Assignment on Blue Economy of Bangladesh

Name: Tusher Saha

ID: EV213071050

Section: B

Batch: 18th
Blue Economy of Bangladesh
The Oceanic Economy popularly known as blue economy has emerged as a crucial development
issue for optimum use of the oceans, seas, and marine resources for sustainable development.
Ocean assets provide food and energy which are essential ingredients of human life. Bangladesh
has 710 km long coastline with an exclusive economic zone of 200 Nautical Miles inside the Bay
of Bengal. Marine fisheries contribute 19.40 per cent of the total fish production of the country.
Besides, on an average, 81.0 per cent of the international tourists visit Cox's Bazaar in Bangladesh.
The ocean of Bangladesh is contributing a noteworthy role to its overall socio-economic growth
through enhancing the economic activities across the country and especially to the coastal zone at
southern part. A new economic area for Bangladesh is demarcated in the Bay of Bengal. Already,
Bangladesh has taken steps to flourish its Blue Economy to utilize its new marine resources. Blue
Economy has the prospect to contribute Bangladesh economy on a much higher level.

SHIPPING: Mostly the Bangladesh's external freight trade is seaborne (2018) which is 90.0 per
cent of the total freight trade of the country. Therefore, it appears that our economy may heavily
depend on freight trade in future. So, to retain the huge amount of freight charges within the
country, incentives might be provided to local shipping companies to add more ships to the existing
fleet. Besides, coastal shipping, seaports, passenger ferry services, inland water way transport, ship
building, and ship recycling industries should get more importance to carry on sustainable
economic growth of our country.

FISHERY: Experts opine that fish alone has 500 varieties besides snails, shellfish, crabs, sharks,
octopuses, and other animals. It is estimated that Bangladesh catches only 0.70 million tons of fish
every year out of the total 8.0 million tons of fish available in the Bay of Bengal. It is worthwhile
to mention that 15.0 percent of the protein is provided from sea resources for the people across the
world. As many people depend on oceans for their livelihood and foods, increased efforts are
needed to save ocean resources. Oil and gas: Bangladesh are yet to assess the true potential of its
offshore gas prospects. Bangladesh could also have gas fields in its area of the sea. Bangladesh
possesses some gas fields in the land and like Myanmar, Bangladesh may have the potentials to
get more gas fields in the sea which may add to the total reserve of gas of the country. Besides, oil
and gas, sea salt, ocean renewable energy, blue energy (osmosis) and biomass, aggregates mining
(sand, gravel, etc.) and marine genetic resource should get more attention as ocean resources.
Therefore, these plenty of potential may contribute to our sustainable economic development in
future.

TOURISM: Globally, coastal tourism is the largest market segment and represents 5.0 per cent of
world Gross Domestic Product (GDP) and contributes 6.0-7.0 per cent of total employment. In
150 countries, it is one of five top export earners. It is the main source of foreign exchange for
one-half of the Least Developed Countries (LDCs). Coastal tourism includes: (a) beach-based
recreation and tourism; (b) tourist activities in proximity to the sea; and (c) nautical boating
including yachting and marinas. Sustainable tourism can create new employment opportunities
and reduce poverty. So, Bangladesh can earn foreign exchange from tourism industry which may
contribute to GDP growth as well as help achieve SDGs by 2030. It is reported that the country
has 75 outer islands which could be utilized for tourists both local and foreign.

MINERALS: Salt mining has taken place along the coasts of Bangladesh for centuries, currently
supporting an estimated 5 million direct and indirect jobs, which in turn underlie as many as 25
million livelihoods. The system includes a network of mobile mills that refine crude salt mined
from saltpans on the beaches of Cox’s Bazar. This region produces some 95 percent of the
country’s salt, with about 15 percent of all rural households taking part. The roughly 1.7 million
tons of salt that is produced each year, largely for domestic consumption, derives from an average
seasonal production of 7-10 thousand kg/ha of crude salt. Experts suggest that crude salt yields in
some places could increase significantly with improvements in production processes, to as much
as 20 thousand kg/ha per season.

ENERGY: Relatively little oil and gas production has occurred to date in Bangladeshi waters,
despite significant potential. Before 2014, twenty exploratory wells were drilled, of which two led
to discoveries of relatively small reserves of gas, the Sangu and Kutubdia fields. Production began
in the Sangu, but in 2013 it was later closed, which shut down this sector of the country’s ocean
economy for the current time. The resolutions of maritime boundary disputes in 2012 and 2014
have generated new interest in offshore exploration, as the newly established boundaries give
Bangladesh one of the largest estimated oil and gas reserves in the region. Shallow offshore blocks
throughout the EEZ have attracted attention, those adjacent to Myanmar, given their likely similar
geological features to gas fields discovered in that country. Bangladesh has recently discovered a
new natural gas field in the southern island district of Bhola, estimated to contain 700 billion cubic
feet of gas reserves (BAPEX 2017).

TRADE: The year 2012 saw 231.5 million passengers transported through inland and coastal
networks. In maritime trade and other transport, a gross value of US$67 billion was carried by
2,500 foreign ships to and from Bangladesh in a one-year period in 2013-2014. Over a ten-year
period, importers, exporters, and buyers paid a cumulative amount of about US$95 billion in
freight and related charges to shipping companies, airlines, and freight operators. The country’s
ports are not located close to main international shipping lanes, which is a constraint. However,
serving as a hub within the Bay of Bengal (along with Kolkata or Chennai) could be an opportunity.
Given the strong growth in port activity throughout much of the world, further development of
Bangladesh’s ports will likely be a central focus of the country’s future ocean economy.

BLUE CARBON: Carbon sequestration as an ecosystem service is often unpriced, though a recent
study estimated that global mangrove destruction has resulted in up to US$42 billion in annual
economic damage due to increased greenhouse gas emissions (UNEP 2014). Intact mangrove
forests store carbon at rates that surpass those of tropical forests. Their recent deforestation has led
to estimates of globally significant levels of carbon emissions.

POTENTIAL INDUSTRIES: Researchers have identified several potential ocean industries that
might succeed in Bangladesh. The mariculture of seaweed and other macro algae, mussels, clams,
oysters, pearly oysters, sea cucumber, and sea urchin, among others, holds major opportunities
which finds that kinetic energy extraction rates to be relatively lower in the tropics. In Bangladesh
recommend the exploration of coastal and offshore wind potential, notably in the upper Bay of
Bengal, though little study has taken place to date.

FUTURE OF EXPLORATION: Exploring and exploiting these sea resources using appropriate
technology, the economy of Bangladesh can grow rapidly. Bangladesh gained a defined maritime
zone in the Bay of Bengal after a long-time dispute settlement of maritime boundary with India
and Myanmar. Bangladesh may pay attention in advancing its Blue Economy to utilize its vast sea
region with sea-based resources through ensuring a sustainable balance between the protection of
marine ecosystem and marine resources. Now, Bangladesh can create more spaces to ensure
economic growth through fresh investments in marine trade and commerce.

The country has so far, explored only a few numbers of Blue Economy sectors such as fisheries
and aquaculture, shipbuilding, ship breaking, salt generation and port facilities. Besides, most of
these sectors are following traditional methods. Therefore, there remains ample opportunities as
well as challenges for exploring large number of blue economy sectors, safeguarding mangrove
and ocean grass, addressing environmental changes, and managing carbon discharge, and
introducing innovative technology for further development to contribute to achieving sustainable
development goals.