PM bets on semiconductors as next export frontier

Prime Minister Tarique Rahman on Saturday identified the semiconductor industry as Bangladesh's next major economic growth engine after the ready-made garment (RMG) sector, unveiling a comprehensive strategy to position the country in the global semiconductor value chain.

Speaking at the inauguration of the two-day National Semiconductor Symposium and BEAR (Bangladesh Electronics, AI and Robotics) Summit 2026 at the Novo Theatre in Dhaka, the prime minister said Bangladesh has a "golden opportunity" to enter the rapidly expanding global semiconductor market through policy support, investment-friendly reforms and international collaboration.

"The semiconductor industry could emerge as Bangladesh's next promising economic sector after the RMG industry.

The government has already started implementing comprehensive plans, including creating a business-friendly environment, to transform this next major driver of economic prosperity into reality," he said.

The summit, jointly organised by the Bangladesh Semiconductor Industry Association (BSIA), the Ministry of Science and Technology and the Silicon River Bangladesh programme, has brought together policymakers, academics, industry leaders, entrepreneurs and expatriate technology professionals. It will conclude on Sunday with the Christie Fellowship Research Symposium.

Describing the event as more than a conventional conference, Tarique Rahman said it represented a gathering of people who would help build a technology-driven Bangladesh. He also welcomed the participation of Bangladeshi professionals working at leading technology companies, research institutions and universities worldwide.

Highlighting the growing importance of semiconductors, the prime minister said microchips are at the heart of modern technologies, including artificial intelligence, robotics, high-performance computing, 5G and 6G communications, renewable energy, medical equipment and smart devices.

He noted that the global semiconductor market is expected to reach nearly US$1 trillion by 2026 and expressed confidence that Bangladesh could achieve its export target from the sector by 2030.

The prime minister said more than 3,000 Bangladeshi semiconductor professionals are currently working at leading technology firms, research organisations and universities around the world, and urged stronger public-private collaboration to connect them with the country's growing semiconductor ecosystem.

He said Bangladesh has already developed capabilities in semiconductor design, verification, testing, embedded systems, power electronics and advanced packaging, with several local companies entering international markets.

To accelerate the sector's growth, Tarique Rahman announced that the current national budget has exempted all taxes and duties on raw materials required for semiconductor manufacturing. 

The government is also introducing cash incentives for semiconductor design service exports and has allocated Tk 500 crore annually as startup grants for entrepreneurs and innovators.

He also assured domestic and foreign investors of improved one-stop services, tax incentives, bonded warehouse facilities and specialised infrastructure, alongside plans to modernise existing high-tech parks and establish a dedicated biotech park.

Calling semiconductors a national priority, the prime minister said developing the industry would require coordinated efforts by government agencies, universities, research institutions, entrepreneurs, expatriate experts and development partners.

Acknowledging challenges, including shortages of skilled manpower, limited research facilities, investment constraints and intense global competition, Tarique Rahman expressed confidence that Bangladesh could overcome them through innovation, skilled youth and stronger collaboration.

He said the symposium would help foster new partnerships, research collaboration, investment opportunities and technological innovation to strengthen Bangladesh's deep-tech ecosystem.