RAK Pharma goes into commercial production in April

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RAK Pharma goes into commercial production in April

Global Chief Executive Officer of RAK Group and Chairman of RAK Pharmaceuticals Dr Khatar Massad along with other officials visits the factory in Gazipur recently. The company is scheduled to begin commercial production next month. Photo: Green Planet Communications global Chief

Star Business Desk

RAK Pharmaceuticals is scheduled to go into commercial production from April and the products will be available in the market from June 9.

The disclosure came at the inaugural of the factory at Sripur in Gazipur on Saturday, according to a press release.

Global Chief Executive Officer of RAK Group and Chairman of RAK Pharmaceuticals Dr Khatar Massad opened the plant.

Following the ceremony, the chairman visited the factory spread over 5.5 acres of land, where he was briefed on the activities of the pharmaceutical company.

RAK Pharma has set up two separate and isolated manufacturing plants for cephalosporin and non-cephalosporin products, in order to maintain quality of the products.

Khatar Massad also visited the RAK Power Plant and RAK Ceramics Plant.

The RAK tiles production plant is currently producing 25,000 square meters of tiles per day with 3 units and the sanitary ware production plant is producing 3,000 pieces per day with 2 units.

Polyester chip plant in the pipeline

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Polyester chip plant in the pipeline
Star Business report

On the back of increasing demand for synthetics in textile and apparel industry, Malek Spinning Mills Limited plans to set up a polyester chip manufacturing plant with Tk515 crore investment.

Polyester chip, a derivative of petroleum, is used for producing non-cotton clothing (synthetic fibre and fabric), plastic bottles, packaging materials, high-tensile cords for tyres, strings for rackets and shatter-proof glasses.

The plant under the name of NewAsia Synthetics Ltd will enter commercial production within next two years with a production capacity of 300 tonnes of polyester chips per day in the first phase, officials said yesterday.

“In the second phase the production capacity will reach 600 tonnes a day,” A Matin Chowdhury, managing director of Malek Spinning, told a group of journalists while briefing on the new project.

He said in textile sector 60 percent of the world’s production is based on synthetics, whereas in Bangladesh the figure is less than 10 percent due to non-availability of synthetic materials locally.

“World textile fibre consumption trebled over the last five decades. While cotton consumption increased by one and a half times during the period to reach 26.4 million tonnes in 2007, other fibres (85 percent polyester) increased eight times to reach 45.7 million tonnes,” he said, citing data from International Cotton Advisory Committee.

Chowdhury said the market share of cotton fell from an average of 62.4 percent in the 1960s to 39.8 percent in the 2000s.

“A polyester chip manufacturing plant in Bangladesh will definitely help textile and clothing industry as presently the entire requirement is met by imports from India, Korea, China, Middle East and Singapore,” he said.

Presently, local synthetic yarn producers, beverage companies and printing and packaging industries need around 400 tonnes of polyester chips a day.

Chowdhury said two types of imported raw materials — MEG and PTA — will be used for producing polyester chips.

He said of the Tk515 crore investment, some Tk175 crore will be raised from public through both pre-initial public offering (IPO) or private placement and IPO.

A road show for private placement will be held on April 1 at Dhaka Sheraton Hotel.

The company will borrow Tk300 crore from banks and financial institutions.

Malek Spinning Mills, established in 1999, fetched Tk235 crore in turnover in 2008, and its subsidiaries include Salek Textile Limited, Knit Asia Limited and Rahim Textile Mills Ltd, which is a listed company.

Export growth up by 27pc in five months

http://nation.ittefaq.com/issues/2009/03/29/news0283.htm

Export growth up by 27pc in five months

BSS, Dhaka

The country’s export during the past five months from July to November of the current fiscal grew by 26.80 per cent compared to the corresponding period of previous fiscal 2007-08.

It earned a total of US$ 6551.45 million during the period compared to its target of US$ 6372.69 million. The country’s total export target for the fiscal 2008-09 has been earmarked at US$ 16298.43 million.

During the five months, real export earnings stood above the target by 2.81 per cent or by US$ 180 million, the Export Promotion Bureau (EPB) said on Saturday in a press release.

Month wise, export earnings for November, the time up to which trade figures are available, stood at US$ 1297.47 million compared to US$ 1144.47 million of the same month under the previous fiscal.

The statistics showed both month-wise and also during the past five months of the current fiscal, export kept on growing despite the spread of the global economic recession hitting the export markets.

The EPB said during the five months under review, the price index of the exportables grew by 4.84 per cent while export in volume grew by 21.96 per cent. Another estimate showed price index of exports of primary products increased by 24.70 percent during this period.

Price index of the industrial products grew by 3.20 per cent at this time compared to its growth in volume by 25.54 per cent.

