ICE Business Times, November 2015 by ICE Media Ltd.

CONTENTS November 2015

Columns: 14 Muhammad Zamir 18 Shamsul Huq Zahid 20 Asaduzzaman

6 8 9 11 22 26 29 31

From the Editor Around the World by Numbers Word of Mouth Event: CSE Fair In Pursuit of a True Dawn

Global Port, Global City COVER FOCUS

By Hossain Zillur Rahman

Exclusive Interview: Pierre Mayaudon, Ambassador, Head of Delegation, EU The Nansen Initiative Saif Kamal â&#x20AC;&#x201C; Transforming Innovations into Social Enterprises

34 P.

Pinning Hope

Interviews 41 Wahed Malek, Managing Editor, Dainik Azadi

Monowara Hakim Ali, Former Vice President, FBCCI and Former President, CWCCI

Geir Sikko, General Manager, Radisson Blu Chittagong

Dr. Jonathan Doerr, Co-CEO, Daraz Asia

Rupali Chowdhury, Managing Director, Berger Paints BD Ltd.

CONTENTS November 2015

BLUE ECONOMY

41 58

Special Report

26 Features 50 Allâ&#x20AC;&#x2122;s Well 52 The Distraught Saga of KEPZ 54 Pinning Hope 65 Capital Market Update 72 Attracting Medical Tourists, Indian Style 74 Owning the Crease 76 Das Katastrophe 78 A Slab That Works 80 Unilever Bizmastros â&#x20AC;&#x2DC;15 82 Challenges of Media Managers 84 Unilever Down to Zero 85 How to be a Corporate James Bond

FROM THE EDITOR The World Bank in their Bangladesh Development Update projects that the Gross Domestic Product (GDP) growth of Bangladesh in the fiscal year of 2015-16 will jump to 6.5% from its current 6% position. The report outlines the stability of our economy’s journey by highlighting declining inflation, rising reserves, contained fiscal deficit and stable public debt. However, it also cautions that Bangladesh is facing a declining trend in international competitiveness coupled with external and domestic risks. On the flipside, the World Bank’s Doing Business 2016 ranking, which was released recently, shows Bangladesh slipping from its previous 172nd position to 174th. This implies that conducting businesses in Bangladesh will be a tad bit more difficult in the coming year. While around the world industry experts are making a clarion call that business as usual is not going to be enough to ensure sustainability, what does this recent descent mean? It proves that we still have a long way to go to convince investors, let alone allure them into draining their money here.

driving force if we are to take the country to new heights. Despite all evidences pointing towards its massive potential, it still remains largely untapped, an alarming issue which needs to be addressed sooner rather than later if we don’t want opportunities to slip out of our hands. Ample opportunities for expansion and improvement to reach global standards are present but the policies in place which are supposed to help boost Chittagong and its port’s contribution to the economy have to be revisited. Bangladesh is on the precipice of something great but without the correct and timely action being taken we will lose out the opportunities in front of us. The World Bank has already emphasized that Bangladesh needs to sustain GDP and remittance growth, create jobs, contain inflation, and improve the quality of public service delivery to reduce extreme poverty and boost shared prosperity. As such, if policy makers don’t start devising newer, improved strategies to eradicate port inefficiencies, infrastructural inadequacies and energy and land scarcities then the entire nation loses out in the long run.

In this issue of ICE Business Time, we highlight Chittagong’s prospects as Bangladesh’s commercial capital and how its proper growth and development will be a key

Photographs Din Muhammad Shibly Kazi Mukul Samiul Wares Jhumpa Das Gupta Ashraf Uddin Apu

NOVEMBER 2015 TK. 100

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Exclusive Interview

Pierre Mayaudon Daraz in Bangladesh

Taking E-commerce To A New Height

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Vol. 6 No. 3

Ambassador, Head of Delegation, EU

Global Port, Global City

Special Report

Blue Economy

unlocking the potential of chittagong With M A Latif, MP

AbduS Salam Hossain Zillur Rahman Monowara hakim Ali Khurshid Alam gari Sikko

November 2015

Publisher & Editor : Director, International Publications : Executive Director : Managing Editor : Assistant Editor : Staff Feature Writer : Designer : Head of Business Development : Finance & Accounts : Sales & Distribution : Customer Care

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WORD OF MOUTH

Recognition Upcoming

High end Asian Banking summit in the City

Niaz Rahim got international accolade

Niaz Rahim, Chairman, Center for Zakat Management (CZM) received Islamic Economy Award in recognition of its initiatives and ideas pertaining to Waqf & Endowment category by Global Islamic Economic Summit where Sheikh Mohammed bin Rashid al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai in the second edition of the Global Islamic Economy Summit (GIES) handed over the award to him held recently in Dubai. The Center for Zakat Management (CZM) is an initiative for institutionalizing Zakat management system aiming to alleviate poverty and upgrade standard of living of the impoverished communities. A pilot project initiative by CZM enabled 3% of Zakat receivers to turn into Zakat payers within three months. This success has paved the way for other initiatives to be undertaken in an organized and professional manner. Niaz Rahim made Zakat a the successful tool for poverty alleviation and spreading quality education among the disadvantaged Childs. Niaz Rahim, the Group Director of Rahimafrooz (Bangladesh) Ltd. has made significant contribution in establishing a strong nationwide distribution network for Rahimafrooz and played a pioneering role in exporting automotive batteries from Bangladesh to various international markets and making renewable solar powered solutions commercially viable. A passionate visionary by nature, he successfully established the country’s first retail chain supermarket–Agora and continues to drive new business ventures, human resource development and strategic change management in Rahimafrooz Group.In addition to being a key personnel in steering the Group’s business future, Rahim is also the Managing Director of Rural Services Foundation-a Non-Profit social initiative of Rahimafrooz and the Center for Zakat Management (CZM).

A two-day high end Asian Banking risk management summit took place in Dhaka on 3rd and 4th November, 2015 organized by Middle East Risk Management Alliance ( MERMA) where issues like latest emerging trends in Banking, insight into Risk Management, Cyber Security, Trade Finance, Workable solutions for organization and Knowledge Sharing and Networking will be discussed. Where the panel of discussants are: Ajai Kumar, Senior Strategic Advisor- Yes Bank & Ex CMD, Corporation Bank; Ahmed Shaheen, DMD & Chief Business Officer, Prime Bank, Bangladesh; M A (Rumee) Ali, Chief Executive – BIAC & Former Deputy Governor, Bangladesh Bank; Satish Mandora, CEO & Lead Trainer Square Circles, India; Anurag Mishra, Regional Lead IFC, World Bank; Sudatta Mandal, General Manager EXIM Bank of India; Abrar Anwar, CEO Standard Chartered Bank, Bangladesh; Ambi Venkateswaran , Former Bank of America Executive & Ex CRO Mashreq Bank; K R Kamath, Management Advisor & Former MD, Punjab National Bank, India; Krishna Kumar, Head of Trade Finance, Abu Dhabi Commercial Bank, UAE; K Mahmood Sattar, Chairman, RSA Advisory; Meera Sanyal, Former CEO, Royal Bank of Scotland, India; Sarwar Chowdhury, Consultant, Islami Bank Bangladesh Ltd.; Syed Mahbubur Rahman; MD & CEO, BRAC Bank, Bangladesh.

WORD OF MOUTH

recognition

leaders meet

Another Jewel In his crown

Dr. Atiur Rahman has received Central Bank Governor of the Year for Asia 2015 Award. Organized by The Emerging Markets Newspaper (UK based financial newspaper of the Euromoney Group), the award was handed over to him on October 10, 2015 evening. This award was given in recognition of policymaking he has spearheaded at Bangladesh Bank towards mainstreaming socially and environmentally responsible inclusive green financing, supporting sustainable socioeconomic development. Toby Fildes, Managing Editor of Emerging Markets, and Ruth Beddows, Deputy Director of Global Capital handed over the award to Dr. Rahman. Beddows said, Governor Rahman have significant contribution towards Bangladesh’s sustained spell of economic growth of more than 6%, rapid poverty alleviation through innovative financial inclusion programs, stability in the exchange rate, and growing foreign exchange reserves over the past few years. The award signals the confidence he has inspired in the key stakeholders and reflects their faith in central bank’s policy under his stewardship. Governor Rahman dedicated the award to the hardworking entrepreneurial population of Bangladesh, martyrs of the liberation war, and his mentor and guiding star, the honorable Prime Minister of Bangladesh, Sheikh Hasina, for providing him the needed space for innovative approaches. He also thanked his fellow colleagues from Bangladesh Bank and the entire financial system for their continuous support towards promoting inclusive finance in Bangladesh. Beside Dr. Rahman, the Finance Ministers of India, Peru, Hungary, United Arab Emirates and Ethiopia, and the Central Bank Governors of Mexico, Russia, Egypt and Rwanda were also been awarded by the Emerging Markets. Last year, Dr. Raghuram Rajan, Governor of the Reserve Bank of India was awarded this prestigious accolade, and Dr. Zhou Xiaochuan, Governor of the People’s Bank of China received the same in 2013.

CCCI president vowed to work with BGMEA

President of the Chittagong Chamber of Commerce & Idustry Mahbubul Alam vowed to work with BGMEA (Bangladesh Garments Manufecturing & Exporters Association) when the newly elected BGMEA leaders meet the president on 26th October at his office led by Mohiuddin Ahamed Mintu, the first Vice President of BGMEA. The chamber president hoped that both the organizations would work hard development of the RMG sector in Chittagong to increase export and employment. He also emphasized to redress the challenges like shortages of land , high interest of Bank Loan, sick factory, Power and electricity crisis and chronoic infrastructural issues. The CCCI president also said that Chittagong is contributing 40% of the RMG of Bangladesh. For a better future, further coordination is required to make a Graments village.To awrae everybody about the challeneges, he also hoped to hold a round table in future. The First Vice President of the BGMEA Mohiuddin Ahmmed said that due to several infrastructural lacking, the RMG in Chittagong is facing huge backlashes. Out of a total number of 726 fatctories, 316 were shut down in last couple of years. He opined that setting up a garments village is a cry of the moment, for which they need to acquire 200 acres land. Among other directors of Chittagong Chamber Mahfuzul Haque, BGMEA Vice President Mohamad Ferdoeous, A M Mahbub Chowdhury were also present.

apparel industry

Bangladesh Denim Expo -2015 will be held at 11-12 November

Bangladesh, an emerging power house of denim products is going to host Bangladesh Denim Expo 2015 on 11- 12 November at Bashundrhara Convention centre. With a view to one stop innovative denim sourcing platform where advance compliance for health and safety will be inculcate including a strong a strong focus on investment for education and training for young people.

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WORD OF MOUTH

optimism

“Grow, Bangladesh grow! As faster as you can”

Economists of Bangladesh across the globe made this call in a meeting recently held at the auditorium of Bangladesh Institute of Bank Management (BIBM). The session was chaired by Sadique Ahmed, Vice Chair person Policy Research Institute (PRI). The keynote speech was presented by Dr. Mohuddin Alamgir. Tofial Ahmed, MP, the Minister of Commerce, was the Chief Guest of the event and M Sayeeduzzaman was the moderator. Among other speakers were Mustafa Kamal Mujeri, former Director General, BIDS; M A Mannan, State Minister for Finance, Mp; Professor Wahiuddin Mahamood, Dr. Zadai Sattar, Chairman, PRI; Dr. Aitur Rahman, Governor, Bangladesh Bank; Dr. Mozammel Huq from the Department of Economics at University of Strathclyde; A SM Mohiuddin Momen. Dr. Asikur Rahman emceed the high end session. Earlier in the Morning Speaker of the House Shrin Sharim inaugurated their publication Bangladesh at 2030 where Dr. Aitur Rahman was the Chief Guest. In his keynote paper titiled ‘Strengthening Institutions to Accelerate Growth and Lower Poverty case of Bangladesh’ Dr. Mohiuddin Alamgir expressed his sheer optimism about a higher growth rate of our economy. Commerce Minister Tofial Ahmed, MP said that we started with only 350 million in export in 1972 and now we are exporting 33 billion. Recently we took a few foreign investors to the factories of Square, DBL and BEXIMCO group and they were amazed to see our progress. I am highly optimistic about a better future.” Taking part in Discussion Dr. Aitur Rahman said, “we are going to be a digitalized nation in Banking. Our success in disseminating mobile banking is known to all but there are some quarters who are trying to take advantage out of it. We have launched e-tendering in Bangladesh Bank. We have created export fund and also required to develop capacity for our industrial development where there is a large SOE (State Owned Enterprise) in Bangladesh.”

seminar

Financial professionals urged to sharpen the reforms at SAFA-2015 Recently a two-day long international congregation of accountants and professionals SAFA Conference, 2015 was in a city hotel in Dhaka, where around 450 local, regional and international professional accountants attended to share their thoughts and ideas with peers to contribute to financial reforms in their respective countries. Inaugurating the international professional conference Minister Industries Amir Hossain Amu, MP said that the upcoming industrial policy will also put special emphasis on both local and foreign investors to help them run their businesses smoothly. State Minister for Finance and Planning MA Mannan and President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Abdul Matlub Ahmed also addressed the function.

fair in ctg

Month long Women SME fair kicks off IN CTG

This first of its kind SME fair was inaugurated by Commerce Minister Tofail Ahmed, MP at the Railway Pologround in the port city Chittagong on 25th October. This fair is the 9th in a series of similar events organized by Chittagong Women Chamber of Commerce & Industry (CWCCI) in association with the Export Promotion Bureau, The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), SME Foundation and Jute Diversity Promotion Centre (JDPC). The themes and entire organizing activities were done by women-which truly makes this an event for the women, by the women, of the women.

WORD OF MOUTH

happening

1 1. Prime Minister Sheikh Hasina received the ICT Sustainable Development Award from International Telecommunication Union (ITU) Secretary General Houlin Zhao at the UN Headquarters in New York 2. Prime Minister Sheikh Hasina received UN's highest environmental accolade – Champions of the Earth – in recognition of Bangladesh's far-reaching initiatives to address climate change 3. Sir Fazle Hasan Abed has been honored as the 2015 World Food Prize Laureate 4. Bangladesh’s iconic development journalist Shykh Seraj has won this year’s Gusi Peace Prize for his exceptional media activism for the past three decades in reducing the country’s poverty

5. The Chairman, Rashed Chowdhury and the Founding Chairman, Syed Manzur Elahi of Mututal Trust Bank Ltd. (MTB) are seen cutting a cake commemorating the 16th Founding Anniversary of MTB, at a simple ceremony held recently at the bank’s own building, MTB Tower, 111 Kazi Nazrul Islam Avenue, Dhaka. 6. High-end dignitaries from Board of Investment (BOI) and banking and industry sector attended the Bangladesh Roadshow UK 2015 at London’s Winter Garden Canary Wharf in a bid to attract foreign investment

7. BASIS president Shamim Ashan has inaugurated the online appointment base web site doctorola.com, where he opined that Bangladesh would be a leading country in information technology innovation. The event also had Dr. M A Rouf Sardar as Chief Guest and Managing director of Doctorola.com Dr. M A Matin . 7. About 100 including individuals and organizations received “BASIS Outsourcing Award 2015” at the Institute of Diploma Engineers auditorium in Dhaka

7 6 www.icebusinesstimes.net

1 2

happening 1. The Chairman of Bank Asia A Rouf Chowdhury congratulating the Honorable Premier of Bangladesh Sheikh Hasina

2. Bangladesh Bank launches RTGS; Standard Chartered Bank executes first ever transaction 3. FBCCI president Abdul matlub Ahmad spkeaking at a dinner meeting in Bangladesh Business Allinace 4. Standard Chartered Bank and Mutual Trust Bank Limited signs Straight2Bank Exchange Agreement

5. NRB Bank participated in the signing ceremony of the Revolving Working Capital Syndication for First Dhaka Elevated Expressway Company Limited 6. Speakers at the event organized in memory of Misbah Uddin Khan

EVENT

The CSE held A two day capital market fair

he Chittagong Stock Exchange held a two day capital market fair with a view to sharpen the edge of the bourse and make the investors financially literate and expanded consciousness on capital market. The fair was inaugurated by Dr. M. Khairul Hossain, Chairman of Securities And Exchange Commission (SEC), Bangladesh. Dr. Mohammad Abdul Mazid, Chairman of Chittagong Stock Exchange Commission (CSE) and Shiekh Kabir Hossain, President of Bangladesh Insurance Association were also present at the ceremony. A host of business icons like Ali Hussain Akberali, FCA, Chairman of BSRM; Salman Ispahani of Ispahani Group were present and Md. Shakil Rizivi, Director DSE chaired a session later on 9th October. The fair witnessed a phenomenal gathering of audience who were keen to know more about various opportunities of investment. A total number of 50 stalls were there with companies like BSRM, Island Securities, Lanka Bengal, IDLC, and PHP Securities participating to enhance investors’ confidence. Dr. Abdul Mazid told ICE Business Times that the total number of visitors went beyond their expectations, which CSE is considering as a positive sign. Ali Hussain Akberali, FCA said that it was an enterprising initiative from the CSE where lots of investors from different fields were getting to know about with each other. “It is a very good initiative for the listed companies.” He expressed his utmost satisfaction about the fair. Md. Shakil Rizivi told this magazine that this kind of fair was important to raise the consciousness of the investors. “Participants asked me many questions, which show their eagerness to update their knowledge quotient about the bourse. This initiative will surely be very fruitful in creating awareness regarding the capital market.” Wali-ul-Maroof Matin, Managing Director of CSE said

that they had been working for more than two decades to augment financial literacy among investors in the port city. “The crowd is fascinating. We have got response from all continents except Africa. This is going to spell a big success for the bourse in coming days.” Among the participants, attendees from IDLC and Island Securities shared their remarks with ICE Business Times. They expressed their gratefulness towards the initiative. The high-end seminars helped investors with much-needed bourse basics, they said. The fair witnessed opening of a huge number of BO accounts, which is important for both qualitative and quantitative outcome of the fair, they said.

