State minister for posts, telecommunications, and information technology Zunaid Ahmed Palak on Wednesday expressed his optimism regarding the potential of the semiconductor sector, envisioning it as a US$10 billion industry by 2041.

‘Bangladesh holds significant potential for the semiconductor manufacturing industry to become a billion-dollar sector. While we have a few design houses operating successfully, there’s still a gap in chip fabrication, assembly, testing, and packaging. With the right policy support and incentives, we can foster the growth of a $10 billion semiconductor industry by 2041,”’Palak remarked.

He made these remarks as the chief guest at a seminar titled “Unleashing the Potential of the Semiconductor Industry in Bangladesh,” organized by the Dhaka Chamber of Commerce and Industry (DCCI) at its premises.

During his address, Palak highlighted the increasing utility of microchips, nano chips, and semiconductor manufacturing, emphasizing that with proper governmental policies, Bangladesh could potentially generate at least $10 billion from semiconductor exports by 2041.

He reiterated the urgent necessity for a semiconductor policy to expedite the sector’s development.

Furthermore, Palak stressed the importance of industry-academia collaboration to cultivate a highly skilled and technologically advanced workforce, tailored specifically for the semiconductor sector.

He noted the high demand for such expertise both domestically and internationally.

DCCI President Ashraf Ahmed emphasized the importance of prioritizing the development of the semiconductor industry for successful implementation of import substitution industrialization and export diversification strategies in Bangladesh.

He noted the significant global investments in the semiconductor industry, leading to a high demand for skilled workers.

Ashraf stressed the necessity for the government to focus on cultivating a skilled workforce capable of meeting the growing demands of the semiconductor sector in Bangladesh.

Furthermore, he highlighted the need for simplification of administrative procedures related to establishing semiconductor businesses, including licensing, permits, and import/export regulations.

Ashraf advocated for a transparent and efficient regulatory environment to encourage investment and reduce operational obstacles.

He also emphasized the importance of robust protection for intellectual property (IP) to foster innovation and attract foreign investors.

DCCI president underscored the necessity of a holistic framework to develop an ecosystem conducive to sustainable and inclusive growth of the semiconductor industry, incorporating input from stakeholders.

G S M Jafarullah, Managing Director of the Bangladesh High-Tech Park Authority, informed about the government’s initiatives to foster innovation hubs in ten universities across the country.

He mentioned the establishment of the Sheikh Hasina Institute of Frontier Technology in Shibchar, Madaripur, spanning 70 acres of land.

Jafarullah highlighted that work on 21 high-tech parks out of the targeted 94 has nearly been completed.

Additionally, he mentioned the government’s efforts to facilitate private sector entrepreneurs with land and space at knowledge parks and software parks, inviting increased private sector investment in the semiconductor industry.

Jafarullah also mentioned the government’s consideration of optimal tax benefits for the ICT sector to attract more local investment and foreign direct investment (FDI).

The seminar also featured a keynote paper presentation by Professor A S M A Haseeb from the Department of Nanomaterials and Ceramic Engineering at BUET.

Other speakers included Mir Shahrukh Islam, Managing Director of Bondstein Technologies Ltd; Razib Hasan, Co-founder and Vice President of Software Teton Private Ltd.; and Liakat Ali, Additional Managing Director of Walton Digi-Tech Industries, among others.