassan said.

He is hopeful that the export to China will grow with the easing of coronavirus restrictions.

Commerce Minister Tipu Munshi said the government has been monitoring the China export situation amid the country's ongoing recovery from the pandemic-induced shocks.

However, the shipment to other countries such as the US and those in the EU has risen significantly at this stage and so, local exporters are keener about these destinations, Munshi added.

Azizul Akil David, senior vice-president of the Bangladesh China Chamber of Commerce and Industry, said Bangladesh should not target Chinese markets for garment shipments as China itself is the world's largest apparel producer.

"So, the export of jute and jute goods, leather and leather goods, freshwater fish and other high value-added items might be a better choice for Chinese markets."

MA Razzaque, a research director of the Policy Research Institute who follows Chinese markets, says a major reason behind the decreased garment exports to China is the rising demand for locally made apparel items in the EU and the US.

Both the European and US markets have been buoyed by stimulus payments to consumers, helping Bangladesh recover quickly as well in its two major export destinations.

Moreover, there is a global inflationary pressure, which also influenced buyers to purchase more affordable consumer goods at competitive prices.

Bangladesh's current production capacity is mainly tailored for European and US markets, Razzaque said.

He also agreed that the scope of exporting garment items to Chinese markets is more limited than that of the EU and US as China is mostly self-sufficient in garment production.

"Besides, Vietnam, China and Cambodia have formed a strong regional apparel supply chain that is very active now. So, imports from other countries have declined."

 

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Xinyi Glass Holdings Limited – one of the world's leading integrated glass manufacturers and also the sixth largest industrial group in China – has shown interest in investing $200 million in Bangladesh, according to the Bangladesh envoy in China.

Xinyi's Head of International Business Development Cheng Gang came up with the investment proposal at a recent meeting with Bangladesh Ambassador to China Mahbub Uz Zaman. The glass manufacturer has sought 65 acres of land close to a port or seashore for its proposed plant with an annual capacity of 38,000 tonnes of floating glass.

The investment would generate $95 million annual revenue, and create 400 jobs for the locals, according to a letter the ambassador sent to Foreign Minister AK Abdul Momen.

Ambassador Mahbub Uz Zaman wrote that the glass-maker's land and other requirements match facilities that the Bangabandhu Sheikh Mujib Shilpa Nagar offers.

He noted that Xinyi is the largest supplier of float glass in the global industry with a total market capital of $10 billion and over $1.8 billion annual revenue.

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The foreign ministry forwarded the investment queries to the commerce ministry, the Bangladesh Investment Development Authority (Bida) and the Bangladesh Export Processing Zone Authority (Bepza).

Md Sirazul Islam, executive chairman of Bida, told The Business Standard that he received Xinyi's investment proposal and queries and discussed the matter with the executive chairmen of Bepza and Bangladesh Economic Zones Authority (Beza).

He said, "Regarding Xinyi's demand, the Bepza chairman said the plots in the EPZ in Mirsharai are small, so they will work on combining several plots to allocate land for the company.

"Beza has a large area of land in Bangabandhu Sheikh Mujib Shilpa Nagar in Mirsharai. Besides, there is a vast area of land in Matarbari. It is possible to allocate land there according to the company's demand," said the Bida chief executive.


The Chinese firm submitted a written questionnaire to the Bangladesh embassy, inquiring about the investment facilities. Xinyi also inquired about the preferential policies Bangladesh offers to foreign direct investment.

Established in 1988, Xinyi Group has been running 12 large manufacturing bases in different domestic economic zones in China, according to the Bangladesh Embassy in China. The group has invested $500 million in Malaysia so far.

On infrastructural requirements to set up a factory in Bangladesh, the company said it will require 150 million cubic metres of natural gas per year. It will also require 20-25 MW dual power circles – one regular, one redundant for back-up – and 1.2 million tonnes of water per year.

Referring to silica sand as the main raw material for glass-making, the company said it will require around 0.5 million tonnes of silica sand per year and asked whether Bangladesh has such a quarry.

"The general manager of the group told me that their products are serving customers and partners in over 150 countries and regions in the world," the ambassador wrote to the foreign ministry.

