PRE INVESTMENT

FEASIBILITY REPORT

ON

Prepared by
ANM Wahid Uddin Chowdhury
Industrial Consultant/Financial Analyst
Contact No. 01819-197195

NAAFCO DENIM LTD (PROPOSED)

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0

TABLE OF
CONTENTS
NO

SL NO.

SUBJECT

PAGE

1.

SUMMARY OF THE PROJECT

1-06

2.

MANAGEMENT ASPECT
08

3.

TECHNICAL ASPECT

09-15

4.

FINANCIAL SUMMARY
17

16-

5.

SOCIO ECONOMIC ASPECT

18-19

6.

MARKETING ASPECT

20-66

7.

FINANCIIAL ANALYSIS

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07-

1-31

EXECUTIVE SUMMARY
1. Name of the project

: NAAFCO DENIM LTD.

2. Location of the project : Plot 607-609, Uttar Vagnahati, Sreepur, Gazipur,Bangladesh

3. Registered Office

: Suvastu Tower, 12/A, 69/1 Panthapath, Dhaka 1205

4. Main Promoter

: Mr. M S Huda

5. Nature of the project

: 100% Export Oriented Garments Industry

6. Background of the Proposed Project:

At NAAFCO Denim Ltd, we value individuals for their diverse backgrounds, experiences,
styles, approaches and ideas. We actively promote diversity in whole value chain. This
diversity inspires the innovation that drives our business and helps improves our competitive
advantage. It helps us make decisions that serve customers in the diversed markets around
the world. Our Production capacity 15000 pcs Denim pants & Trousers per day.
Vision
Our vision is to be the worlds most vibrant & leading ONE STOP DENIM HOUSE with
TQM leader which will set the benchmark for the industry and will create optimum value for
the customer.

Mission

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We commit to provide total service, quality benefits through activities which will add value
to the bond we create with our employees, customers and business associates in the
growing textile and garments market of Bangladesh.

07. Total Cost of the Project

The total fixed cost of the project stood at Tk 5655.05 Lac- mostly the cost of the plant
while the local currency will be used to finance Land building, imported, local machinery and
installation charges. The summarized position of the fund requirement appears as follows:
Taka in Million

Item

Amount

Total Cost

Sponsors

Banks Equity

Equity
01.

Land

Total Cost
(Tk. In 000)

123.900

123.900

123.900

123.900

02.

Market Value)
Building and other

135.000

135.000

40.500

94.500

135.000

03.

civil works
Machinery Imported

210.75

210.75

21.075

189.675

210.75

Local Machinery

30.000

30.000

3.000

27.000

30.000

04

Duty, Tax, Insurance

11.250

11.250

11.250

11.250

05

etc.
Vehicles

10.000

10.000

5.000

5.000

10.000

06

Security Deposit

5.000

5.000

5.000

5.000

07

Pre-operative

20.000

20.000

20.000

20.000

08.

expenses
Contingencies

7.650

7.650

7.650

7.650

10

Furniture & Fixture

10.000

10.000

10.000

10.000

(as per Present

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11

Internal Freight

1.000

1.000

1.000

1.000

12

Erection &

1.000

1.000

1.000

1.000

Installation
Total Cost of the

565.55

565.55

249.375

316.175

565.55

project

8. Means of Finance.
(Tk. In Million)

Against Total Cost

Banks Equity
Sponsors Equity
Total:

Against Machinery Cost

Amount

Percentage

Amount

Percentage

316.175
249.375
565.55

52%
48%
100%

216.675
24.075
240.75

90%
10%
100%

09. Working Capital requirement

(Tk. In Million)

1st. year

2nd. Year

3rd. year

4th. Year

Total Working Capital

Requirement
Margin against W/C Finance
W/C for Bank Finance

470286.57
47028.66
423257.91

..

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504903.84
50490.38
454413.45

539655.01
53965.50
485689.51

574241.87
57424.19
516817.68

10. Financial & Economic Aspect:

(Figure in million Taka)

Particulars

O P E R A T I N G

Y E A R S

70%

75%

80%

85%

1,859,655

2,305,913

2,461,133

2,616,353

Gross Profit

281,328

341,411

361,505

381,425

Operating Profit

229,899

285,631

301,886

318,804

Net Profit before Tax

110,092

168,222

186,856

206,177

Net Profit after Tax

110,092

168,222

186,856

206,177

Gross Profit to Sales

15.13%

14.81%

14.69%

14.58%

Operating Profit to Sales

12.36%

12.39%

12.27%

12.19%

Net Profit after Tax to Sales

5.92%

7.30%

7.59%

7.88%

1.65

2.01

2.14

2.28

1103437.99

1232061.40

1218056.92

1103437.99

42%

40%

40%

Assumed Capacity Utilization

Sales Revenue

Ratios:

Debt-Service Coverage Ratio (Times)

Other Financial Indicators:
Break Even Sales
Break Even Capacity
Internal Rate of Return (IRR)

2911187.36

Net Present Value (NPV)

Pay-Back Period

2.89 Years

Economic Indicators:
Contrition to GDP

384086

Employment Generation

471479

500465

532763

1080 Persons

Cost per Job Created

523.66

Benefit-Cost Ratio

1.71

Expected Key Ratios:

O P E R A T I N G

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Y E A R S

DEBT ( % )

63.07

54.06

46.44

40.01

EQUITY ( % )

36.93

45.94

53.56

59.99

Current Ratio

1.23

1.55

1.87

2.19

Quick Ratio

0.41

0.72

1.04

1.35

Liquidity Ratio

0.21

0.53

0.84

1.16

Asset Ratio

1.59

1.85

2.15

2.50

Return on Equity Ratio

0.44

0.41

0.32

0.27

Working Capital to Total Assets(X1)

Retained Earnings to Total

0.38

0.36

0.34

0.32

Assets(X2)

0.10

0.13

0.13

0.13

EBIT to Total Assets(X3)

0.21

0.23

0.21

0.20

Equity to Total Liabilities(X4)

Sales to Total Assets(X5)

0.59

0.85

1.15

1.50

1.69

1.83

1.72

1.60

MANAGEMENT ASPECTS
2.01 Type of the Organization:
The name NAAFCO Denim Ltd is a private limited company under the ownership and
management of NAAFCO Denim Ltd. As per Articles of Association of the company, it will be
managed by a Board of Directors consisted of 2 sponsor shareholders. The board is fully

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authorized to take all decisions in connection with Operation, Financial management and
seeking financial assistance from any financial institution.
2.02 Registrar of Joint Stock Companies:
The Registration of the Company with the Registrar of Joint Stock Companies of Bangladesh
has been done.
2.03 Corporate Set-up of the Company
SL.NO

Name of Sponsors

Status

Extent
of

01.

Mr. M S Huda

M.D.

02.