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COLUMN

IMPACT OF TERRORISM ON BANGLADESH

The unfortunate terrorist killings since the end of September have cast a pall of gloom over Dhaka and the rest of Bangladesh. On 28th September came the planned killing of Italian Cesare Tavella, working in Bangladesh to improve food security. He was accosted and shot dead by criminals while jogging in the Gulshan neighborhood in northern Dhaka, home to Diplomats and Foreign Embassies. Next, on 3rd October, came the regrettable and ill-fated murder of Japanese agronomist Hoshi Kunio, staying alone near a farm in Rangpur. After that we had another murder, carefully carried out by professional killers in the outer fringe of Dhaka city. The former PDB Chairman Khijir Khan was killed in his residence. There was also the pre-meditated attack on Father Luke Sarker, a Baptist Christian priest living in Pabna. Fortunately he survived. Search for International Terrorist Entities (S.I.T.E), an American based Web-site, run by Rita Katz and Josh Devon, with Israeli connections

Muhammad Zamir

The word "terrorism" is politically loaded and emotionally charged and refers normally to an act designed to cause terror.

immediately blamed the incidents related to the two foreigners on the ISIS. However, when contacted by the DB of Bangladesh Police, they refused to reveal their source of information that prompted them to accuse ISIS of these murders. In the meantime, the absence of credible information and proof has led the Bangladesh authorities to dent the presence of ISIS in this country. Instead the torch light is focusing on terrorist elements from fundamentalist parties who were associated with killing and arson earlier this year. Some within the diplomatic corps claimed that information regarding the possibility of such attacks on foreigners had been passed on to the relevant agencies responsible for maintaining law and order and providing protection to foreigners living in Bangladesh. They also rued the fact that such actionable intelligence had not been pursued with necessary care. This has been denied by the law enforcement agencies. There was going to be a meeting of the Buyers Forum in Dhaka related to the garment industry. That has been postponed. This has also been true with regard to the visit of the Australian cricket team to Bangladesh. The visit to Dhaka of a British State Minister was also postponed. We have also seen in the past few days reports of over 40 foreigners, majority of whom were from Spain (working for Isolux Ingenietia) leaving Bangladesh due to their security concerns. This will affect and delay the completion of several projects in the electricity sector, undertaken by the Bangladesh Electricity Generation Company and the North West Power Generation Company. The affected projects are â&#x20AC;&#x201C; a 325 MW Power Plant, a 383 MW gas-fired combine cycle project at Bibiyana South and another 150 MW power plant. The tourism sector entrepreneurs from Mongla and Coxâ&#x20AC;&#x2122;s Bazar have also reported the

MUHAMMAD ZAMIR

cancellation of several bookings by expatriates living in Bangladesh who wanted to visit these areas for tourism. There was however greater understanding and commitment by the German Minister for Development who not only came to Bangladesh during this period but also visited several factories outside Dhaka to see for himself the progress made by our Garments Sector in ensuring safety for its workers. Such an action by Germany was an example of positive engagement that provided encouragement to the law and order and investigation authorities to tackle their expected tasks pertaining to containment of terrorism with greater commitment. The word "terrorism" is politically loaded and emotionally charged and refers normally to an act designed to cause terror. A broad array of political organizations has practiced terrorism over the years to further their objectives. This has included right-and left-wing political parties, nationalist groups, religious groups and self-proclaimed revolutionaries. They pursue such dynamics to exploit human fear. This, they believe, will enable them to achieve their goals. Since 1994, the United Nations General Assembly has repeatedly condemned terrorist acts using the following political description of terrorism: Criminal acts intended or calculated to provoke a state of terror in the public, a group of persons or particular persons for political purposes are in any circumstance unjustifiable, whatever the considerations of a political, philosophical, ideological, racial, ethnic, religious or any other nature that may be invoked to justify them. The U.S. Code Tittle 22 Chapter 38, Section 2656f (d) has also defined terrorism as: “Premeditated, politically motivated violence perpetrated against noncombatant targets by sub-national groups or clandestine agents, usually intended to influence an audience”. Bruce Hoffman, a scholar, has noted some key characteristics of terrorism that, according to him, makes it possible for us to distinguish terrorists from other types of criminals and terrorism from other forms of crime. Terrorism, according to him is ineluctably political

in aims and motives; violent – or, threatening violence; designed to have far-reaching psychological repercussions beyond the immediate victim or target and generally conducted by an organization with an identifiable chain of command or conspiratorial cell structure (whose members wear no uniform or identifying insignia). One can see from the above that there are psychological and tactical aspects of terrorism. From this point of view, terrorism is defined as political violence in an asymmetrical conflict that is designed to induce terror and instill psychic fear through indiscriminate and violent victimization and destruction of noncombatants. The purpose of terrorism is also to exploit the media in order to achieve maximum attainable publicity as an amplifying force multiplier in order to influence the targeted audience in order to reach shortand midterm political goals. Each act of terrorism is also aimed at having an impact on many large audiences. Terrorists, mostly non-State actors also attack to create a negative impression about the government in place. We have watched with dismay how some political parties, consistent with their subjective definition of democracy carried out for more than three months attacks on innocent citizens, undertook arson and murder to reiterate that democratic accountability can be best ensured by non-political actors. This unfortunate trend encouraged fringe groups to be associated with terrorism. The idea during that period was to instill fear and instability so that non-civilian actors would intercede in the name of upholding people’s power. That carnage created anarchy, economic insecurity and affected our image abroad. We have also seen at that time the negative effects of faith-based terrorist activity. Religious terrorism it may be pointed out is terrorism performed by groups or individuals, the motivation of which is typically rooted in faith-based tenets. We noticed how terrorist acts were performed on religious grounds with the hope of either spreading or enforcing a system of belief, viewpoint or opinion. That activity was directed towards defining a group view or interpretation of that group’s teachings.

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COLUMN

There has been relative calm for the past six months and Bangladesh has been slowly moving towards economic self-sufficiency and greater development. This has been recognized by international organizations and also the United Nations during the current 70th Session of the UNGA. It is at this time that foreigners have been singled out for creating a sense of fear amongst them. This is not only sad but disappointing. It also smacks of pre-planned activity on the part of certain political parties who are critical not only of the present ruling Party but also of its efforts to bring accountability through the International War Crimes trial of those war criminals who perpetrated or assisted in the process of genocide and rape during our War of Liberation. It would be interesting to recall here an observation made by the United States National Advisory Committee on Criminal Justice Standards and Goals. They have classified terrorism into six categories and have described political terrorism as violent criminal behaviour designed primarily to generate fear in the community, or substantial segment of it, for political purposes. One would think that such a description would fit in with what has been sadly attempted through the killing of innocent foreigners in Bangladesh. Those involved in governance in Bangladesh are now faced with a dilemma. We, a democratic nation espousing civil liberties may claim a sense of higher moral ground than other regimes. However, in this context rises the question as to whether, to reduce the possibility of terrorist acts, the State should continue to give special emphasis on the maintenance of civil liberties or restrict them- and thus risk being perceived as ineffective in dealing with the problem. This assumes particular significance given the fact that Bangladesh for the first time, due to the killing of bloggers and some journalists has been included in the CPJâ&#x20AC;&#x2122;s Global Impunity Index that attaches significance to unsolved

We have watched with dismay how some political parties, consistent with their subjective definition of democracy carried out for more than three months attacks on innocent citizens, undertook arson and murder to reiterate that democratic accountability can be best ensured by non-political actors.

The writer is a former Ambassador and an analyst specialized in foreign aďŹ&#x20AC;airs, rights to information and good governance. He can be reached at muhammadzamir0@gmail.com

murders. It is generally being espoused that all big cities in Bangladesh, including its capital - Dhaka (with a population of 16 million) should be brought under intensive, effective and wide-spread CCTV camera monitoring. This process has already been started in certain parts of Dhaka and Chittagong - but not sufficiently. Security analysts as such, are now using London and cities in the United States and Europe as examples for enhancing the use of CCTVs. In a manner of speaking it makes sense. Our government needs to think about this very carefully. There will be challenges associated with such a task- financial (in the installation of the thousands of cameras) as well as proper monitoring of these CCTV cameras through guaranteed electricity. It will also require an efficient and trained infrastructure. To achieve this desired end, our government should think of entering into strategic partnership agreements with relevant countries and also approach this end game through a collective effort where all political parties (who have openly given statements against terrorism) and civil society involved with security need to be included. There has to be an inclusive approach. The government in the meantime has taken several steps to assure the safety and security of all foreigners resident in Bangladesh - students or workers. A systematic survey is also being carried out to determine the resident addresses of all foreigners in Bangladesh. Special police security is also being given to expatriate workers who have to travel to their place of work in projects outside Dhaka. These are good measures. Nevertheless, it is clear this time round, that the situation is politically and emotionally charged. Consequently, those responsible for carrying out necessary investigation and inquiry related to these murders, have to come to an acceptable resolution soonest possible. The process also needs to be transparent to ensure credibility and free of indiscriminate arrests. The international image of the country is at stake.

COLUMN

STILL A LONG WAY TO GO

Chittagong, the commercial capital of the country has been running short of many amenities that a modern city should have. Governments, elected or otherwise, have come and gone but none of them have been serious enough to address most of its major problems. Chittagong has prospects and problems as the countryâ&#x20AC;&#x2122;s premier seaport and the second largest city. Not all the port cities around the world are major trading centres. But Chittagong is. It, over time, has emerged as the countryâ&#x20AC;&#x2122;s main trading hub. The Chittagong port that handles about 90 per cent of the export-import cargoes of the country has experienced both ups and downs during all these years of its existence. The users of the port had lots of complaints about its performance even some years back. The situation with port operations is now better than before but it is far from an ideal one. The lead time of the port is still higher than many other regional ports.

Shamsul Huq Zahid

The Chittagong port that handles about 90 per cent of the export-import cargoes of the country has experienced both ups and downs during all these years of its existence.

Businesses face hassles of different types. Technologically, the port is still lagging far behind. The highhandedness of the dock workers, who are controlled by outside political elements, does at times create serious problems for the port users. Corruption at the port is systemic and the businesses have learnt to live with it notwithstanding the fact the vice has been adding cost to their operations. The handling capacity of the port has improved in recent years following addition of necessary equipment. But when the rush of ships is a little bit heavy, the port cannot cope with the situation and it keeps a large fleet of cargo-laden ships waiting in the outer anchorage. Despite having all these weaknesses, talks about using the Chittagong port as a regional facility has become intense, of late. A neighbouring country is very interested for it wants to transship goods to and from its near inaccessible northern part. Such a desire, however, has given rise to controversies. If the port is allowed to be used by the neighbouring countries, its capacity has to be beefed up substantially with a sizeable investment. Besides, not for its regional use but for making the port efficient for domestic users, the authorities concerned will have to make the port operations automated. Its potential as regional hub will largely remain unrealized until the Chittagong is developed as a city of global standard. Chittagong deserves such development for it hosts 40 per cent of the country's total heavy industries. It is the second RMG (readymade garment) heartland and it has two internationally competitive export-processing zones (EPZ). Besides, Chittagong is also one of the fastest-growing cities in the region with a population of 5.0 million. It is

SHAMSUL HUQ ZAHID

also an emerging industrial hub with shipbuilding, steel and tourism dominating the scenario. Chittagong is yet to reap its full potential because of the unsatisfactory state of both rail and road links. Over 90 per cent of the export-import cargoes are passed through the road and railway linking Chittagong with Dhaka. Road transportation remains a dominant player in this area. The implementation of a project to convert the existing Dhaka-Chittagong highway into a four-lane one is almost at the final stage. The four-lane highway is expected to ease the severe traffic congestion, to some extent. But the improvement might prove short-lived if the anticipated growth of both export and import becomes a reality within next five years or so. The rail network could have been the relatively cheaper and more efficient mode of transportation of goods from Chittagong to other places of the country. But despite having all the potentials, the policymakers have not shown interest regarding beefing up the capacity of the Bangladesh Railway system. Allegations have been made which state that road transport owners are bribing a section of decision makers to maintain their (transport owners) domination. But the allegations, it seems, have little substance since the volume of cargoes available for transportation to and from Chittagong is enough to feed both railway and road transports. But, unfortunately, the development that Chittagong deserves has not been in place for bureaucratic complexities and policymakersâ&#x20AC;&#x2122; apathy. It has been facing infrastructural constraints and problems with utility services. As far as industrial development is concerned, Chittagong has been hit hard by gas supply shortages. Scores of existing industries are not getting enough gas and the new ones have been awaiting gas connections for a while. Investments worth billions of taka are now stuck up in these industries with their sponsors counting a substantial amount in bank interests. The Chittagong city like other major urban centres of the country does face problems with the supply of quality

The writer is a senior journalist. He can be reached at zahidmar10@gmail.com

drinking water, law and order and traffic situation. But what has been causing most severe dislocation and sufferings to the residents of Chittagong is severe water-logging. A moderate rain is enough to put almost half of the city under waist-deep water. In fact everything gets stuck up following a moderate to heavy rainfall. The problem intensifies if the rainfall coincides with high tide. Sea water very often inundates the low-lying areas during high tides occurring during peak monsoon time. The drainage system of the port city needs thorough overhauling with the restoration of a few major natural water bodies to their original state, including the chaktai canal. Much of the woes of Chittagong would go away with the improvement of the drainage system. The task is daunting for most canals, as is the case with Dhaka city, have been filled up by the encroachers. Some projects have been implemented by the Chittagong Development Authority and the Chittagong City Corporation (CCC) in recent years and a few more are either under implementation or in the pipeline. But going by the state of implementation it is hard to say when living in Chittagong city would be trouble-free. No city, be it in a developed or developing country, is totally problem-free. The bigger the cities, the greater are their problems. But there are both quantitative and qualitative differences in problems between cities in developed and poor developing countries. In the developed world, authorities concerned make conscious efforts to rid the cities of their problems. But that is, in most cases, lacking in the case of cities belonging to the poor developing nations. Efforts in these countries are half-hearted and a large part of the resources employed for improvement of the cities conditions is either wasted or misappropriated. The policymakers do need to give special attention to the development of Chittagong and its links with the rest of the country. Otherwise, the large part of the dream of taking the country to higher growth trajectory and achieving the coveted status of a middle-income one within the stipulated time would largely remain unmet.

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COLUMN

Great Expectations

Set in London and Paris, before and during the French Revolution, â&#x20AC;&#x153;A Tale of Two Citiesâ&#x20AC;? by Charles Dickens depicts the plight of the French peasantry demoralized by the native aristocracy leading up to the revolution, the corresponding brutality demonstrated by the revolutionaries toward the former aristocrats in the early years of the revolution, and many unflattering social parallels with life in London during the same period. In a nutshell, this book entails the story of transformation of two cities amidst hope and despair. Interesting enough, the port city Chittagong is witnessing a similar kind of transformation. The city was the nativity land of armed revolutions

PAST PERFECT Chittagong has been the land of possibilities since time immemorial where iconic business houses like A K Khan, GM Plant, GEC, GSK, Liver Brothers, Elite Paint, BSRM etc. were set up.

Asaduzzaman

against the British in 1930s and witnessed the announcement of the birth of Bangladesh as an independent country on 26th March, 1971. Chittagong has been the land of possibilities since time immemorial where iconic business houses like A K Khan, GM Plant, GEC, GSK, Liver Brothers, Elite Paint, BSRM etc. were set up. These companies have thrived and in course of time, emerge as leaders of individual sectors. As Dr. Hossain Zillaur Rahman has identified that it is a 25+ billion dollar economy and handling 80% of exports and imports and is contributing 25% of government revenues. Being into action as trading port since around 9th century, it exhibits around 40% of

ASADUZZAMAN

heavy industrial activities, including dry dock, shipyards, oil refineries, steel, automobile, cement, urea, textile, cable mfg, chemicals, pharma, power plants. Chittagong is the 2nd largest city as well as 2nd RMG hub and is enriched with an internationally competitive EPZ. He also cited that there are emerging industries driver like ship-building, steel, tourism, etc. He also identify that Chittagong is a conglomeration of four economic corridors: first North-west: Dhaka-Chittagong Growth Corridor, North: Gateway to Indian 7-Sister states, East and South-east: Regional connectivity to Southern China and ASEAN and a maritime corridor to Bay of Bengal and global economy. So it is almost no news that Chittagong is just away from one more push to get there to attain the status of a global city like Singapore. In this connection, I would like to mention about a seminal book written by Misbahuddin Khan, who served there for at least three decades. “History of the Port of Chittagong” is the anthology where he states that boat building was an important industry of Chittagong and in the 16th and 17th Centuries, galleys for the Sultan of Turkey were built here and as the beginning of the 19th century vessels of even 1000 tons were launched from its yards. Depicting the ins and outs of the port from 1888 to 1947, he articulated that “the present facilities and the layout of the port would have been different if the responsibilities of the planning for its development were given to the port administration i.e. the commissioners for the port of Chittagong, a statutory body established in 1988 to run the administration of the port under the provisions of the Bengal Act 19887. There are many harbors in the world but all of them are not ports which in ancient times were a place and refuge for the ships that was used both for military and commercial purpose but a port means a collection of anchorages, basins, docks, quay, services by warehouse and inland transport and market facilities. Besides being a dynamic port, that of Chittagong is an

excellent harbor too. Recently a seminar held at Bangladesh Institute of Bank Management (BIBM), Dhaka had a session titled “Strengthening institutions to accelerate growth and lower poverty case of Bangladesh”. Famous economist Mohiuddin Alamgir was the key note speaker where the theme was “Grow Bangladesh Grow, as faster as you can”. The luminaries and international academicians of Bangladesh talked frankly about the possibilities of the country. The keynote speaker who has hands on experiences to work in many countries said that growth Bangladesh exhibiting now is very ruthless and it is like a running tank that can destroy many things, create new opportunities and avenues. Though growth has opportunity cost and environmental values but there is no alternative of it. Instead of having many bottlenecks, he was optimistic that by 2050 Bangladesh will become a developed country with per capita income of $20,000 at the constant price of 2010, where poverty will be almost zero. He emphasized on reforms in politico-socio-economic and financial institutions. He urged about the capacity building of public administrationtoo. Another renowned economist, Dr. Wahiduddin Mahmood said though the development of Bangladesh comes as a surprise to many but it’s a reality no one can ignore. We need to work hard to make the best use of the hardworking nature and resilience of the people of our country. In a reception meeting at Chittagong in 1904, Viceroy Lord Curzon said that this region would prosper and take its due share in Asia in days to come. His views certainly hold some water. To be honest, it might seem like a mere mimicry of Lord Curzon if I say Chittagong has every possibility to become a global city under the leadership of next generation of leaders, visionaries and doers.

Asaduzzaman is the feature writer of ICE Business Times.

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IN THE LOOP

In Pursuit of a True Dawn

Besides pinning hope on the Chittagong Port, we must ensure the efficient execution of plans and the removal of policy logjams. By Rokeya Zaman

CHITTAGONG PORT

Experts say that Chittagong port, which celebrated its 128th founding anniversary this year, can become a regional economic hub and a global port with due modernization and strategic planning

“With the current growth in activities, the capacity of the port needs to be increased by 25%” M A Latif, MP

Bangladesh’s ascension to the league of low-middle income countries clearly ensures a further beefing up of its economy, with more exports from Readymade garments sector. This means Chittagong port, which is considered by many as the lifeline of the economy has tougher days ahead. The question arises because one of the most ancient coastal ports of this subcontinent has many possibilities to become a global port but may end being a juggernaut lacking time-appropriate reforms-both infrastructural and technological. In the financial year 2014-2015, the country exports $24.50 billion worth of RMG, of which the Chittagong port handles 18,66,942 TEUs-a 14.50% rise from the past year. Out of the total containers, RMG contributed 50% in imports and 80% in exports; where as per the statistics of Bangladesh Bank in July, our export was $2.6 billion in a single month where only home textiles had a negative trend. Much of the kudos go to the Chittagong port that handles more than 91% of the country's imports and exports making it the prime port of the country. The tariff growth of port is about 14%, which is double the growth of our GDP rate. In March this year Chittagong Port Authority (CPA) handled the largest number of containers, 15, 59, 08 TEUs; there was nearly 11.24% growth in cargo handling while container handling experienced a 7.60% increase. According to the statistics, the container traffic of 2014 was 12.3% higher than the 2013 figure and since 2010 it has risen by 29%. The number of vessels

handled also increased enormously between 2010 and 2014 from 2249 to 2410. Experts say that Chittagong port, which celebrated its 128th founding anniversary this year, can become a regional economic hub and a global port with due modernization and strategic planning. Global consultancy firms McKinsey predicting that Bangladesh can double its garments exports in the next 10 years; the necessity to modernize the port has become more urgent than ever. Though the average turnaround time for ships has been brought down to about two-and-a-half days at the moment, exporters say it should come down further to meet global standards where turnaround time in Singapore port is less than 12 hours. Countries including Nepal, Bhutan and India want to use Chittagong port to transport cargo. Md. Zafar Alam, Member of the Administration & Planning of Chittagong Port Authority told ICE Business Times that the port requires 15% annual growth to cope with the growth of the national economy. “Currently we are looking forward to master a strategic plan. We have floated international tender for the feasibility study of the Bay terminal and have selected 5 RFQ, where four companies has dropped proposal and one will be selected for the feasibility study.” But it requires approval from Chittagong Development Authority (CDA) for using the land, which couldn’t be availed due to

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CDA’s plan to make a housing project that got delayed for more than a year. He said that the land is almost barren and easy to acquire. So with the Bay terminal the Chittagong port will be regenerated though there is another port in the offing at Payra and with growing economy Bangladesh can reach newer heights. Recently the Port Users Forum held an opinion exchange meeting with all the stake holders where, M.A Latif, MP said that for the economic interest of the country the Bay or the bulk terminal is a must. The meeting was presided over by the President and Forum Chairman Mahabul Alam and Member CPA Md. Zafar Alam (Admin and Planning); Custom Commissioner Husain Ahmed; Traffic Director of The Chittagong Port Md. Masirur Rahman Beg; Senior Vice President Md. Nurul Newaz Salim; Vice President Zamal Ahmed. Representatives from BGMEA, BKMEA , C& F Agents Association , Shipping Agents Association, BCSA , BIKDA, BARVIDA , BAFA , CP Lighter age Contractors Association, Port Truck owners and Contractors Association and Covered Van owners Association were present .