Local glass-makers faring well

Being totally import-dependent once, Bangladesh is now exporting glass. Local glass-makers are supplying float glasses to local constructions.

According to the Export Promotion Bureau, $3.5 million worth of glass and glassware were exported in FY20 against the target of $2 million, which is 144.76% up compared to the year before.

The glass industry in the country is growing by 8-10% every year, mainly due to the increase in commercial building projects, with local companies meeting 90% of the domestic demand, industry players say.

The annual demand for glass is 25 crore square feet, and the annual production capacity of private and public glass manufacturers is 32 crore square feet.

The current size of the glass industry is around Tk1,500-2,000 crore.

PHP Family and Nasir Group invested in float glass used in commercial buildings in 2005 and 2006 respectively. They dominate the glass market, meeting about 70% of the total demand, while other companies hold the remaining 30% share combined.

Vice-Chairman of PHP Family Mohammed Mohsin told The Business Standard the demand for glass was increasing gradually due to the rise in infrastructure development.

He said demand had grown significantly in the past few years and that is why they were bringing new products to the market.

"This sector has potential, but there has been no development for a long time. It will continue to grow in the future," added Mohsin.

The top companies in the glass industry are PHP Float Glass Industries, Nasir Glass Industries, MEB Sheet Glass Industries, AB Glass Industries and state-owned Usmania Glass Sheet Factory. Among them, Usmania and MEB are relatively old.

 

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China is looking to implement several new projects in Bangladesh as a number of mega projects that it has been involved in will reach completion this year, Chinese Ambassador to Bangladesh Li Jiming said.

"A lot of new projects are coming. I am not going to announce anything before time because I have to wait for those to be finalised," Li Jiming said at the "Spring Dialogue with China" organised by the Embassy of China in a city hotel on Sunday.

At the discussion, co-organised by The Business Standard and the Diplomatic Correspondents' Association of Bangladesh (DCAB), the Chinese ambassador also said there could be a significant development to the repatriation of the displaced people from Myanmar's Rakhine state this year.

He said his country is working to facilitate repatriation of these displaced people.

"I think some progress has been made. But unfortunately, there is no significant, officially organised repatriation yet. Hopefully, this year we will achieve that," he said.


The Chinese ambassador also touched upon a range of issues, including the Ukraine war.

On the topic of brand new investments, the envoy said the Bangladesh government had made a few proposals, some of which had already been approved by the Chinese government.

"For example, another Bangladesh-China Friendship Bridge project is under discussion and will be finalised soon, which is a gift from the Chinese government to the Bangladeshi people like the previous eight [bridges]," he added.

The Chinese envoy further said at the moment China had more than $10 billion in multiple government projects in Bangladesh.

"Last year, we witnessed that Chinese investment in Bangladesh was more than 300%, which is quite significant. Chinese investors are quite confident about the investment environment of Bangladesh. Bangladesh's infrastructure is also improving," he said.

He expressed optimism that implementation of new projects could begin as early as this year.

"We have proposed a PPP [Public Private Partnership] agreement between the two governments … The draft of the document is almost completed. Now, we are waiting for the final approval from the Bangladesh government."

He said the basket of big projects would involve private sector actors from China and bring huge investments for Bangladesh, especially in the manufacturing industries.

Li Jiming, in the discussion moderated by TBS Editor Inam Ahmed, also said a number of mega projects would be completed this year, including the Padma Bridge project, Karnaphuli tunnel, 8th Bangladesh-China Friendship Bridge, Dasherkandi Sewage Treatment Plant and some other power and rail projects.

At the same time, the ambassador also highlighted the reasons behind the delays in implementation of some Chinese projects, while allaying fears of a possible debt trap.

He blamed three factors for the delays and the increased costs: problems related to customs clearance, logistical issues compounded by the pandemic, and land acquisitions.

"Land acquisition is a headache for every single project. I hope this kind of problem will be solved in future…because it will be a big problem for any industrialisation attempt."

Bringing up the topic of the debt trap which can be heard in Bangladesh and Sri Lanka, he said that China accounted for only 5% of debt in terms of Bangladesh's GDP. "If you call that a debt trap, I don't have anything to say," he said.

