Bangladesh RMG industry is seeing major investments and current investments in this sector stand at $2.08B to $2.31B. Excellent workflow orders are prompting entrepreneurs to step up with fresh investments in the apparel sector.
Team Group, Urmi Group, Chattogram-based RDM group, and the real estate giant Sheltech are now setting up new facilities to boost their production capacity and increase their stake in the Bangladesh RMG industry.
The minimum cost of setting up a factory according to experts is around $0.58M. Taking this into account, 160 big and small factories, which have obtained BGMEA and BKMEA memberships for setting up new factories invested approximately $0.46B in constructing knit, woven and denim factories.
Among them, the Team group invested $83.33M to develop an industrial village which includes 32 production lines denim factory, a washing plant, a sweater factory, and a blouse manufacturing unit.
According to Abdulla Hil Rakib, managing director at Team Group, “Bangladesh has a good stake in the growing apparel market worldwide and also has every potential to further increase it with so many work orders pouring in”. These new units will go into production in 2023.
New entrepreneurs are making fresh investments in setting up new facilities despite the ongoing energy crisis. The energy crisis is not a local problem, so they are hoping to negotiate with buyers for a better price. New investors are also expecting work orders to remain at the current level for another two to three years.
Photo Courtesy: Canva
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