“14-15 % growth of the port at present is good news but to reap the benefits, we need efficient human resources and sate of the art equipment.” Mahabul Alam President, CCCI

The Chief Guest M A Latif, MP said that with the current growth in activities, the capacity of the port needs to be increased by 25%. Mahabul Alam stated that 14-15 % growth of the port at present is good news but to reap the benefits, we need efficient human resources and sate of the art equipment, Container Terminal Management System (CTSM) ASYCUDA, dredging of Channel and complete overhauling of the traffic system. Zafar Alam, Member, Admin and Planning, Chittagong Port said that the port is now handing 1.8 millions of containers. He said that with the inception of Bay terminal the port can render services for another 200 to 300 years. There are other opportunities knocking on the door of Chittagong port. It is strategically located close to Burma, China, India, while landlocked neighbors Nepal and Bhutan want to use the port to transport cargo to their countries. Besides these two countries, the emerging economic giant India also wants access to Chittagong port to send goods to its seven North-Eastern states. If the transit agreements between Bangladesh and neighboring countries are finalized, then Chittagong port has the potential to become a regional

CHITTAGONG PORT

business hub. In addition, Dhaka can earn millions of dollars in revenue by leasing its port facilities to other countries. But this level of demand may not last. Burma is upgrading its deepwater port in Sittwe, about 200km south of Chittagong. Experts say once completed, the Burmese port may have an impact on the shipping revenues of Bangladesh as India is likely to transport its cargo through the port to its north-eastern states. The deep sea port Burma is building at Sittwe will definitely take away a big chunk. It will start catering to the regional demand. Since Chittagong is a river port, huge container ships more than 617ft (188m) long cannot pass through the narrow Karnapuli river. Normally, transshipment of containers takes place either in Singapore or in other big regional ports. Realizing the need for a deep sea port in the future, Bangladesh is also planning a port on Sonadia Island in the Bay of Bengal, south of Chittagong. It has already approached China for assistance to build this multi-billion dollar deep sea port. When finished, the Sonadia port is expected to cater to the growing business needs of Bangladesh, as well as China and India. But it will take years before the new port can be completed and made operational. Until then, Bangladesh's economic hopes are tied to the fate of Chittagong port. The Bay terminal has now become the alternative choice which can easily be facilities the port facilities and imports and exports have a shy of relief. The Bay terminal is the rays of hope as the sources of CPA and Shipping ministry told to Business Times that Dr. Hossain Zillur Rhamn, the Chairman of PPRC also mentioned about the necessary requirements of global amenities in the Chittagong port. Besides he has urged on the urban development of the port city to emerge as a global city for exporters and importers from around the world. Stressing upon the systematic development of the port City, Profesor Dr. Anupam Sen expressed his fear that failure to give the much needed facelift to the port may halt the growth of a national economy, to ensure which there has to be a holistic plan including

“The urban development of the port city is of utmost importance to turn it into a global city for exporters and importers from around the world. Dr. Hossain Zillur Rhamn Chairman, PPRC

"The CDA has taken a master plan to development of Chittagong city to make it an international standard city." Abdus Salam Chairman, Chittagong Development Authority (CDA)

components like development of marine drive and tourism. Abdus Salam, the Chairman of Chittagong Development Authority (CDA) said that the CDA has taken a master plan to development of Chittagong city to make it an international standard city. According to Moniuddin Mintu, Senior Vice President of BGMEA, due to the lack of infrastructure and inadequate gas and power supply, RMG industries are waning in the port city-with only 9% of total exports right at the moment. He suggested that allocation of lands would help them relocate factories. He also emphasized that the port facilities are required to be modernized. “The present government is trying but the speed is very slow; we need to go faster to have global level of competency.” The port users said that the requirement now is to update the Container Terminal Management System, (CTMS), Custom House and coordinating the ASYCUDA with the automation system and make the delivery of the imported challan in one day along with the activation of the New Mooring container terminal. The sources also said that the LCL shed construction is also a priority because without these facilities delivery of the imports will be delayed. Ruhul Amin Sikder, Secretary of Bangladesh Inland Containers Depot Association told ICE Business Times that they are controlling 30% of the export containers. “There is procrastination in purchasing equipments. If we aspire to become a global port, then paper works need to be more IT based and our software needs to be more customer centric and faster. The projects have to be completed faster otherwise we will be lagging behind in the race.”

Due to the lack of infrastructure and inadequate gas and power supply, RMG industries are waning in the port city-with only 9% of total exports right at the moment. Moniuddin Mintu Vice President of BGMEA

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EXCLUSIVE INTERVIEW

We are happy about the improved economic relations between Europe and Bangladesh over the years which means it has become relatively easier to do business.â&#x20AC;&#x2122;

M Pierre Mayaudon, Ambassador, Head of Delegation, EU

ayaudon has an extensive diplomatic and defence background in the French administration, including as deputy director within the ministry of defence, and diplomatic postings in Singapore and as ambassador to Vanuatu. Before coming to Bangladesh, he was serving as the deputy head of the EU delegation to Pakistan.

PIERRE MAYAUDON

At the GSA conference you mentioned that Bangladesh has gone through a fascinating journey where they have now become a trade dependent country from being an aid dependent country in the 80s. Would you like to elaborate on this?

take place over seven years and by 2020 we want to be able to say that we have made a difference in the field of skill development.

What are your thoughts on the current relations between Bangladesh and the European Union?

Bangladesh has undergone a fantastic across the board transformation over the last 20-30 years which is well documented through various social and economic indicators. We can observe that in most MDGs, Bangladesh has achieved the targets or they are well on their way to achieving them which is a very positive indicator. This evolution has been beneficial for the people in terms of the education, healthcare and other services they are receiving. Even though the situation has changed, aid still remains an important component but it is not like the massive aid required in the 80s, now it is smarter and more fine-tuned towards specific angles. Of course there is room for improvement but the movement has been in the right direction. We have decided that at the end of our consultation here we will focus on education and skill development; nutrition and food security; and lastly sanctioning democratic governance. I want to emphasize that more focus is still required in the area of skill development. We want to make a contribution in this field and make a difference. Hence we plan on starting a program which will help improve Bangladeshâ&#x20AC;&#x2122;s offer of labor to the global community.

Can you give us any information regarding what this skill development program is composed of? I cannot go into exact details at this point. What I can say is we are now designing this program in very close consultation with the Government and the private sector. It is very encouraging and inspiring to see the huge appetite of the private sector to work with Europe for this skill development program. It also helps that the program is in line with the objectives set by the government to diversify the Bangladeshi economy and its industries in the four sectors of shipbuilding, pharmaceuticals, leather products and IT. The project will

PROMINENT BUYER By far the most prominent export industry in Bangladesh is textiles & clothing (primarily, ready-made garments), which represents about 90% of Bangladeshâ&#x20AC;&#x2122;s total exports to the EU. Footwear, leather products and bicycle exports to the EU have also recorded growth as proportions of Bangladeshâ&#x20AC;&#x2122;s exports.

We are happy about the improved economic relations between Europe and Bangladesh over the years which means it has become relatively easier to do business. We don't oppose aid and trade we consider them two sides of the same coin. As we have a buyer and supplier relationship with Bangladesh, in regards to the RMG sector, we are extremely glad about the progress being achieved in it. We know Europe in this way contributes to 10% of the Bangladeshi GDP and we also take pride in the fact that we have contributed to the empowerment of millions of women in Bangladesh. Normally our mission is to find a solution which is partial and segment driven and will better economic relations. Exports from Bangladesh to Europe will continue to increase, not only in the RMG sector but also in other sectors where, of course, exports from the EU to Bangladesh will also be part of the scheme. Also investments from Europe to Bangladesh will further develop. We know it won't be simple there are obstacles that are not specific to Bangladesh but are present in many developing countries. Economic development does not always come together with alleviation of restrictions. Bangladesh to a large extent remains protectionist to tariff and non-tariff barriers. We intend on addressing the difficulties with the relevant local stakeholders. We have started this journey with the European Union Business Council Bangladesh (EUBCB). We have already done a large part of the work with the EU private sector based in Dhaka and we have identified several objectives. One of them is to be a positive contributor to the Companies Act. We know it's a very important objective for the Government to revisit the Companies act and to make it more business friendly for both local operators and foreign industrialists and companies. We have come up with proper concrete suggestions with the help of

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PIERRE MAYAUDON

the World Bank which we will take to the Government in order to make a useful contribution to the revision of the Companies Act. This will help improve the business climate in Bangladesh.

In the specific sector of technology transfer we have a huge research and innovation program by the name of Horizon 2020. Altogether, worldwide, it is an 80 billion euro project started with the aim to encourage international cooperation in science, research and innovation with very close concentration on the current market scenario. The motto of Horizon 2020 is, "from the lab to the market". The headquarters in Brussels circulates causes for proposals worldwide and parties who are interested can take part. This can be companies, universities, individual researchers, etc. If they can identify one particular cause which falls into their area of expertise they can submit an offer with a proposal in cooperation with at least three European counterparts. If their proposal is accepted by the Horizon office then the cause that was to be supported by Bangladesh and the Bangladeshi entity will be 100% covered by the European Union. The idea is great but it is not an easy process as only a third of all the proposals are selected.

What is the main bottleneck in bringing more FDI? There are several issues such as political and regulatory uncertainty. A little more clarity is required regarding some of the regulatory frameworks. Companies when dealing with the different Government departments often get answers which vary from one department to the other. This makes things difficult for potential investors. Also Bangladesh needs to properly document and highlight success stories in terms of foreign investments so that others are encouraged to follow in their footsteps. However, more foreign investors will only do this if they get some guarantee regarding political stability and about the long term sustainability of their investment in Bangladesh. Again there is a need for a clearer regulatory framework. When we see for example in specific sectors like freight forwarding where there were concerning rumors circulated by the media that in this sector newcomers would have to join forces with a local partner but what was indicated was that the partnership would be beneficial for the foreign investor. Now it will give a lot of power to the local investor which is subject for concern from our perspective.

MDGs are over. What issues must Bangladesh focus on to help them achieve the 17 SDG goals?

Other than skill development, how can the European Union contribute to emerging sectors like shipbuilding, pharmaceuticals, leather and IT? Other than the skill development technology transfer will be a key proponent in helping these sectors. If European companies come here they will either partner up with local investors or they will start businesses in sectors where which do not have too many operators like ship building. There have been promising extensions between European and local shipyards. We need to push endeavors like these to further the angle of technology transfer.

NO ARMS Bangladesh benefits from the most preferential trade arrangement granted unilaterally by the EU to LDCs, known as the "Everything but Arms" (EBA) scheme.

One issue we have to single out which is also relevant in the context of MDGs is climate change. Bangladesh is one of the countries which is most vulnerable to climate changes so we must take steps to limit its impact. We have seen the consequences of this from our field visits where communities had to reorient their businesses towards an activity which was not threatened by climate change as their land had eroded away. For Bangladesh it is an absolute priority to find solutions which will limit the impact of climate change. There is the possibility of benefiting from international financial contributions like the Green Climate Fund which helps by providing 50% of the resources to countries fighting the effects of climate change. This calls for demonstrating that there is a need so that all relevant stakeholders here are mobilized and ready to contribute at home in regards to this endeavor. Also proper financial statements must be in place to benefit from these international financial contributions.

CLIMATE CHANGE

The Nansen Initiative

Much has been said regarding worsening climate conditions but little has been done. However, what has been done shows that there is still hope.

High-end dignitaries from different countries attended the ceremony

DISASTER MANAGEMENT While the Protection Agenda primarily focuses on the protection of disaster displaced people, it also takes measures to manage disaster risks in the afflicted country.

By Tamzidur Rahman

Photographs from Din Muhammad Shibly

Every year millions of folks lose their families, livelihoods and homes even. They basically have to uproot their entire lives in order to simply survive. Countless groups of people are forcefully displaced from their habitats due to natural disasters. These hazards include the likes of floods, earthquakes, tropical storms, landslides, glacial melting, salt-water intrusion and more. A total of 184.4 million individuals were forced to seek refuge elsewhere from 2008 to

2014 â&#x20AC;&#x201C; an average of 26.4 million displaced every year. Of these, the yearly average of people displaced due to weather and climate related catastrophes stands at 22.5 million. In Bangladesh alone, more than 38.4 million live in poverty, most of whom reside in remote and ecologically unstable areas â&#x20AC;&#x201C; the flood-prone northern zone and cyclone-prone coastal belts are especially vulnerable. The effects of sea level rise, desertification and an all around environmental degradation feature in as causes as well. Besides, there is unanimous agreement among scientists and experts that climate change along with a combination of various other elements is only going to factor in on the increment of such displacement in the future. Although climate change is an essential factor, itâ&#x20AC;&#x2122;s also important to note that disaster displacement is multi-causal.

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CLIMATE REFUGEES

The Exhibition and Book Launch The ceremony featured an exhibition of various artworks showcasing the effects of climate change and the resultant migration by artists from all over the world. Din Muhammad Shibly, photographer from Bangladesh, represented the country. His photos held up the affects of flood and other natural disasters in Bangladesh. In addition, the book A Tale from Climate Ground Zero: Climate Change, Land and People in Bangladesh, featuring photos and texts by Din M Shibly, was officially launched during the Nansen Initiative meet.

In Bangladesh alone, more than 38.4 million live in poverty, most of whom reside in remote and ecologically unstable areas â&#x20AC;&#x201C; the flood-prone northern zone and cyclone-prone coastal belts are especially vulnerable. Population growth, armed conflict, weak governance, underdevelopment and poor urban planning play vital roles in the displacement of populace. The Nansen Initiative, a consultative process headed by the Swiss and Norwegian Governments, launched in October 2012 to address the protection of people displaced across borders in the situation of natural disasters. A steering group comprised of Australia, Bangladesh, Costa Rica, Germany, Kenya, Mexico, and the Philippines governs the initiative. The Agenda for the Protection of Cross-Border Displaced Persons in the Context of Disasters and Climate Change, endorsed by a global intergovernmental consultation on 12 and 13 October 2015 in Geneva consolidates the outcomes of a series of regional intergovernmental consultations and civil society meetings convened by the Nansen Initiative. While the Protection Agenda primarily focuses on the protection of disaster displaced people, it also takes measures to manage disaster risks in the afflicted country. Furthermore, the Agenda looks to compile a set of effective practices for more efficient responses in the future. Rather than calling for a new binding international convention on cross-border disaster-displacement, this agenda supports an approach that focuses on the integration of the aforementioned practices into their own normative frameworks in accordance with specific situations and challenges.

MONOLOGUE

Transforming Innovations INto Social Enterprises On The Global Shapers Community

“As a Shaper you have to think about what about the challenges faced by your society. Our hub's vision is to make Dhaka a more socially inclusive city. The Community is a fairly new initiative of the World Economic Forum which was started in 2010. People are recruited between the ages of 20 and 30 and a person can remain a shaper till they're 33. Global Shapers are people involved in disrupting the society in a positive waywith any kind of work, which can include social innovations, human rights, literature, the arts, enterprises, etc. Today we are present in 450 cities across the world and there are 5000 global shapers around the world.”

On starting Toru, the social innovation hub Globally innovation is driven to create more "wants", however there are 3 billion people who live under $2.5/day and they have a "need". Who innovates for them? Those innovations need to supported to be taken to market.

Saif Kamal, for his work in building an integrated social innovation ecosystem, was recently awarded as a New Champion (2015 -16) at World Economic Forum's Summer Davos China. He explains to IBT how social enterprises can address world's biggest challenges and why we need to fuel innovations first before supporting the building of enterprises.

On being the curator of the Dhaka Hub “We don't look for superstars we look for people who can bring positive disruptions and have the potential to be shaper the future. Change is lonely, so we gather likeminded changemakers and support each other on their mission as well as hub project through personal expertise that each Shaper brings. As Curator it is my duty to gather and drive hub projects that is initiated by the Shapers and channel them to the global network.

“When I left Dhaka Tribune, I came across a number of Bangladeshis who won global competitions but failed to scale their ideas to businesses. Can an innovation die just because it is born in here, it's fate would be different if it was born in a developed country. So, I quit my job and decided I wanted to do something. Toru isn’t just an incubator but an integrated platform that facilitates the journey of skills for innovation to the transformation to a social enterprise. Thats why we call it a hub. Bangladesh needs to have more social enterprises which can help the country solve some of its crucial problems which are acting as hindrances to our country’s overall development. Recent successful social enterprises in Bangladesh were mostly incubated abroad. So, we first went on a journey for 6 months to understand why innovations fail to scale in Bangladesh.

Photo: Rajib Dhar

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SAIF KAMAL

Why we fail

How Toru helps innovators grow

How many products can we claim that came out of Bangladesh and made it to the global platform? Micro-finance, Oral Rehydrating Salt and... Why is it that we in Bangladesh have failed to grow innovations? The World Bank's Knowledge Economic Index places Innovation in Bangladesh at 191. The world of entrepreneurship, development in societies, economic progress are all geared by innovation. However, in Bangladesh we have failed to provide suitable ecosystem for innovations to thrive in because of certains â&#x20AC;&#x153;gapsâ&#x20AC;?.

Due to these gaps innovators in Bangladesh who can build solutions and create the next big social enterprse like Grameen or BRAC are compelled to join jobs where their potential in not utilized. Where their drive to bring a social change is often sacrificed. We want to support not one but hundreds of futhre Sir Abed and Professor Yunus. They will multiply the impact brought about by these legends. At Toru, Saif and his team has started work on a holistic model to address this. They call it the "Pyramid of 3i"

Knowledge Gap Our education system does lacks applied knowledge which teaches people how to make solutions but not marketable products. The absence of the understanding of human centered design and multi-disciplinary thinking often stand as a hindrance in cross pollination of ideas. Often an engineering student cannot understand consumer insights or aesthetics unless they interact practically with business or the arts.

Information Gap When we talk about social entrepreneurship, we talk about problems at the base of the pyramid.Most of the best minds in the country don't have proper access to information about the problems being faced by the poor, let alone the much needed solutions. To me making robots is good but making a new cookstove is even better!

Infrastructure Gap A facilitating environment is required to let all of this grow where the incubation can take place. We need a good set of mentors, sectoral expertise and access to legal and business framework, makers' lab facilities and a integrated effort from multiple stakeholders on a platform can facilitate this. Access to network and people often is a reason for a failure.

Finance Gap Access to grants, seed capital and impact investments in smaller scale shall make this space more vibrant.