Mr. M. Saiful Huda

DIRECTOR

Shares
50%
50%
100%

Background of the Managing Director:

Mr. M S Huda is Managing Director of the Shetu-Semco Group of Companies whose
primary focus since 1984 has been on Pesticides, fertilizers & seeds for the Bangladeshi
market, both private & public sector, Shetu Pesticides Ltd,Naafco (Pvt) ltd& Semco between
then operate an integrated supply chain based on import,formulation repacking of both raw
& finished materials & then nationwide distribution, marketing & sales. These companies
and their brands have an established reputation for quality products amongst the trade &
consumers. He has been accorded various awards and recognition for his contribution and
achievements in the agricultural sector.CNG stations and property holdings figure amongst
other business units in the group.

He is a chemistry graduate and has been an entrepreneur for 45 years in various businesses
locally and internationally. He is extremely well travelled and enjoys the company of his
grandchildren in his free time.

Background of the Director:

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Sl.

Name,

Address

and

Descriptions

No

Signature of the Subscribers

and

No. of shares
taken by each
subscriber

01.

Mohammed Shamsul Huda, Managing

50%

Director
S/O. Late Mohammed Mohabbat
Address : House #458, Road # 31 New
DOHS,Mohakali, Dhaka- 1206
Age : 71 Years
Email : spl_naf@bdcom.com
National ID : 2650898232450
TIN: 037-100-4061/sa-29(cos)
Nationality: Bangladeshi
Profession: Business
02.

Experience: 45 Years
Md. Saiful Huda
S/O. Mr. M S Huda

50%

Address : House #458, Road # 31 New DOHS,

Mohakali, Dhaka-1206
Age : 27
Email : spl_naf@bdcom.com
National ID : 7
TIN: 188-103-2313/sa-29/(cos)
Nationality: Bangladeshi
Profession: Business
Experience: 5 Years

TECHNICAL ASPECT
3.01 The Project
The project will be a Manufacturer of Denim & Trousers pants for export market considering
the growing demand for the products in the export market the sponsors have decided to
under-take the proposed project having additional capacity of 46.80 Lac lacs Pants annually.

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Location of the Project:

The factory premises of the company is located at Uzilab, UttarVagnahati,Sreepur,Gazipur
on its own premises.. The utilities such as electricity, Gas line, water etc are available at
project site. The most important requirement of workers is abundantly available. There is
ample scope of training up the job seeking young boys and girls to convert them to workers
(operators and helpers)
3.02 Production Capacity
The annual rated capacity and product mix of the proposed project at 100% capacity
utilization based on three shifts Operation per day and 312working days per year has been
given in the following table:
(Amount Tk. In
000)

Product
Mix

Items

Denim Pant
Trouser /short

Quantity

Unit Price
(In Taka)

Total

3120000
1560000

680
630

2121600
982800

3104400.00

3.03 Raw materials Requirement

Raw Materials:

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(Amount Tk. In
000)

SL.

Item

Quantity

Quantity

Unit Price

Total Amount

( in Tk.)
01
02

Fabrics
Accessories

7020000
L.S.

300

Total Imported

2106000
315900

2421900.00

3.04 Building and Other Civil works.

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To implement the proposed program of NAAFCO Denim Ltd, the sponsors of the project will
construct 203000 sft building for housing the machinery of the project which includes Office
building, factory building, godown and other utilities services. The total cost of building has
been estimated at Tk. 1350.00 lac. The details of which is given below:

SL.No.

Descriptions

Types of

Area

01
02
03

Rate(Tk.)

Amount

Cons:
Prefabricated
2floors of ( 2-Storied

Sft.
103000
40000

450

(Tk.in000)
90000
18000

Building)
2 Floors of (2 Storied

60000

450

27000

Building)
Total Building

135000.00

3.05. Machinery and Equipments

The cost of the imported and local machinery and equipments of the project has
been estimated Tk.2407.50 lac excluding duty, tax, internal freight etc. The details of
machinery and equipments is given as

A.Machinery and Equipments (Imported)

SL.

Item

unit

NO.

Value Tk. in (000)

(Depreciated Value)

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01
02
03
Total :A

210750.00

* List of Machinery enclosed in Annexure 1

B. Machinery and Equipments (Local)

SL.
NO.
01
02
03
04.

Item

unit

Value in Tk (000)

Total: B
Total :(A+B)

30000.00

240750.00

** List of Machinery enclosed in Annexure 2

3.06 Manpower Requirement

To run the project smoothly and profitably the total man power to be required is estimated at
persons covering both administrative and factory staff. The details manpower and salary
there against is given in
A. Factory Staff:
SL.NO

Category

(Amount Tk 000)

No.

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12

Salary/month

Annually Salary

(average)

(Tk.in000,)

01

Staffs (Production)

50

20000

12000

Worker

1000

6500

78000

Total

90000.00

B.Admin Staff:
SL.NO
01

Category

No.

Staff (Management & Marketing)

Total (A+B)

30
1080

Salary/month

Annually Salary

(average)

(Tk.in000,)

50000

18000
108000.00

3.07 Land and Location

The project will be setup on an area of 12.5 Bigha project lands under Dist. Dhaka, PLOT
607-609,Uzilab,Uttar Vagnahati,Sreepur,Gazipur.The place is very suitable for setting up of
an industry as the area has been developed as an industrial Zone. The project will enjoy all
infrastructural facilities like electricity, Gas, Road communication net work etc.

3.08

Erection and Installation

Erection and installation of machinery will be done by experts. An amount of Tk.10.00 lac
has been estimated for this purpose.
3.09

Furniture, Fixture & vehicles

Decoration, Furniture, Fixture& Vehicles of the project has been estimated at Tk100.00 lac.

3.10.

Internal Freight & Duty

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An amount of Tk. 122.50 lac has been estimated for both imported machinery to reach the
project site.
3.11

Utilities:

i) Electricity:
To implement the proposed Program the project will require 300 KW Power at 100 %
capacity and it will get from Rural Electrification Board .The annual cost of electricity has
been estimated at Tk.100.80 lac. In addition the project will have its own generator (standby)
for uninterrupted supply of electricity.

3.12

Repair and Maintenance

The cost of repair and maintenance for machinery has been estimated @ 0.5%, 1% & 1.5%
and onwards of its of machinery and equipments in 1st, 2nd, 3rd and subsequent years of
operation.
3.13 Stores & Spares
The stores & spares of machinery to be required has been estimated @ 0.5%,1% & 1.5%
and onwards of its cost of machinery and equipments in 1st, 2nd, 3rd and subsequent years
of operation.

FINANCIAL SUMMARY

4.01

Financial Evaluation

The Profitability analysis on the proposed Project has been computed for 10 years of
operation to assess the financial viability of the project. The financial projection that has
been made includes estimate of sales, cost of goods sold, administrative and general
expenses.
4.02 Assumption underlying the financial projections

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A.

