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Socio Economic Impact of Boro Bazar in Khulna, Bangladesh

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Submitted By rezwan307
Words 1746
Pages 7
Background:
The major dynamic driving forces of cities in developing countries are economic and social forces to change the urban system with the growing demand of population and urbanization. Of course, the problems are different and unique to a particular city based on the city growth pattern, economic and social character. Khulna, the third largest metropolitan city in Bangladesh with 1.2 million populations within 45.6 square kilometres was developed as a medium scale industrial city since 1950s. Previously the city economy was completely established on river-based trade and the city developed around the river port locally named “Boro Bazaar” means big market place. The changing city form gave Boro Bazaar the shape of mixed-use zone rather solely commercial or business zone. Now, as a central economic hub in the city centre, Boro Bazaar needs to be more dynamic to response to the city economy and its growth pattern. For last one decade, Boro Bazaar has faced compact unplanned haphazard development even along the riverside just to meet the demand of rapid urbanization process. Therefore, it has become an urban challenge to revitalize the Boro Bazaar area to make more effective response to the rapid economic growth and to ensure better urban environment for the residents, businesspersons and the employers.
Being the main economic hub in the city, Boro Bazaar needs to be more dynamic in responding to the city economy and its growth pattern. Therefore, it has been a major concern for the Khulna City Corporation (KCC) to reorganize the whole Boro Bazaar area under urban regeneration process to make it a better place for the residents and therefore it may be able to handle the commercial activities more efficiently to cope with the city’s economic need and future growth.

Boro Bazar Area:
Since the British colonial period, the Boro Bazaar was the main commercial and trade centre. During 1950s to 1970s, the trade multiplication effect of rapid industrialization in Khulna region transformed the social, economic and urban fabric of Khulna city more as an industrial base rather commercial. The changing city form gave Boro Bazaar the shape of mixed-use zone rather than solely commercial or business zone. The international highway between India and Bangladesh, the divisional highways, railways and inter district water ways crossing over Boro Bazaar and their trade links make it highly potential and important for both national and international trade and commerce.

Figure 1 shows the geographical location and location advantage of the study area.

Rationale:
The study was basically designed to have a view of some Economic & Social aspect where ‘Boro Bazar’ has impact. People in related industry, interested students and business people will be benefited from this report.

Objective:
Broad Objective
Aim is to identify the impact of Boro Bazar and the business related to it to some Economic & Social aspect in Khulna.
Specified Objective
The following objective lies behind the report * To identify the impact of Boro Bazar and its business on the Economy of Khulna through value addition * To identify the impact of Boro Bazar on the TAX collection of Khulna city * To identify the impact of Boro Bazar on employment * To identify the impact of Boro Bazar on Promoting Social Responsibility * To identify the impact of Boro Bazar on Social Security * To identify the impact of Boro Bazar on Social Cohesion

Scope:
The study was limited within the area of Boro Bazar. Different discussion session for collecting data was limited within only the old and huge shops. We avoided the small-business owners as it is known as the place for পাইকার. Ground level information was collected from the business owners.

Detailed Methodology:
This study was an exploratory research. This research was taken to get a greater understanding of something that is not known about.
Both Primary and Secondary data was used. Primary data was collected through interview sessions. Interview technique was used to extract necessary data from different industry authority. Primary data was strictly restricted to discuss the Socio-Economic aspect of Boro Bazaar Khulna city.
Different findings and figures have been presented here in the report by using MS Excel.
People who are related and whose earnings are related with Boro Bazar were the responders of the study.
The area surrounded by the Boro Bazar (Local name, Tal Tola Bazar) was the place for data collection. During March, 2013 data was collected.

Value Addition to the economy:

Annual Earning of the organization Name of the Organization | Revenue | Cost | Value Add | Voumik Jeweller’s | 1,02,29,000.00 | 81,47,000.00 | 20,82,000.00 | Monosha Jeweller’s | 1,45,65,000.00 | 97,74,000.00 | 47,91,000.00 | Bagdad Enterprise(Flour, Sugar, Suji Wholesaler) | 8,54,28,000.00 | 6,22,47,000.00 | 2,31,81,000.00 | Titas Salt | 5,16,87,000.00 | 3,69,81,000.00 | 1,47,06,000.00 | Saha Banijjo Vandar (Oil) | 4,56,27,000.00 | 2,86,54,000.00 | 1,69,73,000.00 | Pal & Kundu Co. (Oil) | 4,25,67,000.00 | 3,05,24,000.00 | 1,20,43,000.00 | Modhumita Banijjo Vandar (Oil) | 3,24,69,000.00 | 1,97,64,000.00 | 1,27,05,000.00 | Rajjak Brothers (Nokia phone, Sugar, Flour etc WS) | 9,84,67,000.00 | 6,52,76,000.00 | 3,31,91,000.00 | Jahan Traders(Baby food and etc. wholesaler) | 22,45,86,000.00 | 15,57,94,000.00 | 6,87,92,000.00 | Card Centre | 82,35,000.00 | 56,24,000.00 | 26,11,000.00 |
*WS= Wholesaler

