50 Star US Inc.
During the first 10 months of the fiscal year 2023, Bangladesh's ready-made clothing (RMG) industry faced a sizable obstacle. According to data from the Bangladesh Bank (BB), the imports of capital machinery for the RMG sector fell significantly during this time, by around 21%. Broader economic difficulties on a national and international level, such as declining import and export volumes, are mirrored by this drop. As a result of high inflation and decreased demand in important export markets like Europe and America, many companies are currently running at 30% to 40% below capacity.
Nevertheless, despite these financial constraints, several textile businesses in Bangladesh have made the decision to accept the challenges and make large investments in diversification and new technologies. Together, these businesses want to spend a sizeable Tk12,000 crore over the following two years, concentrating on cutting-edge machinery for producing man-made fibers, recycled fibers, automated machinery, and robotic technologies for clothing and accessories.
These investments are anticipated to alter the industry landscape as well as speed up production procedures and broaden the sector's product offerings. These measures are expected to result in the employment of about 50,000 people in the garment, textile, and accessory industries overall.
Ha-Meem Group
Ha-Meem Group, one of the top exporters in the apparel sector, today controls an astonishing 80% of market orders. The business, which has historically focused on woven bottom items, has recently started a diversification journey. Just three months ago, they established a jacket production factory as the first step in their diversification. Hugo Boss, Ralph Lauren, and Tommy Hilfiger are the three main target markets for this calculated action.
Due to the fact that Bangladesh's garment sector is still developing, Ha-Meem Group sought the assistance of an Indonesian partner for technical advice. The primary examinations for the brands were already completed, and the second inspection is planned for September.
The Ha-Meem Group has made a large investment in this project of 400 crore taka, underscoring their dedication to it. A recycling facility that is largely dedicated to creating recovered yarn was inaugurated by the organization six months ago, marking another step toward sustainability.
As the tendency among global brands to switch to recycling technologies by 2027–2030 grows, they are now prepared to extend into the manufacture of fabrics. It should be noted that fabrics made from recycled yarn frequently cost more, roughly three to four times as much as materials made from other sources. Ha-Meem Group is strategically taking use of this potential.
DBL Group
The enormous Srihatta Economic Zone, the country's largest economic zone, has seen a substantial investment from DBL Group totaling 650 million dollars. Notably, DBL Group is positioned to create a total of 10 operational units in this economic zone, making them the leading investor there.
The first concentration is on the production of textiles, with a particular emphasis on recycling techniques. Their strategic ambitions also include the production of glass and dinnerware. It's interesting to note that DBL Group chose British financial help, a decision that was influenced by the relatively high interest rates provided by local banks. Their financial situation has significantly improved thanks to a 52 million dollar influx from overseas sources.
Windy Group
Four thousand employees have been employed by Windy Group, which has also invested 400 crore taka. They have a history of consistently funding their own expansion plans. They already export 190 million dollars annually, and they have a bold plan to treble that amount. In order to achieve a twofold rise in exports by 2026, Windy Group is starting a significant project in the future year and investing twice as much as they have in past endeavors.
Team Group
With the addition of two new projects and the continuation of two ongoing ones, Team Group is deliberately increasing its operational capacity. Backward connection is one of these projects, which is an idea they intended for the prior year. The ongoing effort, which includes opening additional letters of credit (LCs) and receiving new equipment, aims to increase their knit composite capacity. They are hopeful that full commercial operation will be accomplished by the end of the current year or the start of the following year.
They are also starting an accessory-related project in the Tongi Industrial Area at the same time. This structure, which spans G+10 stories, is already far enough along in the construction process. Along with denim production, this project will also include a zero-discharge washing facility that adheres to environmentally friendly standards. Team Group's desire to obtain platinum-grade green manufacturing designation for both of these programs further demonstrates their dedication to environmental awareness.
They have plans to set up yarn dyeing facilities on one floor of their business for outerwear. They are striving toward backward integration, importing fabric made of man-made fibers and processing it locally, to make this undertaking easier. Even though this is the third stage of their growth, work is still being done. Additionally, they are in talks with a Taiwanese business to offer technical support; this is a separate partnership from a joint venture.
Pacific Jeans Ltd
One of the biggest businesses with a focus on single-item manufacture is Pacific Jeans Ltd., which also happens to be the category's top exporter. They are categorized as a C category industry in the Bangladesh EPZ and have repeatedly received honors in this category, including Gold, Silver, and Bronze. Their main areas of focus are the creation of formal and outerwear. Notably, the Chittagong EPZ building project is already complete, and production is expected to start in September.
35 million dollars have been set aside by Pacific Jeans for this project, and in keeping with environmental ideals, they are also building a recycling facility at the same time. Given the disposal constraints, this facility strives to meet the necessity of managing cutting waste properly.
They have exhibited a tremendous appetite for investment as part of their larger expansion goals, most notably during the difficult COVID-19 period when they started the construction of two new plants. Their goals for the future include a transfer to Dhaka and a large investment of $500 million for this year. They have set a goal to become a billion-dollar company by 2027, which would be a stunning accomplishment.
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