After a long-term decline in the demand, operations of the world’s largest jute mill in Bangladesh came to a halt in 2002, leaving 24,916 people unemployed. Later in 2006, the Adamjee Jute Mills area was transformed into the Adamjee Export Processing Zone (EPZ), opening doors for investment and higher export earnings, and generating employment opportunities for some 62,200 people as of now. In the last 14 years, 245.12-acre Adamjee EPZ significantly contributed towards increasing export earnings and providing work opportunities for locals in the area, located on the banks of the Shitalakhya River in Narayanganj.
Unimaginable progress of Adamjee EPZ
Employment generated at the EPZ stood at 62,200 in FY2019, compared to just 7,772 in FY2009. In the last 10 years, employment increased by 54,428 workers or eight times, according to data provided by the Bangladesh Export Processing Zone Authority (BEPZA). Meanwhile, female workers are also playing a vital role in the progress of economic activities in Adamjee EPZ. “We have set a milestone in women empowerment. A large number of female workers are working at Adamjee EPZ. Around 65% of the workers are women,” BEPZA General Manager and spokesperson Nazma Binte Alamgir told Dhaka Tribune. According to BEPZA, the flow of investment in Adamjee EPZ rose to US$521.93 million by June 2019, from just US$66.47 million in June 2009. The total amount of export earnings from the Adamjee EPZ also increased to US$ 4483.67million by the year end of FY2019, which was US$84.92 million in FY2009. Export earnings from the EPZ rose by US$398.75 million over the last 10 years, thanks to the government’s business-friendly initiatives.
What led to such progress at Adamjee EPZ?
With the Adamjee EPZ being in close proximity to the country’s capital Dhaka, it easily attracted both domestic and foreign investors, said stakeholders. “New factories are being set up in the zone, creating more jobs. This is because BEPZA strictly maintains the various compliance issues, building code, fire-fighting safety standards, etc. Furthermore, BEPZA also regularly monitors the wages, benefits, rights and welfare of the workers,” Nazma Binte Alamgir told Dhaka Tribune. “The EPZs are moving forward in achieving the Vision-2021 and Vision-2041 under the leadership of Prime Minister Sheikh Hasina,” she added. In order to stimulate rapid economic growth of the country, particularly through industrialization, the government adopted an ‘Open Door Policy’ to attract foreign investment to Bangladesh. BEPZA is the official organ of the government to promote, attract, and facilitate foreign investment in the EPZs, said its officials.
Current status of Adamjee EPZ
Being the 6th-largest special economic zone in Bangladesh, Adamjee EPZ finds itself in a sweet spot just 15km from Dhaka, 27km from Hazrat Shahjalal International Airport and 255km from the Port of Chittagong. Currently, the EPZ has 245.12 acres of land with 48 local, foreign, and joint venture industrial establishments. Industries at the EPZ produce a variety of products, including electronics and electrical items, garments accessories, plastic products, metal products, sweater garments, chemical, jewellery, footwear and textiles, among others.
The history behind the transformation
In 1950, Adamjee Jute Mill was established by the Adamjee Group with a production capacity of 117 tons of twist and yarn, 953 tons of hessian and 4,006 ton of jute sacking bags. Following the country’s Liberation War in 1971, the mill became an abandoned property and its ownership and management was transferred to the Bangladesh Jute Mills Corporation in 1972. After nationalization in 1972, the jute mill faced immense obstacles, such as overstaffing, lack of work discipline, absenteeism, and unionism. At the same time, the mill’s new management also failed to ensure quality of their output and soon lost the reputation and preference it once enjoyed from foreign buyers. Since then, the mill started counting losses and finally in 2002, the government decided to wind up its operations and paid all dues to workers. On March 6, 2006, the then prime minister Khaleda Zia inaugurated Adamjee EPZ.