Trade figures showed the country’s export targets were achieved during this period for oven garments, terry towels, knitwear, frozen food, textile fabrics, shoes, home textile, chemical products agricultural products, tea and other industrial products.

In some cases their exports even surpassed the targets, the EPB said pointing to export success in ceramics, petroleum products and many others items.

But some other products have failed to achieve targets and even witnessed decline in exports. Products listed in this category include raw jute and jute goods, electronics products, handicrafts, leather and some engineering products.

Destination wise, the United States remained the single largest export destination for the period under review totalling US$ 1721.96 million or 26.28 per cent of the total export. The export items included over wears, knitwear, frozen shrimps, home textiles and some other products.

Germany, Britain Italy, Belgium, the Netherlands, Canada, Australia, Iran, Japan and Singapore, India, China and Pakistan are the country’s some other major export destinations, the EPB said.

EPB said export to Germany was 14.37 percent or US$ 941.46 million in term of money constituting the second largest market of the country’s exports.

Britain constitutes the third largest market which took merchandise worth US$ 650.10 million during the five months under review, trade figures said.

Dhaka readies groundwork for nuclear power deals

http://www.newagebd.com/2009/mar/31/front.html#6

Dhaka readies groundwork for nuclear power deals

Nazrul Islam

Dhaka has completed the groundwork for negotiating nuclear power deals with Russia, South Korea, China and France aimed at the construction of two medium-sized 600MW nuclear power plants by 2017, officials said.

Dhaka holds talks with a Russian delegation today to know of Moscow’s ability at and technology for the installation of such power plants.

‘We will also discuss signing an agreement on peaceful use of nuclear energy between Bangladesh and Moscow,’ an official at the science and ICT ministry told New Age.

Bangladesh so far has bilateral agreements on nuclear cooperation with the United States, France and China. Along with Russia, South Korea, China and France have expressed interest in the installation of nuclear power plants in Bangladesh after the Awami League-led government had assumed office.

The government is seriously considering options for nuclear power against the backdrop of severe power crisis and bleak future of power generation with traditional energy sources.

Bangladesh has also a vision to have two more units, each with the production capacity of 1,000MW, of nuclear power plant by 2025.

The officials had initial talks with the representatives of China and South Korea. They are expecting further discussion to look into the options for nuclear power.

The country has for long been nursing a nuclear power plants site at Rooppur, feasibility studies for which have certified the project technically and economically viable.

International Atomic Energy Commission representatives, who visited the site in November 2008, also gave Bangladesh a go-ahead with the project.

But experts are worried about possible sources of financing to set up such plants as they estimated the cost to range between $900 million to $1.2 billion for a medium-sized plant with the generation capacity of 600MW.

The estimated cost of a 1,000MW nuclear power plant ranges between $1.5 billion and $2 billion, according to a paper prepared by the science and ICT ministry.

Asked about the timeframe for the installation of a nuclear power plant, former Bangladesh Atomic Energy Commission chairman Shafiqul Islam Bhuiyan said the installation of a unit would taken between 45 and 60 months after commissioning a deal for such a project.

Bangladesh may need two more years to complete its preparation to improve the safety standards at the site and environmental standards, said another expert.

The IAEA, which gave a technical project to Bangladesh, also suggested completion of certain regulatory and safety tasks beside infrastructure development.

In line with its 19-point suggestions, the government prepared a draft improving the existing nuclear law.

‘Once the draft is finalised, it will be sent to Geneva for comments before it gets approval back home,’ an official at the ministry said.

In 1980, Bangladesh’s National Economic Council approved the proposal for the installation of the Rooppur nuclear power. The project was originally taken up in 1961.

In recent negotiations, Dhaka has sought assistance from South Korea to help set up nuclear plants in Bangladesh.

‘Prime Minister Sheikh Hasina wanted to know how efficient and cost-effective South Korean technology could be for the installation of the nuclear power plants,’ Suk-Bum Park, the South Korean ambassador in Dhaka, told New Age. He said the negotiation may resume any time.

A French embassy official said Bangladesh had initial talks with a French company called AREVA.

Four hundred and thirty-nine nuclear power plants, now in operation worldwide, are providing about 16 per cent of the global electricity production.

France produces 79 per cent of its total electricity through 59 units, Belgium 58 per cent, Sweden 44 per cent, Korea 40 per cent, Japan 35 per cent, and the United States 20 per cent having 104 units, according to a report prepared in 2008 by the Bangladesh Atomic Energy Commission.

Two Bangladeshi cos receive good response from FOODEX Japan

http://www.thefinancialexpress-bd.com/2009/03/31/62652.html

Two Bangladeshi cos receive good response from FOODEX Japan

FE Report

Two of the four Bangladeshi companies, that early March took part in the FOODEX Japan 2009, have received encouraging responses from the buyers, officials said Monday.

