[🇧🇩] Plastics Industry in Bangladesh

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[🇧🇩] Plastics Industry in Bangladesh
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Ban on plastic bags a boon for eco-friendly sacks
Availability of raw materials now a challenge

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Photo: Rashed Shumon/Star

Until early September this year, Mahfuza Begum's Surzu Handicrafts was making eco-friendly, lightweight and reusable net shopping bags out of jute and cotton for a handful of buyers.

And it was not on a regular basis, for putting in the effort required the placement of orders from buyers first.

Since the middle of last month, her small production unit with 10 machines has been busy making the bags thanks to the interim government's decision to ban the use of polythene and polypropylene shopping bags across all superstores.

The ban came into effect from October 1.

Since then, Surzu Handicrafts has supplied more than 20,000 shopping bags to supermarkets.

At present, Begum has orders from supermarket chains to supply another 32,000 bags.

"Biodegradable bags were neglected and their use was limited and deemed as fancy. Now, we see a huge demand," she said.

Prior to the ban, Surzu Handicrafts used to make roughly 1,000 bags a month. "We could run two-three machines daily at that time," she said.

She said increased demand for the eco-friendly bags has created employment opportunities for many. "I have engaged 15 women to make the bags in their homes," said Begum.

Tahmidul Islam, owner of Baeki Centre, which also makes eco-friendly bags, said they used to make promotional items before the government asked supermarkets to use biodegradable bags.

Since the ban came into effect, Baeki has supplied more than 30,000 bags to superstores, he said.

LACK OF SUPPLY OF FABRIC

Both Begum and Islam said although they were seeing very high demand from supermarkets, they were unable to meet it because of an alleged shortage of fabric used to make the bags.

Besides, prices of jute and cotton fabrics have shot up suddenly, they said.

"There is huge demand but the problem is a lack of availability of the fabric," said Islam.

He said prior to the ban, one yard of fabric cost Tk 32 but now the price has risen to Tk 38 to Tk 40.

"This has increased our production cost," he said.

Another challenge was that most supermarkets want to delay making payments as much as possible, he said.

"We have to buy fabrics with cash payments but most superstores do not want to pay us instantly," said Islam.

"This has led to us having a lack of working capital. If we got payments every week, we would have been able to pay our fabric makers and keep production uninterrupted," he said.

Begum said the raw materials required for manufacturing the bags have become scarce.

Businesses said most of the jute goods makers were focused on making fabrics suitable for the export market and were unprepared to meet the sudden spike in demand for fabrics used for low-cost shopping bags.

"We have had to start hurriedly so that we can supply the superstores," said Begum.

Sabbir H Nasir, managing director of Shwapno, the largest retail chain, said the ban had posed implementation challenges.

"We need one lakh shopping bags for our stores daily. We get around 1,000 to 2,000 bags…So, there is a huge demand and supply gap," he said.

Nasir said they were offering shopping bags for anywhere between Tk 6 and Tk 20 so as to refrain from putting too much pressure on customers.

"We have to use two paper bags for fish and meat. This is costly for us. But we have to do this as wax laminated paper bags are unavailable in Bangladesh," he said.

"What is needed is to ensure the production of wax laminated paper bags and increase the supply of jute bags," he added.

"Raising awareness among customers is necessary as not all customers are taking the move positively. We are encouraging them to reuse the bags," said Nasir.

"Once our ancestors used to go shop with bags. We need to start a campaign to adopt old habits," he said.

Nasir said amid the shortage of bags, they were requesting customers to bring their own bags.

He said the government could have encouraged a gradual shift toward the eco-friendly bags.

Murtoza Zaman, chief executive of Unimart, said they were providing customers reusable jute and cloth bags by sourcing them from various places but they were not getting adequate supplies.

Moreover, prices could not be brought down, with the minimum price for each bag hovering at Tk 29, he said.

"If the government can ensure raw materials for bag makers, it would be a great help for them," he said.

Md Rashedul Karim Munna, president of the Bangladesh Jute Diversified Products Manufacturers and Exporters Association, said there was a lot of interest on jute-based shopping bags.

"But the industry had no preparation to make fabrics for low-cost bags. Separate materials will be needed to make such bags. Entrepreneurs will have to invest separately," he said.

"So, they need assurance from the government that they will enforce the rule on the mandatory use of eco-friendly shopping bags," he said.

He said the government should issue a gazette that the ban will remain in force for at least three years.

"This will create a big domestic market for jute and a lot of jobs," he said.