The capacity of the project is projected to be 70%, 75%, 80% of the rated capacity in
the 1st three years and onwards.

B.

The cost of other accessories have been kept constant throughout the period on the
assumption that increase in raw materials will be offset by increase in selling price of
products.

C.

The rates of depreciation / amortization of various assets of the project are

considered as normal rate that prevails in the industrial sector.

D.

Insurance premium is to be charged at 0.50% of the cost of the fixed assets and raw
materials stocks.

E.

Other expenses viz. power, fuel & lubricants etc. are charged as per prevailing
market price.

F.

General and administrative expenses are estimated as per prevailing market price.

G.

Tax-Holiday for the project has been estimated to be 5 years.

4.03

Debt Service Coverage Ratio (DSCR)

The details debt service coverage ratio may be seen at Annexure- 4 x.

4.04

Break-Even- Analysis

The break-even- analysis has been carried out on the basis of cost & sales of projected
operation. The project is expected to be break-even- at 40% of the rated capacity.
4.05 Cash flow statement
The projected earning forecast statement indicates that the project will have sufficient fund
generation at the end of the year. The project will be able to all its operational expenses,
repay its debt obligation, provides substantial returns to the sponsors and build a reasonable
reserve.
4.06 Projected Balance sheet

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The projected balance sheet also shows that the project will be able to maintain health
liquidity throughout the operational life.
4.07 Internal are Rate of Return
The internal rate of return has been computed following the DCF technique.
4.08

Investment Period

The investment period has been considered 7 years.

SOCIO-ECONOMIC ASPECTS

501 Foreign Exchange Earning:

The project envisages for production of exportable Denim Products which will earn foreign
currency through exporting the products.
5.02 Employment Generation:
The project after implementation will create employment opportunity for 1080 persons and
the cost per job created will be TK 523.66 Thousand

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5.03 Environmental Scanning:

Cultural & social environment:

One of the major aspects of our cultural and social environments is our increasing
population. That is one of the major opportunities for market expansion. We have great
demand of packaging Products & accessories especially Denim fabrics & others so the
demand for these products production is ever increasing. Higher quality of consumers
lessens the cost of production and also increases benefit.

Economic Environment:

Now our economy is more favorable for entrepreneurs. Now a days government provides
various opportunities for our entrepreneurs. They can get loans from banks and government
agencies. Government also provides various training facilities for unemployed people.
1. Labor cost in our country is very cheap. It lowers our production cost. Again we
generally find unskilled labor. Training needs to be provided which increases cost.
2. Cost of capital is high in our economy. Interest rate is high in our which increases
cost of capital.

Technical environment

Technical environment in Bangladesh is improving now-a-days. Many necessary

technologies are now available in our country. We can import many of them from Asian
countries at low cost. Now our colleges and universities provide various technical training
programs which will help to develop technically skilled employees.

Political and legal environment:

Our political environment is suffering from frequent political unrest and strikes. It causes
problem in transportation sector and increases cost of product

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5.04: CONCLUSION
As evaluation of the Socio-economic, Private and national benefits, which expected to
accrue from the implementation of this project and continuous execution of its operational
activities will easily highlight the rational and economic justification of this unit. The Project is
expected to generate very substantial financial returns for the promoters, all method of
project appraisal and analysis, financial, management & economic evaluation justify the
establishment and implementation of this unit. The unit will be able to pay income tax, after
expiry of tax holiday period. Such levies and taxes will help to enhance the Governments
funds, available for public sector development expenditure.

The detail feasibility reveals that the project is technically feasible, financially rewarding,
economically &commercially viable. The proposal may, therefore, be considered suitable for
bank finance.

MARKETING ASPECT
Objective:
The objective of this market study is to examine and investigate into demand pattern,
sources and uses of Denim fabrics. The proposed project to be set-up for manufacturing of
different denim items for export market.

MARKETING ASPECT

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Marketing Aspect:

Objective:
The objective of this market study is to examine and investigate into demand pattern, and
market situation of Tourism and Resort Industries. The proposed project to be set-up for
providing

Bangladesh is Located in the north-eastern part of South Asia. The majestic Himalayas
stand some distance to the north, while in the south lays the Bay of Bengal. There is West
Bengal border on the west and in the east lie the hilly and forested regions of Tripura,
Mizoram (India) and Myanmar. These picturesque geographical boundaries frame a low
lying plain of about 1,47,570 square kilometer criss-crossed by innumerable rivers and
streams. Mighty rivers are the Padma (Ganges), the Brahmaputra (Jamuna) & the Meghna
and the Karnafuli.
Bangladesh offers many tourist attractions, including archaeological sites, historical
mosques and monuments, longest natural beach in the world, picturesque landscape, hill
forests and wildlife, rolling tea gardens and tribes. Tourists find the rich flora and fauna and
colorful tribal life very enchanting. Each part of the country offers distinctly different
topography, flavors and food. It is home to the Royal Bengal Tigers, freshwater pink
dolphins, historical temples made of red earth.

Some of the better known tourist attractions are: Srimangal, where miles of tea gardens are
located, Mainamati, Mahasthangarh, Paharpur for archaeology, Rangamati, Kaptai and
Cox's Bazar for sight seeing, and the Sundarbans for wild life and the greatest Mangrove
forest of the world, and Foy's Lake for scenic beauty. To know more about the tourism of
Bangladesh
Bangladesh is one of the few countries in South Asia, which remains to be explored.
Bangladesh has a delicate and distinctive attraction of its own to offer and it is definitely not a
tourist haunt like Nepal or India. Bangladesh is like a painter's dream come true with a rich

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tapestry of colors and texture. The traditional emphasis of the tourist trade has always been
on the material facilities offered by a country rather than on its actual charms. This may be a
reason why Bangladesh has seldom been highlighted in the World's tourist maps.
It's a land of enormous beauty, hundreds of serpentine rivers, crystal clear water lakes
surrounded by ever green hills, luxuriant tropical rain forests, beautiful cascades of green tea
gardens, world's largest mangrove forest preserved as World Heritage, home of the Royal
Bengal Tiger and the wild lives, warbling of birds in green trees, wind in the paddy fields,
abundance of sunshine, world's longest natural sea beach, rich cultural heritage, relics of
ancient Buddhist civilizations and colorful tribal lives, - Bangladesh creates an unforgettable
impression of a land of peace.
You'll appreciate our culture and the environment. These are not simply sight-seeing
excursions, but real-time learning experiences. Enjoy an ideal blend of adventure and
exploration with comfort and relaxation. Here you find that you are not alone. With us, any
place in Bangladesh is a home away from home.