Bangla Natural Agro Ltd, Miton Sea Foods International, Global Agro Resources Incorporation and Hamdard Laboratories (WAQF) Bangladesh participated in the 34th International Food and Beverage Exhibition held at Makuhari Messe (Nippon Convention Centre) in Chiba city during March 3-6. And officials said the response was more than they expected.

Md. Mustafizur Rahman, proprietor of Miton Sea Foods International, said there was almost no response from buyers last year. But the company received positive responses this time.

He told the FE that four buyers- two Japanese and two Russians- have already shown their interest about the products of the company. One Japanese buyer and one Russian buyer have already confirmed their order.

“Hopefully, the other two will also confirm their order soon. We are now working on their requirements.”

Miton Sea Foods, which went to Japan to showcase shrimp, received order worth $50,000 on the venue. But Mustafizur thinks the amount will go up once the company starts to export.

He said Japanese importers now buy fish-foods from Vietnam. But there is still scope to enter the market.

He said his company showcased seafood items like black tiger shrimp and harina shrimp. The buyers also expressed their interest in other traditional seafood items.

“The buyers don’t know much about Bangladeshi foods’ market. So at first, we have to convince them about our items. Then we will be able to take big step.”

Mustafiz said the prospect for Bangladeshi food products in Japan is huge. “We can do well there if we can provide them with quality items because they put special emphasis on the quality of foods.”

Mohammad Anisur Rahman, CEO and Managing Director of Bangla Natural Agro Ltd, told the FE that his company also received huge responses from Japanese buyers.

His company showcased ‘neem’ leaf, turmeric, guava leaf, chili, ‘tulsi’ at the four-day food exposition, the biggest food and beverage exhibition in the Asia and the Asia Pacific region.

Anisur Rahman said his firm has received order worth over $100,000 which is much more than his expectation.

“The response has been huge this year. Last year I received order worth $40,000. But this year it has been more than double.”

The event is a platform for exhibitors and visiting buyers to meet and interact, offering key opportunities for dynamic discussions and business possibilities to enter Asian and global markets, he said.

MOU signed between Hiroshima University, BAU

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MOU signed between Hiroshima University, BAU

BAU Correspondent

A Memorandum of Understanding was signed between the Hiroshima University, Japan and Bangladesh Agricultural University (BAU) at the Vice-Chancellor’s office

Professor Dr. Yukinori Yoshimura, Vice-Dean, Hiroshima University, Japan and Vice-Chancellor of the Bangladesh Agricultural University Professor Dr. M. A. Sattar Mandal signed the Memorandum to the Academic and Educational Exchange Agreement between their respective institutions.

Under the agreement, the two Universities will promote mutual understanding between the two institutions through educational and academic collaboration and exchange of faculty members, students, promotion of joint research. They also agreed to exchange research outcomes, academic publication and other academic information to contribute to the advancement and progress of learning.

Japanese Professor Dr. Teruo Maeda, Professor Dr. Abdul Halim Khan, Dean, Faculty of Agriculture, Professor Mahiuddin Ahmed, Dean-in Charge, Faculty of Veterinary Science, Professor Dr. M. Ali Akbar, Dean, Faculty of Animal Husbandry, Professor Tofazzal Hossain Miah, Dean, Faculty Agricultural Economics and Rural Sociology. Professor Dr. Md. Abul Khair Chowdhury, Students Affairs Adviser, Professor Dr. S.M. Bulbul, Professor Dr. Sultan Uddin Bhuiyan, Professor Dr. Sachidananda Das Chowdhury, Md Nazibur Rahman, Registrar and Diwan Rashidul Hassan, Director, Public Relations and other high officials of the administration were present at the meeting.

Later, Dr. Yoshimura formally presented a University crest to the BAU Vice-Chancellor Dr. Mandal and exchanged pleasantries to the faculty members of the University.

Poultry sector sizzles up with large-scale consolidation drive

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Poultry sector sizzles up with large-scale consolidation drive

Mushir Ahmed

The dull world of the country’s poultry sector has suddenly sizzled up with top farms embarking on an investment spree never seen in the country’s history, the industry said.

Thai poultry giant CP has triggered the battle with a war chest of $60 million, forcing top player Kazi Farms to throw the gauntlet with its own two-year expansion scheme in feed, meat processing and retailing.

Their nearest rivals Aftab, Nourish and Paragon have also spread wing in newer segments amid the largest consolidation drive that experts fear would snuff the life out of the country’s tens of thousands of smaller farms.