Contribution to Govt. Revenue Name of the Organization | VAT Given | Tax Given | Voumik Jeweler’s | None | 2,08,200.00 | Monosha Jeweler’s | None | 4,79,100.00 | Bagdad Enterprise(Flour, Sugar, Suji Wholesaler) | 45,25,000,00 | 27,81,720.00 | Titas Salt | None | 17,36,720.00 | Saha Banijjo Vandar (Oil) | None | 16,40,760.00 | Pal & Kundu Co. (Oil) | None | 12,01,300.00 | Modhumita Banijjo Vandar (Oil) | None | 9,85,540.00 | Rajjak Brothers (Nokia phn, Sugar, Flour etc WS) | 95,25,000.00 | 32,56,860.00 | Jahan Traders(Baby food and etc. wholesaler) | 1,25,00,000.00 | 72,68,940.00 | Card Centre | None | None |

TAX Given
TAX Given

Contribution to employment

Name of the Organization | Total Employee | Payment Given(Annually) | Voumik Jeweler’s | 25 | 8,40,000.00 | Monosha Jeweler’s | 30 | 13,44,000.00 | Bagdad Enterprise(Flour, Sugar, Suji Wholesaler) | 35(20*) | 44,86,000.00 | Titas Salt | 60(20*) | 67,54,000.00 | Saha Banijjo Vandar (Oil) | 30(15*) | 42,85,000.00 | Pal & Kundu Co. (Oil) | 35(17*) | 40,75,000.00 | Modhumita Banijjo Vandar (Oil) | 26(12*) | 34,76,000.00 | Rajjak Brothers (Nokia phn, Sugar, Flour etc WS) | 30(20*) | 84,72,000.00 | Jahan Traders(Baby food and etc. wholesaler) | 45(20*) | 2,64,82,000.00 | Card Centre | 10 | 5,60,000.00 | (The * number of employees are not fixed in the orgs. They work for various orgs at a time.)

Trading activities of the Business Organizations:

Voumik Jeweller’s * Gives loan to people * Sell jewelleries with instalments * Owner and workers have good relation

Monosha Jeweller’s * Give loan to small businessmen * Sell jewelleries in special offer * Workers here get more salaries * Sell jewelleries at instalments

Bagdad Enterprise (Flour, Sugar, Suji Wholesaler) * Sell in credit * Workers are satisfied with salaries * Provide products to around 50% shops of Khulna groceries * Spends money in various social festivals. Titas Salt * One of the main salt provider of Khulna city and around places * Many fishermen’s fate has changed working here * They provide fresh and food grade salt
Saha Banijjo Vandar (Oil) * Sell all kinds of oil * Oil is refined in a proper way * Keeps good relation with labours

Pal & Kundu Co. (Oil) * Provides oil not only to wholesaler but also to retailers * Provide more incentives to labours * Help them when they are in woe

Modhumita Banijjo Vandar (Oil) * Oil refining system is very satisfactory * Personnel gets good salaries and bonuses in time * Provide employment to less literate people

Rajjak Brothers (Nokia phone, Sugar, Flour etc. WS) * The only dealer of nokia in Boro bazar * Use more technology than others * Keep good relation with labours * Sponsor social programs and festivals

Jahan Traders (Baby food and etc. wholesaler) * One the biggest dealer of baby materials in Khulna * Gives a proper working environment to the workers * Sell in credit

Card Centre * Sell products like greeting cards * Takes order for the invitation cards for various occasions

Promoting Social Responsibility:
Boro Bazar acts like a kind of institution in case of different social responsibility. When we talk with the owners of different business organizations they told us that, the “Bonik somiti” always tries its best to help the people who are suffering from various problems. If there is any local disaster (Like, fire-accident, natural disasters) the somiti always donates as much as it could.
Some business owners help their poor employees to educate their children. Some people donate money from their “Jakaat fund” to help the poor people of this locality through the ‘Bonik Somiti’

Conclusion:
This study has identified some social and economic aspect where the organizations of Boro Bazar have a visible impact. This study found that Boro bazar shops have a good contribution in case of value addition to the economy. This area is one of the biggest business centres of Khulna which provides products to many wholesaler and retailers. Some business is also paying tax and VAT to government which is a contribution to national income.
From this study we also found that these shops also contribute to society by helping the new businessmen and sponsoring various festivals. The business centre is the main provider of goods to the wholesaler and retailer shops and by doing so it keeps flow of goods throughout the market. This business centre is one of the biggest providers of employment too. So many poor people work here as coolie and earn their livelihood. Other people with less education can also get a job here and earn money.
Lastly we can say that, this business centre can be called as the middle point of business of Khulna. Its contribution to Khulna’s market of various groceries and other product can’t be written in details. It is just a picture of the whole system. We just tried to show the main impact of Boro bazar in Khulna city.

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