[🇧🇩] Building a Modern Defense Industry in Bangladesh
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Bangladesh Defense
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Bangladesh govt mulls attracting FDI in defence industry
Bangladesh is planning to attract foreign direct investment in production of defence hardware, said Bangladesh Investment Development Authority executive chairman Chowdhury Ashik Mahmud Bin Harun on Wednesday...
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Bangladesh govt mulls attracting FDI in defence industry
UAE-based DP World for free trade zone
Staff Correspondent 09 April, 2025, 20:17
Bangladesh is planning to attract foreign direct investment in production of defence hardware, said Bangladesh Investment Development Authority executive chairman Chowdhury Ashik Mahmud Bin Harun on Wednesday.
‘We have an initiative to allow foreign investors to transfer technology here,’ he said at a briefing on the third day of the Bangladesh Investment Summit 2025 at a hotel in the capital Dhaka.
Side by side, foreign investors will be allowed to export defence hardware, he added while responding to a question whether the BIDA had plans to open the door of the defence industry to foreign investment.
FDI in defence hardware is not permitted in Bangladesh as it has been prioritising sectors like textiles and garments, infrastructure development, energy and power, IT, agro-processing, leather and footwear, pharmaceuticals, and tourism and hospitality for FDI.
Chowdhury Ashik observed that small defence hardware like radio, binoculars, and survival tools had a huge market.
He, however, said that the establishment of a military economic zone was a long journey.
Earlier, he stated they were talking with the army, the navy and the air force about the issue since the country’s existing ordinance factories were operated by the entities.
On the day’s events, the BIDA chairman said that the investment summit attracted an overwhelming number of visitors and DP World, a United Arab Emirates-based logistics company, had proposed the establishment of a free trade zone in Bangladesh as part of a long-term investment plan.
The announcement was made during a presentation by DP officials at the summit venue.
The DP World chairman and CEO, Sultan Ahmed bin Sulayem, called on Bangladesh interim government’s chief adviser Muhammad Yunus at the state guest house Jamuna on the same day.
The BIDA executive chairman said that DP World wanted to operate a port like the one it had been operating in the UAE capital Dubai since 1985.
DP World calls it Jebel Ali Free Zone or Jafza in short and it is one of the world’s leading free trade zones that generated trade worth $104 billion in 2019, according to DP World.
Chowdhury Ashik also said that DP World would prefer an area close to Matarbari in Cox’s Bazar to establish the free trade zone because of close proximity of the under-construction deep sea port there.
He said that a Bangladeshi team would visit the UAE soon to gather knowledge about the free trade zone, a designated geographic area where goods can be imported, stored, handled, manufactured, or reconfigured, and then re-exported, generally without customs duties or other taxes.
He also said that three political parties — Bangladesh Nationalist Party, Bangladesh Jamaat-e-Islami and newly launched National Citizen Party — participated in the summit on the day and gave answers to queries from foreign investors.
Today is the fourth and final day of the summit.
UAE-based DP World for free trade zone
Staff Correspondent 09 April, 2025, 20:17
Bangladesh is planning to attract foreign direct investment in production of defence hardware, said Bangladesh Investment Development Authority executive chairman Chowdhury Ashik Mahmud Bin Harun on Wednesday.
‘We have an initiative to allow foreign investors to transfer technology here,’ he said at a briefing on the third day of the Bangladesh Investment Summit 2025 at a hotel in the capital Dhaka.
Side by side, foreign investors will be allowed to export defence hardware, he added while responding to a question whether the BIDA had plans to open the door of the defence industry to foreign investment.
FDI in defence hardware is not permitted in Bangladesh as it has been prioritising sectors like textiles and garments, infrastructure development, energy and power, IT, agro-processing, leather and footwear, pharmaceuticals, and tourism and hospitality for FDI.
Chowdhury Ashik observed that small defence hardware like radio, binoculars, and survival tools had a huge market.
He, however, said that the establishment of a military economic zone was a long journey.
Earlier, he stated they were talking with the army, the navy and the air force about the issue since the country’s existing ordinance factories were operated by the entities.