Inspire - The First Base

Before you become an entrepreneur you need to gain the right skills to become an innovator. Toru partners with global institutions to being the principles of human-centered design, rapid prototype testing, commercialization and empathy mapping. Through our university networks present across 18 institutions locally and 54 campus representatives and 1000 members, we plan to grow the footprint of if this initiative in the years to come.

Integrate- The Second base

Our NGOs have had the most significant role in the rapid growth in Human development index of Bangladesh. Today they want innovations but institutionally it becomes harder for many to do so. Toru values the plethora of knowledge in this sector and works with them to explore scopes of innovation where social entrepreneurship can thrive to deliver right products and services and yet remained aligned to the vision of the NGO. Merging aspiring innovators to the right information from the development sector will accelerate social innovation. The scopes of innovation is narrowed. For example, instead of telling a person to work with water it asks an innovator to come up with a filter that removes arsenic. This reduces the risk of the innovator as well as future impact investors while creating the impact that development sector can envision.

The top - Incubate

This is where innovators go through their journeys to become entrepreneurs. This is at least a year long process tailored to entrepreneur. Here a dedicated portfolio manager will manage the involvement of mentors, sectoral expertise, technical assistance in legal and financial framework, future investments , exposure to the right network globally and get them ready for the next level of impact investments and growth. While many program are short term and replication of western models we recognize the differences in ecosystems and Bangladesh being on a more embryonic stage requires the intensive tailored support.

We donâ&#x20AC;&#x2122;t do it alone!

Saif does not believe in reinventing the wheel. He mentions how fortunate he has been to find the right supporters. His grateful for his board members Pial Islam and Zara Mahbub for believing in his crazy ideas. Next, his mentor Mr. Paul Basil who is the founder of Villgro. Villgro is one of the most successful incubators for social enterprises in India. Villgro is now a partner of Toru. Toru is working on global and local partnerships with top institutions to empower the best brains of this country and transform them into social entrepreneurs.

Global Port, COVER FOCUS

By Hossain Zillur Rahman

Global City Prioritizing Chittagong for accelerating national growth is a cry of the moment

As the commercial capital of the country, Chittagong’s prospects as Bangladesh’s primary seaport are immense. Not all the port cities around the world are major trading hubs but our second largest city is. Although, over time, it has emerged as one of the country’s key trading centres, it still remains a treasure trove of untapped potential. Being such a massive commercial hub, the growth and development of Chittagong must be one of the country’s top priorities if we are to accelerate growth above current rate. The $25+ billion economy’s port has weathered the test of time, having been around since the 9th century and currently handles 80% of Bangladesh’s exports and imports and contributes to 25% of the government’s revenues. 40% of heavy industrial activities from dry docks, shipyard activities, oil refineries, steel manufacturers, cement producers, textiles, pharmaceuticals, power plants, etc are all conducted in Chittagong. What further outlines the importance of the port city is that it is also the 2nd RMG hub in the country and it has an internationally competitive Export Processing Zone. With the proper policy implementation and the right guidance, emerging industries like ship-building, steel and tourism can also use Chittagong as a platform for growth and development.

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GLOBAL PORT, GLOBAL CITY

MISSED OPPORTUNITY Since Bangladesh’s independence, Chittagong has remained the 2nd largest city in the country but its gap with Dhaka has risen over time despite its enormous potential.

In the age of regional connectivity, Chittagong is one unique city that is blessed with four-directional growth corridors. In the north-west, we have Dhaka-Chittagong growth corridor. The highway channels all land vehicles towards the port city for the sake of export and tourism. On the north, we have the gateway that connects the city with Indian seven-sister states. East and South-east, on the other hand, can open doors to regional connectivity to Southern China and ASEAN countries. Last but not least, the maritime corridor to the Bay of Bengal connects Bangladesh to the global economy. Since Bangladesh’s independence, Chittagong has remained the 2nd largest city in the country but its gap with Dhaka has risen over time despite its enormous potential. Chittagong’s pre-independence population was half of Dhaka’s, now it is less than one-third. Port efficiency has stagnated vis-à-vis the rising demand whereas the opposite case should have been observed. Improper branding of the

port city has also meant that many businesses have shifted their headquarters to Dhaka and one can hardly blame them due to the gradually intensifying urban chaos and disjointed infrastructural initiatives that are gaining prominence. Having to bear the principal burden of higher growth in the medium term, the Chittagong port has ample opportunities for expansion and improvement to reach global standards but policy blind spots have meant that its growth has been way off the mark. Recent attempts at bringing technical improvements have been disjointed due to severe governance setbacks such as compromised operational autonomy and increased corruption allegations. This has lead to further stagnation through worsened handling time efficiencies, underutilization of port capacities and equipment deficiencies. Furthermore, the port and city’s infrastructures are poorly aligned which hampers the port’s ability to contribute to the city’s infrastructural

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COVER STORY

development. To overcome these problems port development agendas and the policies surrounding it need to be properly scrutinized and then rectified. Apart from its own development hiccups, the city’s policy problems also contribute to the port’s slow growth. As the 2nd largest city, Chittagong has the potential to offer Bangladesh alternative lessons in sustainable urbanization distinct from Dhaka’s urban chaos ‘model’ and its binding constraints but this time window is closing fast as Chittagong is slowly starting to emulate that same model. There is also a policy propensity for ‘white elephant’ projects with questionable civic and economic outcomes at the cost of demand-driven priorities of business communities and urban residents. This negligence of development priorities is slowly becoming a major crisis.

GLOBAL LESSON Policy makers and business stakeholders need to start learning from our neighbours whom have contributed to Asia’s rise to prominence on the global stage.

Policy makers and business stakeholders need to start learning from our neighbours whom have contributed to Asia’s rise to prominence on the global stage. In this regard it has to be understood that economic competitiveness is the key to faster growth. Bangladesh requires more ‘middle tier’ strategic cities as they can act as key drivers for global growth which further outlines the importance and need for the refinement of Chittagong’s growth process. Infrastructural investments are essential while still keeping in mind that the city’s attractiveness in terms of education, culture and quality of life must also be improved in the process. Efficient urban density is better than an inefficient urban sprawl. The Government has set its targets for 2030 but for them to be viable, some economic priorities must be set straight in Chittagong. Reversing of

GLOBAL PORT, GLOBAL CITY

policy marginalization of Chittagong port capacity and efficiency development agenda is required. The RMG sector’s expansion support initiative must be bolstered and a dedicated garments village must be set up. Breakthrough initiatives must be set up which will help people hone skills that can transcend the social stigma regarding Bangladesh’s poor skill development standards. The state will also need to address the needs of the EPZs, emerging industries and overseas markets. Beyond that, a 10-year region-wise integrated action plan on tourism is essential to leverage Chittagong’s unique geography, heritage and ethnic diversity. Apart from the economic precedence, parallel action needs to be taken regarding Chittagong’s urban development. Holistic waste management initiatives need to be set up which combine the focus on

NOT WITHOUT THE CITY Apart from the economic precedence, parallel action needs to be taken regarding Chittagong’s urban development.

sewage systems, civic drives on cleanliness, efficient sequencing of waste collection, separation and disposal, and waste-to-energy projects. Water-logging is still a major issue for city dwellers thus an action plan involving city-wide drainage infrastructure development and civic campaigns can help with this conundrum. Multi-agency dialogue (City Corporation, CDA, railway, port and army cantonment) is essential if these goals are to be met especially for optimal land utilization that prioritizes zoning opportunities, green spaces, hill protection, river front development and low cost housing. The establishment of a civic platform to promote the global city ambitions of Chittagong and lessons for sustainable urbanization in Bangladesh will also greatly ameliorate the achievement of these objectives.

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Bangladesh cannot hope to achieve most of its major long term goals if the required Chittagong development schemes aren’t set in motion. $50 billion RMG exports, the emerging potentials of Bay of Bengal and regional connectivity and its entire urban future plan are all at risk unless Chittagong’s quandary issues are quashed. Power & Participation research centre (PPRC) suggests the following steps to be taken for the much-needed facelift of the port as well as the city: • Launch of Chittagong City Development Strategy (CDS) • Economic conference on Chittagong 2030 • Support establishment of civic platform on global city agenda • Launch of CRI Health to promote UHC goals for Chittagong • Develop partnerships on specific education-sector agendas such as teacher training and skills

INTERVIEW

We have to change our mindset first and make room for the new generation Wahid Malek MANAGING EDITOR, DAINIK AZADI

orn in April, 1971 to Mohamad Abdul Malek and Kamrun Malek, Wahid Malek, Managing Editor of Danik Azadi is a renowned third generation entrepreneur. His Father, is the Editor of Danik Azadi and his mother is the President of the Womenâ&#x20AC;&#x2122;s Chamber of Commerce and Industry, Chittagong. He is the grandson of Eng. Mohammad Abdul Khaleque. (1898-1962) who founded Kohinoor Library in 1930, Kohinoor Electric Press in 1932, Shaptahik Kohinoor in 1950 and Dainik Azadi in 5th September 1960. "Kadte ashini, fanhasir dabi niye eshechi" was the first poem written in commemoration of the killings on the 21st February, 1952 and was published from Kohinoor Electric Press on 23rd February 1952. Wahid Malek is the Director-International Business Forum of Bangladesh, Chittagong Chapter; Past executive Committee member, Chittagong Club Limited; Member, Bhatiyari Golf and Country Club; Member, Chittagong Boat Club.

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WAHID MALEK

Wahid Malek comes from a family, which has always been an ardent aficionado of education, innovation and culture. His grandfather, Mohammad Abdul Khaleque was the first muslim engineer in this region. He joined the PK Sen Power Company. Later when Power Development Board (PDB) was established, he became the Chief Engineer. He founded Kohinoor Electric press. He is the one who connected the press with the power line during a time when all; presses were manual. Hailing from Raujan in the Chittagong district, Wahid’s father was also a man of letter, who was the worthy torchbearer of Azadi, the visionary editor. The visionary newsmen had a very different approach for distribution: he engaged local beggars in the process; the money earned by them selling the newspaper was deposited in a community fund and later was utilized for their welfare. This method of empowering the jobless underprivileged people was much lauded. Wahid Malek is grateful to his parents for the upbringing they provided. “Studying at the Saint Placid school was the best time of my life; it instilled not only a secular mindset but also showed me the advantage of cultural diversity since we had Muslim, Hindu, Christian and Buddhist students from different religions, castes and creeds.” Pointing towards the long cultural heritage, Wahid explains that the city is a melting pot of different culture and traditions. “You will get people with both liberal and conservative mindsets.” Regarding the Azadi’s glorious seven-decade journey, Wahid said, “It is the first newspaper of independant Bangladesh that came out early in the morning of 17th December, 1971. Time and again, it has gained huge popularity and we are indebted to the locals for showering their trust and love for this publication.” According to Wahid, regional connectivity is the buzzword, which eventually will usher a lot more initiatives to rev up trade and business in Chittagong. “In the intricate world of interconnected exchange of goods and services, collaboration with the right partner is essential and this trend of reaching out to neighbors for better understanding and trade promotion is quiet promising,” he states. However, he thinks the change has to come from inside to leverage the benefit of greater

collaboration between different businesses. “Enterprises can ensure proper growth if they become more professional, for which they need to embrace corporate management skills just like they do abroad. Only one or two groups have patronized corporate management but others are still reluctant. Innovation is the key to success in a world dependent on technology, which is yet to be understood by many local businesses which are ardent followers of old school formulas of doing business as usual. The next generation is not only highly educated but also empowered digitally and we must work to pave the paths to prosperity for them.” Wahid believes sooner or later our economy will become freer and challenges will be aplenty; if we are not prudent enough, we will be entrapped into the cliché of the past and that can be disastrous for existing enterprises. In this connection, he lamented over the issue of delayed modernization of the Chittagong port, which has recently celebrated its 128th birthday. “The port is yet to provide its best due to lack of time-appropriate policy and implementations. Yangon is nearby and has seen huge development with the help of Chinese enterprises. We have to take a leaf out of their books.” Bathed by the Bay of Bengal, Chittagong is a sacred city with fertile lands and hills. The people living here are generous and renowned for their hospitality. To take it to the next stage of development, this city needs a master plan which can unlock the potential and bring the much-required changes. “For this, we need to change our mindset at first,” Wahid urged. “Be it readymade garments, tourism, education or cultural diversity, the city has so much to offer to its people as well as the national exchequer,” Wahid beams with optimism. “We hope the present authority will realize the possibilities and come up with dynamic strategies to turn Chittagong into a goldmine for Bangladesh’ economy.” MORNING GLORY The Dainik Azadi was the only newspaper that was published in the morning of 17th December, 1971, just after Bangladesh achieved its victory after a nine-month bloody war.

INTERVIEW

â&#x20AC;&#x153;If you want to break the silence, break all the barriers firstâ&#x20AC;? Monowara Hakim Ali Former Vice President, FBCCI and Former President, Chittagong Womens Chamber of Commerce & Industry

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INTERVIEW

orn in 1958 in Chittagong in a family of businessmen Monowara Hakim Ali portrayed an innovative successful leader who played a catalytic role in helping change the women around the country. She was the first ever woman elected as the Vice President of FBCCI and held the position of Vice President of SARRC Chamber of Commerce & Industry and Member Executive committee of the confederation of Asia–Pacific Chambers of Commerce & Industry. She was the first woman to be involved in the Hospitality & Tourism industry here when she took charge of Hotel Hawai vis-a-vis Head of Marketing of Intraco Tours & Travels Ltd. Being a marketer of inbound tourism, she has traveled extensively and portrayed positive image of Bangladesh. Monowara successfully diversified businesses into various sectors like renewable energy, real estate, tourism, medicine, food & beverage and the agro sector. She was the founder of Genetica (BD) which produces organic fertilizers. A true nature lover, she is also the founder of the Butterfly Park, Bangladesh’s first environment friendly park in Chittagong. She received the HSBC - Daily Star Climate Champion Award and the Divisional Environmental Award 2013. Monoawara formed the first trade association for woman entrepreneurship development in Chittagong in 1999. She has been arranging Woman sponsored SME fairs since 2007 and established the Woman Entrepreneur’s Cooperative Society in Chittagong. She is a graduate from the City College of London and received the prestigious NDC fellowship – Capstone course from National Defense College. Married to S Hakim Ali, the dean of the tourism industry in Bangladesh, Monowara is blessed with two sons and one daughter.

You are considered the trailblazer of women entrepreneurship in Chittagong. How did this begin? I consider myself blessed to be born in Chittagong, which is the commercial capital of this country. Entrepreneurial spirit is something that runs in my family. Considering these two factors, I believe I was destined to be in the business sector sooner or later. I find the presence of innovation and the eagerness to do something extraordinary with it among the rural woman more than their urban counterparts. I know many women who started rearing hens, selling eggs and so on in their own backyards. Even in the agro sector, women’s contribution is highly praiseworthy though

many of them are devoid of the much needed market access of their homegrown products. As a field worker, I had the chance to interact with womenfolk of our country, which sparked the zeal in me to educate and empower them. Make no mistake, financial freedom does instill a new form of dynamism and confidence among women! I appreciate the garments entrepreneurs for their mentality and attitude to give women the opportunity which has ushered a paradigm shift in the economic upheaval of Bangladesh which was once dubbed “a basket case”. I am highly grateful to my father, who was in the hospitality business, for inspiring me to set foot into the area which is known to be “a man’s world”. Following his legacy, I ran Hotel Hawai for ten years. After the birth of my eldest son, I received my degree in the hospitality industry from London. Gradually, I got involved with Intraco Travels and Tours and sojourned my husband for marketing abroad and it was the first inbound tourism company. I was involved with the team lead by Terry Brookman, General Manager of the then Hotel Sonargaon, which first highlighted of tourism in Bangladesh in 1981 in Berlin. I am glad that we have come a long way since then and I would like to render my special thanks to our Prime Minister for declaring 2016 to be the Year of Tourism in Bangladesh.

From hospitality and tourism to organic agro-based products, what inspired you to venture into such different territories?

VILLAGE VS CITY I find the presence of innovation and the eagerness to do something extraordinary with it among the rural woman more than their urban counterparts.

I started producing organic fertilizers through Genetica Bangladesh. Interestingly, during one of my many flights abroad, I met a foreign consultant who unveiled a rather unseen truth for me. He explained how our fishery industry is destined to be doomed due to the massive use of chemical fertilizers. That seemed like a clarion call for me. I lead me to start a small factory in the go-down of Hotel Agrabad. Since then the journey has indeed been rewarding. Genetica Bangladesh now works as a pathfinder for many other likeminded companies.

MONOWARA HAKIM ALI

Challenges must have been aplenty. Tell us about the barriers women entrepreneurs of our country face on a daily basis. The mindset of family members, especially in-laws, is an issue dragging women behind in many sectors. The lack of support and double standards of upbringing have caused women to become less confident than their male counterparts. Besides motivation, they lack education and training. Since the women of our country are highly patient and resilient, by dint of compromise and perseverance many of them have excelled in their ventures. Family members too need to be counseled properly to be more supportive.

The Chittagong Woman’s Chamber is the pioneering Woman’s Chamber in Bangladesh. What can you share with us in this regard? Thinking out of the box helped me in this context. Of course trade and commerce is a male-dominated sector. To bring our female entrepreneurs under the limelight, we had to create a platform where they could raise their voice and claim their share of the business pie. We created this platform keeping in mind that we needed to divert our women’s focuses towards business. Formally, our trade fair has crossed nine years and informally it has been around for the last fifteen years. It’s a trade fair unlike any other you will see in our country!

Working for the welfare of women has been your favorite quest. What’s new on the plate? Being associated with eight different Women’s Chambers around the country, and receiving overwhelming responses from all quarters fuels my passion to do more. I am delighted that I have always had other visionary women beside me on this mission. Along with the current President of CWCCI, we are working on this project for the capacity expansion of women entrepreneurs. It will also allow us to share real life lessons for better networking, product development and above all leadership practice. Of course there were obstacles, but I have never let them hinder our progress.

What advice can you provide for the next generation?

SETTING THE BENCHMARK To bring our female entrepreneurs under the limelight, we had to create a platform where they could raise their voice and claim their share of the business pie.

The prevailing mindset of the common people about girls and women has to change. Women empowerment has come a long way in this country but a lot more needs to be done. It would be a cliché to quote Napoleon Bonaparte in this regard but we all know what an educated mother means for a family as well as a nation. Increasing the investment in women’s health, education and empowerment, would be my humble advice for everyone.

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HOSPITALITY INDUSTRY

“However, the biggest challenge in my opinion is the infrastructure development, in particular the roads to and from the airport which is, for most, the first impression they get upon arrival.”

Geir Sikko General Manager, Radisson Blu Chittagong Bay View Having amassed a wealth of experience from working in hotels in different countries all over the world, General Manager of Radisson Blu Chittagong Bay View, Geir Sikko now brings his managerial expertise to the hospitality industry in Chittagong. Geir has held his current position since April 2014 prior to which he served as the General Manager in Radisson’s Park Inn in Philippines, Hotel Britania in Norway, Radisson Royale Hotel and Park Inn Nevsky in Russia, the Radisson Blu Hotel in Ireland and so on. Regardless of his busy schedule Geir was kind enough to take our questions on matters regarding the hospitality industry and its current condition in Bangladesh.

What is your opinion about the current hospitality industry in Chittagong?

Based on airport information, I recognize that there is a slow increase in arrivals to Chittagong. These are mainly international and domestic business travelers and some increase from mainly domestic tourism. Even though any increase must be seen as a positive sign, the outlook for the hospitality sector is moderate. Radisson Blu Chittagong Bay View is the first upper upscale hotel in Chittagong. We came here in the country's premier port city Chittagong to tap the rising demands for comfortable accommodation, first and foremost for business travelers, but our facilities are excellent also for leisure. We do see various new projects in the city and this is of course a good sign.