Tourism

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Despite its poor-country status, increasing numbers of tourists have visited Bangladesh, a
new but minor source of foreign exchange earning. Tourism in the early 1990s amounted to
some 49,000 visitors per year, but by 2006more than 129,000 tourists--mostly from India, the
United States, Britain, and Japan-- visited Bangladesh. According to the Bangladesh
Parjaton Corporation (Bangladesh Tourism Corporation), some Tk44.6 million in foreign
exchange

Tourism potential of Bangladesh

Bangladesh is located conveniently on the east-west air-corridor making it a gateway to the
Far East. It is endowed with resources and the potential for a tourism industry. In the southeast the country has a 120 km long beach of soft silvery sand, perhaps the world's longest,
in a Riviera-like setting with crescent shaped low hills overlooking the Bay of Bengal.
The range of the hills clad in lush green thickets are treasured locations for ecotourists and
wildlife watchers. At the head of this terrain is Cox's Bazaar which is as romantic as its name
is to the outside world. The Hill Districts to the north and north-east of Cox's Bazaar nestle
the Kaptai and Rangamati lakes, a 840 sq.km body of crystal clear water lying in sylvan
shadows not far from where a dozen hill tribes follow their traditional life-styles. The Tea
District of Sylhet in the far north-east of the country has prospects of tourism, as does the
Sundarbans, a large mangrove forest in the South which is home of the Bengal tiger;
remains of palaces of old principalities andarchaeological sites of Buddhist monasteries.
Shrines and holy places, mosques and temples, particularly in the northern part of the
country, are among the tourist treasures of Bangladesh.

General trends in inbound tourism

Unfortunately, since its independence in 1971 following a devastating war of liberation,
Bangladesh has gotten publicity about negative incidents like natural calamities, cyclones,
floods and epidemics, in the international media, and this adversely affected international
tourist flows to the country. The trend appears to have continued in recent years. Statistics
showing foreign tourist arrivals for ten years to July 2006 is presented in annex table 1. For
three consecutive years up to 2006, there has been encouraging annual growth in
international tourist arrivals. It is expected that the growth rate would further increase in the
coming years. It is also expected that eco-tourists and special interest tourists will
increasingly choose Bangladesh as one of their destinations. Tour operators of the country
are expected to intensify their efforts to bring in more groups and package tours. In order to

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develop tourist products, the country has already begun development of a second sea resort
at Kuakata, a half-day trip from the Sundarbans. As shown in annex table 2 which shows the
nationality of tourist arrivals, India is the top tourist generating country for Bangladesh,
closely followed by United Kingdom and the United States of America. Trends for in bound
tourism from traditional tourist market areas like Germany, France and the Scandinavian
countries appear to be positive. Bangladesh can count on a "favored nation" status with
respect to tourist arrivals from Japan.was earned in 1986 from the tourism industry

Foreign exchange earnings from tourism

When considering foreign exchange earnings from tourism or tourism receipts. The amount
might seem rather small. Annex table 3 shows foreign exchange earnings from tourists and
other travelers. The annual growth rate over the last three years is noteworthy. Though
tourism has not assumed a significant role in the national economy yet, it is hoped that
tourism shall grow to contribute significantly to the national economy in the future.

Specialized agencies for tourism development

The state corporation, Bangladesh Parjatan (Tourism) Corporation (BPC), was established in
1973 and tourism has mostly been the subject of this state body ever since. Somewhat later,
the Ministry of Civil Aviation and Tourism was created and brought three agencies together in
the Ministry, namely BPC, the national flag carrier Biman and the Civil Aviation Authority. A
process to integrate tourism planning development through the Ministry of Civil Aviation and
Tourism is already in place. Given the fact that tourism is so diverse and
Multi-dimensional, the National Tourism Policy of 1992 states that a multidimensional
Industry as tourism in its developmental activities at tourist spots and centers will involve
programmes of work of various ministries and, therefore, this industry will have to be
developed by overcoming governmental dilatory processes through effective coordination at
the highest level. With that end in view, a National Tourism Council has been formed with the
Prime Minister as the head of the Council and other relevant ministries participating.
In order to implement the tourism policy, an Inter-ministerial Coordination and
Implementation Committee has been formed with the Secretary of the Ministry of Civil
Aviation and Tourism as the convener.

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Tourism master planning

Since 1988, the Government accepted and launched a Strategic Master plan for Tourism
developed by the World Tourism Organization (WTO) in consultancy with MIS Pannel Kerr
and Associates of the United Kingdom with UNDP funding. Recommendations of the Master
plan are now taken into consideration for preparing and implementation of individual
projects. However, in view of the time that has passed since adopting the Strategic Master
plan, a review in order to update relevant matters is now under consideration.

Major tourism projects

We tend to put major emphasis on certain tourist areas rather than individual projects. Cox's
Bazaar Resort is among our major preoccupations, because we want to develop this resort
in a sustainable way. Another priority is Kuakata,the second resort area of the country. We
are encouraged to develop the tourism resources of the Sundarbans. Projects for
development and conservation of our archaeological sites are no less important for
development of educational and cultural tourism. Other projects are Saint Martins island,
Burdorban, Sonargoan, Kantajee tample, Paharpor etc.
Coxs bazar
Ancient name of coxs bazar was Bakolia. Burmese king Mon Waing attact coxs bazaar
in1784. Then the government of east india company appointed captain Hiram cox as a
superintendent. And then for the time being the name was changed to coxs bazar. The sea
side tourist township of Bangladesh boasting the worlds longest(120 km.) beach sloping
gently down into the blue water of the Bay of Bengal- Coxs Bazar is one of the most
attractive rourist spots of the country. Spots of Coxs Bazar

Inani

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Lovesome patches of beaches perched between the sea and the hills behind, some 30 km.
down south along the sea-front from Coxs Bazar, Inani is a quiet tourist hideout set out in
the exuberance of nature.

Himchhari
A beauty spot in the solitude of the sea and the hills. About 4 and a half km. south-east from
Coxs Bazar along the beach. Part of the way on donkey or elephant back and the
remainder afoot would be a rewarding memory.
Ramu
A small buddhist village Ramu is 15 km. from Coxs Bazar. Attraction include ancient
Buddhist tample, rubber gardens, Buddhist locality Red Chin Khyang, white Chin Khyang,
etc.
Moheskhali
An island in the Bay in the north wetern direction off Coxs Bazar. The island is dotted here
and there with forested hills with the ancient Adinath Temple in its midst Fishermens villages
and the Rakhyne villages are great attractions of the island.
Sonadip
This is a maiden island off Coxs Bazar across the Bay. Under the wide open blue sky fishing
community, dry fish processing and colonies of the red sea crabs are attractions of the island

