AL Govt Asks TATA to Invest in BD

[eastwatch]

Bangladesh makes fresh plea to Tatas for investment - India Business - Biz - The Times of India

Bangladesh makes fresh plea to Tatas for investment
TNN, Mar 27, 2010, 12.55am IST

KOLKATA: Bangladesh industries minister Dilip Barua on Friday held out the olive branch to the Tata Group saying that the Sheikh Hasina government is willing to restart talks with the Indian conglomerate about reviving its Bangla investment plans.

"We are open to negotiate with the Tatas," Barua said on the sidelines of a programme organised by Indian Chamber of Commerce. The Tatas had in the past shown an interest to pump in about $2-3 billion in a slew of projects in Bangladesh, which included a steel mill, a fertiliser unit and power plants.

However, the plans could not materialise then because of the Bangladeshi authorities not agreeing to the Tatas' request to provide gas at cheaper rates. On his part, Barua also conceded that gas remained a ticklish issue. "It will not be possible to provide concessional gas at the moment as Bangladesh itself is running short of it," he said. The Tata Group could not be reached for a reaction.

Incidentally, Barua is the second Bangladeshi minister in recent times to indicate Dhaka's willingness to do business with the Tatas. Earlier this month, Bangladesh primary and mass education minister Md Motahar Hossain, too, had spoken along the same lines. "An Indian business delegation will visit Bangladesh in April to explore opportunities," Barua said.

Incidentally, possibilities of greater economic cooperation between India and Bangladesh have increased ever since Sheikh Hasina came to power.

 

[TopCat]

Let Baura fart which is 100% pure methane and sell that to Tata...

 

[eastwatch]

Bangladesh makes fresh plea to Tatas for investment - India Business - Biz - The Times of India

Bangladesh makes fresh plea to Tatas for investment
TNN, Mar 27, 2010, 12.55am IST

KOLKATA: Bangladesh industries minister Dilip Barua on Friday held out the olive branch to the Tata Group saying that the Sheikh Hasina government is willing to restart talks with the Indian conglomerate about reviving its Bangla investment plans.

"We are open to negotiate with the Tatas," Barua said on the sidelines of a programme organised by Indian Chamber of Commerce. The Tatas had in the past shown an interest to pump in about $2-3 billion in a slew of projects in Bangladesh, which included a steel mill, a fertiliser unit and power plants.

However, the plans could not materialise then because of the Bangladeshi authorities not agreeing to the Tatas' request to provide gas at cheaper rates. On his part, Barua also conceded that gas remained a ticklish issue. "It will not be possible to provide concessional gas at the moment as Bangladesh itself is running short of it," he said. The Tata Group could not be reached for a reaction.

Incidentally, Barua is the second Bangladeshi minister in recent times to indicate Dhaka's willingness to do business with the Tatas. Earlier this month, Bangladesh primary and mass education minister Md Motahar Hossain, too, had spoken along the same lines. "An Indian business delegation will visit Bangladesh in April to explore opportunities," Barua said.

Incidentally, possibilities of greater economic cooperation between India and Bangladesh have increased ever since Sheikh Hasina came to power.

TATA wants to build a steel mill, a fertilizer factory and a few power plants and it wants BD to supply gas at discount price.

TATA's plan is to bring iron ore from its home country, use BD gas at special price and ship the steel, it is not even semi-finished, to India. TATA is not willing to make finished product in BD. It wants to use our gas to produce steel ingots that benefit only India.

What about its plan of a fertilizer factory? It wants to buy our natural gas at reduced price, produce urea fertilizer (natural gas or methane, CH4 is the raw material for urea) and ship this urea to India where the Indian farmers will use it to develop India's agriculture.

So, BD has no real benefit from these types of ventures. It will hollow out our resources that will go to india in the form of steel and urea.

How about gas-fired power plants? BD should ask TATA to build coal-fired power stations only. BD's gas reseves are said to be only 13 to 38 trillion cft. BD's coal reserves stand at 2,500 million tonnes. These reserves are equivalent to about 90trillion cft of gas.