On the day’s events, the BIDA chairman said that the investment summit attracted an overwhelming number of visitors and DP World, a United Arab Emirates-based logistics company, had proposed the establishment of a free trade zone in Bangladesh as part of a long-term investment plan.
The announcement was made during a presentation by DP officials at the summit venue.
The DP World chairman and CEO, Sultan Ahmed bin Sulayem, called on Bangladesh interim government’s chief adviser Muhammad Yunus at the state guest house Jamuna on the same day.
The BIDA executive chairman said that DP World wanted to operate a port like the one it had been operating in the UAE capital Dubai since 1985.
DP World calls it Jebel Ali Free Zone or Jafza in short and it is one of the world’s leading free trade zones that generated trade worth $104 billion in 2019, according to DP World.
Chowdhury Ashik also said that DP World would prefer an area close to Matarbari in Cox’s Bazar to establish the free trade zone because of close proximity of the under-construction deep sea port there.
He said that a Bangladeshi team would visit the UAE soon to gather knowledge about the free trade zone, a designated geographic area where goods can be imported, stored, handled, manufactured, or reconfigured, and then re-exported, generally without customs duties or other taxes.
He also said that three political parties — Bangladesh Nationalist Party, Bangladesh Jamaat-e-Islami and newly launched National Citizen Party — participated in the summit on the day and gave answers to queries from foreign investors.
Today is the fourth and final day of the summit.
Saif
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এবার মিসাইল ও রকেট লঞ্চার বানাবে বাংলাদেশ । আরও বাড়ছে সামরিক সক্ষমতা | (Bangladesh army is all set to manufacture various weapons and armored vehicles with Chinese help. The current government has taken bold initiative to build a domestic defense industry to bolster defense capabilities of Bangladesh armed forces.)
Saif
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The Bangladesh Machine Tools Factory (BMTF), a commercial enterprise managed by the Bangladesh Army, is indeed collaborating with a foreign partner to assemble advanced tanks and armored combat vehicles. This initiative is part of BMTF's expansion into the automobile sector and aims to indigenously produce military equipment.
BMTF's involvement in assembling tanks and armored vehicles is a significant step in Bangladesh's defense industry development. Here's a more detailed look:
BMTF's involvement in assembling tanks and armored vehicles is a significant step in Bangladesh's defense industry development. Here's a more detailed look:
- Collaboration:
BMTF is partnering with a foreign entity, though the specific partner is not publicly disclosed.
- Focus on Advanced Vehicles:
The project focuses on assembling "advanced" tanks and armored combat vehicles, indicating a move towards more sophisticated military technology.
- Indigenization:
This initiative is part of a broader effort to reduce reliance on foreign imports and build up local defense manufacturing capabilities.
- BMTF's Role:
BMTF, a state-owned enterprise, is taking the lead in this project, leveraging its experience in manufacturing and assembling various military equipment, including the Arunima Boliyan military truck.
- Potential Impact:
The project has the potential to modernize the Bangladesh Army's equipment and boost the local defense industry.
- Beyond Assembly:
While the initial focus is on assembly, there's potential for future development of design and integration capabilities.
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Bangladesh-Turkey defence ties deepen with Industrial Complex plans, raising eyebrows in India - The CSR Journal
Even as the Bangladesh Army continues to import significant volumes of military hardware from China, the country is now forging deeper
thecsrjournal.in
Bangladesh-Turkey defence ties deepen with Industrial Complex plans, raising eyebrows in India
Ujjal Roy
June 6, 2025
Even as the Bangladesh Army continues to import significant volumes of military hardware from China, the country is now forging deeper strategic defence ties with Turkey — a move that is drawing attention in New Delhi.
According to official sources, Bangladesh Investment Development Authority (BIDA) is planning to establish defence industrial complexes in Chittagong and Narayanganj in partnership with Turkish defence firms. This development emerged during a recent five-day visit to Turkey by BIDA Executive Chairman Chowdhury Ashik Mahmud Bin Harun, where extensive discussions were held with Turkish officials.
Harun and his delegation were given exclusive access to Makine ve Kimya Endustrisi (MKE) — Turkey’s state-owned defence manufacturer based in Kirikkale, in Central Anatolia. The visit included classified briefings and on-site exposure to production and testing facilities, focusing on artillery systems, energetics, and small arms.