PROSPECTS

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In examining the economy of Bangladesh, wherever one turns the problems crowd in and
threaten to overwhelm the analysis. Underlying problems that have threatened the young
nation remain unsolved. These problems include overpopulation and inadequate nutrition,
health, and education resources; a low standard of living, land scarcity, and vulnerability to
natural disaster; virtual absence of valuable metals; and inadequate government and
bureaucratic structures. Yet the brief history of independent Bangladesh offers much that is
Encouraging and satisfying. The World Bank, leader of the Bangladesh Aid Group, described
the country in 1987 as a success story for economic development and expressed optimism
that the goals of the Third Five-Year Plan, and longer term development goals as well, could
be attained. Government policies had been effective in stimulating the economy. The private
sector had benefited from an environment of greater economic freedom and had improved
performance in banking and production of jute, fertilizer, ready-made garments, and frozen
seafood. The average growth rate of economy had been a steady, if unspectacular, 4
percent since the beginning of the 1980s, close to the world average for developing
countries. The picture of day-to-day and even year-to-year performance of the economy of
Bangladesh is a mixture of accomplishment and failure, not significantly different from that of
the majority of poor Third World countries. The government and people of Bangladesh are
entitled to take some pride in the degree of success they have achieved since
independence, especially when one contrasts their success with the gloomy forecasts of
economists and international experts. The international donor community, led by the World
Bank, similarly can be proud of the role it has played in assisting this "largest poorest" nation
to become a respected member of the family of nations.
Some other prospects
1. Tourism industry may be turned into the major source of earning foreign
currency for Bangladesh.
2. It has the ability to introduce Bangladesh with the people around the
world.
3. Tourism industry can also help us to create a better image in the world.
4. It can also help Bangladesh in business purpose.
5. Bangladesh has a large number of tourist spot in its area. All of them are
special in their own character. So all of them have individual attraction
for the tourist if some contractual work is done for easier movement.
6. These tourist spots also can eliminate the unemployment problem of
Bangladesh. Specialist said that more than 30% employment could be

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increased if the government takes proper step for the development of

tourism areas.
7. The government of Bangladesh can earn a huge amount of revenue from
this sector which can help Bangladesh to establish a healthy economic
condition.
8. If we can make a position in the 7 wonders through Coxs Bazar and
Sundarbans then the prospects of tourism industry in Bangladesh will be
higher and higher.
9. As a third world country in the world Bangladesh can promote its
Position by proper utilization of tourism industry.
10. Thus the overall condition can be improved by proper utilization of
Tourism sector.
Reams of paper have gone into writing about the prospect of tourism in
Bangladesh in all the Media of reporting. For the last three decades, we have
been endeavoring to develop tourism, but the expectations have not always been
met. The good news is that many high officials concerned with national
Development have recently come to understand the importance of tourism

Apart from this, tourism is the world's largest industry and a major source of employment
and revenue. It also contributes towards conserving environment. Tourism is the world's
largest industry. There are some statistics to justify this assertion, especially for those who
give more importance to facts and figures. According to the World Tourism Council, last year
tourism alone produced over $6 trillion in revenue. It provided jobs to around 221 million
people globally. It is expected that by 2015 it will be providing some 269 million jobs.
Between 2006 and 2015, tourism's growth rate is expected to be 4.6 percent on an
average per year. Tourism, on a national scale, not only can produce employment but also
can be a major source of renewable export. It must be noted, however, that to be a
renewable resource, tourism must be developed in a sustainable manner. That means where
ecologies are fragile, numbers and activities must be tightly controlled; pollution must be
checked, and local cultures protected. Tourism can add to the local economy in a variety of
ways. These include revenue earned on spending by tourists in hotels and restaurants,
conventions and meetings held, fares paid for transportation, etc.

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Tourism and economic development go hand-in-hand. Think about what makes a place a
good tourism centre. What are the essential ingredients of tourism? Here are a few of the
essential points that tourism needs for its future growth in Bangladesh:
No one wants to visit a place that is not clean or unhealthy. Tourism cannot survive without a
clean and safe environment. In a like manner, communities that do not provide pleasant
surroundings and a clean environment have a very hard time attracting business.
Tourism requires friendly people and good service. No matter what the attraction may be, a
tourism centre that lacks good customer service and friendly people will fail. In the same
way, communities that offer poor service not only do not attract newcomers, but, in the end,
have a difficult time holding on to their local population, young people and businesses.
Tourism requires good restaurants, hotels and recreational facilities. These are the same
factors that are essential to any community seeking economic

Development.
Bangladesh can be an ideal destination for community-based tourism. For sustainable
progress in poverty eradication, the present time is suitable for
considering the implementation of community-based tourism. Bangladesh is a country of
thousands of villages. Most of its heritage sites and international tourist spots are positioned
around villages. These are intended for education as well as recreation.
Sometimes rare plants or animal species are the main attraction, sometimes traditional food,
handicraft or historic buildings. A European example of well developed rural tourism is
France. Camping and caravans are the most popular forms of accommodation in rural
areas, many of them on farms. Many farmers have developed camping sites on their farms.
Others prefer to invest in various kinds of short-term rental houses known as "gtes."
Bangladesh has huge potential for tourism. The concept of community-based rural tourism
and its benefits are still unexplored. Now is the right time to think of rural tourism
development. Apart from rural tourism, all general attractions, like archaeological sites,
historical places, natural beaches are, more or less, getting importance. But rural tourism
can turn into a booming sector for at least two reasons. First, through rural tourism,
Bangladesh may rid itself of poverty, and second, the infrastructure of far-off and rural places
will be developed.

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Community-based rural tourism is a must for the economic development of Bangladesh. Its
earnings will act as a vehicle for the overall development of Bangladesh. Development of
rural tourism will have the following results:
Increase in Gross Domestic Product.
Human resource development.
Poverty mitigation.
Promotion of indigenous culture and heritage.
Development of river tourism and eco-tourism.
Development of rural livelihood.
Protection of indigenous rights and resources.
Education and training for all.
Conservation of environment.
Increase in local export.
Peace and happiness.
Promotion of local cuisine.
Women employment, etc.
The government and community leaders may also want to take into account that tourism
adds prestige to a community. People like to live in a place that others consider worthy of
visiting. Such pride in one's nationality or community can become an important tool for
developing the economy.

People sell their community's best when there is a great deal to see and do in it, when it is
safe and secure, and when customer service is not merely a motto but a way of life.
Community festivals, traditions, handicrafts, parks and natural settings all add to the
desirability of a locale and its ability to sell itself to potential outside investors. The quality of
life can also be reflected in a community's museums, concert halls, theatres and
uniqueness. Tourism is an important economic development tool for emerging and minority
communities around the world. Since tourism is based on the appreciation of other cultures,
tourism industries have been especially open to giving disadvantaged groups around the
world opportunities that have often been denied to them by other economic sectors.
Tourism requires a great deal of construction work and provides large numbers of entry-level
jobs. Tourists may infuse additional money into the local economy through shopping. In
nations where manufacturing is not developed, the tourism industry can be an essential
method for reinvigorating local economies. Sooner or later, Bangladesh will be able to make

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the optimum use of its existing potential for tourism and, thereby, further develop its
economy.

