The Bangladesh Export Processing Zone Authority (Bepza) has reported a significant surge in investment activity at its Mirsharai economic zone, with five foreign firms already commencing production and export operations.
Between January and September 8, 2025, Bepza facilitated the signing of 23 investment agreements totaling approximately $333.72 million. Since the zone’s inception, a total of 48 companies have entered lease agreements worth over $1.028 billion in committed investments, which are projected to create around 131,000 jobs. Actual foreign investment inflows currently stand at roughly $61.41 million.
This year alone, 12 companies are planning to set up manufacturing units within the zone, with a combined proposed investment of about $208.53 million.
Operational firms include five companies, four from China and one from South Korea that have already started production, exporting goods valued at approximately $17.3 million and providing employment to nearly 4,000 workers. These firms produce a diverse range of products, including footwear accessories, lingerie, textiles, packaging materials, adhesives, and primers for footwear. Notably, Fengqun Composite Material Co (BD) Ltd produces footwear accessories and packaging, while Mingda (Bangladesh) New Material Co Ltd manufactures textiles and packaging. Youngchang BD Co Ltd from South Korea specializes in adhesives and primers.
These companies are planning to expand their operations, with a combined proposed investment of over $156 million. Additionally, four more firms, Goodwood (Dhaka), Jibin Technology, Taisheng Webbing, and Youngchang BD, are expected to begin production shortly, focusing on sectors such as wooden cutlery, medical devices, shoe accessories, and chemical products.
Investor interest in the zone continues to grow. ASM Anwar Parvez, Bepza’s Executive Director (Public Relations), highlighted that investor enthusiasm was evident even before Bangladesh secured tariff concessions in the US market. Currently, 48 companies have signed agreements covering sectors from garments and footwear to pharmaceuticals, tobacco machinery, and drone technology. Furthermore, around 15 additional companies are in the pipeline, with several more anticipated to sign agreements soon. Overall, 35 to 40 firms have expressed keen interest in establishing operations within the zone.
Chinese investors are the predominant players, followed by companies from South Korea, Sri Lanka, the US, the UK, Canada, Singapore, India, the UAE, the Netherlands, the British Virgin Islands, Malaysia, Ireland, and local Bangladesh firms. For example, the Chinese Kaixi Group has made significant investments, including the launch of Kaixi Lingerie Bangladesh Co Ltd in June 2024 with an investment of $60.85 million, which has already employed around 3,700 workers. The company recently signed an additional agreement to invest another $40.05 million under the name Kaixi Garments Bangladesh Ltd.
Local firm Oasis Accessories (Pvt) Ltd has also joined the zone, committing $4.8 million to establish a garment accessories factory. Future investment prospects include ventures in furniture, camping gear, bags, eyewear, electric bicycles, solar panels, and personal care products.
Bangladesh’s recent negotiation efforts have led to a reduction in the US reciprocal tariff on its exports to 20%. However, tariffs from India and China remain high at approximately 50% and 30%, respectively, which has spurred increased interest from companies in those countries to establish manufacturing bases in Bangladesh, according to Bepza officials.
In terms of infrastructure, the zone’s authorities have emphasized reliable utility services, including electricity, groundwater, and upcoming water treatment facilities. A gas distribution pipeline, which is 80% complete, has been installed by Karnaphuli Gas Distribution Company.
The development of the Mirsharai zone follows a broader government initiative to expand export processing zones across Bangladesh. Approved in 2018, the 1,138.55-acre site within the National Special Economic Zone features 539 industrial plots for both domestic and foreign investors. The zone is anticipated to attract investments totaling $4.5 billion and generate nearly 500,000 jobs once fully operational. Although the official project tenure extends until the end of 2025, early infrastructure readiness has allowed investor activities to commence ahead of schedule.
