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Chapter 29
Ministry of Industries

1.0 Introduction

1.1 Rapid and sustainable development and social progress essentially call for
industrialization in an economy. The industry sector has, therefore, got to play
a critical role in this regard. The contribution of this important sector to
Bangladesh economy has been on the increase. While in FY 1980-81, the
contribution of the broad industry sector to real GDP was 17.31 percent, it
increased to 31.26% percent in FY 20011-12. In order to build a vibrant
industrial sector as well as to enhance the contribution of this sector to GDP
from 30 percent to 40 percent by2021, Government has formulated the
‘National Industrial Policy, 2010’. Generation of productive employment,
mainstreaming women in the industrialization process and poverty alleviation
are critical underlying objectives of the Industrial Policy 2010.The salient
features of this policy include modernising the economy, transforming
infrastructural, diversifying economic base, enhancing productivity,
mainstreaming women in the industrialisation process and promoting small
and medium enterprise sector. The Industrial Plot Allotment Policy-2010, the
Salt Policy-2011, SME Policies and the Ship Breaking and Ship Recycling
Rules, 2011 were promulgated. A draft Act has been framed to establish
“Ship building and Ship recycling Board”. In addition, framing of the Industrial
Act-2013 (draft),The Vitamin-A Enriched Edible Oil Act-2012(draft) are in
progress.
1.2 In the “Sixth Five Year Plan (SFYP): 2011-2015” and “Outline Perspective
Plan of Bangladesh (2010-2021): Making Vision 2021 A Reality” pledges
have been made to build a modern and vibrant industrial sector. In order to
achieve national growth through industrialisation, all kind of initiatives have
been taken for the development of private sector. These initiatives reflected
the measures laid down in all strategy papers of development.
1.3 Achieving the Digital Bangladesh goal by 2021 and creating employment
opportunity for at least one person from each household in order to reduce
poverty and unemployment loom large among the central policy objectives of
the government. There is no substitute to providing for an environment of
flourishing and vigorous development of small and medium enterprises in
attaining that goal. Cottage, small and medium industries are proactively
championed as pillars of decentralized employment generation, women’s
entrepreneurship development and poverty alleviation. Bangladesh Small and
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Cottage Industries corporation (BSCIC) given re-emphasis to dilute the
population pressures in urban areas on micro, small and medium enterprises
in the rural areas and villages in part to help gradual reduction of the rural to-
urban exodus of people in search of employment opportunities, but above all
to beef up incomes in rural and village communities.
1.4 Small and Medium Enterprises (SMEs), by producing exportable surpluses of
commodities together with fulfilling local demands are making significant
contribution to the economy of the country. This sector is a potential sector in
terms of local value additions and creation of employment opportunities. As
the large potential of employment generation by SMEs has attracted attention
of the policy makers and observers, a range of initiatives for channeling loans
to SMEs are being taken. Currently banks and financial institutions are also
coming forward to provide finance to this sector alongside traditional financing
from personal and family savings. In order to avail of the refinancing facilities,
participatory agreement has already been signed between Bangladesh Bank
and 22 banks and 24 financial institutions. At present, 21 banks and 22
financial institutions are availing of these refinancing facilities.
1.5 Ministry of Industries is entrusted with the responsibilities of providing
supports for the industrial development of Bangladesh. Ministry of Industries
is doing its best to attract foreign investment by Bilateral, Multilateral &
Regional Agreement with other countries. Since independence 29 Bilateral
Investment Agreement has been signed.

2.0 Major Functions of the Ministry


 Formulating, implementing, monitoring and updating Industrial Policy;

 Undertaking the overall management of activities of state-owned


enterprises including assessments of their product demands, productivity
enhancement, and incentives;

 Promotion of small, medium and cottage industries;

 Enhancing labour productivity through support to entrepreneurs and


training on industrial management and technical know-how;

 Standardisation, examination, and certification for quality improvements of


industrial products;

 Provision of services on patent, design and trademarks, and


strengthening activities relating to intellectual property rights;

 Implementation and monitoring of the treatment and refinement system of


industrial waste;
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 Administration and application of all laws, including the Boilers Act,
pertinent to industries.