SWOT Analysis of tourism industry in Bangladesh

Strengths
! People of Bangladesh are generally very hospitable and tourist friendly
Security is not that bad as often projected by electronic and print media.
! Domestic tourism is increasing steadily. Due to two-day holiday in the week,
The trend of moving out for recreation has increased mainly among the middle
Class people of the society.
! Awareness about tourist attractions among the local community is increasing.
! Communication and transport system has been developed from north to south,
east to west.
! The country possesses some unique archaeological sites, cultural heritage and
Eco-tourism products like the worlds largest mangrove forest, the Sundarbans,
the worlds longest unbroken sea beach in Coxs Bazar (120 km), the oldest
Archaeological site in the Southern Himalayas-Paharpur and worlds largest
terracotta temple - Kantaji Temple in Dinajpur, and spectacular monuments
and mausoleums of language movement and liberation war of the country.
Weaknesses
! On the role of BPC, there is debate whether the Corporation should play the
role of a mere NTO or a commercial organization or both.
! Frequent changes of officials in the BPCs management and its line ministry.
! Absence of representation of civil society in the BPCs Board of Directors.
! No revenue budget for the promotion of tourism development in the country.
! Absence of a regular policy direction. Due to absence of proper policy
Direction, BPC or the private sector can not receive any fund or loan from any
Quarter.
! There are some flaws in the law of categorizing the countrys hotels and
Restaurants. Categorizing of the hotels and restaurants as Star or non-Star is not
under the jurisdiction of the BPC. Nontechnical hands or institutions are
Involved in this process.
! Due to absence of a tourism law, the tour operators or tourism service

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providers can not be punished for any mishandling of tourists. Also owing to
Absence of law, tourism products can not be protected or conserved, which is
there in many countries of the world.
! The country often suffers from image crisis. The country continues to remain
as an unknown destination to the tourist generating countries.
Opportunities
! It is easy to implement eco-tourism, riverine tourism, and spiritual tourism, as
the country possesses enough opportunity to develop these types of tourism.
! Government has formulated favorable foreign investment policy to attract
overseas investors in readymade garments, leather goods, natural gas and
petroleum sector and liberal policy for joint venture investment in tourism
sector.
! As there are hundreds of rivers crisscrossing Bangladesh, immense
Potentiality exists for development of riverine tourism in Bangladesh.
! Bangladesh is located strategically in South Asia.

Threats/Constraints
! Unstable political situation created a bad image abroad, which should be taken
as the biggest threat for development of tourism industry overseas.
! Continuous campaign against Bangladesh by certain quarters as a
Fundamentalist country is another obstacle.
! Unholy alliance between the trade union and political leaders, which disrupts
Labor discipline.
! Politicization of administration
! Trade Union Menace in the organization
! Rapid growth of population is another big problem. Bangladesh is the most
Over-populated country of the world, except the city state of Singapore.

Findings
1. Tourism industry of Bangladesh has a greater impact and prospect in the
Overall socio-economic condition of Bangladesh.

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2. Bangladesh has a large number of known and unknown tourist spot

around the country such as Coxs Bazar, Kuakata, Kantajee Tample,
Saint Martins Island, Sonargoan, Syllet, Sundarbans, Ramsagor, and so
on.
3. In the Bangladesh, tourism has not achieved the optimal level of
development and status .Tourism business in Bangladesh, as measured by
yearly tourist arrivals. With 1 million in 2004 it constitutes about 0 .125
per cent of world total of over 800 million.
4. A large number of tourists come to visit Bangladesh each and every year.
Though these number can be increased through proper steps and policies.
5. About 446421000 taka was earned from the tourism sector in Bangladesh
in 2006. But it is not adequate with our spots. We can earn double or
triple amount by taking proper policies.
6. Notional tourism policy was formed in 1992. And in the 2005 it is
developed and updated. But yet it needs some additional change in the
whole policy.
7. Tourism master plan of Bangladesh was formed in 1988. But now the
world is more competitive in every sector. So it need some change to
compete with the other country

8. Bangladesh Parjatan Corporation is the national tourism organization.

They have lack of resource and man power facility. So, though they want to do something
but cant.
9. Though communication and transport system in Bangladesh is quite well
established, the infrastructure in the tourist places is yet to be fully
developed.
10. People of Bangladesh are generally very hospitable and tourist friendly.
11. The country possesses some unique archaeological sites, cultural heritage and ecotourism products like the worlds largest mangrove forest, the Sundarbans, the worlds
longest unbroken sea beach in Coxs Bazar (120 bkm), the oldest archaeological site in the
Southern Himalayas-Paharpur and worlds largest terracotta temple - Kantaji Temple in
Dinajpur, and spectacular monuments and mausoleums of language movement and
liberation war of the country.
12.Absence of a regular policy direction. Due to absence of proper policy
direction, BPC or the private sector can not receive any fund or loan from any quarter.

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13.The country often suffers from image crisis. The country continues to remain as an
unknown destination to the tourist generating countries.
14. Government has formulated favorable foreign investment policy to attract overseas
investors in readymade garments, leather goods, natural gas and petroleum sector and
liberal policy for joint venture investment in tourism sector.
15. Bangladesh is a country of natural disaster. In 2007, Sidr attracted our country and made
a huge damage to the whole country as well as the tourist spots
Visitors Arrival by Purpose of Visit
2009
Month
January
February
March
April
May
June
July
August
September
October
November
December
Total

Tourism
14,028
13,047
12,747
12,858
12,541
8,924
9,122
7,908
5,947
7,504
7,612
10,661
122,899

Business
Office
Study
9,985
823
605
9,882
279
454
9,679
327
540
9,319
312
578
8,613
340
616
10,504
295
672
10,187
364
549
8,108
231
533
6,678
234
498
10,236
222
429
9,492
209
479
8,886
259
522
111,569
3,895
6,475

Religion
2,102
1,599
627
578
449
523
506
479
502
498
507
613
8,983

Other
1,089
1,025
1,194
1,141
1,145
1,326
1,052
980
890
1,074
1,037
1,333
13,286

Total
28,632
26,286
25,114
24,786
23,704
22,244
21,780
18,239
14,749
19,963
19,336
22,274
267,107

