High parcel prices keep entrepreneurs away from Rajshahi Bscic-2

highlight:

• Rajshahi Bscic-2 has only 38 parcels allocated out of 286 parcels.
• Plot price Tk 1136.27 per square foot
• Last application date for parcel allocation was September 12, 2022
• Entrepreneurs apply to Rajshahi Chamber of Commerce for parcel price reduction
• Rajshahi Bscic-2 was built on 50 acres of land at a cost of Tk 172 million

Entrepreneurs have been hesitant to allocate plots in Industrial City-2 (Bscic-2) of Bangladesh Small and Cottage Industries Corporation in Rajshahi due to high prices.

Officials said the authorities issued a notice on the allocation of 286 plots of Rajshahi Bscic-2 on 28 July 2022. The last day to submit his application was September 12th. However, so far only 38 lots have been allocated in industrial cities.

According to the entrepreneur, the plot price of Rajshahi Bscic-2 is fixed at Tk 1,136.27 per square foot, which is the highest among BSCIC industrial cities in the country.

Prices for plots in the industrial city are almost double those in the surrounding areas of Rajshahi. That’s why many people don’t apply for the plot, they added.

Entrepreneurs have to pay Tk 51 lakh to Tk 82 lakh to acquire a plot in an industrial city available in 10 installments over a period of 5 years. However, the circular also states that his 20% price of the parcel must be prepaid upon submission of the application.

The entrepreneur has already applied to the Rajshahi Chamber of Commerce for a parcel price reduction.

Riaz Ahmed Khan, managing director of Rahmania Foods, told The Business Standard: I wanted to build a food and beverage factory here. ”

Asaduzzaman Robi, Chairman of Multitech Limited, wanted to set up a factory at Rajshahi BSCIC-2. However, due to the high parcel price, they did not submit an application even after purchasing.

“If the authorities reduce the parcel price, I will file an application,” he said.

He further added, “Bscic-1 in Rajshahi is located in the Sapra district of the city. But Bscic-2 is about 10 km away from the city. can you set up a factory here at such a price?”

Rajshahi Chamber of Commerce Chairman Masudur Rahman Rinku said: .But there is still no solution to the problem. ”

In July this year, the authorities issued a circular to allocate 694 parcels to 23 Bscic industrial areas nationwide. In Madaripur Bscic, the price is fixed at Tk 910.43 per square foot, which is his second highest after Rajshahi. On the other hand, in Sylhet Bscic, the price per square foot is fixed at Tk 688.71.

Zafar Bayezid, deputy general manager of Rajshahi Bscic, said the high construction costs have kept the price of plots in Rajshahi Bscic-2 high.

Regarding a possible parcel price reduction, he said, “No decision has yet been made to lower the price. There have been 31 applications for 38 parcels. It will be assigned later at the January meeting. Validation.”

According to official sources, Rajshahi Bscic-2 will be built on 50 acres of land and will cost Tk 105 kroner for land purchase and development and Tk 67 kroner for infrastructure costs in Kachua Toil, Uzirupukur and Lalitahar areas of Pava Upazila. Including, Tk 172 kroner was spent. All construction work on the project is nearly complete.

According to officials, the industrial city will create job opportunities for around 10,000 people.

Of the industrial city’s 286 parcels, 133 are classified as ‘A’ type developed parcels on 6,000 square feet of land and 113 are classified as ‘B’ type parcels on 4,500 square feet of land.

In addition, 24 “S-1” type parcels were developed on 4,834.80 square feet of land and 16 “S-2” type parcels were developed on 7,209.60 square feet of land.