An initiative to establish a new economic zone could not be implemented for about three years due to a feud between two top business groups.
A tug of war between Sanowara Group and Kazi Farms is going on over the land of the proposed Kazi Farms Economic Zone.
Bangladesh Economic Zones Authority (BEZA) has tried to mediate between the two business groups. BEZA, however, could not resolve the issue. It has not yet given a licence for the economic zone to Kazi Farms.
Sources said Kazi Farms Group submitted a proposal to BEZA in 2017 to establish an economic zone on 130 acres of land in Chandanaish of Chattogram.
In 2018, Kazi Farms Economic Zone was approved in BEZA board meeting presided over by prime minister Sheikh Hasina.
However, Kazi Farms Group could not start carrying out any of the essential tasks required for the zone in last three years due to complexities over land.
Kazi Farms Group founder and managing director Kazi Zahedul Hasan told Prothom Alo, "We want to establish an economic zone a Chandanaish. We have acquired land from Sanowara Group. Food processing factory will be established there. Foreign investors have interest to invest there. We will lease out land to them."
After talking to both the parties, it was learnt Kazi Farms Group bought 130 acres of land in Chandanaish upazila from Sanowara Group in 2015 to establish an economic zone. But a feud between the two groups surfaced when process began to set up the Kazi Farms Economic Zone.
Following a dispute, Sanowara Group lodged a complaint with BEZA in 2019 saying the land acquired by Kazi Farms has not been demarcated properly. Afterwards, BEZA held several hearings between the two groups in its office. However, there was no breakthrough.
Later BEZA gave its decision that there is no complications regarding the land Kazi Farms purchased from Sanowara Group. The objection of Sanowara Group is not acceptable. So there was no land-related problem to establish an economic zone there.
BEZA, however, said Kazi Farms Group has to ensure that the operation of the economic zone did not hamper movement in the plots of land adjacent to the economic zone.
Not happy with the decision of BEZA, Sanowara Group filed a case with the court in 2019, which is now under trial. BEZA informed Kazi Farms Groups that they would not be given a licence of economic zone until the case under trial is settled in the court.
BEZA officials said the matter of establishing an economic zone is under trial in the court. It has nothing to do with BEZA.
Talking with the officials of two groups, it is learnt Sanowara Group does not want the economic zone to be established there as Kazi Farms Group did not disclose the matter while purchasing the land. They are unhappy over this matter.
Sanowara Group has more land there and requested Kazi Farms to purchase the remaining land. But Kazi Farms said they did not need the remaining land. They claim there are complications over the ownership of the land. Afterwards, the situation started to changed and the matter rolled down to the court.
Speaking to Prothom Alo, Sanowara Group manager Jahangir Alam said, "Some problems surface over land with Kazi Farms. However, we are in discussions with them and hope the matter will be resolved."
He said, "There are a total of 300 acres of land where Kazi Farms is establishing an economic zone. Kazi Farms has acquired a total of 130 acres of land. We are negotiating with Kazi Farms for them to purchase the remaining 170 acres of land. We want them to buy this remaining land."
BEZA executive chairman Shaikh Yusuf Harun said some conditions were set when proposed economic zone of Kazi Farms Group was approved at the board meeting in 2018.
"They could not fulfill those conditions. A case between two groups is under trial. If the two business groups settle the issue, it would be possible to give the license finally," he added.
Shaikh Yusuf Harun also said there is some land in the middle of the area where Kazi Farms wants to establish the economic zone. It must be settled as to how that land will be used.
Meanwhile, Kazi Farms has been asked to get a no objection certificate (NOC) from the forest department and Water Development Board. But they did not obtain that yet.
*This report, originally published in Prothom Alo print edition, has been rewritten in English by Rabiul Islam.