Who are your target markets? What are your challenges right now?

Radisson Blu Chittagong Bay View is designed for business travelers, events and for both small and large scale conferences. Being the first five star hotel in the city it is a challenge to convince the market that there is now a higher category hotel here, who promise to deliver a five star product and service. We have to remember that Chittagong market has been used to mostly three/four star hotels for decades, so you might say that it is a challenge to change the mindset. However, the

biggest challenge in my opinion is the infrastructure development, in particular the roads to and from the airport which is, for most, the first impression they get upon arrival, whether they are here for business or pleasure.

Having such a long and shining history of working at different international hotels, how do you think consumer behavior has changed over the time? Do you observe the same here in Bangladesh?

In recent years consumer behavior in the hospitality industry has been changing rapidly in Bangladesh and all over the world. Today’s consumers are technologically savvy and are very socially connected. Wi-Fi is a necessity at a hotel. In addition, the way a hotel is represented in the virtual world has also become increasingly important. A great number of bookings come through the online channels and this means that we need to be creative in marketing our hotel online. The same I see elsewhere as well as in Bangladesh.

As we are working on the topic, unlocking the Potential of Chittagong, how do you think Chittagong Radisson Blu can harness the unlocked potentials of the port city which is aiming to become a global twin city by 2030?

Recently Chittagong, as a major coastal seaport city and financial center in southeastern Bangladesh, has been forecasted as an emerging financial powerhouse of the future world.This opens a vast opportunities for business and leisure’s travelers. Bangladesh government has already taken many steps in the right direction. Again I am mentioning

GEIR SIKKO

infrastructure as a challenge, it is a must that his areas is being prioritized in order for business to grow. Radisson Blu Chittagong Bay View will give all the comfort of a five star property to support the growth accordingly.

5. Nowadays, luxury hotels tend to rely more on promotions like festivals and parties than on their room occupancy. To what extent, do you agree with that?

Our main focus is to ensure 100% guest satisfaction, whether you stay with us or you dine with us. However, since we are a hotel company, rooms remain our primary focus. We also recognize that special promotions such as food festivals can add to the overall guest experience and also attract patronage from locals in our community. Moreover, we are always advertising on our own web various promos and packages, all which are tailor made for individual needs.

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FOOD INDUSTRY

Allâ&#x20AC;&#x2122;s Well

Reaching customer hearts through their stomachs. By Taher Hossain

Well Group operates the largest food chain in Chittagong under the banner of Well Food. With a mission to provide global quality food in a very hospitable environment and entertaining customers in a very friendly atmosphere with efficient service, the company has successfully won the hearts of thousands of foodies across the country.

WELL FOOD WELL FOOD’S JOUNREY The company that started its journey on 31st December 2005 at Chittagong has opened 30 outlets in Dhaka and Chittagong with different category of baked items.

een b s a h ny and we a p m o e c stomers rted,” h t , e d ca e its cu we sta e d a n a o pleas de when h t e r o t “For mrking hardomise we ma wo t the pr ep k e v a h

roup

Syed

Asif

ell G or, W irect

an, D

Has

Well Food Center is the first modernly integrated food retail shop featuring an equipped kids zone, exciting music and video gaming station, internet browsing facilities and chatting ambience in Chittagong. The center offers its customers world class exquisite backery products with the technical support from world’s biggest food ingredients manufacturer-Puratos of Belgium, best-in-the-class fast foods under franchise from SugarBun of Malaysia and famous American ice-cream Baskin Robbins. The group has also signed franchise agreement with Indian legend Beverage brand 'Campa' for producing and marketing their cola, lime and orange in Bangladesh. Syed Asif Hasan is the young and energetic driving force behind the company which has put utmost importance behind ensuring quality of foods. “For more than a decade, the company has been working hard to please its customers and we have kept the promise we made when we started,” states Asif. The company that started its journey on 31st December 2005 at Chittagong has opened 30 outlets in Dhaka and Chittagong with different category of baked items. “Well food has four major flavors with customized designs,” he informs. The company currently is planning to try their luck in e-commerce where online based home delivery is being done. “We are observing the market response, which will eventually help us proliferate the service in different areas of two big cities.” Asif says that Well Food is the only company in Bangladesh that is exporting extensively to Thailand. Their food is present and has been appreciated by consumers in the markets of the UK, USA and Australia. The approval from Thailand FDA gave the company an access to all the ASEAN counties. “Beside this, we are also ISO 22000 and USFDA approved.” Asif who is very concerned about the health and nutrition facts of their products emphasizes that companies must abide by rules and regulations while manufacturing food items because no nation can prosper if the health or nutrition is not ensured. www.icebusinesstimes.net

ON THE FLIP SIDE

The distraught Saga of KEPZ What could have been a boon for FDI has now become a bane.

arnaphuli Export Processing Zone (KEPZ), the largest of its kind in Bangladesh was created under the Private Export Processing Zone Act-1996. It current distraught condition is sending a wrong signal to the possible and potential foreign investors to Bangladesh, opined investment analysts and business leaders. Sources also said that land-related swindles and legal tangles engulfed this beautifully designed and most modern export processing zone which emerged through a contract endorsed by the Korean and the Bangladesh governments under the preview of law of Bangladesh. A stalemate is looming large that is ignited and prompted by the non-cooperation of the local administration, some government agencies and a coterie in Government while the Prime Minister of Bangladesh

By Asaduzzaman

In a classic case of non-cooperation, the Department of Environment (DoE) had cancelled the clearance by alleging that KEPZ is cutting hills and damaged environment, most of which was found untrue.

earlier pledged full support at the ground breaking of KEPZ on October 31, 1999. This potential model of attracting FDI is fraught with hurdles at every step, from environment clearance to electricity, water supply to operational license yet after sixteen years of ground breaking, which is inexcusable as the project entails cooperation from all and holds water to woo billions dollar investment and employment of at least 0.4 million workers and managers. In a classic case of non-cooperation, the Department of Environment (DoE) had cancelled the clearance by alleging that KEPZ is cutting hills and damaged environment, most of which was found untrue. The stalemate got worse because of the number of lawsuits and counter law suits among the locals and KEPZ

KEPZ

Without having the land deed, YoungOne could not offer them any plot where the land ministry had begun the process for getting back the land on the grounds that Young One had not been able to set up industries there, ministry sources said.

authority, where the villagers empowered by local high ups encroached 65 acres land in the name of graveyard and other purposes. In August last year there was occasional brawl and clash between the parties and at least 15 lawsuits are running between the executives of KEPZ and local people and the situation worsened. As a few experts believe, the root cause lies on the government’s part as the handover of the transfer deed for the land in Anwara Upazila of Chittagong to the KEPZ owner. On the other hand, Korean YoungOne Corporation had been creating obstacles to investment where several foreign investors, including the Japanese, over the years contacted the KEPZ authorities for plots but had to back out realizing the land-related complications, sources added. Out of the total land of 25,000 acres the authority intends to utilize around 12000 acres for setting up industrial units in separate blocks of different industries, while the remaining land will be left aside for housing, gardening and landscaping. Sources said that almost 20-21 kilometers of roadways

had already been created to ensure better connectivity of the entire project site with its surrounding. Without having the land deed, YoungOne could not offer them any plot where the land ministry had begun the process for getting back the land on the grounds that Young One had not been able to set up industries there, ministry sources said. Former Bangladesh bank Governor Dr. Mohammed Farashuddin said that this uneasy situation was carrying a bad name for Bangladesh. “It is also hampering the flow of FDI and there is a misunderstanding and proposal and counter proposal.” He suggested that this misunderstanding has to go and we need to empower the Board of Investment (BoI) to reach a solution. “The Koreans do not need so much land but they need the permission to solve the other issues pertaining to expedite the investment. So both of the parties need to seat together and talk to each other and solve this issue.” Aftabul Islam, President of American Chamber of Commerce in Bangladesh (AmCham) said that the KEPZ issue is very unfortunate for us and they are withdrawing investment which is a wrong signal. It is an international issue now. It is a partnership between the government and the private sector, violation of which will be reference case for many. We need to make an amicable settlement otherwise our image will be in question.”

Out of the total land of 25,000 acres the authority intends to utilize around 12000 acres for setting up industrial units

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INSIDE OUT

Pinning Hope

By Pankaj Dastider

Why Chittagong port means business and what is preventing it from flourishing

“Whatever be the course that history takes, it is my belief that a greater position and greater prosperity may lie before this place into the future that it has hitherto enjoyed.” It was the concluding remarks of His Excellency Lord Curzon, the then viceroy of India, in reply to addresses by the dignitaries who accorded him a warm reception on arrival in Chittagong on 15 February 1904 at Shudder Ghat Jetty (the old port of Sadarghat) attended by the then Chittagong Commissioner Green Shields and other local officials in the presence of a considerable assembly of Europeans and Natives. 112 years have passed since then. Chittagong has developed a lot. They call it the gateway to the east and a commercial capital of an independent

ROOT OF DISCONTENT The problem that bedevils this region is the shortage of electricity and gas.

country. But the belief of His Excellency is yet to turn into reality. Professor Shahnaj Husne Jahan of the Department of General Education, University of Liberal Arts Bangladesh (ULAB) said at a discussion in the port city that she has long been engaged on examining ‘Trade and Technology of the Early Mariners of Chittagong’ and found that all the geographical treatises and travel accounts clearly testify that Chittagong was a commercial centre of high repute. The problem that bedevils this region is the shortage of electricity and gas. If the industries in Chittagong get adequate and uninterrupted gas and power supplies, the region will be able to contribute strongly to the country’s economy. Since energy is the key factor of industrial production, its

CHITTAGONG PORT

shortage is the prime barrier for growth and higher GDP (gross domestic product). The gas crisis is unlikely to be solved without government permission for import of LNG (liquefied natural gas) in the private sector. The Chittagong region is reeling from gas shortages to the extent of 300 million cubic feet of gas a day (mmcfd), out of a total of 600 mmcfd shortfall across the country. Industries worth about Tk 50 billion in Chittagong are waiting for gas connection to start production, businesses said. Businesses and experts at a round table on Industrialisation in Chittagong held in Dhaka recently identified the lack of smooth gas supply and the land scarcity as the two major hindrances to industrialization in Chittagong. The gas crisis in the region further worsened after shut down of the Sangu gas field in the Bay. Chittagong being a 35.0 billion US Dollar worth economy, while the country is a 175 billion dollar one, has four connectivity potentials. There is yet another good tiding as a recent study reveals that Chittagong is among the world’s 30 potential cities in respect of growth of production, thanks to the seaport. The potentials are a) gateway to the landlocked southern Asia (northeast India, southern China, Nepal, Bhutan and Myanmar), b) bridge between the ASEAN and the SAARC, c) general boost to maritime trade through lowering of cost and time and d) boost to

ELECTRICITY AND GAS SHORTAGES If the industries in Chittagong get adequate and uninterrupted gas and power supplies, the region will be able to contribute strongly to the country’s economy.

intra-regional trade in South Asia which currently accounts for five per cent compared to 26% in the ASEAN. Professor Moinul Islam of the Department of Economics of Chittagong University said Chittagong has the prospects to become a regional trading and transport hub of Eastern South Asia. If concerted efforts are undertaken by Bangladesh, India, Nepal, Bhutan and China for the development of Chittagong Port and the proposed deep seaport at Sonadia of Cox’s Bazar for their wider economic hinterlands located in eastern Indian states, Nepal, Bhutan and even China, Thailand and Myanmar then Chittagong and Cox’s Bazar can become the second Singapore of Asia. “The costs of proper infrastructure building for such an endeavour can be jointly shared by all the stakeholders. But, here again, politics seems to be the only major road-block. Though Bangladesh would be the major economic gainer from such regional cooperative venture, the internal political reality of Bangladesh may make the road-blocks on the way of implementing such propositions politically insurmountable,” he said. Meanwhile, Bangladesh has concentrated on a proposal of the Japanese government to construct the seaport at Matarbari of Moheshkhali. The Prime Minister’s Office (PMO) had decided earlier this year to examine the possibility of selecting Matarbari as an alternative site because it is close to the 1200 mega watt coal-fired power plant site. Priority has to be given on special economic zones (SEZ). The BEPZA (Bangladesh Export Processing Zones

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CHITTAGONG PORT

Authority) runs eight export processing zones (EPZ) in the country. But the EPZs models have limitation in terms of creating spill-over effects to the domestic economy. In 2010, the government felt the need of further broadening the horizon of export zones to optimize its benefits, particularly taking lessons from China and other successful East Asian countries. As Japan, China and Singapore have expressed interest to invest in the SEZs dedicated for their respective entrepreneurs the Bangladesh Government has started setting up SEZs in Chittagong and other parts of the country. The government has decided to hand over 8000 acres of land at Mirsarai, the northeastern Upazila of Chittagong. The land for Japanese investors has already been acquired. The Japanese investors could set up units of automobile, garments and fabrics, electronics and high-end consumer goods there. It has also planned to hand over another economic zone for the Chinese investors at Anwara, south of Chittagong Port. The Chinese Government wants at least 1000 acres of land at Anwara, near the Korean EPZ, to build up its economic zone. But the BEZA (Bangladesh Economic Zones Authority) said it has ready land at Anwara’s Gohira area, several kilo meters away from the Korean EPZ. Reportedly, the government is also ready to allocate a land at Mirsarai for setting an exclusive zone for the Singaporean investors. Prime Minister Sheikh Hasina announced it when Singaporean Senior Minister of State for Foreign Affairs and Home Affairs ZulkifliMasagos met her at the PM’s office in October 2014. Let us turn to the Chittagong seaport. All major items including the readymade garment (RMG) is exported through the port. Country’s 81% of total RMG export was done through Chittagong Port in the last fiscal. Over 2.76 million tonnes of the RMG were exported through Chittagong Port in the financial year (FY 2014-15). The port authority, on 17 October, opened its New Mooring Container Terminal, the biggest container terminal of the port. It alone has the capacity to handle 0.5 million TEUs (twenty foot equivalent units) of containers annually. Private berth operators selected through international tenders are handling cargo in four berths while the berth 1 has been dedicated for Pangaon ICT (inland container terminal) at Keranigonj in Dhaka.

HUGE DEMAND The Chinese Government wants at least 1000 acres of land at Anwara, near the Korean EPZ, to build up its economic zone.

The insights shared here are solely author’s who can be reached at pankajdastider@g mail.com

The one kilo meter long NMCT with huge back-up facilities was constructed seven years back at the cost of nearly Tk. 7.0 billion (Tk 700 crores). But it could not go for operational activities in time due to legal complications, caused by writ petitions filed by a section of intending operators against frequent changes in tender schedules by the Chittagong Port Authority. As a result, the port’s stakeholders, especially local importers and exporters, suffered a lot and the port faced huge financial loss. Businesses, port users and different trade bodies have long been demanding to make the New Mooring Container Terminal operational for more than half a decade. Chittagong Port is a key economic player that handles about 90% of the current national export and import and provides 25% of the government revenues. Despite remarkable technical improvements including handling time and automation the port is severely suffering from governance setbacks. Experts and businesses have long been demanding improved governance of Chittagong Port Authority and urging the government high-ups to leave full autonomy with the CPA regarding development policies and their implementation. There were allegations of increased corruption in dealing with the tender process for selection of cargo handling operators from private bidders as well.

SPECIAL REPORT

BLUE ECONOMY

THE BAY OF BENGAL CAN BE A HARBINGER OF ECONOMIC UPHEAVAL FOR BANGLADESH IN the FUTURE. AN IN-DEPTH REPORT By Rear Admiral Md. Khurshed Alam (Retd.)

BLUE ECONOMY

As a framework for Sustainable Development, The Blue Economy conceptualises oceans and seas as â&#x20AC;&#x153;Development Spacesâ&#x20AC;? where spatial planning integrates conservation,the sustainable use of living resources, oil and mineral wealth extraction, bio-prospecting, sustainable energy production and marine transport. The Blue Economy approach is founded upon the assessment and incorporation of the real value of the natural (blue) capital into all aspects of economic activity (conceptualisation, planning,

infrastructure development, trade, travel, renewable resource exploitation, energy production/consumption). Every country must take its share of the responsibility to protect the high seas, which cover 64 % of the surface of our oceans and constitute more than 90% of their volume. With a view to improving food security, eradicating poverty and delivering shared prosperity, global leaders, ocean practitioners, scientists, and representatives from government, business, civil society and international organizations must

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SPECIAL REPORT

Opportunities Blue Economy offers a suite of opportunities for sustainable, clean, equitable blue growth in both traditional and emerging sectors such as shipping and port facilities, fisheries, aquaculture, tourism and so on. come together to explore action-oriented partnerships, governance arrangements, investment frameworks and new financing vehicles to turn the tide not only on the health of Oceans but also how the resources of the sea could be used for economic emancipation. It should also highlight the need to address the next frontiers of successful integrated approaches that include public-private partners, secure financing and catalyze good ocean governance while reconciling tensions and balancing priorities between (i) growth and conservation, (ii) private sector interests and equitable benefits for communities and (iii) Areas beyond national jurisdiction and Exclusive Economic Zones (EEZ) within the 200-mile limit) from the coast. Balancing Growth and Conservation: Governments, policy makers and international institutions keen to boost food security and eradicate poverty face a careful balancing act between conservation and growth. While fisheries and aquaculture generate considerable social and economic

SHIPPING AND PORT FACILITIES-80 percent of global trade by volume, and over 70 per cent by value, is carried by sea and handled by ports worldwide. For developing countries, on a national basis, these percentages are typically higher. World seaborne trade grew by 4% in 2011, to 8.7 billion tonnes despite the global economic crisis and container traffic is projected to triple by 2030.

ABOUT THE AUTHOR The author is Secretary , MAU, MOFA He is an international expert on this subject and can be reached at : khurshed.alam@ mofa.go.bd. This write up is an abridged version of his detailed research paper on the same topic.

FISHERIES â&#x20AC;&#x201C; Fish accounts for 15.7% of the animal protein consumed globally. The value of fish traded by developing countries is estimated at US$ 25 billion making it their largest single trade item. In 2009 marine capture production was 79 million tonnes. AQUACULTURE - Aquaculture is the fastest growing global food sector now providing 47% of the fish for human consumption. Fish used for human consumption grew by more than 90 million tonnes in the period

BLUE ECONOMY

benefits for hundreds of millions of people around the world, and have the potential to increase their contribution to human well-being and growth, sustainable development, based on the pillars of ecological, social and economic sustainability, entails reconciling several intersecting agendas. Balancing private sector growth and equitable benefits for communities: Globally, fish provide about 3 billion people with almost 20 percent of their average per capita intake of animal protein. Over 90% of small-scale fisheries come primarily from developing countries. In some countries, fish accounts for more than 50 percent of the animal protein intake. While governments can create legal, regulatory and policy frameworks and incentives, it is the private sector that is the main driver of economic growth through investment and entrepreneurial initiatives which range from global billion-dollar corporations that are vertically integrated to small-scale fishers. Uniting EEZ and Areas beyond National Jurisdiction (ABNJ): There are a number of common issues that have an impact in EEZs and in the high seas in regard to resource use and conservation. From small-scale artisanal fisheries to large-scale industrial fisheries, and whether in national waters or ABNJ, the related issues of who has the right to exploit the fishery's resources and the nature of that right are a key part of the sustainable management of the resource. Marine pollution includes, but is not limited to, plastics, metals, glass, concrete and other construction materials, paper, polystyrene, rubber, rope, textiles and hazardous materials, such as munitions, asbestos and medical waste. Marine debris may result from activities on land or at sea and is a complex cultural and multi-sectoral problem that exacts tremendous ecological, economic, and social costs around the globe. The Blue economy approach emphasises that ideas, principles, norms of Blue Economy lend significant contribution towards eradication of poverty, contributing to food and nutrition security, mitigation and adaptation of climate change and generation of sustainable and inclusive

1960-2009 (from 27 to 118 million tonnes) and aquaculture is projected to soon surpass capture fisheries as the primary provider of such protein.

