The state-owned Bangladesh Steel and Engineering Corporation (BSEC) has signed a Memorandum of Understanding (MoU) with a consortium comprised of the Dutch shipbuilding giant Damen Shipyards Group and Australian firm Gentium Solutions to carry out a feasibility study for a new state-of-the-art shipyard in southern Bangladesh.
The goal of the MoU is to establish and develop a shipbuilding and ship repair industry in the Bangladesh. The aim is to build ships in Bangladesh, for Bangladesh, with a long-term view of serving export markets. The partners in the MoU will undertake a number of tasks in this direction.
The Bangladesh government will invest over $1 billion in the project under the plan on a 105-acre site in Charnishanbaria of southern Patuakhali once the feasibility study is completed.
The initial MoU was signed at the Ministry of Industries (MoI).
As part of their role in the MoU, Gentium-Damen will facilitate a transfer of technology and knowledge to help Bangladeshi personnel develop the skills required to serve the international maritime industry. As a result of this, the MoU will create significant training and employment opportunities within Bangladesh.
Area Director Asia Pacific of Damen Shipyards Group Roland Briene, who signed the MoU on behalf of Damen, said, “We are very pleased to be participating in this MoU. Damen has a long track record of skills and knowledge transfer of which we are immensely proud. It is our philosophy and practice to help develop the shipbuilding and maritime industries in the countries in which we operate. This includes investing in the establishment of high quality facilities and equipment and the training of local personnel. Time and again we have witnessed this leading to the establishment of sustainable shipbuilding initiatives able to serve the global marketplace. We are very much looking forward to applying our experience, along with our partners Gentium and the Ministry of Industry, here in Bangladesh.”
It may be mentioned this will be the first shipyard to be built by Damen Shipyards once feasibility studies are concluded.
The state owned Bangladesh Steel and Engineering Corporation (BSEC) was founded in 1976. It is in charge of a number of heavy industries including Pragati, which assembles vehicles and Honda brand motorcycles. It previously owned the Dockyard and Engineering Works (DEW) in Narayanganj and the Chittagong Dry Dock Ltd (CDDL) before those were transferred to the ownership and management to the Bangladesh Navy. Both formerly owned BSEC shipyards are now mostly engaged in building warships for the Bangladesh Navy and Coast Guard. CDDL has been tasked with a contract to build 6 guided missile frigates for the Bangladesh Navy in partnership with a foreign company.
