National Desk (Voice of Calcutta): Bangladesh Drops India Economic Zone Plan to Establish Defense Industrial Zone in Mirsharai

Bangladesh’s interim administration has formally confirmed that nearly 850 acres of land in the Mirsharai National Special Economic Zone will be converted into a Defense Industrial Zone, replacing the previously agreed Indian Economic Zone under a government-to-government framework. The confirmation was made by Ashik Chowdhury, Executive Chairman of BIDA, during a press conference.

He stated that the Indian Economic Zone had been excluded from the G2G framework and that the land would now be used for defense industry development. This announcement effectively confirms that the Yunus-led interim government has cancelled a bilateral economic agreement with India and redirected the land for defense production without parliamentary approval and without the mandate of an elected government.

Legal and constitutional experts argue that only a democratically elected government has the authority to cancel or modify international treaties. They warn that an unelected interim administration lacks the political legitimacy to make such strategic decisions, raising serious constitutional concerns.

Ashik Chowdhury clarified that the project is not intended to replicate Bangladesh Ordnance Factories through multiple state-owned plants. Instead, the objective is to build defense manufacturing capacity through technology transfer, joint ventures with foreign partners, and eventual participation of the private sector. However, he declined to disclose the identities of potential partner countries, citing diplomatic and bilateral sensitivities.

The secrecy surrounding the project has triggered speculation over which foreign defense powers may be involved, why India’s project was removed, and whether Bangladesh is shifting its strategic alignment. Referring to recent global conflicts, Ashik Chowdhury said shortages of ammunition and basic military equipment, rather than high-tech weapons, have emerged as the most critical challenge on modern battlefields. He emphasized the need for domestic production capacity to reduce dependence on foreign suppliers.

According to official statements, the project will be developed in phases, and the full 850 acres will not be activated at once. Initial limited operations may begin within the next five years. Ashik Chowdhury also expressed hope that the initiative would continue regardless of political changes.

The Mirsharai Economic Zone had been a flagship symbol of India-Bangladesh industrial cooperation. Its removal from the G2G framework is expected to strain bilateral relations, undermine mutual trust, and force strategic recalculations. Opposition leaders argue that the decision weakens Bangladesh’s economic diplomacy and risks isolating the country from regional partners.

Several key questions remain unresolved, including why the India Economic Zone was cancelled without public debate, why the Bangladesh Army was reportedly not formally consulted, which foreign countries will control technology and production, who approved the classified defense report, and whether the decision is legally valid under an interim government. Calls are now growing for a parliamentary inquiry, full public disclosure of agreements, and suspension of the project until national elections are held.

National Desk: Voice of Calcutta