BIDA’s objective was to pursue co-production, technology transfer, and capacity-building agreements as part of a long-term plan to strengthen Bangladesh’s indigenous defence manufacturing capabilities.
This is not Bangladesh’s first engagement with MKE. In late 2024, the Bangladesh Army acquired 18 units of the MKE Boran 105mm howitzers, with the intent to expand that to 200 units. The country is also reportedly in talks to acquire TRG-230/300 rocket systems and Otokar Tulpar light tanks from Turkish manufacturers.
Defence cooperation between Bangladesh and Turkey has grown substantially since 2018, when Dhaka procured 15 types of military equipment, including Bayraktar TB2 drones, widely known for their battlefield effectiveness.
New defence clusters under evaluation
According to officials, the proposed defence industrial clusters in Chittagong and Narayanganj — both strategically located with access to ports or river systems — would be developed under the Bangladesh Economic Zones Act 2010, which offers tax holidays, customs exemptions, and flexible operating conditions for foreign investors.
MKE is expected to dispatch technical evaluation teams to conduct on-ground site assessments in the coming weeks. Sources also indicate that formal negotiations between Bangladesh and Turkey are underway to finalise a memorandum of understanding (MoU) and institutionalise a Defence Industrial Working Group to coordinate policy, planning and implementation of joint projects.
India’s rising strategic concern
The growing alignment between Dhaka and Ankara in the defence sector — coupled with Bangladesh’s continued dependency on Chinese military supplies — is being closely monitored by Indian defence and diplomatic circles.
India views Bangladesh as a critical regional partner, and the emergence of Turkey, a close ally of Pakistan, as a defence collaborator with Bangladesh could reshape the regional strategic calculus.
While India has traditionally maintained strong bilateral and military ties with Bangladesh, including joint military exercises and border cooperation, the parallel deepening of ties with China and Turkey is likely to raise concerns in South Block about Bangladesh’s evolving defence posture and strategic independence.
Though there has been no official statement from India, analysts suggest New Delhi may seek greater engagement with Dhaka in defence diplomacy to avoid strategic surprises in its eastern neighbourhood.
Ujjal Roy
June 6, 2025
Even as the Bangladesh Army continues to import significant volumes of military hardware from China, the country is now forging deeper strategic defence ties with Turkey — a move that is drawing attention in New Delhi.
According to official sources, Bangladesh Investment Development Authority (BIDA) is planning to establish defence industrial complexes in Chittagong and Narayanganj in partnership with Turkish defence firms. This development emerged during a recent five-day visit to Turkey by BIDA Executive Chairman Chowdhury Ashik Mahmud Bin Harun, where extensive discussions were held with Turkish officials.
Harun and his delegation were given exclusive access to Makine ve Kimya Endustrisi (MKE) — Turkey’s state-owned defence manufacturer based in Kirikkale, in Central Anatolia. The visit included classified briefings and on-site exposure to production and testing facilities, focusing on artillery systems, energetics, and small arms.
BIDA’s objective was to pursue co-production, technology transfer, and capacity-building agreements as part of a long-term plan to strengthen Bangladesh’s indigenous defence manufacturing capabilities.
This is not Bangladesh’s first engagement with MKE. In late 2024, the Bangladesh Army acquired 18 units of the MKE Boran 105mm howitzers, with the intent to expand that to 200 units. The country is also reportedly in talks to acquire TRG-230/300 rocket systems and Otokar Tulpar light tanks from Turkish manufacturers.
Defence cooperation between Bangladesh and Turkey has grown substantially since 2018, when Dhaka procured 15 types of military equipment, including Bayraktar TB2 drones, widely known for their battlefield effectiveness.
New defence clusters under evaluation
According to officials, the proposed defence industrial clusters in Chittagong and Narayanganj — both strategically located with access to ports or river systems — would be developed under the Bangladesh Economic Zones Act 2010, which offers tax holidays, customs exemptions, and flexible operating conditions for foreign investors.
