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Proceedings of MARTEC 2022
The International Conference on Marine Technology
21-22 December 2022, BUET, Dhaka, Bangladesh

A COMPARATIVE STUDY OF BLUE ECONOMY STATUS AND INITIATIVES


BETWEEN BANGLADESH AND CHINA

ASM Mahadi1, Shahriar Ahmed1, Md. Mashiur Rahaman1* and N.M.Golam Zakaria1
1
Department of Naval Architecture and Marine Engineering,
Bangladesh University of Engineering and Technology (BUET),
Dhaka-1000, Bangladesh
*Email: mashiurrahaman@name.buet.ac.bd

ABSTRACT

The blue economy is an innovative business model which emphasizes carrying out economic activities
in symbiosis with nature. It has gained much attention among many countries aiming to accelerate their
economic growth through the sustainable exploitation of marine resources. Bangladesh, the world's
largest delta, has also been keen to adopt the concept, especially after winning a large ocean territory
through international arbitration. The existing literature on this topic reveals the status of various
marine sector and government initiatives. However, where Bangladesh stands regarding blue economic
growth and government initiatives from a global perspective still needs to be clarified. This study
examines the country's status in the Blue Economy race by comparing it with a pioneering country in
this sector, China. The analysis is based on a literature review of both country's blue economies, and a
comparison is drawn on various critical aspects of blue economic success. The obtained results are
very eye opening as some significant gaps in the Blue Economic effort of Bangladesh are revealed. The
main objective of this study has been to generate insightful lessons and put forward inspiring examples
that can be locally adapted to uplift the country's position in the blue growth race. Many initiatives
taken by China in terms of innovation and policymaking have the potential to be feasible in Bangladesh
because of socio-economic and geographical similarities. The paper concludes with key differences in
the efforts of both countries and sheds light on the lessons that Bangladesh can consider to become a
model for blue economic growth.

Keywords: blue economy, policy, blue growth, governance, maritime

1. INTRODUCTION

Goal 2, Goal 9, Goal 14 and Goal 17 have a direct


In the 21st century, the rising global population and the
relationship with the development of shipbuilding and
fast depletion of earth’s land-based resources have
the "Blue economy" [2]. To attain Blue Economy
reignited interest in the ocean’s economic potential.
objectives, the GoB (Government of Bangladesh) is
However, with the growing desire and improved
convening and joining high-level international
capacity to industrialize the oceans, there is a risk that
conversations. Nevertheless, Bangladesh is still in the
marine resources would rapidly deplete if not handled
early stages of embracing the concept and confronts
appropriately. Thus, a need to reimagine how seas
several technological and financial restrictions to
might be studied, monitored and managed more
accomplish the Blue Economy objectives. So, for
efficiently has evolved. Against this backdrop, the
Bangladesh, there is an opportunity to learn from other
concept of the Blue Economy was established to adapt
countries practices in developing its Blue Economy [1].
to the changing economic demands, ecological needs
In order to unravel the condition of the blue economy
and the dynamics of global climate change. Contrary to
of Bangladesh from a global perspective, this study
earlier approaches which concentrated on resource
chooses China for comparison. China has robustly
extraction and financial advantages, Blue Economy
integrated the Blue Economy concept inside its
aims to strike a balance.
strategic framework. The geographical resemblance is
also noticeable between the two countries.
If Bangladesh utilizes its marine resources wisely, it is
Bangladesh's land mass is formed mainly by the
certainly possible for her to be a middle-income
Ganges-Brahmaputra delta, the biggest delta in the
country within a short time [1].
world [3]. Similarly, the coastal region of China hosts
two delta river deltas: the Yangtze River Delta Region
Besides, the Government of Bangladesh has set 17 and the Pearl River Delta Region, making it a suitable
Sustainable Development Goals (SDG) where Goal 1,