 

[Justin Joseph]

TATA wants to build a steel mill, a fertilizer factory and a few power plants and it wants BD to supply gas at discount price.

TATA's plan is to bring iron ore from its home country, use BD gas at special price and ship the steel, it is not even semi-finished, to India. TATA is not willing to make finished product in BD. It wants to use our gas to produce steel ingots that benefit only India.

What about its plan of a fertilizer factory? It wants to buy our natural gas at reduced price, produce urea fertilizer (natural gas or methane, CH4 is the raw material for urea) and ship this urea to India where the Indian farmers will use it to develop India's agriculture.

So, BD has no real benefit from these types of ventures. It will hollow out our resources that will go to india in the form of steel and urea.

How about gas-fired power plants? BD should ask TATA to build coal-fired power stations only. BD's gas reseves are said to be only 13 to 38 trillion cft. BD's coal reserves stand at 2,500 million tonnes. These reserves are equivalent to about 90trillion cft of gas.

So as per your genius comment, it will benefit India not Bangladesh???

This shows your lack of knowledge, kid.

If TATA builds a steel mill + a fertilizer factory + few power plants


The Bangladesh Govt. will get huge tax revenue from Tata.

Local Bangladeshi people get thousands of jobs.


Local Bangladeshi suppliers will get business by fulfilling the need of these plants.

Bangladesh will get power and fertilizer as Tata can't take all to India. Also Tata is a business firm if it takes all to the India the cost of trnsportation will add to the end product cost, so its beneficial for them to sell it to Bangladesh and some amount to India.

And the area around and its infrastructure around these mills and plants will get developed helping local people.

And there are many other benefits.

So give some stress on ur brain before posting.

 

[TopCat]

So as per your genius comment, it will benefit India not Bangladesh???

This shows your lack of knowledge, kid.

If TATA builds a steel mill + a fertilizer factory + few power plants


The Bangladesh Govt. will get huge tax revenue from Tata.

Govt will not get a single penny as they wanted a 10-15 years tax holiday.

Local Bangladeshi people get thousands of jobs.

Thats right, and that was the idea for all those TATA trouble.

Local Bangladeshi suppliers will get business by fulfilling the need of these plants.

But local steel miller would be fukced..

Bangladesh will get power and fertilizer as Tata can't take all to India. Also Tata is a business firm if it takes all to the India the cost of trnsportation will add to the end product cost, so its beneficial for them to sell it to Bangladesh and some amount to India.

I dont mind where they sell it.. Nobody going to get it free anyways and BD would earn foreign currency.

And the area around and its infrastructure around these mills and plants will get developed helping local people.

very true.. I like TATA becuase they invest 40% of their profit to social welfare for locals.

And there are many other benefits.

So give some stress on ur brain before posting.

We want to but we dont have gas and we cant afford to subsidise TATA while our own industries are dying for subsidies.

 

[fallstuff]

So as per your genius comment, it will benefit India not Bangladesh???

This shows your lack of knowledge, kid.

If TATA builds a steel mill + a fertilizer factory + few power plants


The Bangladesh Govt. will get huge tax revenue from Tata.

Local Bangladeshi people get thousands of jobs.


Local Bangladeshi suppliers will get business by fulfilling the need of these plants.

Bangladesh will get power and fertilizer as Tata can't take all to India. Also Tata is a business firm if it takes all to the India the cost of trnsportation will add to the end product cost, so its beneficial for them to sell it to Bangladesh and some amount to India.

And the area around and its infrastructure around these mills and plants will get developed helping local people.

And there are many other benefits.

So give some stress on ur brain before posting.

This stuff is way out of your league. Frankly speaking, you don't have any clue of what are you talking about.

 

[eastwatch]

So as per your genius comment, it will benefit India not Bangladesh???

This shows your lack of knowledge, kid.

If TATA builds a steel mill + a fertilizer factory + few power plants


The Bangladesh Govt. will get huge tax revenue from Tata.

Local Bangladeshi people get thousands of jobs.


Local Bangladeshi suppliers will get business by fulfilling the need of these plants.