3.0 Strategic objectives of the Ministry and their Relevance with


Women’s Advancement and Rights
3.1 Rapid industrial growth and development: A healthy and safe working
environment will be established through strengthening the industrial policy
and legal framework. This in turn, is expected to ensure participation of
women as workers as well as entrepreneurs for industrial production and thus
empower and further develop them.
3.2 Improved quality of Bangladesh products consistent with international
standards: Half of the poor are women. Increasing purchasing power will
empower women and enhance their social security and improve their
economic conditions
3.3 Environment-friendly industrial development: These activities will reduce
health risks for women workers. Thus it will ensure good health for mothers
and their family members.
3.4 Industrial growth in high priority sectors: This will have a positive impact
on women engaged in agricultural activities through access to affordable
fertilizer inputs.
3.5 Entrepreneurship and skilled labor force developed: By ensuring
women’s participation in various training programmes and through
proportional allocations of industrial plots to women entrepreneurs, the
economic and social status of women will be improved.
3.6 Employment generated: Growth of small and cottage industries will enhance
opportunities for employment of women and that will empower women and
improve their economic conditions.
3.7 Ensuring profitable State-owned industries: Women workers are part of
the workforce of state-owned enterprises and will therefore benefit from more
profitable employers.

4.0 Relevance of the Roles and Responsibilities of the Ministry for


Women’s Advancement and Rights

4.1 Bangladesh Small and Cottage Industries Corporation (BSCIC) have been
playing the role for development and promotion of small industries in the
private sector. BSCIC provides necessary services and facilities to the private
entrepreneurs. These small and cottage industrial units employed 30,937
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persons, a large part of which is women. Twenty five production units of
industrial park under BSIC are expected to provide employment for about 2,
00,000 women;
4.2 “Development of Bee-keeping through Modern Technology’ is being
implemented by the Ministry of Textile and Jute aiming to trained 2000 bee-
keepers in a modern and scientific way, among them 800 are women. After
completion the training one bee-box will be given to each trained women
without cost and small credit
4.3 The 1997-98 Vitamin A status survey assessed that pre-school children and
pregnant women are at severe risk of Vitamin A deficiency especially in
village and urban slum area. The UNICEF supported project title “Fortification
of Edible Oil Bangladesh” is implemented under this ministry. After completion
oil fortification pogramme women of reproductive age, neonates and school-
age children will be benefited to increase the share of Vitamin A.
4.4 Vision-2021 practical approach towards technical training of women through
employment creation and poverty reduction expansion the necessary action is
taken by BITAC. From July 2009 to November 2012 3020 women have been
given training on various technical and job-oriented subjects.These skilled
women are directly working in different private organizations. In 2013-14,
technical training will be given to 1266 women.
4.5 The banks and financial institutions have strengthened the process of
disbursing SME loans. 31 December, 2012, an amount of Tk. 2,244 crore has
been refinanced under the SME refinancing scheme for women entrepreneur.

5.0 Priority Spending Areas and Benefits for Women’s Advancement

Priority Spending Area/Programs Benefits for Women's Advancement


(Direct and Indirect)

1. Reviving the defunct state-owned industries A healthy and safe working environment will be
and establishment of new industries established through strengthening the industrial
according to demands and resources: policy and legal framework. This in turn, is
Accelerating faster industrial growth by using expected to ensure participation of women as
existing resources to meet demands in the workers as well as entrepreneurs for industrial
market in the Shipbuilding industry, plastic production and thus empower and further
printing, pici-culture, etc. By using gas, coal, develop them.
minerals and agricultural raw materials, and
through BMRE, restarting closed factories and
making them profitable. This will help increase
employment and productivity. Hence this area
has been given the highest priority.
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Priority Spending Area/Programs Benefits for Women's Advancement
(Direct and Indirect)

2. Strengthening and expanding the BSCIC Half of the poor are women. Increasing
industrial Estate programmes: purchasing power will empower women and
Expansion of the industrial estate programme enhance their social security and improve their
will ensure building ofindustrial infrastructure economic conditions
and other facilities in economically
lessdeveloped areas which will accelerate the
speed of industrialisation. Establishment of
Parks for pharmaceutical industry will ensure
supplyof raw materials for the pharmaceutical
industry leading to self-sufficiencyand
exportable surplus, earning foreign exchange
for thecountry. Hence this is a priority.