Top players talking to the FE said the investment drive is aimed at hedging their businesses against unforeseen dangers like the deadly bird flu, which in the past two years have wiped out some 20 per cent of their revenues.

CP officials would not comment on its investment plan, but industry sources said the company — the largest in the world — has rented series of sick farms and have in the past few weeks launched its branded fried chickens with its own specialized shops.

The company, which produces 1.2 million day old chicks per week, has also moved aggressively in fish feed and poultry feed and in vaccine, making it a fully integrated poultry farm like its parent company in Thailand.

Its aggression has worried Kazi Farms, which has been dominating the sector for the past half a decade through its day-old chick business located in about a dozen top districts in the country.

Managing director of the company Kazi Zahedul Hasan said the company would roll out a two-year expansion in which it would scale-up broiler and layer production, spread its chick business and go into processing and retailing.

“We cannot match the resources of CP. Our resources are limited. But we are moving into newer segments in the poultry business to consolidate our position and combat bird-flu like dangers,” Hasan said.

Set up in 1996, the Tk 7.00 billion Kazi Farms produces some 2.0 million day-old chick a week, making it the largest player in the most lucrative segment of the sector with a share of over 30 per cent.

Hasan said the company would go into marketing and distribution of processed chickens such as cooked nuggets, sausages and also open its own specialized stores such as Aftab’s to sell the products.

The company, which is ranked low in the poultry feed business, would also open two feed plants to meet growing demand in the business.

Aftab Bahumukhi, the country’s first integrated poultry farm with a turnover of Tk4.00 billion, last month launched the country’s first “floating fish feed,” to capture a large pie in the fast-growing sector.

Aftab, a pioneer in the sector and now ranked third in the pecking order, is also exploring Halal meat market in the Middle East in a bigger way after two minor attempts in 2006-7, its director Habibul Haque said.

“We have to export to sustain our growth. The Halal meat market in the Middle East is huge and mostly controlled by Brazil. If we can cut our prices further, we can easily grab the market,” Haque, an industry veteran, said.

Nourish, the largest feed producer in the country, has focused on feed, launching fish-feed while ramping up poultry feed production.

Another top feed player, Paragon, launched its own Tatka brand processed chicken items last month after it cut its day-old chick business following the bird flu in 2007 and 2008.

While consolidation is seen as a natural progression in the industry, critics said it would drive out tens of thousands of smaller players from the market, already hit hard by the deadly H5N1 Avian Influenza.

“It’s a dangerous sign the way big players are expanding in the market. It will force small farms to fold up fast,” said Moshiur Rahman, chief of Bangladesh Poultry Association and the owner of Paragon.

“They cannot compete with bigger players unless protected by the authorities,” Rahman said, calling for overhaul of government policies to safeguard the interest of smaller farms.

MM Khan, another expert in the sector, said some 70 per cent of the market is now controlled by top six companies, up from around 30 early this decade.

“The latest expansion drive by the big players and their entry into processing, further processing, retailing and in all segments would leave a little room for growth for the bits and pieces players,” he said.

“In the past big players concentrated only in day-old chick, parent and grand parent stock and feed business, while the broiler and egg production were left to the small farms,” he said.

“But now there are trying to gobble up everything.”

Right to Information Bill passed

http://www.newagebd.com/2009/mar/30/nat.html#2

JS PASSES RTI BILL
Intel, some law enforcing agencies exempted from giving info
Staff correspondent

The parliament on Sunday passed the Right to Information Bill, 2009, exempting intelligence and some law enforcing agencies from providing information.

The house, where the Awami League-led ruling alliance is enjoying a three-fourth majority, unanimously passed the bill in the absence of the lawmakers of the Bangladesh Nationalist Party-led main opposition.

Information minister Abul Kalam Azad moved the bill, placed in the house on February 25, for passage.

The parliamentary standing committee on the information ministry on March 15 submitted its report in the house recommending the government’s proposal, including provisions exempting intelligence and some law enforcing agencies from providing information.

The agencies are: National Security Intelligence, Directorate General of Forces Intelligence, defence intelligence agencies, Criminal Investigation Department, Special Security Force, the intelligence cell of the National Board of Revenue, Special Branch and the intelligence cell of Rapid Action Battalion.

According to the RTI act, organisations running on public money are obliged to give information to any citizen in line with the law.

It gives people the right to seek information from public offices and file appeals with the information commission on being denied information.

No organisation can refuse to provide information without approval of the proposed information commission, an autonomous body that would enforce the law and deal with complaints from information seekers, says the newly enacted law.

However, organisations are not bound to provide information that might go against national security or sovereignty, confidential information received from foreign governments or information on affairs under trial and investigation.