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country for comparison. So how China so effectively roughly 3.33% of Bangladesh's GDP, to the country's
accomplished blue growth and what lessons it might total value added in 2014–15 [4].
teach Bangladesh is a question worth addressing.
3.1. Definition
In order to answer this, the study reviews existing The phrase "blue economy," first used in 1994 by
literature on Blue Economy that comprises books, Professor Gunter Pauli, gained broad acceptance by the
journal articles, government and non-government 2010s despite no general agreement on the concept [1].
policy papers and documents, newspaper and internet- The phrase "blue economy" encompasses a variety of
based articles and so on. Data and information utilized controversial interpretations and definitions today
in the paper are based on secondary sources. rather than being a coherent agenda for legislative
action. The vast connections between economic
2. ADOPTION AND CURRENT STATUS OF development and ecological sustainability are typically
BLUE ECONOMY IN CHINA AND highlighted in the majority of prominent definitions
BANGLADESH from the English language and multilateral institutions,
employing techniques like economic accounting and
Bangladesh now has 118,813 km2 of the territorial sea, marine spatial planning [5]. How the blue economy is
200 nautical miles of Exclusive Economic Zone (EEZ), portrayed and implemented in various nation-states is
and a sizeable portion of the extended continental shelf directly related to national development agendas, and
after its maritime dispute with its neighbors India and how the blue economy's primarily global rhetoric
Myanmar was resolved. Bangladesh's marine zone, connects to regional, national, and local concerns needs
nearly the size of the entire nation, has produced to be thoroughly investigated [5].
enormous ocean-based economic growth and Understanding each country's definition of the "Blue
development prospects. The GoB has expressed Economy" is necessary to comprehend its distinct
interest in pursuing the Blue Economy concept as part policy framework. The seventh five-year plan, adopted
of the nation's growth strategy. The GoB has held by the GoB, defines the blue economy as activities that
several workshops and consultations on the blue directly or indirectly take place in the seas, oceans, and
economy since 2015. In addition, Bangladesh's coasts using marine resources and ultimately
Seventh Five Year Plan outlined twelve activities that contributing to sustainable, inclusive economic
must be implemented to preserve a thriving and growth, employment, and well-being while preserving
sustainable Blue Economy. These actions cover, the health of the ocean. It entails endeavors like the
among other things, fisheries, renewable energy, discovery and exploitation of marine resources,
human resources, transshipment, tourism, and climate prudent use of ocean and coastal areas, consumption of
change. The "Blue Economy Cell" was established by marine products, and the provision of goods and
the GoB in 2017 to coordinate Blue Economy projects services to aid in marine endeavors and the
within sectoral ministries [1]. preservation of the maritime environment [4]. The
Chinese government saw the blue economy as a
The world's fastest-growing economy, China, has a modernization process. Modernization is a concept that
wealth of blue resources at its disposal, which may help has been extensively theorized in the social sciences,
it continue to experience rapid growth. It has a long notably in the Chinese context, and is intrinsically
coastline of 32,000 km, which includes a continental ambiguous from many angles. Hu Angang, a well-
shelf and an EEZ with 24 billion tons of marine oil and known nationalist Chinese professor, has provided one
1.6 billion cubic meters of natural gas reserves. To definition of modernization in China: "the process of a
supplement its terrestrial resources, the Chinese series of modern elements and combination modes in
government strongly emphasizes marine and ocean society, displaying ground-breaking change or reform
resources. The Chinese government is aware of the from a low to a high level" [5].
significance of the marine economy and has stated that
"developing maritime power depends in large part on a 3.2. Scientific Innovation of the Marine
thriving marine economy." The 12th Five-Year Plan Industry
for National and Social Growth, 2011–2015, which for
the first time focused on the maritime economy's China has developed six national marine economic
development, is where Blue Economy gained innovation and development demonstration zones and
relevance in terms of the policy. The Plan's main goal seven national industrial demonstration bases in an
was to grow the marine industries while maximizing effort to reinvigorate the marine sector through science
the Blue Economy's organizational structure [1]. and technology. The Blue Silicon Valley, the
Shandong Peninsula Blue Economic Zone, and the
In the case of China, the marine economy was strategic partnership between maritime parks and bases
estimated to have a value of US$ 989.3 billion in are a few of these initiatives [6].
2015[1]. A World Bank analysis estimates that the
ocean economy contributed US$ 6,192.98 million, or In Bangladesh, economic zones are called Export
Processing Zones (EPZs). An EPZ here is described as