TOURISM - Marine and coastal tourism is of key importance to many developing countries. Tourism is a major global industry; in 2012 international tourist arrivals increased by 4% despite the global economic crisis and constituted 9% of Global GDP (direct, indirect and induced impact). In 2012 tourism supported 9% of global jobs and generated US$ 1.3 trillion or 6% of the worldâ&#x20AC;&#x2122;s export earnings.

ENERGY - In 2009 offshore fields accounted for 32% of worldwide crude oil production and this is projected to rise to 34% in 2025 and higher subsequently, as almost half the remaining recoverable conventional oil is estimated to be in offshore fields - a quarter of that in deep water. Of these the offshore wind energy industry is the most developed of the ocean based energy sources. Global installed capacity was only a little over 6 GW in 2012 but this is set to quadruple by 2014 and relatively conservative estimates suggest this could grow to 175 GW by 2035.

BIOTECHNOLOGY - The global market for marine biotechnology products and processes is currently estimated at US $ 2.8 billion and projected to grow to around US$ 4.6 billion by 2017. Marine biotech has the potential to address a suite of global challenges such as sustainable food supplies, human health, energy security and environmental remediation. In the very short term, the sector is expected to emerge as a niche market focused on high-value products for the health, cosmetic and industrial biomaterials sectors. SUBMARINE MINING - The world is gearing up for the exploration and exploitation of mineral deposits on and beneath the sea floor. By 2020, 5% of the world's minerals, including cobalt, copper and zinc could come from the ocean floors. This could rise to 10% by 2030. Global annual turnover of marine mineral mining can be expected to grow from virtually nothing to â&#x201A;Ź5 billion in the next 10 years and up to â&#x201A;Ź10 billion by 2030.

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SPECIAL REPORT

livelihoods. Thus Blue Economy requires a balanced approach between conservation, development and utilisation of marine and coastal eco-systems, all oceanic resources and services with a view to enhancing their value and generates decent employment, secure productive marine economy and healthy marine eco-systems. Primarily, blue economy should have adequate focus on well-being and livelihood of people; and engagements between countries and stakeholders on Blue Economy should be based on the principles inter alia of mutual trust and respect, equitable mutual benefit, and sharing of benefits to secure sustained and beneficial outcomes of all ocean-centric enterprise. It is needless to say that for most developing States particularly for Bangladesh, making transition to Blue Economy would entail fundamental and systemic changes in their policy-regulatory–management–governance framework(s) and identification of various maritime economic functions. In conclusion it can be said that the future development potential of a Blue economy strategy for Bangladesh strongly depends on the ability of the economic actors to find a business model which fits the developmental stage and the national and global developments. However, once confidence of the future potential is established, new players can easily enter the business, invest, upscale and grow the business. Once risks subside, large industrial players (e.g. from pharmaceutical, chemical and cosmetics, but also energy, utility and mining companies) are expected to become interested in the opportunities of Blue economy. Access to finance is therefore amongst the most important barriers for the maritime economic activities in the not so developed maritime economic functions. Clearly, investment risks are substantial in this phase, but so can be the rewards. Apart from funding of activities in the development phase, access to finance can block the realisation of investment plans and new business initiatives. In light of this, it is essential that Bangladesh recognizes the true potential of its marine resources and develops an integrated maritime policy that

Maritime Functions Maritime functions in the context of Blue economy are not just economic sectors; they cover the relevant maritime value chains – including backward and forward linkages. This is important since large parts of the economic activities take place not in core sectors themselves, but in adjacent economic activities. The following summarises all maritime economic activities that have been identified and whose developments are now at various stages: MARITIME TRADE AND SHIPPING SHIPPING - More than 90% of the Bangladesh’s external freight trade is seaborne – and on-going globalisation has made this flow ever more important. The long coastline and age old tradition of sea navigation in Bangladesh have led to a relatively strong development of maritime services that support the sea trade and sea transport function (ranging from shipping agents, freight forwarders, and insurance to classification and inspection, and maritime education in the Marine Academies/Dockyards/Shipyards/ Nautical Institutes etc). Presently Bangladesh’s value of export and import stands at about USD 67 billion (2013-14) and are carried by 2500 foreign ships visiting our ports. COASTAL SHIPPING/FEEDER SERVICES- It means national and international freight transport within and to/from neighbouring countries with medium sized ships. Coastal shipping forms an important means of transport within most of the transport system and this figure will be higher for Bangladesh having extended coastlines along the rim of the Bay of Bengal.

BLUE ECONOMY

SEA PORTS - Infrastructure like ports can be used by different economic activities and is a fine example of synergy. It goes without saying that ports are important crystallization points for maritime economic activities: whether cruise shipping, coastal shipping, international shipping, passenger ferries, fishing, marine mineral mining, oil drilling, offshore or maritime monitoring, they all require ports and ports infrastructure. PASSENGER FERRY SERVICES Transporting passengers on fixed sea routes, sometimes this is combined with Ro Ro transport. Passenger ferries provide synergies as well while inland shipping is another essential component of the chain. During 2012 about 231.5 million passengers and 32.6 million Mt of cargoes were transported through inland/coastal networks leaving sufficient scope for further investment and expansion around the coastal belt. INLAND WATERWAY TRANSPORT Bangladesh has one of the largest inland water transport network in the

world covering 24,000 km long with 1000 landing points and 21 inland river ports. The major navigation routes in Bangladesh are cantered at some important river ports such as Dhaka, Narayanganj, Chandpur, Bhairab, Barisal, Chittagong and Khulna. The connectivity of these ports especially in waterways is important for the economy. So the maintenance of the navigability of the rivers of the country should take priority which will in turn generate jobs, and is less expensive than road links. SHIPBUILDING - The shipbuilding industry contributes to this function by providing the necessary equipment, which does not only cover ships but also the marine equipment in which our own industries can play an important role. There are more than 300 shipyards and workshops in Bangladesh and almost 100% requirement of inland vessels, fast patrol boats, dredging barges, passenger vessels, landing craft, tug, supply barges, deck loading barges, speed boat, cargo coasters, troop carrying vessels, hydrographical survey

vessels, survey boat, pilot boats, water taxi, pontoons and water taxi are being built by these yards. Ship building yards are constructing 10,000 DWT Sea going ships for export and are expected to upgrade their capacity to 25000 DWT. In the Dry docks of Bangladesh about 15 ships are being repaired annually earning foreign exchange. Shipbuilding industry not only earns foreign exchange but also saves it where as in road and rail transportation about 100% transport vehicles/rolling stocks are imported from abroad. It should be promoted and nurtured in all possible ways, including its horizontally and vertically linked businesses, and given opportunities and incentives for growth and expansion. Other similar manufacturing and engineering fronts should also be seriously explored. SHIP RECYCLING INDUSTRIES During 2013,about 300 ships were dismantled, which is the highest number in six years and Bangladesh ranked 2nd considering number of ships while ranked 3rd from the point of gross tonnage. It provides about

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SPECIAL REPORT

70-75% scrap steel as raw material for Steel and Re-rolling mills, saving lot of foreign currency. FOOD AND LIVELIHOOD FISHERY - There are about 475 species of fish found in our EEZ compared to 250 species on land. Fish still provides the much needed protein needs of our people. About 57,000 artisanal mechanized and non mechanized wooden boats and 200 industrial steel body trawlers are engaged in fishing in the coastal waters upto 60 km (within 40m depth) from our coastline having very limited capability in catching pelagic fishing-shoals closer to surface. Future development prospects of aquaculture appear promising. Well-managed coastal aquaculture and mariculture offer significant scope for green growth and employment opportunities for coastal communities. Strengthening regional fisheries bodies, national fisheries management agencies, fishing community and fish workers organisations and private sector associations is critical to sustainable and equitable use of marine resources through aquaculture. MARINE AQUATIC PRODUCTS- Marine aquatic products consist of the farming of marine aquatic organisms, mainly for human consumption and all the associated primary processing activities. MARINE BIOTECHNOLOGY- It is about unravelling the potential of the biodiversity of a specific earth compartment for the benefit of the rest of the economy. The unexplored and understudied nature of much of the underwater world means that the capacity of marine organisms other than fish and shellfish to provide inputs to the blue economy is only just beginning to be appreciated, partly through new gene sequencing technologies for living organisms. Exploration of the sea biodiversity is now helping us understand for example how organisms that can withstand extremes of temperature and pressure and grow without light could be used to develop new industrial enzymes or pharmaceuticals. It can provide bio-sourced products such as coating with anti-fouling or anticorrosive properties for maritime transport and shipbuilding.

ENERGY OIL AND GAS- Bangladesh is yet to assess the true potential of its offshore oil and gas prospects. Some 26 Tcf (trillion cubic feet) gas reserve has so far been discovered in Bangladesh, of which only about 1 Tcf is located in the offshore areas. Until 2014, 19 exploratory wells were drilled in the Bay of Bengal, resulting in only two gas discoveries, i.e. the Sangu and the Kutubdia, with small reserves. The Sangu reserves of 0.8 Tcf have already depleted, whereas the Kutubdia reserves 0.04 Tcf are yet to be developed. SEA SALT PRODUCTION - Sea salt has been produced traditionally along the Coxâ&#x20AC;&#x2122;s Bazar coast of Bangladesh for generations. In a longer dry season, the salt farmers can get about 20 tons/ha production. The annual salt production in the Coxâ&#x20AC;&#x2122;s Bazar coastal segment of Bangladesh is 22MT, where the Samut Sakhon of Thailand produces 43MT OCEAN RENEWABLE ENERGY Marine-based renewable energy such as wind, wave and tidal range and currents offers a significant potential to contribute to low-carbon energy supplies for regions with appropriate coastal features. A wind generator with a capacity of 2 MW has already been installed in the coastal area of Kutubdia, Bangladesh, but remains inactive. MARINE MINERALS MINING - The deposits of marine minerals can be divided into three categories: (1) polymetallic sulphurs, (2) ferromanganese crusts, (3) (ferro) manganese nodules, and (4) rare earth elements and yttrium, and. They differ in composition, shape and location. Managed correctly this natural capital could be converted into jobs, infrastructure, public service improvements and growth in the domestic private sector. TOURISM COASTAL TOURISM- Globally, coastal tourism is the largest market segment and represents 5 per cent of world GDP and contributes to 6-7 per cent of total employment. It is the main source of foreign exchange for one-half of Least Developed Countries (LDCs). Coastal tourism includes a) beach-based recreation and tourism, b) tourist activities in proximity to the sea, and c) nautical boating including yachting and marinas. Sustainable tourism can create new jobs and reduce poverty.

acknowledges the inter-linkages that exist between the different domains and functions of its seas, oceans and coastal areas. The Blue Economy strategy builds on policy initiatives to recognize the potential of these marine resources and thus aids in realizing a future strategy towards smart, sustainable and inclusive growth. Our ability to compete and achieve future success in maritime economic activities, such as deep sea fishing, aquaculture, international/coastal shipping, port infrastructure, coastal and cruise tourism, offshore drilling, renewable energy, biotechnology, coastal protection, salt production, human resource for maritime activities and development of existing islands and chars will have important knock-on effects for both upstream and downstream suppliers. Successfully rolling out tomorrow's maritime economic activities will, therefore, have a positive impact on an entire portfolio of other maritime economic activities, namely those of a cross-cutting nature such as shipbuilding, blue biotechnology, drilling in the Bay and port infrastructure, human resource and maritime monitoring and surveillance.

Disclaimer: Dhaka Stock Exchange does not holds any responsibility for these data.

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MBL 1st Mutual Fund

BRAC Bank

Appollo Ispat Complex Ltd.

Trust Bank

Far Chemical Industries Limited

Beximco Pharma

City Bank

LR Global Bangladesh Mutual Fund One

500.00

United Commercial Bank Ltd.

BSRM Steels Limited

Mozaffar Hossain Spinning Mills Ltd.

Square Pharma

BRAC Bank

SAIF Powertec Limited

Grameenphone Ltd.

Far Chemical Industries Limited

Lafarge Surma Cement

Beximco Pharma

1,000.00

United Commercial Bank Ltd.

United Airways (BD) Ltd

CAPITAL MARKET UPDATE

2,500.00

2,000.00

1,500.00

70,000,000

60,000,000

50,000,000

40,000,000

30,000,000

20,000,000

10,000,000

Source: Dhaka Stock Exchange

E-COMMERCE

“There is a huge opportunity here for us and we are convinced these emerging markets will grow rapidly over the next few years.” Dr. Jonathan Doerr CEO, Daraz Asia

Daraz since starting operations in Bangladesh has very quickly become the frontrunner in the E-commerce industry here. Recently the e-commerce giants raised $56 million from their investors led by the UK Government’s development finance institution, CDC Group and Asia Pacific Internet Group (a joint-venture between Rocket Internet and Qatar-based telecommunications company, Ooredoo).This investment is to be injected in the emerging markets in Bangladesh, Pakistan and Myanmar. They also recently announced that they will be introducing the first ever online “Black Friday” sales event on November 27th, which will offer ridiculous discounts and price cuts for Bangladeshi online shoppers. During their short but hectic trip to Dhaka, IBT caught up with Daraz Asia’s Co-CEO Dr. Jonathan Doerr to hear from him about Black Friday and what they have planned for the future of the E-commerce industry in Bangladesh.

EXTRA INSIGHT Bjarke Mikkelsen, CEO, Daraz Asia

DARAZ

“In Bangladesh, the e-commerce market represents only 0.1% of the entire retail market. In just 3-5 years the e-commerce market could easily be 2% of the total retail market meaning that the e-commerce market would be 20x+ bigger by then - even if the total retail market only grows 2-4% per yeaR.” E-commerce is on the rise in Bangladesh. How does Daraz along with its investors intend on taking advantage of this new E-commerce wave? We know the e-commerce industry here is still young and it lacks big players. There is a huge opportunity here for us and we are convinced these emerging markets will grow rapidly over the next few years. If you look at the regions of Bangladesh, Pakistan and Myanmar there's a huge population of around 400 million people, so the potential for growth is these areas is immense. We feel that it is also our responsibility to invest wisely. With our investments we aim to grow a healthy business and make e-commerce as big as it is in other countries. Our investors have several expectations but what comes foremost is the objective to grow a stable and strong business. This means that it must grow in a way so that we can provide the best customer experience and the biggest assortment of products at the best prices.

Out of the $56 million being invested, a large portion will be utilized in Bangladesh. What helped Daraz decide on making such a massive investment in Bangladesh? It's not really just our decision, but it's one taken by the investors as well. We’ve raised $56 million from our investors at CDC Group along with Rocket Internet and Ooredoo’s joint venture, the Asia Pacific Internet Group. A substantial amount of funding is required as the e-commerce sector in Bangladesh is still just beginning to pick up and we have to invest

wisely to help the industry grow. Internet penetration is at a decent level already, but we still have to try to educate our buyers on e-commerce and how online shopping works. Overall, the aim is to help this business grow and thrive in emerging markets such as Pakistan, Myanmar and Bangladesh.

Have any strategies been formulated regarding how Daraz is to proceed with this funding in Bangladesh? Of course, both we and our investors have strategies about how to proceed with this investment. We’ve set goals, targets and ideas on how to grow the business. Daraz.com.bd will be the biggest e-commerce platform in Bangladesh. In this regard, it's important to have the right ideas, the right people and of course, support and funding. For us it's important that we not only focus on our business model but also manage to give back to the country. If you look at our staff, they are being provided with education regarding e-commerce, online marketing and so on. They are learning things which Rocket Internet had previously learned from their other ventures. This way we are giving back to Bangladesh in terms of skill development. We have a big advantage in having Rocket Internet as one of our investors as it has immense experience in building e-commerce businesses around the world. That along with the experience gathered over the years by my Co-CEO Bjarke Mikkelsen and I, has allowed us to come up with the appropriate strategies for these markets.

What can you tell us about Black Friday and why it’s being started in Bangladesh? Black Friday is a concept which comes from the West and it's one of the biggest sales event of the year. However, such an event has yet to be established here. So we thought it would be a great idea to bring that event to Bangladesh and its people. Last year in the US alone, Black Friday generated $40 billion worth of revenue online. Since it will be the biggest e-commerce event in Bangladesh, we are working very hard to get the best deals for customers. We have to negotiate with our vendors and our suppliers because we are a marketplace and in partnerships with these brands we plan on making it a special event for all our customers. It's a one day event so everything will start at midnight on the 27th of November. The main focus will be on Friday while on Saturday and Sunday we may have some special offers that carry on too. People have to know that we have a lot of products but with these huge discounts, there will be huge demands and of course they have to be very fast if they want to get the desired deals. We have to prepare our IT division for the huge incoming wave of people who will be visiting our website and app. We also want to make sure we have enough customer service agents who can receive our calls because some of our customers place orders via phone through the Daraz app. We are sure that people during midnight on the 27th will sit on their computers and their phones, maybe use the Daraz app to access the Black Friday deals when they are finally available.

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CORPORATE CAFE

Rupali Chowdhury Managing Director, Berger Paints Bangladesh Limited

o Rupali Chowdhury, the Managing Director of Berger Paints (a company having more than 50% of the market share) innovation is a continuous game. To keep the ball of innovation rolling, she needs to keep the team engaged, motivated and continuously chasing newer heights. Her positive attitude and ambition, however, has helped her spearhead the multinational's growth and success and take it to the top of the Bangladesh Paint industry.

â&#x20AC;&#x153;It is the people working at Berger who have helped it become the market leader. Without their contributions our brand equity would not be where it is now.â&#x20AC;? 68

RUPALI CHOWDHURY

“

Soon we will see more women in top corporate positions, provided they continue to work after marriage and child birth.”

