The committee met on November 6 at a Bangladesh Investment Development Authority, Bida’s, headquarters in Dhaka to review how the handover could proceed. Officials say the shift aims to streamline investment processes, improve environmental compliance and strengthen management capacity. Bepza’s experience running central effluent treatment plants (CETPs) in several export zones has positioned it as a strong candidate.
Committee head and Beza Executive Member Major General (Retd) Md Nazrul Islam said a feasibility team is assessing regulatory, operational, legal and financial implications. He added that the government is “positive about giving this responsibility to Bepza’, saying the move could help revive the struggling leather sector in Bangladesh.
The CETP at Savar has long been criticised for failing to meet environmental standards. A 2023 Bida study found that the estate’s incomplete waste-management systems have prevented tanneries from securing Leather Working Group (LWG) certification, limiting access to U.S. and European markets and forcing producers to sell at steep discounts.
Despite major investment since the project began in 2003, key facilities remain unfinished and the estate has not received Department of Environment clearance. Only eight Bangladeshi companies currently hold LWG certifications.
According to the Export Promotion Bureau, Bangladesh exported US$1.15 billion in leather goods in FY25. Industry stakeholders say coordinated reforms could help the sector reach US$5 billion in exports by 2030.
Source: The Business Standard