Asked if China's Belt and Road Initiative (BRI) was losing momentum, Li Jiming brushed off the fears by pointing out that 10 new countries had joined the BRI and rail connectivity had already expanded to some countries, including Laos and Indonesia.

Highlighting the initiatives in this regard with Bangladesh, he said, "We have ideas for upcoming rail projects in Chattogram and Dhaka. China is interested in this," adding that he was not sure of Bangladesh's position in this matter.

Rohingya repatriation may start this year

"We have some working mechanisms as previously disclosed to the Bangladesh media. But this time, whatever the parties or consensus, before anything is completely achieved, we should not disclose any details," said Li Jiming.

"So unfortunately, I can't give you more information about it. The only thing I can give you right now is [that] China is making all due efforts to help and to speed up the process of early repatriation."

The Chinese envoy said, "Rohingya repatriation will be safe, dignified and sustainable based on the voluntariness of those displaced people. That is something I can guarantee."

He further said the Chinese government provided more than Tk10 million in medical equipment for the Rohingya community.

China wants a peaceful resolution of Ukraine war

Like Bangladesh, China has also made its position very clear about the situation in Ukraine and would like to see a peaceful resolution to the "dispute or conflict between two friends of China."

"We are ready to facilitate any peace talks or resolutions. The Chinese president has talked with the Russian president to go to the negotiation table and the Chinese foreign minister also talked with his Russian counterpart," Chinese Ambassador Li Jiming said.

The ambassador said there were countries which were trying to douse the flames of the war while some countries were fanning it. "We should put water…and solve this problem with a rational, cool head, not [take up] an emotional attitude towards the issue," he said.

On the parallels between the issues of Ukraine and Taiwan, the ambassador said, "I have to make it crystal clear that the Taiwan question and the Ukraine issue are two different questions by nature. They are not comparable.

"The Taiwan issue is the result of a civil war in China. Therefore, the Taiwan issue is a domestic or internal issue of China. The one China principle has been universally recognised by almost every country in the world."

He said any parallels are an attempt to exploit the Ukrainian issue in terms of Taiwan.

The ambassador, however, said the use of force for the Taiwan issue was a last resort.

Asked about The Quadrilateral Security Dialogue (QUAD), Li Jiming said the IPS was promoted by the US as being for peace and freedom in the Indo-Pacific region, but the actions instead of the wordings of the relevant parties made it clear that QUAD was against China.

"They know it is against China. And they know that we know…so obviously we are not very happy to see the actions to form small blocs specifically designated for specific targets when China happens to be the specific target," he said.

He also said there was a huge risk of nuclear proliferation in this region, which was not good for any country in the region.

"I hope that Bangladesh will take a wise decision towards all of those mechanisms," he said, adding that Bangladesh's policy of "Friendship to all, malice for none" was something he had faith in.

The ambassador also addressed the Uighur issue, saying the United Nations would be given full access to Xinjiang region to get rid of any threats of trade sanctions.

"How big is the population of Muslims in China? China has more than 26 million Muslims living in China. Why would only a particular one million be targeted by the government?

"We are concentrating on the Uyghur people, but what is their population? It is 12 million. When we talk about Uyghur people, we are talking about 12 million, not 1 million. So why would the government particularly hate 1 million Uyghur people there [in Xinjiang]," he said.

On the allegations of concentration camps for Uyghurs, the ambassador said he too was surprised.

"We found that there is a so-called research institute based in Germany. There is a specific German scholar, or researcher, who claims himself as a China-observer. Just this one person. He spread all those lies and claimed that one million Uighurs were in concentration camps," he said.

He also said that China had sued the institute and the scholar over the allegations.

He also said the research institute was funded by someone in the US.

The ambassador also said that Xinjiang was very close to Afghanistan, which explained the focus on it.

"The Xinjiang issue has nothing to do with religion, human issues or genocides. It has everything to do with separatists, terrorists and interest from outside," he said.

China has no military project in Bangladesh

Chinese Ambassador Li Jiming said China will not build any military facility or bases on any foreign territory.