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a territory or a stand-alone economic enclave in which significant amount of aquaculture production. Since
goods may be imported and manufactured, and ancient times, salt has been mined along Bangladesh's
reshipped with reduced duties and taxes and minimal coasts, generating an estimated 5 million direct and
intervention by the customs officials. It is an area indirect jobs, sustaining up to 25 million people. The
where potential investors would find a congenial system consists of a network of portable mills that
investment climate with custom and tax incentives and refine unrefined salt that is extracted from Table 1.
simplified dealing and handling procedures [7]. Dhaka, Saltpans on Cox's Bazar beaches. Despite the
Chattogram, Mongla, Cumilla, Ishwardi, Uttara considerable potential, there has not been any oil and
(Nilphamari), Adamjee, and Karnaphuli are the eight gas production in Bangladeshi waters up to this point.
EPZs in Bangladesh right now. A total of 572 Through inland and coastal networks, 231.5 million
organizations got permission for their setup in the EPZs passengers are conveyed annually. 2,500 foreign ships
till February 2019[8]. However, no EPZ dedicated to travelled to and from Bangladesh in a single year,
Blue Economy exists yet. transporting goods worth a total of US$ 67 billion in
maritime trade and other modes of transportation.
3.3. Policy and Acts Along with India and Pakistan, Bangladesh has been a
significant hub of the shipbreaking industry since the
The Chinese government is moving in the direction of 1980s (mainly in Chittagong) as an alternative to
sustainable development in response to the dire shipbuilding. In terms of leisure and recreation visitor
circumstances of tight resource limits, severe days, marine and coastal tourism account for around
environmental pollution, and destroyed ecosystems. 16% of the overall sector in the nation. Natural or
The concept of an ecological civilization that respects nature-based elements can significantly reduce the risk
nature conforms to and protects nature is established. of damage from coastal flooding. Millions of people in
In March 2018, China launched the largest reform of Bangladesh and India benefit from the coastal
the State Council in the past 40 years, in which protection provided by the mangrove forests of the
resources and environmental reforms were prominent. Sundarbans. Although the cost of carbon sequestration
The Ministry of Natural Resources has been as an ecosystem service is sometimes unquantified, a
established, and it has consistently carried out its duties recent study indicated that the loss of mangroves
as the owner of all natural resource assets, manager of worldwide has caused up to US$ 42 billion in
all land use, and protector and restorer of the ecological economic losses annually as a result of increased
environment [6]. greenhouse gas emissions [4].
As mentioned in section 2, In 2017, the GoB While marine economic growth refers to the expansion
established the "Blue Economy Cell' with the mandate of the entire marine economy, which includes both the
to coordinate Blue Economy initiatives across sectoral marine industry and ocean-related sectors, the internal
ministries [1]. structure of the marine industry in China refers to the
So far, it has failed to produce any visible impact, much specialization and diversity of the leading marine
of the marine resources remain underused, and the industry. Marine mining, marine salt, marine
ocean's health is still at risk. biomedicine, marine power, marine water utilization,
marine information services, marine insurance and
3.4 Sectors social security industry, marine agriculture and
forestry, marine products and materials, marine
The ocean economy of Bangladesh is described here, manufacturing and installation, marine wholesale and
as it has been in previous Government of Bangladesh retail, and marine services are all included in China's
reports, consisting of 26 industries and services, broader classification of the marine industry [9].
classified following ISIC categories and data
availability. These industries and services cover these China is a pioneering nation in the marine industry,
seven sectors—living resources, minerals, energy, home to almost all of it worldwide. Bangladesh is
transport and trade, tourism and recreation, carbon working to develop its maritime sector. Bangladesh has
sequestration, and coastal protection. The largest a powerful economy in the marine fisheries, tourism,
continental shelf region in the Bay of Bengal is and transportation sectors, but it lags in other areas,
submerged under Bangladeshi ocean waters. There are such as power, shipbreaking, and minerals. Again,
several estuaries along the shore, and farther inland, Bangladesh has no marine chemical, biomedical,
230 rivers that stretch for 24,000 kilometers are home agricultural, or forestry business. Similar to China,
to substantial freshwater fisheries, small lakes (beels), Bangladesh still needs an advanced marine forecasting
perennial bodies of water on floodplains, and transient and research department. The maritime sector
lakes produced by heavy rains or flash floods. Around comparison between Bangladesh and China is in
5.5 million hectares of fertile floodplains support a tabular form in Table 1.

