[🇧🇩] Can Bangla-Saudi Relation be elevated to Strategic Level?

[Bilal9]

Aside from exporting garments, we should pursue Saudis to invest in our hydrocarbon and defense sectors. We are totally depended on America for hydrocarbon exploration. This needs to be changed. And also our defense sector can be greatly benefitted if Saudis invest in weapons manufacturing in Bangladesh. BOF (Bangladesh Ordnance Factory), BMTF (Bangladesh Machine Tools Factory), KSY (Khulna Shipyard), and Narayanganj Shipyard are some of the potential areas where we should draw Saudi investment. What do you say?

All these are potential areas of investment but I see Polyester Staple fiber projects and shipbuilding as the most promising, they are strategic for our national development. The first needs massive capital outlay and the two main ingredients (ethylene glycol and terephthalic acid) both come from Saudi Arabia (SABINCO being a major player) which will be exported to Bangladesh to be converted to Polyester Staple fiber.

The second is shipbuilding - where massive amounts of skilled labor is needed. Bangladesh can specialize in smaller coastal and specialized logistics and fishery ships which India, China or Vietnam will find hard to compete in.

I am not so sure Saudis will be interested in investing in military production - that will be better directed toward companies like NORINCO maybe. China has perfected low cost (But high quality) defence products.

 

[Mb444]

Saudi government is trying to diversify it’s economy.

Its primary strategy has been to invest abroad. Given where BD was it is not a surprise that SA did not invest because as an investor it sought to invest in tech and in stable and growing stockmarkets. BD still ranks as an emerging market and the inherent risk that implies.

However oil remains SA economies mainstay. Because they have such high reserves they have not bothered to explore beyond their land border with much vigor. But here I think we can speak to SA. Ask them to explore oil reserves in the Bay. Along with SA manifa bay and Red Sea project a bengal exploration arm will deliver cost reduction through economies of scale in the immediate term to them . In the medium term huge profit that is to made with such venture.

I believe such a proposal can be win-win for both nation but will require proactive action from BD.

 

[Saif]

All these are potential areas of investment but I see Polyester Staple fiber projects and shipbuilding as the most promising, they are strategic for our national development. The first needs massive capital outlay and the two main ingredients (ethylene glycol and terephthalic acid) both come from Saudi Arabia (SABINCO being a major player) which will be exported to Bangladesh to be converted to Polyester Staple fiber.

The second is shipbuilding - where massive amounts of skilled labor is needed. Bangladesh can specialize in smaller coastal and specialized logistics and fishery ships which India, China or Vietnam will find hard to compete in.

I am not so sure Saudis will be interested in investing in military production - that will be better directed toward companies like NORINCO maybe. China has perfected low cost (But high quality) defence products.

A few months ago, Saudis offered Bangladesh 8 tactical transport planes which they manufactured locally. Saudis are investing heavily in military hardware production to gain self-sufficiency in defense. Our defense production capacity is very limited. Saudi investment can change this. All we have to do is convince the Saudis that our defense industry has potentials. NORINCO is an automatic choice as we import 80% of our defense products from China. Saudi money and NORINCO's technology can do magic in building our indigenous defense industry.

 

[Bilal9]

A few months ago, Saudis offered Bangladesh 8 tactical transport planes which they manufactured locally. Saudis are investing heavily in military hardware production to gain self-sufficiency in defense. Our defense production capacity is very limited. Saudi investment can change this. All we have to do is convince the Saudis that our defense industry has potentials. NORINCO is an automatic choice as we import 80% of our defense products from China. Saudi money and NORINCO's technology can do magic in building our indigenous defense industry.

You are correct - this is a good strategy.

I guess this is the Ukrainian JV aircraft project the Saudis had cancelled after building six examples. So I don't know if they actually ended up building six or eight and they wanted to sell Bangladesh the tooling I guess. Saudis cancelled the project in favor of expanding their C-130 fleet instead of building these.

Actually we still use the daddy of this airplane, the AN-32. All of these Ukrainian designs are made for using dirt airstrips and are tough as nails.

If they gave us the tooling at a good price, it'd be a good choice for a nascent aviation industry like ours.

Antonov/Taqnia An-132​

 

[Saif]

Saudi Aramco willing to invest: envoy

Ambassador of the Royal Embassy of Saudi Arabia to Bangladesh Essa Youssef Essa Al Duhailan on Sunday said that Saudi oil company Aramco was willing to establish a refinery at Sitakunda in Chattogram to...

www.newagebd.net

Saudi Aramco willing to invest: envoy
Staff Correspondent 05 January, 2025, 22:28

Ambassador of the Royal Embassy of Saudi Arabia to Bangladesh Essa Youssef Essa Al Duhailan on Sunday said that Saudi oil company Aramco was willing to establish a refinery at Sitakunda in Chattogram to produce petroleum products for Bangladesh and their exports to other countries in the region.

‘Aramco is willing to come to Bangladesh to establish a refinery at Sitakunda for Bangladesh and the region as well,’ the envoy said while addressing the launching of the report titled ‘Enhancing Saudi-Bangladesh Economic Engagement: Trends, Key Challenges & Long-term Growth Prospects’ at the foreign ministry in Dhaka.

He said that their biggest renewable energy company ACWA Power was also willing to invest in Bangladesh.

The Saudi ambassador, however, mentioned that a high-profile team from Aramco visited Bangladesh earlier when nobody even received them in Dhaka, saying they would not talk about the past now, but would rather look forward.

