So far 7 big companies have bought tenders for offshore oil and gas extraction. More than fifteen companies are showing interest, said Nasrul Hamid, Minister of State for Power, Energy and Mineral Resources.

The state minister gave this information in response to a question from journalists at the end of a seminar on the bidding round at a five-star hotel in the capital on Wednesday (May 8).

He said that more than 7 famous companies of the world have bought bid documents. They also bought multi-client server data. Many more companies are showing interest. More than 15 foreign companies participated in today's seminar. This shows how much interest has been generated in our sea tenders.

He also said that there is a huge gas market in our country. Our model PSC (Production Sharing Contract) is the most advanced in the world. Here the interests of both parties are protected.

In response to another question, the state minister said, I will complete the sale and submission of bid documents by September this year, and after the evaluation, I want to sign the contract next year. If everything goes well, gas will be available in 7 to 8 years.

At the end of the program, the Prime Minister's advisor on power, energy and mineral resources Dr. Tawfiq E Elahi Chowdhury said, our sea area is a rich area. International tenders are getting a huge response. Again, due to the multi-client survey data, they are able to understand the potential information here.

In response to a question, he said, to attract investment, a moderate approach has to be adopted. We have done that, they will not come to invest if they only see our interests and if they see their interests, we will not do anything. So the interests of both have been preserved by adopting a middle approach. Gas prices will be fixed in line with Brent crude.

This adviser to the Prime Minister said that many countries have disputes over sea boundaries. With the foresight of Prime Minister Sheikh Hasina, rights have been established in a large area with the two neighboring countries in a peaceful manner which is instructive for many.

An international tender was called on March 11 for the exploration and extraction of oil and gas in the sea. 55 top level companies of the world have been invited to participate in it. After the settlement of the sea boundary dispute, the ownership of the sea area of 1 lakh 18 thousand 813 square kilometers was established by Bangladesh. It is divided into 15 blocks in the deep sea and 11 in the shallow sea. In 2010, Conoco Phillips worked on the DS-10 and DS-11 blocks in the deep sea. They demand an increase in gas price after a 2D survey. They left the field because that demand was not met.

Besides, Australia's Santos and South Korea's Posco Daewoo left after the agreement. Indian company ONGC is now the only company exploring two blocks in the shallow sea. Apart from these two, tenders have been invited for the remaining 24 blocks.

The situation seems to be in no way favorable to the world-famous aircraft manufacturer Boeing. One accident after another has left the grinding company in a poor financial condition as well as its image.

Boeing has to face huge financial losses after one accident. Statistics show that the company has made a loss of USD 32 billion in the last 5 years.

Analysts said that if any company other than Boeing suffered these losses, the company would have gone bankrupt. It still survives because of Boeing.

Sources said that despite these losses, Boeing's 5,600 aircraft were unable to deliver commercial aircraft worth 529 billion USD. Now the question is why Boeing has reduced the production of aircraft despite having such a large number of aircraft orders. Where is the problem then? While searching, it was found that they have reduced this number to ensure the quality of the aircraft. They are not just looking at building airplanes for profit.

US aerospace expert Ron Epstein said this situation cannot last forever because they have little deviation. But that's why they don't want to get into trouble again tomorrow.

Debt-ridden Boeing:

Boeing management said they are focusing more on safety and quality than profits. For example, the nut bolt may not be there - I am careful about all such things. Because if such a nut bolt is not there then the structure of the aircraft can open in the sky as was the case with the Alaska Airlines Boeing 737 last January.

Boeing's recently departed CEO Dave Calhoun said Boeing's finances are not as bad as they seem. Rather, it is important for us to understand how optimistic our employees and stakeholders are about Boeing's future. Rather, we also have incredibly strong selection across the portfolio. We also have world class staff. We also have a lot of work ahead of us. But we are proud of our staff and have full confidence in our future.

That doesn't mean Boeing isn't serious about its problems. Quality and safety issues have eroded air traveler’s confidence. Moreover, Boeing's orders fell both before and after the Alaska Airlines incident because Boeing has fallen far behind rival Airbus.

In 2018, 346 passengers were killed in the crash of Indonesia's Lion Air and Ethiopian Airlines in 2019. The worst-selling Boeing 737 Max crash in the second quarter of 2019 grounded the best-selling airliner for 20 months. Boeing's debt rose from 13 billion dollars to 48 billion dollars at the end of 2018 following the Max 737 crash.

Where Boeing is ahead:

The Boeing Company has two advantages that other companies do not have. First, even if all of the company's customers decide to switch from Boeing to Airbus, Airbus has more than 8,000 commercial jet orders and is targeting to deliver about 800 planes this year. That means airlines that have ordered Boeing are unlikely to cancel. If a new aircraft manufacturer wants to enter this business, it will take years and billions of dollars of investment to come up with a competitive model of aircraft.

Airline pilots are certified to fly only a specific model of aircraft. They cannot switch to a competing model aircraft at will. Airlines also need to maintain a supply of spare parts to ensure the serviceability of their own aircraft. So once an airline chooses a 737 Max aircraft, it's too expensive to switch to a rival model.

But there is another side. Airbus' lead could become permanent if Boeing doesn't fix its problems quickly. So Boeing may be in trouble in the long run.