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3.5. Pollution Governance of 13 city-level “river chief,” 44 town-level “river


chief,” and 662 village-level “river chief” were
China designated local government heads as river established. Since 2017, Laizhou has focused on the
chiefs and bay chiefs around the nation to clean up and holistic management of the Baishal River, Nanyang
protect its water resources. Shandong presented a new River and Zhenzhu River basins. A total of 42 million
pollution control strategy of “governing river first, yuan has been invested, around 25,000 meters of silt
addressing land and sea in a coordinated way.” In have been swept up, more than 30 sewage outlets have
Shandong, 15 rivers poured into Laizhou Bay. In order been closed, and 64 contaminated aquaculture families
to accomplish the responsibility of administration and have been outlawed. After the linking of the “river
protection, Laizhou built a three-level “river chief” chief” and the “bay chief,” the problem of recurring
organization system of city, town and village. A total pollution in the Bay has been fundamentally solved [6].

Table 1: Comparison between Bangladesh and China


Sector Bangladesh China
Marine fisheries Exist Exist
Offshore oil and gas industry Does not Exist Exist
Marine mining Exist Exist
Marine salt industry Exist Exist
Marine manufacture industry Exist Exist
Marine chemical industry Does not Exist Exist
Marine biomedical industry Does not Exist Exist
Marine engineering and construction Exist Exist
Marine power industry Exist Exist
Transportation and trade Exist Exist
Coastal tourism Exist Exist
Marine environmental monitoring and forecasting services Does not Exist Exist
Marine science research Does not Exist Exist
Marine agriculture and forestry Does not Exist Exist
Environmental protection Does not Exist Exist

Microplastics are an essential component of marine microplastics inquiry and monitoring. China also
litter and one of the leading global marine pollution scientifically and strictly controls marine debris in
problems stemming from the indiscriminate disposal of compliance with relevant laws and regulations,
plastic components. Large quantities of plastics collect technical standards and international treaties, and
in estuaries and coasts, which impacts the natural prevents solid waste such as plastic garbage from
marine environment in coastal areas, and ultimately damaging the natural marine environment [6].
affects the tourism business, citizens living nearby and
Bangladesh has ratified major international treaties and
port terminals. Therefore, marine microplastics
issues to preserve the marine pollution that governs the
severely affect the sustainable exploitation of the blue
global level. However, due to the lack of a sufficient
economy. The government is the coordinator of
national legal framework and the government's
cooperative governance of microplastics. China
willingness, these conventions have yet to be ratified.
launched an exceptional initiative in this regard. Since
The Marine Fishery Ordinance, 1983 (MFO) was
2007, China has actively carried out marine debris
created to cope with the restrictions on marine fish-
control activities and organized marine debris
catching tactics along the coastal area of Bangladesh.
monitoring and evaluation in more than 50
Bangladesh Merchant Shipping Ordinance, 1983
representative regions along the coast. The monitoring
assigned the control of shipping activities, including
region generally comprises places of great public
avoidance of shipping pollution, and the Bangladesh
concern as well as sea areas where there is a
Coast Guard Act, 1994 was conducted for the
considerable amount of possible marine debris and
management of maritime security, including Marine
may impair the environmental quality of the sea area.
environmental protection against pollution. The
The monitoring contents include types, numbers,
government of Bangladesh adopted the Environment
weights and origins of beach waste, floating garbage
Court Act 2010 to establish environment courts for trial
and undersea garbage. Since 2016, China has also
and offence. However, not a single case has yet been
implemented microplastic monitoring, microplastics
taken to the environmental court on maritime
research and preventive study, and polar and ocean
contamination—no government institutions in