The military-controlled interim government passed the Right to Information Ordinance in October, 2008, to promote, according to that government, transparency and accountability, reduce corruption and facilitate good governance.

The lawmakers of the BNP-led main opposition were not present in the house during the passage of the bill as they staged a walkout earlier on the day.

DBBL to install 500 more ATMs

http://www.thefinancialexpress-bd.com/2009/03/29/62412.html

DBBL to install 500 more ATMs

Mehdi Musharraf Bhuiyan

The country’s nascent ATM (automated teller machines) network is set for another booming year as one of its leading exponents in the local market- Dutch-Bangla Bank Limited (DBBL), is embarking on a massive expansion of its present ATM infrastructure during the first half of the year 2009.

The bank with the largest ATM network in the country; according to its latest annual report published earlier this month, is looking to install 500 more ATMs and 50 Deposit Kiosk around the regions in the country by the end of June this year.

The DBBL, a second generation private commercial bank has a technological edge over its competitors with its state-of-the-art IT infrastructure being its corner stone.

Currently it offers shared ATM services to 14 other banks through formal agreement whose customers are thus also able to use ATM facilities under the arrangement.

The recent year has seen an unprecedented growth of ATM network in the country; with DBBL, which is the pioneer in the field, leading the way.

As of the end of 2008, the DBBL’s ATM network; which has been boosted further by the inclusion of two Mobile ATM booths last year; is supported by 350 units of ATMs spread countrywide, in addition to 750 units of POS terminals situated at various merchant locations.

However, the ongoing ATM bubble may be short lived; as the report warned, “…Bangladesh already has exceeded the number of ATMs the market can handle,” adding, “The country has already surpassed many western countries in ATM statistics”.

The high popularity and demand of DBBL ATM, the biggest player in the market, is driven by the cost factor; as its clients are getting ATM access free of charge — the report noted. But on the other side of the story, the profitability in this sector is also limited, it mentioned.

“Even with ATM popularization, the case for its expansion is weakening due to sheer number of ATMs DBBL currently has and will install this year; as well as rising costs and statistical limits,” the report says.

Nevertheless; this expansion of ATM network and up gradation of IT and online banking system, the Bank management says; would keep the wheel of growth moving by increasing its deposits by 55.1 percent to Taka 80,000 million in 2009 as against 51,576 million in the previous year.

At the same time, loans are projected to grow by 31.9 percent against Tk. 41698 million in 2008 to Tk. 55000 million during 2009; when DBBL is expecting to open 15 more branches countrywide.

Simultaneously, import and export businesses of the bank are expected to grow by 36.4 percent and 44.7 percent from Tk. 43,999 and Tk. 40083 during the current annum to Taka 60,000 million and Tk. 58,000 million respectively, the annual report says.

During the year 2008, the company’s operating profit increased by 45.9 percent to Tk. 1935.87 million and net profit after tax increased by 71.3 percent from Tk. 479.8 million to Tk. 821.7 million.

“Lower cost of fund resulting from improved deposit mix, lower growth in operating cost emanating from better operational efficiency and productivity contributed to higher profit despite higher investment cost in IT platform, more expenditure in CSR related activities and expansion of branch and IT platform,” Managing Director of DBBL Yeasin Ali said.

UAE keen to invest in tourism, telecoms

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UAE keen to invest in tourism, telecoms
Staff Correspondent

The United Arab Emirates (UAE) is eager to invest in hotel, tourism, oil and telecommunications sectors in Bangladesh, said State Minister for Foreign Affairs Hasan Mahmud yesterday.

He disclosed the fact during a press briefing at the ministry after his visit to the UAE and Geneva last week.

The state minister said he held an extensive discussion with the UAE Labour Minister Saqr Ghobash Saeed Ghobash and asked him for special care to Bangladeshi workers.

The gulf nation assured special heed to Bangladeshi workers to make sure they survive the economic meltdown, he added.

Hasan Mahmud requested the UAE leaders to set up a hospital and a nursing institute on the land in Chittagong that was offered to UAE former ruler Sheikh Zayed bin Sultan al-Nahyan as a token of friendship.

Presently, the oil-rich UAE investment in Bangladesh is $2.5 billion, he said.

“I requested him to ease residency visa transfer system, which is somewhat clumsy, and introduce online visa system to prevent forgery,” he told newsmen.

As Mahmud requested the UAE labour minister to ensure workers’ wages in due time, the latter said they would introduce a system by the end of the year so that all workers get wages through banks and employers cannot make any deductions.

The UAE is the second largest labour market for Bangladesh after Saudi Arabia. Around seven lakh workers send around $1 billion remittance yearly from UAE.

The UAE state minister for foreign affairs said apart from labour issues, Bangladesh and UAE should diversify relations to work together in international arena, said Mahmud.