Speakers at a roundtable held to discuss key considerations for economically strategic sectors in the upcoming FY 2024-25 National Budget highlighted the importance of consistency in policymaking to ensure sustainable revenue growth. The roundtable titled, “National Budget 2024-25: Priorities for High-potential Sectors,” organized by Policy Exchange, and held on May 6, 2024, brought together distinguished luminaries from both the private and public sectors, to deliberate on how the upcoming budget should fare for strategically important sectors for the economy, amidst prevalent macroeconomic issues.  

Dr. M Masrur Reaz, Chairman and CEO of Policy Exchange presented the welcome remarks at the roundtable as he dissected the current macroeconomic realities and opined on ensuring pragmatic policies for both robust fiscal positions as well as for important economic sectors such as agriculture, tobacco, RMG, FMCG, digital economy and other high value industries.   

He said, “Fiscal policy needs to be targeted and focused on helping high potential sector to grow and to leverage important sources of revenue growth while ensuring wellbeing of the citizens. For instance, the tobacco sector, which constitutes about 12-13% of the total domestic revenue, has one of the highest tax incidences in the world - above the WHO recommended level. However, the prices of locally manufactured cigarettes are one of the lowest in the world. In order to deter people from smoking and ensuring sustainable revenue growth, prices of cigarettes belonging to all segments must be increased.”

Moreover, the policies should reflect the government’s ambition of achieving its goal of export/economic diversification along with facilitating the growth of high potential and emerging sectors.

Dr. F H Ansarey, Managing Director, ACI Agribusiness stated, "The government must focus on three critical areas in relation to the agricultural sector: Environment and climate change, food value chain, and technology. There should be coordination between the government and private sector in addressing these issues. While the country produces enough, the problem lies with the supply chain. It is essential that the budget provides clear guidance on these matters."

Abdul Mannan Patwary, a former member of the National Board of Revenue (NBR), opined, “The NBR must make rational and realistic decisions. It is crucial to eliminate inconsistencies in the VAT Act. If the intended purposes of the laws are not being met, then there is no benefit, and they only complicate matters for the average taxpayer. Removing these inconsistencies would increase revenue collection.”

“We need to consider the poor. The government has policies aimed at reducing the risks for impoverished individuals. Many low-income people smoke cheaper cigarettes, which pose significant health risks. To discourage smoking among the poor, the price of low segment cigarettes should be increased. This is something the NBR should consider seriously,” he added.

Wahidur Rahman Sharif, Managing Director, Digicon Technologies Ltd and President, Bangladesh Association of Contact Center and Outsourcing (BACCO), called for the continuation of tax exemptions for the digital sector. He stated, "Imposing taxes on the growing digital economy will limit its potential and fall behind neighbouring countries. If local companies are not given advantage, foreign companies will seize the opportunity and thereby hinder the development of local expertise."

Former Vice-Chancellor of Bangladesh Agricultural University (BAU), Professor Dr. Lutful Hassan, said, "Our objective in agriculture should be to increase exports and reduce imports. Subsidies should be provided as much as possible."

Former Secretary of Ministry of Commerce and CEO of Institute of Chartered Accountants Bangladesh, Shubhashish Bose commented, "The tax system needs to be digitalised which will make everyone more inclined towards paying taxes. Reducing reliance on indirect taxes as much as possible will be beneficial. A coordinated plan is necessary, with a strong emphasis on digital infrastructure."

Key opinion leaders present at the discussion also included the likes of Shams Mahmud, Director, BGMEA; Shasha Denims, Managing Director, BGMEA; Syed Mohammad Kamal, Country Manager, Mastercard Bangladesh; Apurbo Kanti Das, Former Member, NBR; Debabrata Roy Chowdhury, Director – Legal, RSA & Corporate Affairs, Nestle Bangladesh Ltd. Snehasish Barua, Managing Partner, Snehasish Mahmud and Company; Amrita Islam, Deputy Managing Director, Picard Bangladesh Ltd; Waqar Chowdhury, Vice President, Association of Asset Management Companies & Mutual Funds; Sajjadur Rahman, Deputy Editor, The Business Standard; and Zakir Hossain, Associate Editor, Daily Samakal.

Staff Correspondent, Barta24.xom

Dhaka: TCB products including rice will be sold at subsidized prices to one crore family card holder low-income families nationwide from Tuesday (May 7).

This information was disclosed in a press release of the government agency Trading Corporation of Bangladesh (TCB) on Monday (May 6).

It is said that the program will be inaugurated by State Minister for Commerce Ahsanul Islam Titu at Ward No. 18 of North City Corporation next to Baridhara Park at 9:30 am on Tuesday.

Products will be sold at subsidized prices among one crore low-income beneficiary families. Distributors will conduct the sales activities of TCB products as per the scheduled date and time with the cooperation of City Corporation and District-Upazila Administration.

At this time, family card holders can buy products from distributors' shops or designated places in their respective areas.

A cardholder can purchase a maximum of two liters of soybean oil or rice bran oil, five kg of rice and two kg of lentils. In this, the price of soybean oil per liter will be kept at Tk. 100. Rice will be sold at Tk. 30 and lentils at Tk. 60 per kg.