Outbound Travels by Purpose of Visit

2009

Month

Purpose of Visit
Tourism Business

Office

Study

Religion

Service

Others

Total

January

46,380

7,092

101

2,857

3,405

103,080

48,965

211,880

February

48,958

7,757

101

3,605

2,500

99,999

44,874

207,794

March

51,206

5,438

106

746

2,577

102,151

47,266

209,490

April

42,463

10,668

79

2,523

1,994

94,273

45,808

197,808

May

44,403

10,065

249

2,444

1,814

102,101

45,586

206,662

June

50,338

9,577

480

2,756

1,771

89,856

41,482

196,260

July

63,059

9,592

264

2,421

1,716

95,510

33,558

206,120

August

36,883

7,886

113

2,567

1,493

73,668

43,954

166,564

September

31,752

7,096

132

2,495

1,507

62,813

40,068

145,863

October

33,876

9,526

112

2,427

1,495

90,449

58,580

196,465

November

14,691

8,560

111

2,482

1,622

60,154

68,363

155,983

December

19,065

8,887

103

2,527

1,712

85,246

36,149

153,689

483,074

102,144

1,951

29,850

23,606 1,059,300

554,653

2,254,578

Total

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Foreign Visitors Arrival by Months

2000-2009
Month
2000
January
23,160
February
18,730
March
15,982
April
14,976
May
15,647
June
14,212
July
14,809
August
13,399
September 12,874
October
15,855
November
19,489
December
20,078
Total
199,211
% Change
15.30

2001
25,548
20,724
20,062
19,216
15,926
16,606
15,517
16,739
11,015
13,053
15,265
17,528
207,199
4.01

2002
23,711
16,152
17,898
15,372
15,771
15,754
14,345
14,315
13,022
18,601
17,136
25,169
207,246
0.02

2003
22,193
19,041
16,506
15,299
17,996
21,867
22,957
19,041
17,968
23,498
21,028
27,115
244,509
17.98

2004
23,670
25,012
24,262
23,173
14,959
23,020
26,991
21,938
19,860
21,785
27,208
19,392
271,270
10.94

Source: Special Branch

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2005
20,213
15,848
19,853
16,234
18,535
17,496
19,773
15,292
13,166
15,568
18,399
17,285
207,662
-23.45

2006
16,382
13,473
13,659
12,261
20,971
17,002
25,604
14,244
16,823
17,237
14,734
17,921
200,311
-3.54

2007
16,733
17,308
17,579
23,956
20,853
24,483
32,223
20,614
18,509
27,073
30,308
39,471
289,110
44.33

2008
2009
39,345 28,632
30,788 26,286
30,079 25,114
25,128 24,786
36,929 23,704
39,158 22,244
42,457 21,780
36,017 18,239
26,723 14,749
43,213 19,963
39,996 19,336
77,499 22,274
467,332 267,107
61.65 -42.84

Tourism can contribute to the national economy in Bangladesh

The present government took some legal and procedural steps to develop tourism but these
steps, taken during the last 2 years, have been skin-deep. There is the Ministry of Civil
Aviation & Tourism which is a nonperforming Secretariat outfit. It has taken the Ministry
to conclude a Management Contract for Rupashi Bangla, a Government hotel, 3 years;
there is no regular flow of travel statistics of Bangladesh and its earnings from the
Government Agencies and the Ministry is nonchalant; the category of Shahjalal
International Airport from category-2 could not be up-graded during the last 12 years;
Biman which was transformed into a company for smooth operation and for earning
profit has failed to do so and a concerned Minister said that Biman Board did not listen
to him; the Parliamentary Standing Committee of the Ministry summoned the
Chairman of Biman Board to appear before it but he did not care. The National
Tourism Policy of 1991 was revised by the present Government in 2010. But what
policy decisions were taken by the National Tourism Council, headed by the Prime
Minister, during the last 2 years is not known to the members of the Public and the
Stakeholders of Tourism Industry of Bangladesh. The incumbent government
established the Bangladesh Tourism Board in the year 2010 despite the fact that
another Government-owned Corporation, Bangladesh Parjatan Corporation,
established in 1972 was operating for development of tourism in the country. This duel
administration in the field of tourism has made the Tourism Industry to suffer as neither
the Tourism Board nor the Bangladesh Parjatan Corporation is performing as is
expected from a Government outfit. There is no planned growth of training facilities for
running the tourism undertakings despite positive needs for trained manpower in the
sector. As a result unplanned growth has taken place which does not help the trainees
largely.
The Minister for Civil Aviation & Tourism is busy in inaugurating Tourism Fairs, Food
Festivals, Seminars on Tourism but these are mostly the performances of the private
sector. The SAARC Tourism & Trade Fair which was organized jointly by the
Bangladesh Tourism Board and the Export Promotion Bureau was, however, illconceived. Many stalls in the exhibition were found, either improperly decorated or
badly managed and such country stalls failed to attend the queries of the visitors.

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The country now is facing severe unemployment, housing, industrialization, social and
foreign investment problems due mainly to lack of efficient governance, harmonization
of views of political parties and lack of infrastructure and lack of tolerance for those
who do not agree with the Government. If these problems and attitude can be solved
through able political leadership with foresight, Bangladesh can be a Singapore of
South Asia due to her strategic geographical location having sea ports, large
waterways and land communication facilities to serve many countries of South Asia,
namely Nepal, Bhutan and Seven Indian States bordering with India.
Bangladesh can become the natural leader in South Asia by developing garments,
tourism and the manpower sector. From the tourism sector alone she can earn about
9.00 billion dollars a year and secure employment of 4.00 million people within a span
of 5-10 years. Bangladesh at present spends 3 billion US Dollar annually on account
of outbound travels by Bangladeshi Nationals, but the country earned on an average,
US$ 58 million each year during the last 10 years, according to statistics available
from the Bangladesh Bank.

Sylhet region awaits luxury resort

A local company has endeavoured to build the countrys first five-star resort in Srimangal,
primarily targeting expatriate Bangladeshis visiting Sylhet and its environs.
Grand Sultan Tea Resort and Golf sprawling over 45 bighas is located next to Lawachhara
National Park in Moulvibazar.
The resort will have 167 rooms, including 20 suites and a presidential suite.
We hope to begin commercial operations by the end of 2010, Khawaja Tipu Sultan,
chairman of Excursion and Resorts Bangladesh Ltd, the resort owning company, told The
Daily Star.
Many expatriates largely from second and third generations visit home every year and
they have the finances to afford luxury during their stay, but there are no such facilities that
meet global standards, said Sultan.

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He also expects the resort to attract foreign tourists who frequently visit the area and the
Lawachhara forest for its scenic beauty and rich biodiversity.
In addition to supporting several types of flora, fauna, amphibians, reptiles, birds and
mammals, the Lawachhara forest is a habitat for Hoolock Gibbons.
Wildlife in the area attracts a good number of tourists around the year, but unfortunately,
there is no world-class accommodation for them, Sultan added.
We will include all the amenities of a five-star hotel in the resort, including strong security
and world-class service standards, he said.
The resort will be rated by globally renowned hotel rating agencies, Sultan said.
The total investment required to build the resort is estimated to be between Tk 65 crore and
Tk 100 crore.
There will be a golf course on the premises that will host golf tournaments, while the resort
could also be used to hold wedding functions, company annual general meetings, business
summits and office and family tours.
Sultan said the government could also arrange international summits such as Saarc at the
resort.
He said investment in the tourism sector involved a huge risk factor.
We are keen to develop the tourism sector and thats why we are investing here.

