Youngone Corporation of Korea, the largest foreign investor in Bangladesh, has been facing hurdles at every step for the last 16 years while the country is desperately seeking foreign direct investment (FDI). According to sources, a crisis has developed in the Korean EPZ (KPEZ) as the government has reportedly decided to take back a large chunk of the land allotted to the company for their functioning here. The Awami League government in 1999 allotted 2492.35 acres of land on the bank of Karnaphuli river in Chittagong to the South Korean government-nominated enterprise Youngone Corporation for setting up the KEPZ. A gazette notification in this regard was published on October 7 of the same year. Reports have appeared in the media recently that the government would take back 500 acres of land from the company. The possession of the land was handed over in 1999, but the mutation has not been completed yet. The environment clearance for infrastructure was issued 10 years later. Gas and power connections were snapped on more than one occasions. Chairman of Youngone Corporation Kihak Sung has sought cooperation of the government as regards the KPEZ. He said the government cannot take back the land as the company is protected by the law and the agreement. But any move to take back a large portion of the land of the KEPZ by the government will affect the country as this will send a negative message to foreign investors and discourage them seriously, he added. On this issue, Deputy Commissioner of Chittagong Mezbah Uddin said, “The question of taking back the land does not arise, as the KEPZ authorities are not the owner of the land at all.” It was seen during an on-the-spot survey that the construction work of four factories of the Youngone Corporation in that EPZ is progressing fast. Preparations are going on for the construction of 10 more factories. The construction of internal road is also almost complete and residential houses have been constructed for the foreign buyers. Kihak Sung said, “A lot of development at KEPZ has been made so far and 67 percent of land area earmarked for industries has already been developed for setting up the factories. We have invested $250 million there. So the allegation that the authorities have failed to develop the zone is baseless.” “We are not sitting idle. A lot of development has been made so far. We did not violate the rules, any terms and condition,” said the Korean entrepreneur who has made his presence in Bangladesh for over 35 years. Youngone is a global listed company and 30 percent of its investment is from US and European countries, he said adding that the market capital of the company is $3 billion. If Youngone’s investment faces setback here, then definitely it will bear an alarming message to foreign investors, he added. “The largest investment I have made in Bangladesh and I want to see more and more FDI comes here because I like this country and its people,” Kihak Sung said, adding, “I make profit to reinvest here, which is gradually increasing employment scope.”
