Chemical Complex-Production Ctg Chemical Complex to resume production next year; nearly 500 people to get employment

UNN-13

AKM Moinuddin
UNB Staff Writer

Dhaka, Oct 15 (UNB) - Chittagong Chemical Complex, country’s only state-owned chemical factory, will not be able to resume production this year despite sincere efforts by the government.
The Chemical Complex, a subsidiary of Bangladesh Chemical Industries Corporation (BCIC), located at Barabkundu of Sitakund upazila in Chittagong, was formally re-opened on April 24 last year by Industries Minister Dilip Barua after six years of closure.
The government, however, hopes that the Complex would go into production by the first quarter of the next year and necessary works to ready it for production will start by this year.
“We’re hopeful that it’ll go into production by the first quarter of next year and works to make it ready for production will start by this year,” Industries Minister Dilip Barua told UNB over phone.
Around 500 people will get job opportunity once the Chemical Complex becomes fully operational, he said.
Replying to a question, Barua said the committee formed to review technical and financial aspects of resuming production of the Chittagong Chemical Complex would submit its report within next week.
Earlier, a four-member committee was formed, as directed by Prime Minister, on May 3 to study technical and financial aspects for resuming production of the Complex. The committee led by Board of Investment (BoI) executive chairman SA Samad is yet to submit its report.
Two senior officials from the Ministry of Industries and one member from the Finance Ministry are working on it. The committee is reportedly preparing a report based on probable overall production, operation, evaluation of loss and profit, and possible market for the products.
The committee was given a 90-day deadline to submit its report to the Prime Minister but it failed to prepare the report within the deadline.
The chemicals to be produced at the Chittagong Chemical Complex will be used for fertilizer producing units including the under-process Shahjalal Fertilizer Factory.
Following a decision to privatize it, the BNP-Jamaat alliance government on December 15 in 2002 shut down the Chemical Complex which earlier produced high-quality caustic soda, liquid chlorine, hydrochloric acid, bleaching powder and calcium hydrochloride.
Consequently, all the 429 permanent and 200 temporary employees of the Complex had been laid off.
The plant built on 91.19 acres of land went into production in 1966 with its initial name - Chemical Private Industries Limited of Pakistan - and later it was renamed as Chittagong Chemical Complex in 1981.
According to official sources, it had an annual production of 7,000 tonnes of caustic soda, 4,600 tonnes of liquid chlorine, 7,000 tonnes of hydrochloric acid, 600 tonnes of bleaching powder and 2,400 tonnes of calcium hydrochloride.
The former Awami League government modernized the Chemical Complex in 1997 at a cost of Tk 1.12 billion with latest technology and equipped with environment-friendly devices.
The unit used to pay around Tk 4.5 to Tk 5 crore to the government exchequer as duty, taxes and VAT (value added tax).
The supply of basic chemical raw materials from the unit to other factories was suspended following the closure of the Chemical Complex. As a result, the BCIC was forced to import such chemicals to continue production in other plants owned by the state-owned Corporation.
END/UNB/