Implementation of govt proposals to redefine country’s trade, logistics landscape

The government's emphasis on communication, infrastructure, foreign investment, logistics and trade expansion in the proposed national budget for FY2026-27 has raised hopes of boosting both domestic and international trade by removing long-standing bottlenecks.
Business leaders believe effective implementation of the proposed measures will significantly improve the business environment, attract greater foreign investment and promote ease of doing business through a series of deregulatory initiatives long sought by the private sector.
In its first and the country's largest-ever Tk9.38 lakh crore budget, the BNP government has outlined a range of initiatives aimed at creating an investment-friendly environment, accelerating industrialisation, attracting foreign investment and expanding trade.
To support these goals, the government has already launched the BanglaBiz digital single platform to facilitate business operations and published a heat map identifying 19 high-potential sectors for foreign investment.
Among the major infrastructure proposals is the Dhaka-Cumilla chord-line railway project, which is expected to shorten the distance between Dhaka and Chattogram by nearly 80 kilometres. The budget also includes plans to upgrade the Dhaka-Chattogram railway corridor, develop Chattogram as a logistics hub and construct the Dhaka-Chattogram elevated expressway. As part of its vision to transform Bangladesh into a regional aviation hub, the government has proposed upgrading the international airports in Dhaka, Chattogram and Sylhet into full-fledged logistics and passenger hubs.
In his budget speech, Finance Minister Amir Khosru Mahmud Chowdhury also proposed amendments to the Customs Act to establish Free Trade Zones aimed at expanding trade and investment. The initiative is expected to play a transformative role in the country's logistics and trade sectors by allowing duty- and tax-free import of goods for storage, grading, packing, production and processing for export.
Another significant proposal is the removal of the existing cap that limits foreign ownership in private off-docks and inland container depots (ICDs) to 49%.
The budget also proposes framing rules to upgrade port service standards to international levels and attract greenfield investments.
Describing the budget as business- and investment-friendly, Chittagong Chamber of Commerce and Industry President Mohammed Amirul Haque said the proposals place strong emphasis on investment expansion, production growth, employment generation and inclusive development.
“We appreciate the initiatives to create a transparent, easy and cost-effective business environment by eliminating delays and unnecessary bureaucratic procedures through deregulation,” he said.
He added that the proposed duty-free import facility for export-oriented industries would help diversify Bangladesh’s export basket and enhance competitiveness in global markets.
Syed Aref Sarwar, Head of Commercial and Public Affairs at Red Sea Gateway Terminal (RSGT) Chittagong, which operates the Patenga Container Terminal, said removing the foreign ownership cap in private off-docks and ICDs would encourage greater foreign investment. He also said measures aimed at improving ease of doing business would contribute significantly to industrial expansion.
Former Bangladesh Freight Forwarders Association Vice Chairman Khairul Alam Suzan said the establishment of Free Trade Zones and the construction of the Dhaka-Chattogram expressway and railway chord line would strengthen the country's logistics sector and enhance its global competitiveness.
He noted that delays in transporting import and export cargo due to highway congestion, inadequate railway capacity and various disruptions increase operational costs and undermine Bangladesh's image in international markets.
“If the railway chord line and expressway are constructed, and dedicated cargo transport lanes are introduced alongside other proposed measures, they will redefine the country's trade and logistics landscape,” Suzan said, urging swift implementation of the initiatives.