‘Saudi Arabia always supports Bangladesh and its journey. Saudi Arabia never says no to Bangladesh and Bangladesh does so to Saudi,’ he said, welcoming the interim government’s reform initiatives in various sectors, particularly those related to governance.

Speaking as chief guest, finance adviser Salehuddin Ahmed said that Aramco was not welcomed in the past although the Saudi company was willing to invest in Bangladesh.

‘We are now paying for the wrong policy taken in the past…Our plan is to leave some foot-prints through reforms in one and a half years or in two years. Making reforms is not always pleasant,’ he said.

Salehuddin said that the trade between Bangladesh and Saudi Arabia could be raised to $200 billion from $2 billion presently.

Foreign adviser Md Touhid Hossain said that they need to develop skills of the people for higher remittance as well for its own development.

He deplored that Bangladesh was yet to become an investment-friendly country on the practical ground.

The Ministry of Foreign Affairs prepared the report with the support of independent advisery firm Policy Exchange Bangladesh.

Policy Exchange Bangladesh chairman and chief executive officer M Masrur Reaz made a presentation on the report while the foreign ministry’s secretary (East) Md Nazrul Islam gave a welcome speech at the event chaired by foreign secretary Md Jashim Uddin.

Masrur said that Bangladesh and Saudi Arabia shared a five-decade long diplomatic and economic partnership, with bilateral trade reaching $2.1 billion in 2023.

Saudi Arabia being the destination for roughly 33 per cent of total overseas employment for Bangladesh had pledged significant investments in energy, logistics and manufacturing for shared growth, he added.​

 

[Saif]

Saudi company keen to manage Matarbari port

Red Sea Gateway Terminal, a Saudi-owned port company, on Friday expressed its interest in managing the deep-sea port of Matarbari in Bangladesh. Aamer A. Alireza, executive chairman of the company, said it can help transform Matarbari into one of the largest ports in the region. He made the comme

thefinancialexpress.com.bd

Saudi company keen to manage Matarbari port
BSS
Published :
Jan 24, 2025 21:59
Updated :
Jan 24, 2025 21:59

Red Sea Gateway Terminal, a Saudi-owned port company, on Friday expressed its interest in managing the deep-sea port of Matarbari in Bangladesh.

Aamer A. Alireza, executive chairman of the company, said it can help transform Matarbari into one of the largest ports in the region.

He made the comments when he called on Chief Adviser Professor Muhammad Yunus on the sideline of the World Economic Forum annual meeting in the Swiss mountain city of Davos.

The Chief Adviser asked the company to invest more in Bangladesh and help attract more foreign direct investment to the country.

He said Bangladesh would develop more ports along the Bay of Bengal to turn the Chittagong region into an export and shipping hub for countries in the region.

The Red Sea Gateway, which manages Patenga Terminal, has planned to invest nearly US$ 200 million to boost the efficiency and capacity of the terminal, Alireza said.

He said the company has ordered an import of US$25 million of container handling cranes and other equipment from China recently and would order another US$25 million worth of equipment in the next few weeks.

“These are hybrid equipment, meaning they can be run by both electricity and fuels. They will cut emissions,” he said.

Describing Matarbari as one of the most important deep-sea ports in the region, Alireza said his company is interested in investing in the port and turning it into one of the major shipping hubs in the region.

He said port efficiency in Chittagong will woo huge foreign direct investment in the country as many top manufacturers will be keen to relocate their factories in Bangladesh.

Lamiya Morshed, the SDG coordinator of the Bangladesh government, and Tareq Ariful Islam, Bangladesh permanent representative to the UN in Geneva, also attended the meeting.​

 

[Saif]

Saudi ambassador hopeful of resolving passport issues of 69,000 people

Saudi ambassador to Bangladesh Essa Yousef Essa Alduhailan has expressed optimism over resolving the passport issues of 69,000 people who went to Saudi Arabia after the country's independence with Bangladeshi passports.

en.prothomalo.com

Saudi ambassador hopeful of resolving passport issues of 69,000 people
UNB
Dhaka
Published: 05 Feb 2025, 22: 30

Saudi ambassador to Bangladesh Essa Yousef Essa Alduhailan has expressed optimism over resolving the passport issues of 69,000 people who went to Saudi Arabia after the country's independence with Bangladeshi passports.

"We hope it will be resolved soon," he told reporters at the embassy on Wednesday, referring to positive discussion between Bangladesh and the Kingdom of Saudi Arabia.

The ambassador assured that these people would not be sent back to Bangladesh as they are working on their legal status.

Earlier, the Saudi embassy announced the arrival of 100 tonnes of dates as gifts from the Custodian of the two Holy Mosques under the King Salman Humanitarian Aid and Relief Centre.

The dates will be distributed among the poorest, vulnerable communities and flood-affected people of the country.

The Saudi ambassador handed over the dates to the officials of the Ministry of Disaster Management and Relief, and Ministry of Foreign Affairs at the event.

Officials of the government of Bangladesh said they have already received 70 tonnes of dates which are preserved for distribution, hopefully before the Holy month of Ramadan.

The Saudi ambassador said they want to enhance the humanitarian relationship with Bangladesh through collective efforts in addition to enhancing relations in the areas of trade, investment, tourism and people to people exchanges.

The Saudi embassy issued more than 2.2 million workers' visas over the past three years, facilitating opportunities for Bangladeshi workers in Saudi Arabia.​