MKE is expected to dispatch technical evaluation teams to conduct on-ground site assessments in the coming weeks. Sources also indicate that formal negotiations between Bangladesh and Turkey are underway to finalise a memorandum of understanding (MoU) and institutionalise a Defence Industrial Working Group to coordinate policy, planning and implementation of joint projects.
India’s rising strategic concern
The growing alignment between Dhaka and Ankara in the defence sector — coupled with Bangladesh’s continued dependency on Chinese military supplies — is being closely monitored by Indian defence and diplomatic circles.
India views Bangladesh as a critical regional partner, and the emergence of Turkey, a close ally of Pakistan, as a defence collaborator with Bangladesh could reshape the regional strategic calculus.
While India has traditionally maintained strong bilateral and military ties with Bangladesh, including joint military exercises and border cooperation, the parallel deepening of ties with China and Turkey is likely to raise concerns in South Block about Bangladesh’s evolving defence posture and strategic independence.
Though there has been no official statement from India, analysts suggest New Delhi may seek greater engagement with Dhaka in defence diplomacy to avoid strategic surprises in its eastern neighbourhood.
Saif
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Bangladesh and Turkey are in a new era of strategic defense cooperation focused on industrial collaboration, capacity-building, and technology transfer, moving beyond simple procurement to support Bangladesh's indigenous defense industry growth.
Key aspects of this collaboration include:
Joint Production & Technology Transfer: Turkey has pledged support for modernizing the state-owned Bangladesh Ordnance Factories (BOF) and the Bangladesh Machine Tools Factory (BMTF). A Turkish company has already transferred technology for manufacturing artillery shells to BMTF. Proposals for technology transfer for producing naval and coast guard patrol vessels are also on the table.
Defense Industrial Complexes: The Bangladesh Investment Development Authority (BIDA) is planning to establish defense industrial zones in Chittagong and Narayanganj in partnership with Turkish defense firms. These complexes aim to facilitate co-production and attract Turkish investment, with a focus on areas like shipbuilding, electronics, and energy infrastructure.
Acquisitions & Co-production: Recent and ongoing deals involve the procurement of Turkish military hardware with potential for local assembly/co-production, including:
Air Defense: Finalizing the acquisition of the Turkish SİPER long-range air defense system.
Drones: Potential co-production of Turkish combat drones, such as the Bayraktar TB2.
Armored Systems: Negotiations for 26 Turkish-made Tulpar light tanks and Otokar Cobra-II armored vehicles.
Small Arms & Munitions: MoUs with Turkish firm CANiK for heavy machine guns and cannons.
Strategic Alignment: This partnership is part of Bangladesh's "Forces Goal 2030" modernization plan to diversify its suppliers, reduce dependence on traditional partners like China, and enhance its strategic autonomy.
Turkey's model of gradual indigenization serves as a template for Bangladesh's own industrial ambitions.
High-Level Engagements: The deepening ties are marked by frequent high-level visits between defense and government officials from both nations, solidifying the new phase of cooperation.
Overall, the collaboration is transforming the relationship, aiming to turn Bangladesh from a mere consumer of defense equipment into a producer with local manufacturing capabilities.
Key aspects of this collaboration include:
Joint Production & Technology Transfer: Turkey has pledged support for modernizing the state-owned Bangladesh Ordnance Factories (BOF) and the Bangladesh Machine Tools Factory (BMTF). A Turkish company has already transferred technology for manufacturing artillery shells to BMTF. Proposals for technology transfer for producing naval and coast guard patrol vessels are also on the table.
Defense Industrial Complexes: The Bangladesh Investment Development Authority (BIDA) is planning to establish defense industrial zones in Chittagong and Narayanganj in partnership with Turkish defense firms. These complexes aim to facilitate co-production and attract Turkish investment, with a focus on areas like shipbuilding, electronics, and energy infrastructure.
Acquisitions & Co-production: Recent and ongoing deals involve the procurement of Turkish military hardware with potential for local assembly/co-production, including:
Air Defense: Finalizing the acquisition of the Turkish SİPER long-range air defense system.
Drones: Potential co-production of Turkish combat drones, such as the Bayraktar TB2.
Armored Systems: Negotiations for 26 Turkish-made Tulpar light tanks and Otokar Cobra-II armored vehicles.