He said this in response to questions following a report published by Nikke Asia which claimed that China was setting up a missile maintenance hub in Bangladesh.

On the hub itself, he said, "I have no specific information about any missile maintenance project…I can't formally confirm this information. I have to check but I can confirm that China will not build military facilities in any other territories, that's for sure."

The Nikke Asia report had sent alarm bells ringing in India. Citing an unnamed Bangladeshi diplomat, the report further said that the deal was not publicised to avoid Western scrutiny and the Ukraine-Russia conflict had complicated plans to make a formal announcement.

China likely to resume visas for Bangladeshi student

China is set to resume visas for Bangladeshi students, the Chinese ambassador confirmed at the discussion on Sunday.

"For the students, I'm very glad to share that Bangladesh has been shortlisted for a pilot programme for international students. It is not a long list, it's a very short list," Ambassador Li Jiming said.

He, however, said that the Covid-19 pandemic was in a resurgence which made it difficult to bring all the students back to China.

The ambassador also acknowledged that Bangladesh had closed all air links during the height of the pandemic, except for the one with China.

He also said that he had personally signed many business visas during the pandemic, adding that businessmen only had to comply with the quarantine policy to get a visa for China.

The tourist visas, however, will remain suspended for the time being, he said.

 

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Dasherkandi Sewage Treatment Plant, the largest in South Asia, is scheduled to begin operation from June as the China-funded project nears completion in the capital's Khilgaon near Aftabnagar.

The China-funded project, which will create some 1000 jobs, has the capacity to process sewage for nearly 5 million people in Dhaka daily.

The project, designed and constructed by Chengdu Engineering Corporation under PowerChina, with one year of operations and maintenance, was handed over to WASA on Thursday.

WASA officials said the plant will be connected to the main line by June.

The project is a significant part of the Bangladesh-China-India-Myanmar Economic Corridor and the China-proposed Belt and Road Initiative, which started construction on August 1, 2017.

The Dasherkandi Treatment Plant, which falls within Khilgaon Police Station, is adjacent to Aftabnagar and will treat sewage in several areas of the capital,including Gulshan, Banani, DOHS, Aftabnagar, Badda, Magbazar, Niketan, Kalabagan, Dhanmondi (part) and Hatirjheel.

According to the WASA authorities, the project, built on about 24 hectares of land, has a sludge drying-burning system with a processing capacity of about 560 tons per day.

In order to change the sewage situation in Dhaka, WASA prepared a master plan for a drainage systemin Dhaka metropolis in 2013. As per plan,Dhaka WASA decided to build five treatment plants to prevent river pollution around Dhaka.

The construction of the Sewage Treatment Plant started as part of the master plan taken up in 2013. The project, which was approved in 2015, was supposed to start in July of that year and be completed in December 2019. The initial cost of the project was Tk3,317 crore.

The duration of the project was extended till June 2022 as work on it was not completed on time, which increased the cost to Tk3,713 crore.

According to the project, a waste lifting station is being constructed on the west side of Rampura Bridge at Pragati Sarani, a five kilometer trunk sewer line from Rampura to Aftabnagar and Dasherkandi plant and the main treatment plant at Dasherkandi.

Export-Import Bank of China is financing the project andthe work is being implemented by the Chinese company Hydro China Corporation.

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According to the monthly progress report of the project, the actual progress of the project till last January was 83.15 percent.

According to WASA sources, at present about three and a half thousand litres of sewage are generated in Dhaka every day. There are 881 kilometers of sewer line in Dhaka and other than that there is no sewerage system in place in any other area of Dhaka.

AKM Shahid Uddin, director (technical) DWASA, told The Business Standard that each area will be connected to the plant in stages.

The Dasherkandi Sewage Treatment Plant is set to be the first and largest modern sewage treatment plant in Bangladesh as well as the the largest single sewage treatment plant in South Asia, and the first modern sludge drying-incineration in Bangladesh.

Hao Yuanlin, general manager of Chengdu Engineering Corporation, told Global Times that there are not many projects like the Dasherkandi Sewage Treatment Plant undertaken by Chinese enterprises overseas.