3. Training and providing assistance to By ensuring women’s participation in various


industrial entrepreneurs: training programmes and through proportional
Training of entrepreneurs through BSCIC will allocations of industrial plots to women
create new entrepreneursand increase entrepreneurs, the economic and social status
productivity, hence it is a priority. of women will be improved

6.0 Women’s Share in Ministry’s Total Expenditure

(Taka in Crore)
Budget 2013-14 Revised 2012-13 Budget 2012-13
Description Women Share Women Share Women Share
Budget Revised Budget
Women % Women % Women %
Total National Budget 2,22,491 61,575 27.68 1,89,334 54,304 28.68 1,91,737 50,340 26.25
Ministry Budget 2,287 795 34.76 1,839 742 40.35 1,844 599 32.48

Development 2,117 781 36.89 1,558 553 35.49 1,737 587 33.79
Non- Development 170 14 8.24 281 189 67.26 107 12 11.21

7.0 Success in Promoting Women’s Advancement

7.1 The Women -friendly SME-friendly activities:

 SME sector, re-financing facility provided by the Bangladesh Bank, SME


and Special Programs Division manages four funds are being managed.
31 March, 2013 of the total of 33.196 for the four sponsors of the fund,
and 2792.60 crore in re-financing facility has been provided.

 Bank and non - bank financial institutions at the head office and branches
for women entrepreneurs “Women entrepreneur dedicated desk”
necessarilyis open.
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 Cottage, micro and small entrepreneurs in the SME loans for women
entrepreneurs’ on the basis of groups facilitate SME lending policy has
been issued.

 The cluster is managed by women entrepreneurs across the country to


identify clusters and funding for the development of the first hand to go
from being the appropriate action to be taken. For example, nakasikatha
of Jamalpur, Monipuri loom, Sirajganj loom, Rangamati loom, etc.
Munsiganj bamboo cane significant cluster. Marketing of products
produced by the women of the web marketing measures are being funded
7.2 Provide hands-on technical and job oriented training. The main purpose of
this programme is to provide hands-on technical and job oriented training with
a view to enhancing income.

 Under this programme during the last three years, 2,265 women have
been given training on various technical and job-oriented subjects.These
skilled women are directly working in different public and private
organizations
7.3 Banarashi Palli Unnoyan, Rangpur: The main purpose of this programme is to
provide technical and job oriented training, credit facilities, marketing with a
view to enhancing income.

 Near about 600 weavers are benefited from this project. Already 568
persons has given training among of them 300 are women. About 30
trained women have been provided credit facilities Tk.50,000 per person
to create small industries. Now they are getting profit profit by making and
selling Banarashi Shary.
7.4 In order to develop and promote the traditional Satranji (carpet) industry of the
country, a project titled Development of BSCIC Sanranji (Carpet) Industry is
under implementation.

 Almost 660 persons are benefited from this project. Already 330 persons
has given training among of them 200 are women. About 50 trained
women have been provided credit facilities Tk.50,000 per person to create
small industries. Now they are getting profit by making and selling
Shatrangi.
8.0 Recommendations for Future Activities
 Various incentives and financial support will be considered for women
entrepreneurs to get themselves established in small, and cottage
industries as well as medium enterprises.
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 All public sector technical training institutions will arrange training and
related activities for enhancing the efficiency of women entrepreneurs.

 The various existing schemes in existing banks to promote women


entrepreneurs will be evaluated and simplified.

 The Ministry will coordinate arrangements with financial institutions and


banks to explore ways to create women friendly banking services, which
will ensure easy access to industrial credit, equity capital, venture capital
and working capital.

 Arrangements for loans will be considered for women entrepreneurs with


deserving quality project proposals. In this regard, Government will
formulate a special policy document on finance for women entrepreneurs.

 Women entrepreneurs will be given preference in service industries such


as ICT, laundry, tourism and service, beauty parlour, advertising firm
including fisheries, agriculture and handicrafts and livestock and food
processing industries.

 Women entrepreneurs will be encouraged to participate in a greater scale


in setting up and running thrust sector industries.

 The ministry will set up a mechanism for greater sharing of information


and experiences among women entrepreneurs and their support agencies
at national and international levels.

 The ministry will identify and remove legal barriers to women’s economic
and business empowerment particularly in relation to women’s
participation in enterprises.

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