Small Arms & Munitions: MoUs with Turkish firm CANiK for heavy machine guns and cannons.
Strategic Alignment: This partnership is part of Bangladesh's "Forces Goal 2030" modernization plan to diversify its suppliers, reduce dependence on traditional partners like China, and enhance its strategic autonomy.
Turkey's model of gradual indigenization serves as a template for Bangladesh's own industrial ambitions.
High-Level Engagements: The deepening ties are marked by frequent high-level visits between defense and government officials from both nations, solidifying the new phase of cooperation.
Overall, the collaboration is transforming the relationship, aiming to turn Bangladesh from a mere consumer of defense equipment into a producer with local manufacturing capabilities.
Saif
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BNP promises strong, professional army free from political influence
Manifesto stresses sovereignty, modern warfare readiness, and self-reliance
BNP promises strong, professional army free from political influence
Manifesto stresses sovereignty, modern warfare readiness, and self-reliance
File photo: army.mil.bd
BNP Chairman Tarique Rahman has expressed his vision for a professional and strong military, free from political influence, in line with the party's defence policy outlined during the announcement of its election manifesto.
Speaking at the Pan Pacific Sonargaon Hotel in Dhaka this afternoon, Tarique emphasised the need to maintain the armed forces' integrity by keeping them out of controversies.
"If we truly want to build a strong military, we must focus on professionalism, and it is essential to keep them free from any political influence."
Tarique, eldest son of former army chief and president Ziaur Rahman, also reiterated the party’s commitment to introducing the “One Rank, One Pension” (OROP) policy for retired military personnel, aiming to enhance the welfare of veterans.
In line with its national security goals, BNP plans to build a self-reliant “Made in Bangladesh” defence industry to meet the needs of the armed forces. This initiative aligns with the party’s broader vision of bolstering the country’s military capabilities and ensuring sustainable security, says the manifesto.
According to the manifesto, BNP believes a modern, professional, and strong military is crucial for ensuring the country’s safety, particularly in the context of national sovereignty, regional stability, and the evolving global security landscape.
Additionally, BNP aims to build a self-sufficient, four-dimensional military force capable of protecting national sovereignty and maintaining credible deterrence capabilities.
Key areas of focus include multi-domain warfare, the strengthening of land, naval, and air forces, and fostering domestic research and development in military technologies.
The manifesto also emphasizes the importance of a strong air force for national security.
BNP considers the development and enhancement of the air force's capacity as a “nationally important” matter and plans to expedite the process through a fast-track approach.
Manifesto stresses sovereignty, modern warfare readiness, and self-reliance
File photo: army.mil.bd
BNP Chairman Tarique Rahman has expressed his vision for a professional and strong military, free from political influence, in line with the party's defence policy outlined during the announcement of its election manifesto.
Speaking at the Pan Pacific Sonargaon Hotel in Dhaka this afternoon, Tarique emphasised the need to maintain the armed forces' integrity by keeping them out of controversies.
"If we truly want to build a strong military, we must focus on professionalism, and it is essential to keep them free from any political influence."
Tarique, eldest son of former army chief and president Ziaur Rahman, also reiterated the party’s commitment to introducing the “One Rank, One Pension” (OROP) policy for retired military personnel, aiming to enhance the welfare of veterans.
In line with its national security goals, BNP plans to build a self-reliant “Made in Bangladesh” defence industry to meet the needs of the armed forces. This initiative aligns with the party’s broader vision of bolstering the country’s military capabilities and ensuring sustainable security, says the manifesto.
According to the manifesto, BNP believes a modern, professional, and strong military is crucial for ensuring the country’s safety, particularly in the context of national sovereignty, regional stability, and the evolving global security landscape.
Additionally, BNP aims to build a self-sufficient, four-dimensional military force capable of protecting national sovereignty and maintaining credible deterrence capabilities.
Key areas of focus include multi-domain warfare, the strengthening of land, naval, and air forces, and fostering domestic research and development in military technologies.
The manifesto also emphasizes the importance of a strong air force for national security.
BNP considers the development and enhancement of the air force's capacity as a “nationally important” matter and plans to expedite the process through a fast-track approach.
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