He also said the team gave full play to its leading role in design and rich construction experience in the water sector, shaping a refined design with an innovative management model, which significantly improved work efficiency and quality control.

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According to WASA, a number of measures have been taken to radically change the water management and sewerage system of Dhaka city through the "Ghure Darao Dhaka WASA" program. A sewage treatment plant was undertaken as part of that. Initiatives were taken to bring Dhaka city into a 100% sewerage network and treat the sewage and dump it in the river.

Dhaka WASA Managing Director Taksim A Khan said a few days ago, "We will commission the Dasherkandi treatment plant in April this year."

Dhaka WASA's first sewage treatment plant is in Narayanganj's Pagla. The Dasherkandi sewage treatment plant is the second.

WASA will then build four more sewage treatment plants at Rayerbazar, Uttara, Mirpur and Narayanganj's Fatullah. WASA has plans to make the Rayerbazar sewage treatment plant an underground sewage treatment plant.


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China-owned company M/s Xihe Textile Technology Bangladesh Ltd is going to set up a garments manufacturing industry in Mongla EPZ with an investment of $12.89 million.

An agreement to this effect was signed between Bangladesh Export Processing Zones Authority (BEPZA) and M/s Xihe Textile Technology Bangladesh Ltd at BEPZA Complex on Wednesday (5 April).

Ali Reza Mazid, Member (Investment Promotion) of BEPZA and Yang Jilai, the managing director of Xihe Textile Technology Bangladesh Ltd signed the agreement on behalf of their respective organisations.


BEPZA Executive Chairman Major General Abul Kalam Mohammad Ziaur Rahman, ndc, psc was present during the signing ceremony.

2892 Bangladeshi nationals will get employment opportunity in this factory, said a press release.


This fully foreign-owned company will produce annually 5 million pcs of woven garments and 2.3 million pieces of knit garments.

The company has another RMG factory named M/s Garments Manufacture JINLITE Bangladesh in Mongla EPZ.

 

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A new weekly China-Bangladesh container vessel service will make its debut in the last week of this month, creating an opportunity to quicken the country's import and export trade.

Mediterranean Shipping Company (MSC) SA, a leading global container shipping line, is going to launch the service, called "Bengal Service", to provide customers with a direct link between South China and Chattogram.

In addition, the service will enable connections for Bangladesh's imports and exports via transshipment hubs in Singapore and Tanjung Pelepas of Malaysia, MSC recently said on its official website.

As the first voyage under the service, MSC Kymea will sail from Hong Kong on April 27 and is expected to arrive at Chattogram on May 11.

Under the service, vessels will sail from Hong Kong and connect with Yantian and Shekou in Southern China before calling on Singapore and Tanjung Pelepas ahead of their arrival in Chattogram.

On the return voyage, the vessels will pass through Singapore and Tanjung Pelepas once again to reach Hong Kong.

Ajmir Hossain Chowdhury, head of operations and logistics at MSC, said they have applied to the Chattogram Port Authority (CPA) to get permission for four of its vessels to operate the service.

"Initially they would arrive in Chattogram port each week while we have plans to increase the number of voyages gradually," he said.

Chowdhury went on to say the service would cut travel time of the country's import cargoes by at least 15 days and export to some extent.

It currently takes at least a month or more for cargo from China to reach Chattogram via the transshipment ports of Singapore and Tanjung Pelepas, where goods often lie idle for 10 to 12 days due to congestion, he added.

Around 60 per cent of the raw materials required by local garment factories are brought from China.

Syed Nazrul Islam, first vice president of the Bangladesh Garments Manufacturers and Exporters Association, said direct shipping services to and from China would be very helpful as Bangladesh imports a lot of raw materials from the country, especially for the garments sector.

"The initiative will reduce time and costs and eventually help Bangladesh become more competitive in the global market," Islam added.

Three shipping companies currently have China-Bangladesh services. They are Sealand Asia, a concern of Mearsk, Sinokor and HMM Joint Services, and CNC Line, a concern of the France-based shipping and logistics provider CMA CGM.

 

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