Chattogram:RANCON Lubricants Limited has signed a land lease agreement with Invest Bangladesh for 6.5 acres of developed land located at the National Special Economic Zone in Mirsarai, Chattogram, with plans to invest US$19.65 million in establishing an industrial unit.
According to Bangladesh Sangbad Sangstha, the project is anticipated to generate over 250 jobs. The agreement was signed by Nahian Rahman Rochi, Member (Investment Development) of Invest Bangladesh, and Imran Zaman Khan, Managing Director of RANCON Lubricants Limited, on behalf of their respective organizations.
This agreement marks the first land lease deal executed by Invest Bangladesh since the merger of three investment promotion agencies. Rochi noted that the involvement of prominent investors like RANCON Lubricants demonstrates confidence in the new institution and is likely to encourage other investors.
The lease is set for 50 years from the handover date, with a possibility of renewal under terms and conditions established by Invest Bangladesh. The land handover is expected within 90 days of signing, with RANCON Lubricants scheduled to begin construction within 120 days and start production within 36 months of land acquisition.
Invest Bangladesh is committed to facilitating utility connections and assisting RANCON Lubricants in obtaining government-declared customs duty, VAT, and tax incentives. RANCON Lubricants will ensure compliance with all necessary environmental, labor, and safety regulations, including setting up waste and sewage treatment facilities connected to the zone's common effluent treatment and waste management systems.
The agreement also includes performance and compliance monitoring, a period for addressing any breaches before termination, and provisions for arbitration under the Arbitration Act, 2001.