“It means they want collaboration in the Palestine issue and producing green energy,” Hasan Mahmud elaborated.

The ministers also shared views on combating terrorism.

Local brands go global

http://www.newagebd.com/2009/mar/28/busi.html#1

Local brands go global

Kazi Azizul Islam

Made in Bangladesh battery Volta is now a popular brand name in India and Thailand, and in Djibouti and Ghana, many admire Pran, a Bangladeshi brand for juice and snacks.

Harrods sells Kazi and Kazi, organic tea, and it is being served at Tokyo’s prestigious Sheraton Hotel while furniture designed by Otobi stuns the brand-conscious western shoppers in Kolkata.

The innovative Bangladeshi entrepreneurs and the executives behind the successful brands, who shared their experiences with New Age, point out the reliability and sustainability of brands and express their firm confidence that the brands can boost the country image.

Brand experts echo them as they list confidence, professionalism, strategic efforts of the industry and say the government can turn Bangladesh a high-value brand exporting country.

‘Establishment and operation of brands require long-time and rigorous process but once these are done, business gets sustainability,’ said Niaz Rahim, managing director of Rahimafrooz Group.

Battery manufacturing and marketing is the major source of income of the Tk 1,400-crore plus Rahimafrooz Group. Last year it exported nearly half of its productions or 3 lakh automotive batteries to more than 25 countries.

‘After putting years of efforts on brand development, we are now getting benefits from foreign markets,’ Niaz said adding that his company could not meet even one-thirds of ready demands from overseas markets.

To feed overseas markets, Rahimafrooz’s new plant at Ishwardi EPZ will go into operation by June. This will be the south Asia’s largest export-oriented battery manufacturing plant with an annual production capacity of one million units at the first phase.

‘Confidence is the first thing that is required to building a brand, then determinations and investments,’ said Niaz, who, however, reminds, ‘If quality of the products is not assured persistently the brand will eventually die.’

Sabbir Hasan Nasir, the CEO of Otobi, says consistency in quality have helped them to become the leader in local market and to get the choosy buyers at foreign markets.

With a 35 per cent annual growth, Otobi enjoys more than half of the country’s Tk 500-crore market of brand furniture. Nasir says difference in designs and quality products at affordable and competitive prices keep them ahead of others.

Nasir shares a pleasing experience in opening of an Otobi outlets in Kolkata in mid-2008. ‘The western expatriates started comparing Otobi’s designs and finishing with European products and surprised how Otobi could offer so competitive prices,’ said Nasir, ‘Huge coverage in Indian media then allured choosy Kolkata shoppers to our shop.’

Recently Otobi has established a sophisticated furniture making plant at Ashulia near Dhaka that also uses solar energy as its commitment to environment.

‘Successful branding requires “We” approach,’ said Nasir.‘ For banding success, companies need to work like families.

‘Without having sustainable brands, sales at any business may grow for a time being but hard to sustain,’ said Kamruzzaman Kamal, the executive director of the Agriculture Marketing Company Limited-AMCL.

Juice, pickles, cookies and confectionaries in AMCL’s brand name Pran are now being shipped to more than 50 countries and sold in villages in north-east India to cities in many Middle Eastern and western countries.

Pran’s last year’s exports amounted at around $15 million which was more than half of Bangladesh’s total processed food export earning. The company employs 60 plus Bangladeshis abroad to operate its overseas business. Also it has a plan to set up a plant in India.

‘Pran’s plants in Africa or middle-east are not impossible projects in the future,’ Kamal said.

Kazi Anis Ahmed, CEO of the organic tea brand Kazi and Kazi, says products from Bangladesh have potentials to be premium brands, but building brands requires strategic and professional efforts.

After being approved by all standardisation tests, Kazi and Kazi tea was showcased at Harrods in London as a test case and received overwhelming response from consumers.

By 2008 Kazi and Kazi developed its large capacity to process and market premium segment tea at significant volumes and now shipped regularly to the USA, Japan and Korea.

‘Sri Lanka exports 10 times more tea than Bangladesh but earns 100 times more. It happens not for mere quality, but for branding mainly,’ says Anis.

Citing that India has brand tea produced in her different regions, Anis says tea produced in Sylhet and other regions should have brands.

Anis said his brand sells at $4 to $9 per kilogram in export markets while on average export price of Bangladeshi bulk tea is only $1.65.

‘Within a couple of years we will export more than 50 per cent of our garden outputs or one million kilograms of tea as brand item,’ Anis told New Age.

Shariful Islam, editor of the Bangladesh Brand Forum, traces that realisations on the prospects of branding were growing among local companies.