Bangladesh will get power and fertilizer as Tata can't take all to India. Also Tata is a business firm if it takes all to the India the cost of trnsportation will add to the end product cost, so its beneficial for them to sell it to Bangladesh and some amount to India.

And the area around and its infrastructure around these mills and plants will get developed helping local people.

And there are many other benefits.

So give some stress on ur brain before posting.

It is the declared intention of TATA and GoI to take back all the SECONDARY goods to India. It benefits India. We want TERTIARY goods to be produced in BD, because this will benefit BD. This is a very simple economic theory.

Tell me, you knowledgeable big kid of India, how these projects will benefit Bangladesh? TATA wants to use our gas, which we do not want to export to India, and smelt the steel in a TATA furnace that will be EXPORTED to India, where the Indians will produce the finish products. So, big-brained intelligent Indian, tell me what is our benefit in such a project?

About fertilizer. If it is sold inside BD and among our farmers, it will increase our production of food. But, your TATA wants this fertilizer to be EXPORTED to India. This will develop Indian agriculture. So, tell me what is our benefit?

An ignorant fellow from a hinterland country called Bangladesh can also understand this Indian govt tricks, but you pretend not to understand it. GoI always says it wants to rectify the balance of payment, which tilts in favour of India. But, the TATA projects are intended to trick us to believe in something that does not really exist in any economic theory. This shows only the insincerity of India.

Why do you think it will benefit BD? We do not want this tricky types of Indian investments in our land. Go to other countries with your dirty money.

 

[Justin Joseph]

Govt will not get a single penny as they wanted a 10-15 years tax holiday.

Thats right, and that was the idea for all those TATA trouble.

But local steel miller would be fukced..

I dont mind where they sell it.. Nobody going to get it free anyways and BD would earn foreign currency.

very true.. I like TATA becuase they invest 40% of their profit to social welfare for locals.

We want to but we dont have gas and we cant afford to subsidise TATA while our own industries are dying for subsidies.

1. Give me a break. Even in India we give 10-15 years of tax holiday.

what do u think Tata will do after 10-15 years? Tata will take steel mill in his pocket and runaway???

2. Local people will get jobs and prospur.

3. Local steel mill?????? You don't have any idea what are u talking about.

a.) As per conman sence the Bangladesh is developing and need more and more steel as every developing country needs. So your mills of Tata mill all the steel will be consume by Bangladesh economy and Bangladesh will benefit.

b.) If one goes by as "Eastwatch" is saying that the Tata will take all the steel to India then the your argument that local mill will get "XX" is falls to ground.

4. Tata is asking for the gas at lower rates it means as Gas is naturally available in Bangladesh and you don't have to shell out money to buy it and then provide it to Tata.

So just give at the cost to cost basis not earn from the gas and you can earn from tax, duties and jobs created.

Tata is a business house so obviously it will look for profit.

For your kind information even in India Tata ask the West Bengal Govt. to give the loan and tax holiday that was provided by the West Bengals govt but due to mamta banerjee Tata have to leave West Bengal.

Then the same tax holiday and "0" interest loan wa provided the Govt. of Gujarat and Tata moved there.

This proved that the Tata is not asking for anything new or special from the Bangladesh, it is doing the same it is doing in India.

 

[Justin Joseph]

Govt will not get a single penny as they wanted a 10-15 years tax holiday.



Thats right, and that was the idea for all those TATA trouble.


But local steel miller would be fukced..


I dont mind where they sell it.. Nobody going to get it free anyways and BD would earn foreign currency.

very true.. I like TATA becuase they invest 40% of their profit to social welfare for locals.



We want to but we dont have gas and we cant afford to subsidise TATA while our own industries are dying for subsidies.

This stuff is way out of your league. Frankly speaking, you don't have any clue of what are you talking about.

Buzz offffffffffff

Who is asking for your cheap advice.

There is no need to troll if you don't have anything to post.

 

[eastwatch]

Let TATA come if it adheres to the following:

1) TATA does not export our fertilizer blood and steel bone to India. Instead, it builds TERTIARY industries inside BD to produce finished products.
2) It can export the finished products to India or to any 3rd country. On the contrary, it can also sell the tertiary products inside BD.
3) TATA builds as many coal-fired power plants in BD as it likes. But, it should not be allowed to use gas in the power plants. Gas is simply not there.

