Relaince

Since there is little domestic production of wheat the flour industry fully depends on the imported raw materials from the different countries.  Most of the flour mill concerns procured from bulk importers of the domestic market which parties import bulk amount wheat from the international market as a result wheat price depends on the price movements in the International market; foreign currency fluctuations, as well as order size, impact the prices. For this reason, flour mills and traders in Bangladesh are exposed to foreign currency risk. Moderate entry and exit barriers also create a highly competitive market scenario. All the flour mills in Bangladesh have to pay the full amount in advance during wheat procurement but the situation is different in the case of sales resulting in accounts receivables which creates stress on working capital. The huge fund is also required to maintain the minimum level of inventory to avoid the risk arising from import as well as to mitigate the s...

The local logistics sector, particularly the transport service, is continuing to grow significantly, keeping pace with the rapid expansion of trade and economic activities in the country. This sector has been playing a crucial role in facilitating the growth of every sector of the country’s economy including industrialization, agriculture, infrastructure, and trade, and commercial activities. Recently, around 150,000 covered vans, trucks, pickups, and prime mover are engaged across the country for transportation of goods including those of export-import items, construction materials, agro-produce, industrial products, and essential items. The numbers of covered vans, trucks, pickups, and prime movers are thus increasing by leaps and bounds as these are the only means of inland transport for ensuring smooth operation related to manufacturing and goods movement. Every day about 90 percent of vehicles constantly carry freights across the country and a small number of these remain stuck du...

Implementation risk is moderate due to the scarcity of funding.  Any Company was incorporated in a specific year. In the one and half years of its construction period, the Company has procured the last portion of machinery. The entrepreneurs do not fully depend on a bank loan for local machinery. The management does not have sufficient experience in the mineral water industry.  The Directors are new in this business arena. It observes the shortfall in the management planning of the project. It also observes the management did not make detailed homework for the project. The management might need to hire a competent human resource for successful operation. Moreover, the labor shortage is observed in Sitakunda region for the related industry, which may affect the production. The minimum amount of product portfolio.  Revenue of the Company based on only different sizes of mineral water bottles which may create a business risk in case of ensuring a stable profit margin d...

The Building, Construction, and real estate industries encompass a broad spectrum of interests. These include the traditional players such as owners, investors, developers, lenders, and engineering and construction firms as well as non-traditional players, such as banks, insurance companies, and special servicers. From the early 1980 the real estate business started to flourish and showed robust growth. By 1990 the REHAB established and in 1991 there were listed members was 11. At present, more than 1,500 companies are active in the real estate sector with 1,191 of them registered with REHAB. In the last two decades, private developers have supplied more than 100,000 units of apartments to the nation will be supplying 25,000 more units in the next three years. The approximate turnover of the real-estate sector is BDT 28, 000.0 million. With a rising population and increasing housing demand, apartment culture has grown up in Divisional regions such as Dhaka, Chittagong, etc. sharply. ...

Production of paper in Bangladesh is moderately lesser than the average production of Asia. The utilization of paper in Bangladesh is around 5 kg for each individual on a usual. This figure is much lower than the average of Asia per capita paper consumption which is 30 kg. An increase in universities, an increase of education rate, offices, newspapers, increased pressure from the environmentalists of banning polythene packaging materials, increased social and environmental awareness –all of these indicate a worthy sign of a future increase in paper demand. In addition, the use of electronic and online media as a substitute for paper is less popular which indicates a constant positive growth in the industry demand. Given this promising and profitable scenario, the presence of few paper mills in Bangladesh has led to increased demand for importing paper and paper-related materials. The major obstacles in entering the sector are the lack of easy availability of resources like gas, water...

Salt Industry is established for producing salt from saline water of the sea in the coastal areas of Bangladesh especially in Chattogram and Cox's Bazar region. Salt is produced seasonally from December to Mid of May. Recently salt cultivation has also started in the coastal belts of Khulna and Satkhira.   The Government has decided on 5th July 2017 to again temporarily suspend the prohibition set on the import of salt in the country's import policy and authorize the import of 500 K metric tons of crude salt in order to meet the domestic demand.  Estimates made by the ministry of Industries stated that demand for salt in the Country this year stands at 1.58 million tons in 2019. Present salt production is 1.36 million tons, a deficit of demand was about 0.21 million tons during the period. It pushed up the market price of local salt to TK 40.0 per KG. The government makes the decision in order to meet the demand-supply gap by importing a deficit amount of salt in the year...

Bangladesh is making an enormous improvement in almost every sector that would contribute to its economic and political growth, including the manufacture of world-class electronics, steel, and glass. The one sector where Bangladesh is almost entirely sluggish is the automotive sector. Present the scenario of Bangladesh Automobile Industry, sales of Toyota cars, imported from Japan, is constantly increasing in Bangladesh. Even for commercial vehicles, this is still the most used brand. Even though there is a lack of local car manufacturers, a state-run company named Pragati Industries Limited has been manufacturing vehicles for Japanese company Mitsubishi at a low rate. The country is currently assembling the Mitsubishi Pajero Sport, Hino bus, and also the Tata bus and motorcycles. The market of Bangladesh is alluring to investors at home and abroad and has the potentiality of making a significant profit. There are foreign companies that are showing interest in investing in the automo...