‘You think how many Indian brands were there in global markets a decade ago and how many are there now,’ says Sharif as he disagrees that Bangladeshis have made late in entering global markets with their own brands.’ The age of branding by Bangladeshi exporters has begun and it will go on.’

Professor Syed Farhat Anwar of the Institute of Business Administration in the University of Dhaka predicts that mission of branding would soon be started in apparel export sector as well.

‘All that needs here are seriousness and professionalism, and skills of peoples in the companies should be enhanced much so they can understand the demands and the behaviours of overseas markets,’ the brand expert suggests.

He stresses that the government and industry should work together for the development of the brands at global markets.

Bangladesh likely to export refrigerator soon

http://www.theindependent-bd.com/details.php?nid=120122

Bangladesh likely to export refrigerator soon
Economic Reporter

Bangladesh is likely to emerge as refrigerator exporting country in the international market as R.B. Group of Companies Ltd is going to export refrigerators for the first time.

Walton High-Tech Industry at Chandra in Gazipur, 40 kilometres off the capital, has started manufacturing world-class refrigerators. Many foreign buyers are showing keen interest because of the competitive price of the international-standard Walton products.

The plant can now produce about 2,000 units of refrigerators a day, sources said, adding the production could be enhanced by three-times if there is a market demand.

The high-tech industry plan started its journey with setting up a composite manufacturing plant a few years back to produce refrigerators and some other electronic goods.

In the Walton plant, all the backward linkage accessories are also being produced to support the main product. Several thousand workers are engaged in different sections like dice, mould, sheet processing, power press, powder coating, injection molding, pre-foaming, thermo-foaming, gasket making and packaging. The manufacturing plant has state-of-art-technology where raw materials enter one side and finishing products come out from the other side.

Sources said, the country’s annual demand for refrigerators is about 500,000 units. The demand is growing with the rapid urbanisation and also the increasing purchasing power of the rural people. Once, refrigerators were imported from foreign countries especially from Japan.

Recent years our local market is being flooded by low quality refrigerators mainly imported from China, India, Thailand and Malaysia. Those low quality refrigerators become useless within one or two years. As a result, this becomes not only a waste of money of local customers but also the country is to spend huge amount of foreign exchanges to import the products.

The growing demand has prompted the Walton management to set up their manufacturing plant near the capital city. The growing demand in the neighbouring countries was another reason to opt for setting up such a venture in the country.

RB Group Director Emdadul Haque Sirkar said in foreign countries a customer buys a refrigerator for two or three years. Later, the customer changes the model. But in our country people expect using refrigerators for 15 or 20 years. The company is manufacturing products in keeping the mind the local environment, he added.

About the product, he said the Group always has something innovative and new for its consumers. Keeping it as a motto R.B Group has introduced Walton refrigerators in the market. Price of Walton refrigerator is 20-30 per cent lower compared to imported ones.

Move to set up nuclear plant strengthened

http://nation.ittefaq.com/issues/2009/03/28/news0194.htm

Move to set up nuclear plant strengthened

Staff Reporter

The government, struggling to meet rising power demand, is moving seriously with the nuclear power plant project targeting to set up at least a 1000 MW plant in the country within a decade, informed sources said.

To this effect a Russian technical expert team will be arriving at Dhaka tomorrow to discuss with the concerned authorities the proposed power plant issues.

At present the Government has three initial proposals from three countries – Russia, China and South Korea on setting up nuclear power plant.

But the Russian proposal tops the list, as the nuclear-rich country has been keen to move ahead with the Bangladesh project under a state-to-state bilateral agreement. However, some experts termed Russian technology very old and said that accident occurs from their nuclear reactors frequently. They talked about Chernobyl as an example.

The Russian Ambassador in Dhaka recently met with State Minister for Science and ICT Yeafesh Osman to discuss the project related issues.

It is believed that after the visit of the Russian technical team, a full-fledged proposal will come from the nuclear rich country.

Science and ICT Ministry officials hinted that Bangladesh might have to move for an unsolicited offer-based project to implement the nuclear power plant project.

In that case, the present public procurement regulation (PPR) may need certain changes.

But the main problem to deal with the project will be mobilising fund in the present perspective of global financial economic meltdown. Because, a 1000 MW nuclear power plant will need a US$ 1.2-1.5 billion investment, sources said.

The move for installing a nuclear power plant was originally initiated during the previous BNP regime. Later, the caretaker government had expedited the process and obtained a clearance certificate from the International Atomic Energy Agency (IAEA) to go ahead with a nuclear power plant project.

The caretaker government also launched a site preparation project at Ruppur with technical and financial support of the IAEA to make the site suitable for a power plant. The IAEA provided US$ 366,000 for the project. Ruppur is a very old site, which was first undertaken by the then East Pakistan government for the same purpose.