As such, running the frontrunner for Paint in Bangladesh, she has a lot on her plate. IBT takes a look at her tempestuous journey as the first female Managing Director of a multinational in Bangladesh. Having completed her MBA from IBA, Dhaka University, she joined multinational pharmaceutical and chemical company, Ciba Geigy (Bangladesh) Ltd. in 1984. “In 1990 I embarked on my journey in Berger as a Planning Manager and later on, worked in several departments ranging from Marketing to Supply Chain Management.”Her hard work and determination eventually lead her to the top as she took the Managing Director’s chair in 2008. Running a multinational as renowned as Berger, it isn’t easy to keep the cycle of innovation rolling. “There is no set formula for innovation, which makes it very difficult. One has to test different models in terms of product design, get the consumers’ insight about what more they want from the product and then utilize resources efficiently. As a technology driven company we have to anticipate changes in trends, technological shifts and challenges from competitors all the time - which makes it a continuous game.” Creativity is the key and Rupali believes in the vitality of its continuity. “Innovation is required in all areas, if you run a production line you have to keep on trying to improve productivity as you are continuously under pressure to reduce costs. Regarding the product itself, product management and R&D need to keep on coming up with new ideas all the time. It doesn’t necessarily have to be something big; small contributions from different

areas can lead to something great as well.” Not only is she a great administrator, but she also knows how to keep things interesting for her employees. “If we need a brand name or new idea we have internal competition amongst the employees where the winner is incentivized, which keeps the employees engaged all the time." Rupali believes that Berger’s greatest asset is the team she works with. “It is the people working at Berger who have helped it become a market leader. Without their contributions our brand equity would not be where it is now.” Berger’s place as the leader in the industry was further cemented after the launch of their ‘Breathe Easy’ eco-friendly paint in 2011. “Berger was first to introduce this odor free and eco-friendly product with low Volatile Organic Compound which causes the unpleasant odor after painting. We at Berger have always strived to improve our products utilizing the latest technology at our disposal. This series is not only healthier for people but it is also safer for the people in the factory to produce.”As part of its commitment to continuous quality improvement as well as concern for environment, Berger has achieved a number of international certifications such as ISO 9000 (Quality Management System), ISO 14001 (Environmental Management System) and OHSAS18001 (Occupational Health and Safety Management). With the recent trend of more and more women entering the corporate world and shattering the glass ceiling, Rupali believes that it won’t be long before we see more female CEOs heading companies. “Previously we had not seen many women entering the corporate world but that has been changing. Ambitious women have been

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RUPALI CHOWDHURY

entering the job market. However, this is a recent phenomenon, hence; there aren’t as many women in leadership positions yet. Soon we will see more women in top corporate positions, provided they continue to work after marriage and child birth.”However, trying to find the perfect balance between work and family can be a struggle especially for the working mothers. “You are always striving to strike a balance but it is difficult to have it all”, as Rupali says. Alongside being the Managing Director of Berger, Rupali Chowdhury is also the President of the Foreign Investors’ Chamber of Commerce & Industry of Bangladesh (FICCI) where she has to deal with policy related issues regarding foreign investors. She is very positive and optimistic about Bangladesh’s bright economic future. The country has maintained around 6% GDP growth for the past decade and has become a role model in a number of social indicators. Recently we have become lower-middle income country. She suggests that, “We have to build up our physical, regulatory and information technology infrastructure. Consistency is required in government policies and agreements.”According to her, the investors find the acquisition of land to be a major issue when making investment decisions. “Foreign investors will not feel enthusiastic about investing here if the process for land procurement takes over a year to complete. Such barriers are making them shift their projects to other countries and eventually we are losing out.” Investors from abroad only approach Bangladesh after considering the potential and existing economies of scale of the respective markets. Since the local market is not big enough for many

"Local companies can form joint ventures with foreign companies and gain experience from the foreign counterpart for their own advancement in management skills and inclusion of the latest technologies."

industries, they may consider exporting from this base. Bangladeshi enterprises have a role to play in this score, which can be mutually beneficial. “Those who want to use our country as manufacturing hub may cater local and export market simultaneously. A company will not be able to attain the right economies of scale if it is only targeting the domestic market here. However, local companies can form joint ventures with foreign companies and gain experience from the foreign counterpart for their own advancement in management skills and inclusion of the latest technologies. That way their costs will be reduced and the local companies can provide them with some infrastructural backing to establish a business here.” She believes that human capital is the key resource behind success of a business. Bangladesh has ample trainable, motivated and resilient workforce. From that point of view, Bangladesh is the right destination for investment. Employment creation can be improved significantly through bringing in FDI in manufacturing/ service sector. For startup small & medium business, sourcing of capital is also a problem because of higher Bank interest rates. Heading both Berger and FICCI, Rupali has had to adopt different leadership styles which has helped her amass a great deal of experience. She believes that a positive attitude is the key to helping one go that extra mile. “You have to have the right energy levels and a positive mindset. A career oriented person has to continuously strive for self improvement by learning as much as they can from the surroundings. Two people can have the same functional knowledge regarding a subject but what will set them apart is their drive and attitude to go that extra mile.”

MEDICAL TOURISM

Attracting medical tourists, Indian style

Talent, tradition, technology, tourism and trade are some of the strengths Indian medical sector showcased in its first-ever international summit on medical value travel.

By Nurul Islam

An Indian business chamber group in a recent report says patients from the developed nations including the US and the UK have started making “a beeline” to India for treatment. Once known for attracting medical tourists only from the neighboring countries, India is now aiming to get closer to earnings of about $4 billion from the medical tourism by the end of this fiscal year. Travelling abroad for medical care and treatment is becoming increasingly popular in today’s world, but Indian story is quite different particularly when it has a sizeable number of populations beyond basic medical care. Success of some of its private hospitals has made the difference. India’s primary advantage is that it has a large pool of well-qualified and trained professionals who can offer cost effective treatment compared to its market rivals – Thailand, Singapore and Malaysia. The cost of a surgery or a medical procedure in India’s state-of-the-art private facilities is said to be almost one-tenth of that in Western Europe and the Americas. Besides, the Indian government’s initiatives to address infrastructure issues in hospitals and ease visa schemes from select countries have also made it an emerging hotspot for

Medical Diplomacy

Connecting the right kind of service providers with patients is important

Lack of trust

The reason why a number of Bangladeshis prefer India for their diagnostic tests

BIG BUCKS India is now aiming to get closer to earnings of about $4 billion from the medical tourism by the end of this fiscal year.

medical tourism.Those strengths have been showcased in a first-ever international summit on “medical value travel” in the first week of October in New Delhi where 520 participants from 65 countries, mostly of Asia, Africa, and the Middle-East have been invited. The objective was a unique amalgamation of ‘5Ts’—talent, tradition, technology, tourism and trade—as Indian government as well as businesses is promoting the country as a “premier global healthcare destination”. It is also focusing on regulations and accreditation for its burgeoning healthcare facilities to attract more health tourists. In a stark contrast to countries like Bangladesh, even

HEALTHCARE

$100 billion

Worth of global market for alternative medicine

500

Number of patients come daily to India from Bangladesh for treatment

its private hospital owners also speak about accreditation. Sangita Reddy, Joint Managing Director of the Apollo Hospitals Group, at the Oct 5 to Oct 7 summit said accreditation was a must to ensure quality control. “When we present to you and show to you a vital sector with hundreds of thousands of players it is important to connect quality providers and most important providers in the market,” she said.This would take the “medical diplomacy” one step ahead, she said. Health Secretary BP Sharma also echoed the sentiment. He said, accreditation would be “extremely important as you have a range of service providers, some of whom are excellent and some not-so-good”. He said accreditation would help people within the country and outside with information on which hospital provided what type of services. The Commerce Secretary also called for the need to focus on quality standards and accreditation of hospitals and laboratories to enhance the confidence of medical tourists. India is also offering the ancient method of treatment which is now widely promoted by the World Health Organization. Last year in November, the new Indian government opened a dedicated ministry for the promotion of traditional medicine and yoga called AYUSH. It is now eyeing to expand its presence in the estimated $100 billion global market for alternative medicine. The acronym AYUSH stands for Ayurveda, yoga, naturopathy, Unani, Siddha and homeopathy. The conference, however, revealed a shocking picture for Bangladesh with a report pointed out that Bangladeshis travel for “simple

laboratory test” in India.The report also said that an estimated 500 patients come to India from Bangladesh daily for treatment.This finding points to a serious lack of confidence among the Bangladeshis in the health care system. Md Abdur Rob, Managing Director of Mindshare Global Consultancy Ltd in Bangladesh, who works in medical tourism sector for more than 10 years, believed that proper diagnosis was “a big challenge that drives patients out of the country”.“I found many patients go to India as they were not properly diagnosed in Bangladesh,” he said. “Even I have evidence that Indian doctors find nothing in a patient diagnosed with cancer in Bangladesh”. Even though Bangladesh can lure in medical tourists if the country takes “proper policies”, believes Md Rafiq-Ul-Alam, Chief Executive Officer of Meditrain that offers training to doctors. Bangladesh’s health sector has come a long way with private sector investments. International groups like India’s Apollo and Malaysia’s KPJ have set up facilities in Dhaka. Alam said Bangladesh can also lure patients from India, particularly from its northeastern region. “It’s easier for them to come to Bangladesh than go to Chennai or other states to see doctors at big facilities.We have some hospitals that have very modern state-of-the-art equipment and skilled doctors. We can focus three or four of them for medical tourism and develop them further. It’s a matter of policy decision of the government. But it is possible to bring patients into Bangladesh. It needs strong commitment from the government and a good collaboration between the private and public sector,” he said.

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INTERNATIONAL CORPORATIONS

Sundar Pichai

Shantanu Narayen

Satya Nadella

Sanjay Kumar Jha

Sanjay Mehrotra

Indra Nooyi

Owning the Crease

Why more and more global companies are hiring Indians as their top brass. By Sifat ishtiaque Hossain

Bollywood. Cricket. Spices. Curry. These are possibly the first few words that would come to anyone’s mind while talking about India’s specialty. Here is the catch, it just doesnot end there! In recent times, many executives of Indian descent have taken over major Fortune Global 500 companies as the Chief Executive Officer. Google's new CEO, Sundar Pichai, is the latest to enjoy a meteoric rise. In just 11 years at Google, he turned Chrome into

ENGLISH VINGLISH English, of course, helps. India was primarily ruled by the British in 19th and first half of 20th centuries. Consequently, most of India’s elite speak English from childhood and it’s the language of choice for global companies.

the world's most popular Web browser, ran the company's Android division and most recently served as product chief. Pichai's promotion is the latest in a series of appointments in the last decade or so where Indians have been thrust into the top job at global firms. He joined Satya Nadella, the Indian-born head of Microsoft, who got the top job there last year. Not to mention, Chief Executives of Indian origins like Ajaypal Singh Banga (CEO of MasterCard), Indra Nooyi (CEO of PepsiCo), Shantanu Narayen (CEO of Adobe Systems), Sanjay Kumar Jha (CEO of Global Foundries), Sanjay Mehrotra (CEO of SanDisk Corporation), Nikesh Arora (CEO of SoftBank Corp), Rajeev Suri (CEO of Nokia), Rakesh Kapoor (CEO of Reckitt Benckiser), have or continue to run major global firms. While India may not win many Olympic events, if medals were awarded for appointments at major global companies, it would be one of the world’s top contenders. One of the main reasons China, which is great at squeezing Olympic gold out of its citizens, doesn’t produce as many global CEOs is the basic income arbitrage. China’s best and brightest have more opportunities at home and can get paid as much as they would make almost anywhere else. No matter where movers and shakers are from, they need some financial incentives to move away from family, friends and favorite foods. Chinese director-level managers in technology

INDIAN CEOS

companies on average already make around $130,000 a year, which is not far off the $160,000 they can make in the U.S. In India, the director-level managers only make $35,000. That’s not to suggest that India’s world beaters usually leave executive positions at home for big jobs abroad. Most of India’s corporate hotshots leave India after college and don’t come back. They get their degrees from reputed business schools abroad and then climb their way up corporate ladders outside of India. It’s obviously more than just income arbitrage though. While the dysfunctional parts of the Indian economy do boost the brain drain, there are lots of other countries with low salaries and few opportunities that just don’t provide as many international corporate leaders as India does. English, of course, helps. India was primarily ruled by the British in 19th and first half of 20th centuries. Consequently, most of India’s elite speak English from childhood and it’s the language of choice for global companies. As Indian CEOs operate in a negative business environment with lots of red tape at home, when they move to a global environment they find it a breeze. Maybe being raised in a democracy, where individuals are encouraged to speak their minds, also gives Indian job seekers an edge in the cut-throat world of capitalism. Apart from the famous Indian approach of being frugal on resources and capital, most Indian companies are run as family businesses where capital and resources are sparingly given to the professional CEO. Hence, Indian managers have a "bifocal approach" - they can manage both daily cash balances and long-term vision." The big differentiator for Indian managers is their focus on RoE - Return on Equity. They have a value-orientation and a keen focus on RoE, which is obviously learnt in family-run businesses, which are niggardly in the allocation of capital. Whatever the model is, it seems to be working. Again, Indians grow up in an atmosphere where cultural diversity - of language, faith, and caste, among other things - is a given. Global companies, which operate in a multi-cultural environment in their quest for talent, markets and resources, find Indian managers more willing to adapt and

ROE MATTERS The big differentiator for Indian managers is their focus on RoE Return on Equity. They have a value-orientation and a keen focus on RoE, which is obviously learnt in family-run businesses, which are niggardly in the allocation of capital.

lead. Handling diversity needs high EQ emotional quotient - and an understanding of cultural differences in various work environments. Also, Indian CEOs have to ensure delivery of business results to their owners, and hence work towards execution. They thus learn about all sides of the business. In some global companies, there is no organizational view even at the directorial level. The Indian CEO is groomed to work till the job is done. They have good talent and a good view of the whole company. One study, by the University of Southern New Hampshire, says that Indian managers are more successful because of "a paradoxical blend of genuine personal humility and intense professional will". It is not by chance that Nadella started his first email to Microsoft employees as chief executive by saying: "This is a very humbling day for me." Also, emerging markets are a big target for tech companies as they see them as possible growth avenues and their future cash cows. Therefore, it is smart to have individuals at the top who understand the problems of countries like India deeply. Tech companies, like Apple, Google, Microsoft, Facebook, appreciate engineers more so than people with marketing and business administration backgrounds. Hence, more and more global firms are handing their most crucial post to Indian executives, most of whom are coders and engineers at heart with sharp business acumen. However, Indian residents might want to reconsider how exporting these talented executives reflects the country’s failures before basking in the glory. India needs to produce a business environment that nurtures and provides incentives and opportunities to high-performing executives like Nadella or Pichai, leveling the playing field with Western multinationals. The country also needs to foster a more innovative and competitive work environment which will ignite a proclivity amongst the young business students to stay in their homeland and take the Indian corporate culture to the next level. By when the country will be able to create such atmosphere only time will tell. Till then, make no mistake, we are definitely going to see a few more Indian to join the league of Nadela and Pichai.

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VOLKSWAGEN DEBACLE

DAS katastrophe

G Their executives knowingly installed the software which undermined the emissions of toxic fumes which have been known to cause thousands of deaths By Sheahan Nasir Bhuiyan

ermans over the years have built a reputation for reliability and trustworthiness with a penchant for excelling in engineering to such a point that the rest of us joke they have no sense of humour. Nothing exhibits this further than the German automotive industry. Employing around 775,000 people, it is one of the brightest jewels in the German economic crown, and the industry has won numerous accolades over the years, including the prestigious International Car of the Year and its European counterpart, more so than any other country in the world. The industry is considered to be the most innovative and competitive according to an Ernst & Young survey, and brings in around 20% of German income. It is no surprise therefore that one in every five cars around the world carries a German brand. From your BMWs to your Porches the one thing that is safe to assume is that you can trust these cars. That is, until now… On September 18th 2015, the United States Environmental Protection Agency (EPA), after an investigation that commenced in May 2014, announced that Volkswagen, makers of the world famous Beetle, violated America’s Clean Air Act. Volkswagen (VW) has admitted that they installed a so called “defeat device” in

INTERNATIONAL AUTOMOTIVE INDUSTRY

their diesel cars which is a software that can detect when the car is being tested for emissions and change the performance accordingly to be in line with the requirements. The United States has stricter regulations against diesel emissions than in Europe and VW in a bid to increase their presence in the American market engaged in such underhanded activities. To understand the context a little better, there are some things to note here. Diesel has been promoted as a cleaner and cheaper alternative to petrol because of lower carbon emissions. It is not a very popular source of fuel in the US compared to Europe, and VW aimed to change that by promoting “Clean Diesels” which met US EPA standards. While carbon emissions are low, diesel engines do produce Nitrogen Oxides and other gases which have been estimated to cause approximately 58,000 deaths a year in the United States alone. The software allowed the engines to produce very little of these substances in a testing environment but once they were out on the road, the investigation revealed that the engines produced toxic fumes up to 40 times the permitted levels. 40 times. The EPA’s findings revealed the existence of this software in 482,000 VW cars in the US alone. VW since then has admitted that the software exists in 11 million cars worldwide including 8 million in Europe. The revelation sent shockwaves around the world. The Automotive Industry took a massive hit, with stock prices plunging down all around. VW alone saw its value diminish by 30%, wiping out EUR 26 billion of its value. In response to the claims, what followed at VW was the swift resignation of CEO Martin Winterkorn who claimed that he was completely unaware of any wrongdoings but still accepts responsibility for the fact that this has happened under his watch. He was replaced by Matthias Mueller, who was the man in charge of Porsche, a subsidiary of VW. Mr. Mueller has vowed to restore customer faith by getting to the bottom of this and has promised to “leave no stone unturned”. VW has also stated that it will begin recalling close to 500,000 vehicles in the US from January 2016. It has set aside EUR 6.5 billion to cover the financial hit it will face in the coming months. However, the amount is expected to go beyond the amount set aside. Apart from the costs associated with recalls,

volkswagen crisis in numbers

11m

Affected vehicles

11.76bn ( )

possible fine from US ($18bn)

390m ( )

value of cars produced per day

26k

volume care produced per day (est.)

days of full production to repay fine

% of share value dropped from 17/09-23/09

there are numerous other costs including fines, compensation claims, and other lawsuits. The EPA itself can fine VW $37,500 for each car with the software to take the total amount to around $18 billion. One cannot help but draw comparisons to the Deepwater Horizon disaster for British Petroleum (BP has been fined close to $20 billion). Except for one crucial difference. Deepwater Horizon was an accident. This incident for VW was deliberate. Their executives knowingly installed the software which undermined the emissions of toxic fumes which have been known to cause thousands of deaths. This is criminal activity and as such those responsible should be charged accordingly. For too long, those responsible in similar cases have walked away from the company with no criminal charges. The good news is that Sally Yates, the US Deputy Attorney General has insisted that fining businesses will come after pursuing civil and criminal charges. The consequences of this scandal will affect the entire automotive industry beyond the fall of share prices. The question now is how many other manufacturers engage in such behaviour. Due to the lax testing facilities both in the US and in Europe, it was possible for VW to get away with this for so long. It would be naive to assume that VW are the only ones who employ illegal methods. It is absolutely essential that the proper regulating authorities ensure that manufacturers abide by the laws and ensure the safety and well-being of their customers. Will this mean that diesel engines will be abandoned since they actually do not provide the benefits they claimed to have? Quite possibly, but that’s not necessarily a bad thing. Necessity is the mother of all inventions as they say and the death of diesel will surely give rise to the adoption of cleaner, more efficient technology and the multi-billion dollar race to come up with such should speed up. Germany has been shaken as a result of this and their stellar reputation as the leaders of reliability and trustworthiness is now in question. However, Angela Merkel is confident that VW will bounce back from this and that Germany will still be a great place for the automotive business. It will be a significant next few years for VW and its new leaders and let us hope that they can “steer” them clear from future scandals.

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TECH

A Slab That Works Workhorse tablets – myth or reality?

Although tablets have managed to carve out a sizeable niche for themselves in the global consumer electronics market, they are still viewed as devices that place content consumption and entertainment first, and productivity...well, not second, perhaps closer to last.