Some Well Known Resort in Bangladesh:

ARUNIMA COUNTRY SIDE & GOLF RESORT
Arunima boutique resort situated in the remote village of Panipara near the confluence of
river Modhumoti & Nobogonga Joynagar, Naragati, Kalia Narail
AtlantisResort
The Resort at Atlantis is Bangladesh's first theme hotel. It is located in water Kingdom in
Ashulia. A unique ocean themed resort destination.

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Blue Marine resort

Blue Marine Resorts" at the heart of Saint Martin Island.You can enjoy both sun rise and
sunset at the sea from these cottages. Location is idle to enjoy nature at peace away from
the hustle and bustle of modern life.

Bangladesh Butterfly Resort

The Resort is equipped with numerous luxury suits and deluxe rooms to Make your
experience into a complete luxury retreat.Conveniently located right beside the Chittagong's
Shah Amanat International Airport.
C G Fishing Resort & Picnic Spot
A warm welcome awaits you in our spacious cottages, a holiday to be enjoyed by all ages.
With lovely garden for lazy breakfasts & testy fish barbeques and wood fires. It's Land
Capacity is 40 Biggas. .
Coral Blue Resort
Coral Blue Resort is renowned as the best beach resort in St. Matins island for its safe
bathing and miles of awesome beauty of Corals .
Deepali Resort
Deepali Resort (Picnic Spot & Resort), Fish breeding Hatchery for students, Cultural event
place, Secured accommodation
Dream Square Resort
Dream square resort, This spot is in gazipur, Chalkpara, Azogirchala, Mauna, Gazipur.
Barsa Resorts
Barsa Resorts, Kolbari, Burigoalini, Shyamnagar, Satkhir, We all are very Energetic and
willing to give a different vision of travel to all our tourists to experience the best and go for
the best.
Elenga Resort Ltd
Elenga Resort Located in the heart of Elenga Town, Tangail. 10 Km.We have an international
standard air-conditioned restaurant, Biroti to fulfill your culinary desires.

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 Foy's Lake Resort

Foys Lake Amusement World is a theme park located in the heart of Chittagong, in Foys
Lake.The biggest attraction is the beauty of the lake and its surrounding hills
Greentech Resort & Convention Center, Bhobanipur, Gazipur
Greentech (GRCC) Resort & Convention Center is located around 56 kilometers away from
Dhaka, conference, executive meeting, seminar, training, workshop and all other corporate
programs outside Dhaka City.

Tourism industry can contribute 4.0pc to GDP by 2018 if infrastructure

developed

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38

Bangladesh's tourism industry can contribute around 4.0 per cent or over $ 6.39 billion to the
country's Gross Domestic Product (GDP) by 2018 if the government develops
infrastructure to woo more local and foreign travellers, said a report.
Civil aviation and tourism secretary Syed Mohamad Jubaer said the government has
already taken steps to make tourism industry one of the key earning sources for the
country.
"We have launched a project in collaboration with the Asian Development Bank (ADB)
for improvement of infrastructures in a number of tourism spots," he said.
A report of the World Travel Tourism Council (WTTC), posted in its website recently, said
Bangladesh travel and tourism economy is ranked number 94 in absolute size
worldwide, 170 in relative contribution to national economies and 31 in long-term (10year) growth.
It said the contribution of the Bangladesh travel and tourism industry to its GDP will
stand at around 3.9 per cent or over $2.9 billion in 2008.
According to WTTC estimate, Bangladesh's tourism industry contributed around 1.5 per
cent or around $998.2 million to the country's GDP in 2007.
The WTTC's report, prepared in association with a global management consulting,
technology services and outsourcing company, said: "The real GDP growth for T&T
(travel and tourism) economy is expected to be 6.2 per cent in 2008 and to average 5.5
per cent per annum over the coming 10 years."
It is possible to achieve the growth if the government provides required policy support to
the operators and develop infrastructure, sector insiders said referring to the WTTC
report.
Anwar Parvez, president of Tour Operators Association of Bangladesh (TOAB),
underscored the need for liberalization of tourism policy, establishment of separate
special zones for local and foreign tourists with development of infrastructure.
"There is scope for attracting local tourists as well as foreign tourists to visit the
country's internationally reputed tourism spots," he said.

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Civil Aviation secretary said steps are underway for establishment of National Tourism
Authority to facilitate the private sector tour operators to attract more local and foreign
tourists.
"Through popularizing domestic tourism we can attract more foreign tourists in the
country, which will boost our export earning," Abul Kalam, manager of A-One Tourism,
said.
According to WTTC, Bangladesh's travel and tourism earned $539 million or 3.8 per
cent of the country's total exports worth 12.178 billion in fiscal 2006-07.
It said export earning from local and international visitors and tourism goods are
expected to generate 3.4 per cent or $543.7 million of total exports in 2008, growing to
1099.3 million (5.3 per cent) of total external trade in 2018.
Apart from this, the report of the WTTC council said the contribution of the sector to
employment is expected to rise from over 2,065,000 in 2008, 3.1 per cent of total
employment or one in every 32.0 jobs to 2,791,000 jobs, 3.2 per cent of total
employment or one in every 31.7 jobs by 2018.
According to the WTTC estimate, Bangladesh Travel and Tourism economy created
2,024,000 jobs in 2007.

It is evident from the above discussion that tourism worldwide including in the Bangladesh is
an expanding sector. It is already a significant source of foreign exchange earning and
employment generation in our country. Bangladesh has potentials to harness, individually
and collectively, for development of tourism sector. However, the progress in cooperation in
this area in our region is quite slow, with no substantive achievement even in any particular
area. Low levels of inter-regional tourism within Bangladesh need to be addressed. It
is expected that the governments of Bangladesh, with lessons learned from other groups in
the world, will take vigorous steps to remove the barriers standing in the way. Bangladesh
has many lessons to learn from other countries in the world.

Conclusion

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Denim fabric has a long, rich history, and just like other products such as wine, automobiles
and electronics that have garnered universal aficionados, denim has morphed and changed
over the years, its status evolving from functional to fashionable staple. Denim has been
beloved in its jeans form for decades. Worldwide, nearly 90% of consumers own at least one
pair of denim jeans
The importance of the RMG industry in the economy of Bangladesh is very high so as its
backward linkage. Furthermore, the industry is expected to be the catalyst in the
industrialization of Bangladesh, and has been declared as a thrust sector by the
government. From the overall position it is observed that there is huge demand-supply gap
of Denim products in the export market. The proposed project will help to decrease the gap
by a very little quantity. The detailed feasibility study in the foregoing chapters shows that the
project is viable in all respects. From Technical point of view the proposed program will be
viable. Also from the financial scenario, the project is highly profitable.

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