Tank terminal related to the industry is involving for storing oil and or petrochemical products and from which these products are generally transported to end customers or in addition storage centers.  A tank terminal normally has tankage, above either ground or underground, and gantries (framework) for the discharge of products into street tankers or different vehicles or pipelines. Oil depots are generally located near to oil refineries or in locations wherein marine tankers containing products can discharge their shipment. A few depots are connected to pipelines from which they draw their resources and depots also can be fed through rail, through barge and by using road tankers. Maximum oil tank terminals or oil depots have street tankers running from their grounds and these automobiles shipping products to petrol stations or different customers. An oil depot is a relatively unsophisticated facility in that there is no processing or different transformation on site. The product...

The use of steel in the world gradually increases day by day. Now each and every part of civil constructions is made by a steel structure. due to the availability of scrap value or salvage value men are interested to build their own construction with steel structure. It is certain to increase steel and related products with steel enhance in the future.  Bangladesh Steel industry is a stable industry as one of the important industrial sectors of the country. It consists of small up to the largest amount of steel melting and re-rolling factories across the country which mostly produce deformed bar rod of different grade (40, 60, and 500), angel, channel, and coil for the construction industry. Although the history of the Steel Industry is not an ancient one it can make a good future. Earlier than 1971 Bangladesh did not have any steel mill and even after the liberation there were only a few steel factories in the country. In the 1990s the tangible progress began in this sector throug...

A pair of footwear is an important part of a pair in human life, anyone can not think without footwear. It may be sponge footwear, sports footwear, casual footwear, slipper, lady’s footwear, gent’s footwear. Everyone wears footwear daily basis for a formal or informal basis. The business model of the Athletic shoes, Direct Injection shoes, Flip-flop, Rubber & PU soles, IMEVA sole/Midsole and EVA Sheet, and exporting to the international market. Today we are going to discuss athletic shoes such as sports footwear industry trends in Bangladesh. Global Footwear industry analysis; The worldwide footwear industry has been experiencing quick expansion, primarily due to swift demand for new and innovative footwear products worldwide. Due to improvements in manufacturing processes, technology innovation and integration, modern, fashionable, and comfortable shoes are being continuously developed at reasonable prices to keep pace with the growing demand for these products. Rising sports ...

One of the possible avenues for diversifying the economy of Bangladesh is the maritime sector. It is a small country with a big coastline in the south. It is through the sea that we will find this new avenue of our economic success. The range of activities that fall within the domain of maritime world can be noted have as follows: ship owning and operation; ship management; ship chartering; sea freight; shipbuilding; ship financing and mortgage; ship breaking; transshipment of goods; offshore activities; and dispute resolution/arbitration and litigation.  Bangladeshis are gifted with 8,533 km of inland waterways and 535 km seacoast. This very gift has allowed industries to transport goods to various divisions of Bangladesh and around the globe. The transportation is handled by cargo ships/vessels transporting different types of goods ranging from food items to oil. They are of four types; general cargo vessels, tankers, dry vessels, and multi-purpose vessels.  The capacities o...

The feasible risk elements for the off-dock industry will depend on its area of operation in the industry and industry dynamics. The key common risk factors include the degree of competition, international trade volume, port situation, market changes, political risk, and global trade policies. Off-Dock operation is highly established on the effectivity of handling exports and imports by Chattogram Port that generates from the International exchange of the Country. Therefore, any disruption in Chattogram Port operation will have an adverse influence on the trade volume of the Country and have a consequential impact on the business of the Company. Besides the dependency on Chattogram Port, the project is close to the Bay of Bengal and thereby risking the opportunity of being affected by sea driven natural calamities. Some of these companies (Container Yard) was the largest individual ICD in Bangladesh, but after the amalgamation of Summit Alliance Port Ltd. (SAPL), and Ocean Container Lt...

In Bangladesh, Ready Made Garment (RMG) sector earned $34,133.27 million within $40,535.04 million total export revenue in FY18-19, which was $30,614.76 million within $36,668.17 million total export revenue in FY17-18. Export revenue growth was showing a positive trend during the last couple of years 10.55% in FY18-19 in which RMG sector revenue increased 11.49% during the financial year FY18-19. RMG sector generates its revenue based on two products as Woven and Knit. Both are almost the same during the last 19 years but woven products dominated the RMG sectors during these financial years. A large amount of export revenue is generated from the readymade garment industry from both products (Woven and Knit). During the last couple of years, woven garments slightly increased from Knit garments. It was about 50.52% and 49.48% respectively woven and knit garments in FY18-19 which was 50.39% woven and 49.61% knit garments in FY17-18 and 51.13% woven and 48.87% knit garments in FY16-17. It...