BM Desk : The government is moving forward with plans to establish a specialised defence economic zone aimed at building a self-reliant military industrial base and positioning Bangladesh as a potential exporter of arms and defence technology.
The initiative seeks to produce drones, cyber-technology systems, arms, and ammunition to meet the needs of the country’s armed forces and security agencies, with an eye on future export opportunities.
Officials estimate the defence manufacturing sector will require long-term investments of around Tk15,000 crore, which will be mobilised through a combination of revenue funding, public–private partnerships (PPPs), joint ventures, and direct foreign investment (FDI).
Chief Adviser Muhammad Yunus has already approved a set of policy measures to facilitate technology transfer, joint investment, and foreign participation in the emerging sector.
The decision to establish a dedicated defence zone was taken at a September meeting chaired by Chowdhury Ashik Mahmud Bin Harun, Executive Chairman of the Bangladesh Economic Zones Authority (Beza), and attended by senior civil and military officials.
According to meeting minutes obtained by The Business Standard, several foreign governments and companies have already expressed interest in investing in Bangladesh’s nascent defence manufacturing industry.
“Work is under way to establish the zone and attract both domestic and foreign investment,” Ashik Chowdhury told TBS on Thursday. “The location and land size have not yet been finalised. We are developing the policy framework and engaging with friendly countries. The goal is to make the defence sector export-oriented.”
Chowdhury, who also serves as Executive Chairman of the Bangladesh Investment Development Authority (Bida), declined to comment on whether China or Türkiye were among the interested parties.
Officials said the Chief Adviser approved policy directions on 30 April, and the Bangladesh Army has since been tasked with drafting a concept paper for a comprehensive national defence industry policy at Beza’s request.
Bangladesh’s domestic demand for defence products is currently estimated at around Tk8,000 crore, covering the needs of the armed forces, Border Guard Bangladesh, Coast Guard, police, Ansar and VDP, and other paramilitary organisations. Officials believe a strong domestic industry could meet much of this demand and eventually expand into exports.
The armed forces and Bida have reportedly received multiple proposals from foreign companies seeking to establish defence production facilities in Bangladesh, though several policy decisions remain pending.
If realised, the defence economic zone would mark a major step toward reducing import dependence and transforming Bangladesh into a regional player in defence manufacturing and exports.