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Bangladesh monitor marine pollution and its potential significantly enhanced the ecological quality of the
repercussions [7]. ocean and land, continuously enhanced the
environment of the ocean, and paved the way for other
regions to meet the general criteria for constructing. a
4. LESSONS TO BE CONSIDERED
marine economy [6]. By incorporating a specific Blue
Economy Zone on top of the eight EPZs already in
4.1. Marine Pollution Control place, Bangladesh can follow in the footsteps of such
The sustainability of the environment is the core of the models.
blue economy. To accomplish the blue growth target,
GoB should take several legislative and administrative 4.3. Separate Ministry formation
actions. China has developed excellent pollution
control strategies that are worth considering for Section 3.3 details how China developed the idea of
restoring the health of our coasts from deterioration. ecological civilization under the Ministry of Natural
Resources. It has been essential in uniformly
As described in section 3.5, the appointment of local
preserving and restoring the ecological environment.
authorities in China, such as "River Chief" and "Bay
Bangladesh's attempt is failing because the Blue
Chief", significantly decreased marine pollution.
Economy Cell, part of the Energy and Mineral
Bangladesh should follow that route and designate a
Resources Division, has yet to utilize the Bay of
particular organization to carry out pollution control
Bengal's potential. Instead, Bangladesh should think
laws. It can be done by establishing new positions or
about establishing a new ministry to coordinate
giving authority to already-existing organizations like
initiatives to maximize the blue economy's potential,
the Bangladesh Navy or Bangladesh Coast Guard. The
including sustainable development of marine fisheries
Bangladesh Armed Forces' naval branch is known as
and sea and coastal tourism.
the Bangladesh Navy. It was applauded for its concern
for safeguarding the maritime border, which included
maintaining sovereignty over the EEZ, continental 4.4. Sector Diversification
shelf, and territorial seas and safeguarding shipping
pollution in Bangladeshi territory. Although the navy's China has extensively diversified blue economy
current duties are primarily restricted to Coastal sectors, which is evident in section 3.5. Bangladesh
patrolling still has a vast opportunity to safeguard the also implemented some initiatives in some sectors of
marine environment from marine pollution. The the marine industry, and now we are getting results
leading agency responsible for enforcing both domestic from them, just as marine fisheries, tourism and trade
and international maritime rules is the Bangladesh and transportation. The advancement in these sectors is
Coast Guard. The organizations defend the economic prominent, but over-exploitation of a particular
and environmental value of the oceans and the national resource can happen because of less diversification. So,
interest in them. The 1994 Coast Guard Act was GoB should take the initiative to open up new marine
revised and changed to the "Bangladesh Coast Guard fields like marine chemicals, biomedical and
Act 2016" to bring the institution's force up to date and engineering and the construction industry.
modernize it. The coast guard is currently growing
quickly and gradually. However, it only addresses 5. CONCLUSION
pirate activities rather than measures to protect the
marine environment off the coast of Bangladesh [7]. Bangladesh has a maritime area that is nearly
equivalent to its land area. Bangladesh has much to
4.2. Infrastructure for Innovation and gain from the Blue Economy as a maritime nation.
Production Among the littoral countries in the Bay of Bengal,
Bangladesh has promoted the blue economy. However,
As was indicated in section 3.2, China has established continuous evaluation of progress and status is
several Blue Economy-focused development and essential to take advantage of every potential our EEZ
innovation hubs. has to offer. Comparing ourselves to other maritime
nations might help us find new growth directions. This
For instance, the Chinese State Council formally research demonstrated the disparities between
approved the development plan for the Shandong Bangladesh's and China's approaches to the blue
Peninsula Blue Economic Zone in 2011. It is the first economy through a comparative examination. Many
regional development plan in Chinese history to lessons are uncovered. Comprehensive long-term
emphasize the marine economy. By 2015, Shandong planning is required to encourage research and
Peninsula Blue Economic Zone had established a innovation in this area. Additionally, the application of
foundation for the modern marine industry, pertinent laws needs to be emphasized more. By
significantly increased comprehensive economic realizing the full potential of the blue economy,
strength, significantly enhanced the ability of marine Bangladesh's economic growth can eventually become
science and technology to innovate independently, more resilient.

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