“The site preparatory project is going on in full swing and by the end of the year it would be completed,” said a top official of the Bangladesh Atomic Energy Commission (BAEC), which has been implementing the project.

He also mentioned that an IAEA technical team also visited the site in November last to have a physical inspection before giving its necessary nod to Bangladesh.

“Simultaneously, a safeguard document and a model agreement document are now at the final stage of preparation. After completion, we’ve to place it to the IAEA,” the BAEC official said.

Science and ICT Ministry officials said that the nuclear power plant operation is a very sensitive work and it needs highly skilled manpower.

But Bangladesh does not have such manpower available at present. So, from now on a strong move should be made to develop skilled manpower to run a future project, a senior official at the Science and ICT Ministry said.

He also mentioned that the government had approached the IAEA to provide technical support to create such trained and skilled manpower.

According to another top official of BAEC, at present world’s 23 per cent electricity comes from nuclear plants.

First-ever polyester chips plant to be set up in N’ganj

http://www.thefinancialexpress-bd.com/2009/03/28/62305.html

First-ever polyester chips plant to be set up in N’ganj

Jasim Uddin Haroon

A local spinner will set up the country’s first ever petrochemical plant to produce polyester chips by investing Tk 5.5 billion mainly to give a fresh boost to the apparel sector, the yarn manufacturer said Wednesday.

Polyester chips, which are intermediate goods, are utilised for manufacturing synthetic fibre, fabrics and pet bottle.

Malek Spinning Mills Limited, a leading spinner, has taken the move to install the plant on 100 acres of land at Roopganj in Narayanganj.

Currently, local synthetic yarn producers and different beverage companies need around 400 tonnes of polyester chips a day, which are totally imported from abroad.

A Matin Chowdhury, managing director of Malek Spinning Mills Limited, told the FE Wednesday the construction work for the factory would start this year.

“We have selected Narayanganj for setting up the plant and it will produce at least 300 tonnes of polyester chips a day. There is a plan to enhance its capacity to 600 tonnes,” Matin added.

The demand for polyester chips is rising, on an average, by 10 per cent annually.

The company will use MEA and PTA, two raw materials required to produce petrochemical products, which will be imported from Middle East countries and Singapore.

Apparel sector sources said Bangladesh’s textile factories produce cotton yarns while the demand for non-cotton yarn is growing.

“We produce only cotton yarn, but the non-cotton fabrics account for a large share of the world clothing market,” said Abdul Hai Sarkar, president of Bangladesh Textile Mills Association (BTMA).

He also said this will give a big boost to the country’s textile and apparel export.

However, the company is planning to raise fund worth Tk 1.75 billion from the capital market.

The petrochemical plant will raise Tk 500 million through IPO with the face value of Tk 10 a share and Tk 1.25 billion through pre-IPO placement.

“We’ll raise the Tk 500 million from the capital market and we expect the IPO (initial public offering) will be made sometime in July next,” Matin added.

The valuation for the pre-IPO placement has already completed and the pre-IPO placement value of a share has been set at Tk 25 against the face value of Tk 10 each.

“The pre-IPO placement will start on April 1,” said A Matin Chowdhury, who was president of Bangladesh Textile Mills Association (BTMA).

Malek Spinning mills, established in 1999 at Shafipur in Gazipur, had a turnover of Tk 2.32 billion in 2007-08.

Investment in Bangladesh to grow: UAE minister

http://www.newagebd.com/2009/mar/28/busi.html#8

Investment in Bangladesh to grow: UAE minister

United News of Bangladesh . Dhaka

The UAE foreign trade minister, Shiekha Lubna Al Qasimi, hoped that business and investment policies of the present government will encourage UAE investors to invest in various sectors of Bangladesh.

‘Investments from the UAE to Bangladesh will continue to grow’, Sheikha Qasimi made the remarks during a meeting with the visiting commerce minister, Faruk Khan, in Abu Dhabi at her office on Thursday.

A release from the Bangladesh Mission said the commerce minister hoped that proportion of professionals and skilled workforces from Bangladesh to the UAE would continue to increase.

He expressed Bangladesh government’s keen interest in sending more professionals and skilled workforces from Bangladesh.

Sheikha Qasimi expressed her satisfaction about the work ethic and discipline of the Bangladeshi expatriates and their valuable contribution to the nation building endeavours of the UAE.

Lauding the present level of FDI from the UAE to Bangladesh specially in telecommunications (Warid Telecom), banking (AL Falah), chemicals (RAK Ceramics, Emirate Cement) and other areas, the commerce minister welcomed more investments from the UAE specially in power, port and other infrastructural sectors.

He thanked the UAE minister for continuing support to various economic and social causes of Bangladesh.