By Abhijit Asad

Tablets typically represent a strange paradigm of power and usability. While packing substantial amounts of power by the standards of mobile devices, they still cannot come even close to the power levels of a desktop computer, or even that of a laptop in terms of raw CPU cycles. This weakness is further augmented by the nature of their operating systems -- in order to keep battery consumption and heat output levels low (since tablets don’t come with internal cooling fans and hardier batteries like proper computers do), tablets come with light operating systems like Android or iOS, which are hardly suitable for heavy lifting, or even running a full-scale office suite. The restrictive nature of tablet input augments this problem further. Instead of requiring additional peripherals like keyboards or mice to interact, tablets require the user to get up close and personal with the screen with their hands, which sounds great in theory, but doesn’t work out so well in practice when it comes to using more complex

SOUR PILLS Recently, the global interest in tablets has been waning, largely due to the fact that they don’t really have much to offer beyond their roles as media consumption platforms.

software. Human fingers in general are hardly precise to begin with, and are hopelessly inadequate when it comes to manipulating the myriad of tools and settings that are present in most productivity suite interfaces directly onscreen. Some developers have attempted to counter this by making the interfaces of the tablet counterparts of their apps large and finger-friendly, at the cost of reducing the area of the workspace, as well as having to remove and tuck away many of the more advanced features. The result? A productivity suite that’s not very productive to begin with. However, recently, the global interest in tablets has been waning, largely due to the fact that they don’t really have much to offer beyond their roles as media consumption platforms. As a result, to maintain public interest in tablets, the manufacturers are seeing no choice but to add more variety to their tablet lineups, attempting to break the monotony. For example, Samsung has recently unveiled the Samsung Galaxy View, a colossal tablet with an 18” display, which is more of a portable television than a tablet, but ideal for people who want something more than a run-of-the-mill slab. But what’s more interesting is that numerous tablet manufacturers, including the biggest ones like Apple, have started to push productivity as a core feature of their upcoming ranges of tablets.

MICROSOFT WINS

Notably, the inanest part of their claim to productivity is that the user who wishes to get productive with a tablet would require to plug in a keyboard to their tablet, or at least use a stylus – essentially reinventing the laptop, albeit in a stranger top-heavy form factor. This is largely due to the aforementioned problems regarding finger-based input, but also due to the fact that a touchscreen is a pain in the posterior to type on, and a keyboard is just better at getting things done. Interestingly, the first company to realize this crucial fact was Microsoft, who attempted to change the game a few years ago with the first iteration of the Surface Pro tablet, which not only came with a pressure-sensitive stylus and a radical new cover that doubled as a keyboard, but also ran a full-scale operating system – Windows 8 – that was compatible with all major windows-based productivity suites. It even came with a full-sized USB port, allowing users to plug in standard peripherals without requiring additional adapters. Being ahead of its time, the first Surface Pro was not perfect, and although it was well-received from a critical angle, it didn’t quite catch on until the Surface Pro 3 came along. This year, the Surface Pro 4 has all but closed the gap by bringing in even beefier specs, a stupendously accurate display, an even better stylus and a backlit keyboard/cover. Yes, there are better laptops out there, but the Surface is a great option that can satisfy most power users without a problem. It has already inspired other OEMs to develop similar Windows-powered tablet offerings, turning it into a regular genre.

But what about the competition?

Strangely, things have not been going that well on their fronts in terms of competition. Although Microsoft threw Apple a bone by releasing touch-friendly (read ‘dumbed-down’) versions of Microsoft Office apps for iOS, Apple realized far too late that the definition of

LIKE A PRO Yes, there are better laptops out there, but the Surface is a great option that can satisfy most power users without a problem.

productivity runs deeper than that. However, their realization did not run deep enough, and the response they unveiled on September 2015 was not only far less than impressive, but also ended up looking like a blatant ripoff of Microsoft’s Surface. The oversized 12.9” iPad Pro (Ha!) can be bundled with a keyboard unit that is suspiciously reminiscent of Surface’s keyboard covers, as well as a stylus which Apple is attempting to brand as the Apple Pencil. However, it still runs iOS, hence its productivity options are still remaining rather crippled, despite being priced on par with the Surface Pro range. Even diehard Apple fans have criticized this decision, as an iPad with laptop-grade specs and a full-scale OS like Mac OS X would indeed have been a formidable force against any competitor, and would have hit a definite sweet spot with a far greater number of users. However, the weakest offering on the competitor front comes from Google in the form of the new Pixel C tablet. To be fair, it is a perfectly decent tablet with a svelte form factor, a lovely screen and a really nice-looking keyboard/cover combination that does not look like a Surface copycat. However, it still has mobile-grade specs, and the fact that it runs Android doesn’t help much either. Despite the fact that Android is vastly more flexible than iOS, it is still very much a mobile-grade OS. It doesn’t come with a stylus, but you can get a third-party one if you want. It’s also far less pricey, and therefore good for people on a budget who want to get some word processing or spreadsheet-crunching done on the go without the need to lug around a laptop. In conclusion, it can be safely said that aside from the Surface Pro series and other Windows-based tablets inspired by it, tablet manufacturers haven’t quite managed to grasp the concept of productivity on the go. However, if Apple releases an OS X-running iPad in the future, that can tip the balance easily enough. Only time will tell.

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FUTURE LEADERS

UNILEVER BIZMASTROS

‘15

This year, team Boom Boom of the Institute of Business Administration, Dhaka University bagged the title of Champions of Unilever BizMaestros 2015 beating over a hundred teams from all over the country.

Unilever BizMaestros began in 2010 with intent to identify extraordinary grad students who aspire to work with Unilever someday. BizMaestros is both inter as well as intra-university competition. It has grown to become very competitive with a growing number of participants with each passing year. This year, team Boom Boom of the Institute of Business Administration, Dhaka University bagged the title of Champions of Unilever BizMaestros 2015 beating over a hundred teams from all over the country. The runner up teams were Better Call Saul of Bangladesh University of Professionals and Desert Fox from Islamic University of Technology. The competition centered on the teams coming up with original ideas to promote a new fragrance of Lux Beauty Soap. Through this competition Unilever

not only sought to seek out a national champion but the only the best team to participate in the upcoming global contest Unilever Future Leader’s League 2016. Over 90 teams from 30 countries will compete against each other for the prestigious title. Team Boom Boom has to really up their game to even touch the benchmark set by the previous national champions who had secured the first runner up position at the Future Leader’s League 2015. Other than the obvious advantage of additional experience from taking part in BizMaestros, the participants got an opportunity to meet and interact with the leaders of Unilever Bangladesh on a personal level. Additionally, the semi-finalists got to meet the Directors of Unilever Bangladesh during Meet the Leaders sessions.

MEDIA ECONOMY

With a rapidly changing landscape of media consumptions, managers have to be cautious more than ever before when it comes to catering the right content or media buying By Sohana Nasrin

T 82

Challenges of Media Managers The rapid progression of technology in the 21st century has solidified media as a socialization force. Online social networking sites have become a part and parcel of our daily lives with millions of social interactions taking place in the virtual space in diverse forms. Although young people initially powered the speedy advancement of online media, nearly every age group contributes to the expansion of it today. The changing scenario in media landscape widened the horizon with opportunities while posing challenges simultaneously. Media organizations around the world are forced to modify their business and operation strategies to cope with the swift and forceful changes in the media. The five changes that appear to be most noticeable in the media industry of the 21st century are: emergence of media as a melting pot, the power shift and rise of netizens, growth of content vs. declining screen size, end of monopoly and rise of media startups, and more clustered media planning. If the global media were considered a country, the political orientation of the country at present would be socialism. The global community, as opposed to

individual ownership, regulates the production, distribution and exchange of media today where everyone has a stake and corresponding role. According to the third annual U.S. Media Myths & Realities survey conducted by Ketchum and the University of Southern California Annenberg Strategic Public Relations Center, the melding of media will result in a continuation of blurring the lines among different media cannels and companies. By the virtue of the melding of media, the content deliverables that were once owned by a specific medium are now available on nearly all platforms. This shift has raised an increasingly participatory and fragmented media landscape. Consumers have started to use wide varieties of channels than ever before making it a challenge for the established media to survive. The wonderful thing named Internet and other tools that come with it (e.g. YouTube, Twitter, Facebook, Blogs etc.) have shifted the power from an authoritative to individual level. Media are not the only content creators now; individual bloggers, netizens or citizen journalists are contributing as much as media, sometimes even in a larger scale.

MEDIA BUYING

The power of government has also weakened in terms of control and censorship as civil society continues to expand their roles. Some argue that censorship has died with the birth of Internet. It can be counter argued that for developing countries like Myanmar and Bangladesh, government still holds a supreme position in the realm of censorship. However, it is fundamentally impossible to control and censor every piece of information in thousands of online platforms that include social media networks and personal blogs. From an economic standpoint, a mixed approach of market and command economy is observed in most of the countries of the world, except North Korea and Cuba where the government still regulates all aspects, as suggested by Alan B. Albarran in the book named “The Media Economy”. As we are experiencing a large growth in media content, our screen size is on the declining side, and so is our attention span. Most of us are dependent on our palm top smart phones for news or information. Our smartphones, tabs and computers keep us confined in our rooms, which promotes individualistic values but discourages collective beliefs. The durations of the videos are reduced to cope with the shorter attention span, news has been made deliverable in 140 words (through Twitter) and more attentiveness has been provided to visual elements rather than written. This trend of media consumption has effects on several aspects of media management, e.g. content generation, media buying habits, media planning etc. and these aspects play important role in media economy. As stated before, established media, which traditionally exercised a business monopoly, are not in the same favorable condition in the 21st century as the consumption pattern has been shifted. The new media consumption pattern has leveraged the start-ups that are small in size but equipped with modern

technology and skillsets that enable them with bigger scopes. The rise of media startups and media entrepreneurs is especially visible in developing countries that thrive to be middle-income countries, e.g.Bangladesh, Nepal, Myanmar. The startups are mostly media outlets that deal with digital media, online news portal, interactive media agency, web-advertising agency, video production agency and likewise. The workforces who are associated with these companies are equipped with latest technological know-hows that give them a competitive advantage over traditional established media. As suggested by Robert G. Picard, the abundance in media has created fragmentation and polarization. Ever since the fragmentation started to occur, advertisers have been trying to cope with this development by selecting clustered media budgets where they pay less for a more target oriented audience. A trend of spending online is evident and as multiple sources predict, online media buying will be the premier activity of the advertisers in near future, if it is not already. Advertisers are already targeting one-on-one advertising through advertising in games and popular applications on mobile platforms. This shift of attention in media buying has also led the established media to feel challenged in terms of revenue generation. The changes that are being laid out above have had different kinds of impacts on the way in which media managers manage the resources available to their media organizations. The sways have been visible in different departments of the organizations, namely human resource, finance, technology etc. The media outlets are hiring more people who are technologically sound and have updated knowledge on latest software and online tools. Mostly the young generation is the ones who are updated about the latest development in technology. Thus a young but more

technically efficient workforce can be seen in different media outlets, especially in developing countries which is imperative for leadership building and development. On the other hand, as a result of the changes that have been seen in 21st century, media managers also have to deal with a workforce that need continuous training about new equipment, technology etc. which is sometimes not very profitable in terms of office budget and spending. The giant media outlets that are yet to adapt to the latest changes in business are suffering from a bad return of investment (ROI) and in many cases they have to diversify their focus into other arena to sustain the media business. This diversification can be positive and negative, depending on the strategies that media managers and owners are applying in the business. It has been observed in many developing countries including Bangladesh that media outlets opt to expand their business in fields that are completely foreign to their existing business. This new trend has definitely changed the economic scenario where the media industry used to be liable for a significant amount of economic growth. As Robert G. Picard points out, “Media companies worldwide are struggling to understand and adjust to wide-ranging external and internal changes that are altering modes of production, rapidly increasing competition, eroding their traditional audience and advertiser bases, altering established market dominance patterns and changing the potential of the firms.” This whole setup, which doesn’t sound very favorable to the media managers at present, challenges the media managers to adapt more dynamic role in an ever-changing scenario. A successful leader can acclimatize the worst situation and make a difference in any industry and thus there has not been a time like this in the history of media that calls for the most dynamic leaders and change-makers.

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WASTE MANAGEMENT

down to Zero UBL factory scores a ZERO on waste

Unilever Bangladesh has recently announced that the Company’s factory in Kalurghat, Chittagong produces zero waste to landfill. The local unit joins the league of Unilever’s global factories, 100% of which are zero waste to landfill sites. The Company undertook some audacious environmental targets under the Unilever Sustainable Living Plan (USLP) launched in 2010. Eliminating waste to landfill was one part of the plan which aims to reduce the Company’s environmental impact across its value chain. “Our factories play a major role in achieving this target. A lot of waste is generated regularly in our manufacturing processes – be it fuel waste, chemical or food waste and even packaging waste,” says Aminur Rahman, Supply Chain Director, Unilever Bangladesh. Over the years, Unilever Bangladesh’s Kalurghat factory has taken focused steps to transform into a Zero Waste to landfill site. In 2015 this dream became a reality with the factory recycling and reusing all the waste that would otherwise go into landfill. The food waste generated on site – be it from the canteen or kitchen waste – is composted and used for gardening in and around the factory. This helps

Unilever Sustainable Living Plan Launched in 2010, the Unilever Sustainable Living Plan is Unilever’s blueprint for sustainable growth. The Plan is helping to drive profitable growth, reduce costs and fuel innovation. The Plan sets out three big goals. 1. IMPROVING HEALTH AND WELL-BEING for more than 1 BILLION By 2020 2. REDUCING ENVIRONMENTAL IMPACT of making and use of our products by 1/2 by 2020 3. ENHANCING LIVELIHOODS for MILLIONS By 2020 as we grow our business. By the end of 2014, four years into the USLP, Unilever Bangladesh has, • helped 17.8 MILLION people to improve their hygiene habits with the Lifebuoy hand washing program • provided safe drinking water to 1.4 MILLION people with Pureit • completely ELIMINATED waste to landfill from their factory in Kalurghat, Chittagong • HALVED water consumption in manufacturing at their Kalurghat factory, compared to 2008 levels To learn more about the Unilever Sustainable Living Plan please visit www.unilever.com.bd

cut down the environmental impact of the waste as well as beautifying the factory surroundings. Process waste from manufacturing glycerin – has also been systematically reduced. The raw material used has been suitably changed to lower waste generation in production. The lower amount of waste produced is being recycled through several initiatives such as selling it as an input to a low grade soap producer. As a result, glycerine waste has been eliminated completely. The other major source of waste, raw material and packaging material waste, was reduced mainly through employee generated ideas. Ideas crowdsourced from the employees helped reduce laminate waste alone to 50% of 2008 levels. Unilever Bangladesh remains passionate about their efforts to reduce the environmental impact of their manufacturing process. “In addition to eliminating waste we have also halved the consumption of water in our manufacturing process,” Aminur Rahman informs “we are also working towards reducing our energy consumption and carbon dioxide emission. These are our small actions to give back to the community we operate in.”

CORPORATE FITNESS

Besides easy stretches and smart get ups, you need confidence to fit the bill

How to be a corporate

James Bond

In-Office Work Outs!

By Mashroor Aziz

It took Ian Fleming all the fantasies of men and all the desires of women to mould into one epic character: James Bond. Sean Connery gave the character life and made it popular, but in recent times, Daniel Craig made bond look more realistic. Some say each actor that played Bond gave the character a unique pizzazz. The gadgets and action packed adventures are not the only ingredients that go into making up such a suave personality; a lot of work and continuous effort goes into maintaining such a persona. To look as dashing as James Bond, the ladiesâ&#x20AC;&#x2122; man, you need to shed those extra pounds. Becoming leaner will not only make you more attractive but will also increase your confidence at your work place; it makes for good symmetry. In chaotic Dhaka city, it is very difficult to allocate time for an effective work out; especially after a hectic day at the office. Do not fret if you cannot find the time to sculpt your body. Here at ICE Business Times we have created an easy to follow workout line up for all those busy corporate James Bond wannabes.

STANDING HIP-EXTENSION STRETCH Stand and place your left foot on a chair with your knee bent 90 degrees. Tighten your right buttock and reach over head as high as you can with your right arm. Side- bend slightly to the left .Hold 30 seconds; repeat on the other side. WALL SLIDE 1SCAPULAR Stand with your back and head against a wall. Place your arms against the wall so they form a W. Slide tour arms upward into a Y. Hold for a count of 3 and then lower them. Do this 12 times.

CURL 2ELBOW With your hands behind your

head, squeeze your shoulders blades together for 2 seconds. Next, move your elbows in front of your nose, and hold again. EXTENSION 3THORACIC With your hands behind your head, bend your upper body over a chairâ&#x20AC;&#x2122;s back as far as possible. Draw in your shoulder blades. Hold for 2 seconds. UPS 4PUSH This is probably the best free hand work out. For the first timer performing a proper push up will be difficult, so here what you can try. Get

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007

Mission: Healthy Eating

1. Are you eating enough fruits every day? We may all know how essential fruits are for a healthy diet, but are we consciously making this food group a part of our daily intake? Fruits are our nutritional powerhouses that actively fight diseases and infections, while maintaining health. 2. It might be easier to order out, but it is best if you bring your own lunch. Ahome cooked meal is always better. 3. Drink lots of water or fresh juice. Cut down on those cups of coffee and sugar filled cups of tea. 4. Do not keep fried snacks with you, and learn to say no when your colleague tempts you. It is better to eat dry fruits, which are easily available at stores. 5. Swap sandwiches for soup. Pennsylva

Visual Rest Pactoral Stretch Wrist Stretch Eye Exercise Wrist and Elbow Stretch Back Arching

Working out so determinedly will be even more effective if you eat responsibly. The first thing you need to before going on a diet, is change how your mind is set. Instead of thinking of healthy eating as a temporary lifestyle choice, think of it as a major permanent change. Make it a regular habit, and say goodbye to gorging on junk food. Not only will this enriched healthy diet help you lose weight but it will also make your skin glow and make you look younger.

Head Turns

you can always do a bit more of walking in the office. Try using the stairs as much as possible if you are stuck in traffic a lot. If you live close to your house, ditch the car and walk. If possible try to do a bit of jogging in the morning or even in the evening for up to 20 to 30 mins.

Foot Pump

JOGGING OR WALKING 5While jogging will be difficult in the office

Back Stretches

down in a crawling position the just using your hands push up and down. Try doing 5 sets with 20 reps each, you can take 60 sec break after each set and don’t forget to breathe. Once you get the hang of this within two or three weeks you will be able to give more inclined and clean push-ups. Start with 30 pushups every day then increase the number of reps as you become stronger.

Clever Ways to Get Some Exercise Done @ the Office

nia State University researchers found dieters who ate soup twice a day were better at losing weight and maintained on average, a total weight loss of more than 7kg after a year; soup is dense but not calorific.

The Killer Attire

Once you have sculpted your body, in the words of Barney Stinson, it is time to ‘Suit Up!’ It is exasperating to see men wearing jackets, which are shaped, like a box; a good jacket should be body hugging and it should be V shaped. Another common mistake that the working people do is wear slouching or baggy formal pants. Go for straight fit formal pants, not too loose and not too tight. Take advice and help from some professional tailors; Buy some nice fitted suits. Unlike 007 you can skip the bow tie, as it would look silly to wear one to the office. Instead, try a nice sleek looking tie. Ones in bold solid colors usually add a little spice to the office wardrobe. A good pair of shoes is very important to bring out the sexiness of the completely corporate attire. Those flat big shoes are not considered swanky. A classic leather lace up dress shoe can never go wrong with a fitted suit. In summer if you are not wearing suits then instead of a dress shoe try wearing loafers. Try to use a certain type of musk or signature scent. This will definitely catch the attention of the ladies. Make sure the cologne is not too overpowering. However, you should always look and give off a fresh aroma. Now we come to accessories. To complete the bond look, a nice watch would be the way to go. When it comes to suits, try not to wear watches that are made out of leather. Avoid jewelry; leave that to your girlfriend or wife. Did you ever see James Bond wearing a gold necklace or multiple rings? I think not. Finally yet importantly, you need to have confidence in yourself. Before making others believe that you are like James Bond you need to make yourself believe. Of course, it will take time. The Taj Mahal was not built in one day, so have patience and keep working on your swag. Soon you will have the license to be successful at everything you do.