Mirsharai EZ is not getting enough workers. Here’s why

Infographic: TBS

The goal of Mirsharai Economic Zone is lofty: to bring dynamism in the economy of the country's south-east, utilising its proximity to the Chattogram port and Shah Amanat International Airport as transits of international trade.

But, a lapse in planning – the absence of proper accommodation and transport facilities for the large workforce it will employ – has resulted in reluctance among workers from distant areas to work here.

Take the case of Kiaxi Lingerie at Bepza Economic Zone. Despite announcing 8,000 job openings last December, this Chinese company in the ready-made clothing sector has only been able to hire 600 workers.

The absence of adequate housing and transportation for employees at the economic zone (EZ), part of the Bangabandhu Sheikh Mujib Shilpa Nagar in Mirsharai, has caused a labour shortage.

Consequently, Kiaxi Lingerie, with a $60.85 million investment in the economic zone, has requested assistance from the zone authorities to address the labour shortage.

This issue extends beyond Kiaxi Lingerie and Bepza EZ. Other companies in the industrial city face similar challenges in managing worker housing and transportation on their own.

Officials of the two economic zones – Beza and Bepza – acknowledged that the lack of nearby populated areas is causing a labour shortage, and factories are struggling with transportation and housing issues.

However, they mentioned that government-operated buses will soon be deployed to address worker transportation needs. Additionally, there is a master plan to build housing for workers.

Anamul Haque, project director of Bepza EZ, told TBS that he personally met with the chairman of the transport authority on 6 February to address the commuting issue.

"Within a week, transportation services for workers travelling from Borotakia on the Chattogram-Dhaka highway to the industrial city will commence," he said.

Initially, five double-deckers with 45 seats each will be deployed for this service. The BRTA is already finalising all necessary arrangements, including determining the bus terminal location.

Regarding the housing issue, the Ministry of Housing and Public Works formulated the Mirsharai Upazila Development Plan (master plan) in April last year. The plan suggests constructing two low-cost housing projects on 363 acres in Korerhat and Saherkhali unions in Mirsharai.

Investors in the economic zone said it will take at least two to three years to complete the housing projects once they begin implementation. They expressed concern whether the project's benefits will come in the next five years.

Bangabandhu Sheikh Mujib Shilpa Nagar Project Director Abdullah Al Mahmud Faruk said, "At our request, the Urban Development Directorate included housing projects for workers in the master plan." Beza will construct two housing projects for workers, but the design and capacity evaluation are pending.

Too expensive to work

Jaman Ullah, the human resource officer at Kiaxi Lingerie, told TBS that both skilled and unskilled workers are scarce in the economic zone.

"Our factories cannot operate at full capacity. Workers are hesitant to join due to inadequate housing and public transportation options," Jaman added.

Kiaxi Lingerie currently uses nine vehicles to transport workers from Mirshrai, Sitakunda, and Feni. The daily cost for these vehicles averages Tk45,000, shared equally between the company and the workers, affecting both parties.

Bangabandhu Sheikh Mujib Shilpa Nagar is located 67km from Chattogram city, 50km from Feni, 34km from Sitakunda, and 18km from Mirsharai town.

Jaman Ullah said workers who commute on personal arrangements spend three to four hours and Tk150-Tk200 daily, a significant expense for workers earning around Tk15,000 per month.

Chattogram-based Modern Syntex recently completed a $150 million investment in constructing a factory for garment industry raw materials in the economic zone. The company needs 1,200 workers but has so far managed to hire 900 unskilled workers. 

Shafal Barua, the company's general manager, mentioned the difficulty in finding skilled manpower in the area. "Workers are trained in-house after recruitment, with a dormitory set up at Mirsharai town for their accommodation. The factory, located 22km away, requires workers to use their own transportation."

Mohiuddin Chowdhury, a director of the BGMEA and chief executive officer of Clifton Group, estimated that about 1.2 lakh workers will eventually work at different economic zones in Bangabandhu Shilpa Nagar.

He added, "Therefore, Beza's two housing projects accommodating 4 lakh workers will greatly benefit all. We expect Beza to make a decision on the implementation of housing projects as per the master plan soon."

The huge industrial city 

Beza is developing the Mirsharai economic zone or Bangabandhu Sheikh Mujib Shilpa Nagar across about 30,000 acres of coastal land in Chattogram's Mirsharai, Sitakunda, and Sonagazi in Feni. On the other hand, Bepza is overseeing the development of the Bepza Economic Zone on 1,138.55 acres within Bangabandhu Shilpa Nagar.

A total of 1,550 workers are employed at nine factories – three in Bepza EZ and six outside. Within the next three months, three new factories are expected to employ an additional 3,000 workers, according to Beza and Bepza. 

Furthermore, the existing factories require 7,000 more workers, totaling to 10,000 new employment opportunities in Bangabandhu Shilpa Nagar within the next four months.

Besides Kiaxi Lingerie, two other China-based companies – Fengqun Composite Material and KPST Shoes – are operating in Bepza EZ, according to Bepza. Around 950 workers are involved in these factories. Among them, Kiaxi employs 600 workers, KPST employs 100, and Fengqun employs 50.

The six factories in Bangabandhu Shilpa Nagar apart from the Bepza EZ are Asian Paints, McDonald Steel, Nippon McDonald Steel, Marico, Samuda Construction, and Bashundhara Readymix. About 600 workers work in these establishments. Three more factories are likely to be commissioned this year.

Industrial owners, who have been allotted land in the economic zones but are yet to set up factories, told TBS that if local workers aren't available, they will need to transport workers from Chittagong, 65km away, taking about 1.5 hours. 

This transportation from distant areas such as Feni and Noakhali will be time-consuming and costly, they said.