Saying all these above, I must say that the main intention of TATA is to export the SECONDARY goods to India. This cannot be allowed.

 

[Al-zakir]

Let TATA come if it adheres to the following:

1) TATA does not export our fertilizer blood and steel bone to India. Instead, it builds TERTIARY industries inside BD to produce finished products.
2) It can export the finished products to India or to any 3rd country. On the contrary, it can also sell the tertiary products inside BD.
3) TATA builds as many coal-fired power plants in BD as it likes. But, it should not be allowed to use gas in the power plants. Gas is simply not there.

Saying all these above, I must say that the main intention of TATA is to export the SECONDARY goods to India. This cannot be allowed.

Do you think that Al will keep these important points in mind while signing deal with TATA?

 

[Stumper]

Let TATA come if it adheres to the following:

1) TATA does not export our fertilizer blood and steel bone to India. Instead, it builds TERTIARY industries inside BD to produce finished products.
2) It can export the finished products to India or to any 3rd country. On the contrary, it can also sell the tertiary products inside BD.
3) TATA builds as many coal-fired power plants in BD as it likes. But, it should not be allowed to use gas in the power plants. Gas is simply not there.

Saying all these above, I must say that the main intention of TATA is to export the SECONDARY goods to India. This cannot be allowed.

EW: One of those rare moments when i feel like agreeing with you on something.

BUT .... what do you mean by secondary product?

 

[deckingraj]

Hahaha....You are saying as if TATA' are raw agents who in the guise of corporate house will enter BD and loot her natural resources.... Are you nuts or what???? Why would any corporate come to your country if they are not going to make more profits than what they will get by putting a similar plant in India???? Do you guys think that we do not have land or manpower for that???? Comon guys sometimes use of common sense don't hurt...

Let TATA come if it adheres to the following:
1) TATA does not export our fertilizer blood and steel bone to India. Instead, it builds TERTIARY industries inside BD to produce finished products.
2) It can export the finished products to India or to any 3rd country. On the contrary, it can also sell the tertiary products inside BD.
3) TATA builds as many coal-fired power plants in BD as it likes. But, it should not be allowed to use gas in the power plants. Gas is simply not there.

Saying all these above, I must say that the main intention of TATA is to export the SECONDARY goods to India. This cannot be allowed.

Why finished goods only??? What should they do with their finished then??? Export it to India??? Do you know what you are talking about??? Are your steel needs more than India's??? Won't they loose the competitive edge(finished product will be more costly) and potential to loose much bigger Indian market??? Tatas will bring in only those portions of their plants in BD where they will make maximum benefit...Its BD who has to see if they will be benefited as well or not...

Anyways whatever the main intention of TATA it don't count...These are business corporates and make decisions purely on economic grounds...BD has to see that TATA's investment will help them or not??? There is a thumb rule any country who wants bigger corporate houses to come and invest in their country has to offer some soaps(typically in the form of Tax free 15 years, Better infrastructure, Cheap Raw materials and blah blah) because these companies bring much needed FDI's, employment , better and cheap products therby infusing competition in the local market, Increases confidence of other corporate houses to come and invest and much more....

Obviously one needs to remove their glasses of bias and look from overall perspective....

 

[fallstuff]

The issue is opportunity cost of natural gas. There are opportnities where same gas will bring in more. Tata needs to throw a few more bones on their offer.

Benefits GOB would receive must be quantifiable and measurable. You shouldn't get hot air against written guarantees.

 

[Stumper]

The issue is opportunity cost of natural gas. There are opportnities where same gas will bring in more. Tata needs to throw a few more bones on their offer.

Benefits GOB would receive must be quantifiable and measurable. You shouldn't get hot air against written guarantees.

The point is that TATA's intentions, as listed in this thread appear to be pure speculation (at least from the posted article).

From what i could recollect, they had planned for some 2MT steel factory in BD. As is with any other country, TATA's will be subjected to laws of BD for foreign investments. Why speculate when TATA's themselves have not issued any statement on its BD investment plans?