Munna, also managing director of a diversified jute goods-making firm Creation Private Ltd, said the government should also consider lifting VAT on the sales of supermarkets to incentivise both superstores operators and customers to use eco-friendly bags.​
 

Finnish firm keen to set up plastic recycling plant in Cox's Bazar
Ambassador tells CA

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Photo: BSS

A Finnish company is interested to set up a plastic recycling plant in Cox's Bazar to make plastic sheets, while Finnish businessmen are keen to invest more in Bangladesh.

"A Finnish plastic recycling company is interested to recycle single use plastics in Cox's Bazar to turn them into plastic sheets, which can be used in the shelters in the Rohingya camps," Non-resident Ambassador of Finland to Bangladesh Kimmo Lahdevirta said when he called on Chief Adviser Professor Muhammad Yunus at his office in Tejgaon yesterday.

Chief adviser's Deputy Press Secretary Abul Kalam Azad briefed reporters at Foreign Service Academy after the meeting.

During the meeting, the student-led mass revolution, the interim government's reform initiatives, trade, investment, and regional geopolitical issues came up for discussion.

The ambassador expressed his government's full support to the Prof Yunus-led interim government and desired to contribute to the country's reforms.

Ambassador Lahdevirta said the Finnish government would grant €1 million for the Rohingyas in Bangladesh and another €1 million euro would be channeled through the civil society.

Prof Yunus spoke about the student revolution and the work of the reform commissions and people's aspirations from his government.

He said the economy of Bangladesh was in shambles when Hasina fled the country, but quick and tough reform measures have already helped stabilise the situation.

"Reserves are growing," and the government has started making international payments without digging into the foreign currency reserves, he added.

He mentioned that he has made a move to revive the SAARC in an effort to boost regional cooperation.

The envoy informed that more Finnish businessmen are keen to visit Bangladesh with investment and called for faster processing of FDI (foreign direct investment) by Bangladesh Investment Development Authority (BIDA).

He also shared interest of the Finnish side in recruiting Bangladeshi students and skilled workforce in their country and capacity building in the fields of AI, cyber security and quantum computing sectors.

The chief adviser assured the ambassador of all possible cooperation of the Bangladesh government in discharging his duties.​
 

SC bans use of single-use plastic, poly bags at restaurants on court premises

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The Supreme Court administration has ordered to stop the use of listed single-use plastic and banned polythene bags at the hotels and restaurants located on the Supreme Court and all other court premises.

A notification has been issued to this effect on November 2.

The notification, signed by Registrar General of the Supreme Court Aziz Ahmad, said that the Ministry of Environment, Forests and Climate Change proposed to stop the use of single-use plastic and prohibited polythene bags at the hotels and restaurants located on the court premises across the country and sought sincere cooperation from the Supreme Court in this regard.

In this situation, the use of single-use plastic and prohibited polythene bags at the hotels and restaurants on the SC premises has been stopped and use the of alternative products has been suggested by the ministry.

Alternative products proposed by the ministry:

The proposals are using files and folders made of paper or other eco-friendly materials instead of plastic files, and folders; using cotton/jute fabric bags instead of plastic bags; using glass bottles and glass glasses instead of plastic water bottles; using banners made of cotton fabric, jute fabric or biodegradable material instead of plastic banners; avoiding plastic laminated in invitations, visiting cards and various types of promotional materials; ensuring that food packets supplied in various meetings/seminars are paper/eco-friendly; avoiding all types of products including single-use plastic plates, glasses, cups, cutlery; using pencil/paper pen instead of a plastic pen; avoiding the use of laminated wrappers and plastic in all types of publications including annual reports, and stopping the use of plastic in flower bouquets.

According to this notification of the Supreme Court administration, environmental pollution is the most discussed and worrying issue in the world today.

"Overall, environmental pollution including air pollution, plastic pollution, and water pollution has taken a severe form in our country. The current government is committed to controlling this pollution. Bangladesh is committed to preventing environmental pollution, protecting biodiversity and dealing with the impact of climate change in the light of the Environmental Protection Act 1995 and other related laws and regulations and various international laws. In this context, the government has taken various useful steps to control plastic pollution," said the notification.​
 

Manufacturers criticise govt ban on 17 types of plastics goods
They recommended promoting plastic recycling initiatives

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The plastic goods manufacturers have criticised the government's recent decision to ban the production of 17 types of plastic goods, arguing that it will severely impact the sector.

The ban will have a devastating effect on jobs and the livelihoods of small traders in the sector, which includes over 6,000 plastic industries and millions of workers, said Shamim Ahmed, president of the Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA).

The food processing industry, pharmaceutical packaging, hospital items, agricultural modernisation, and export packaging would all be harmed if plastic packaging is banned as part of the government's move to eliminate single-use plastics, he added.

Ahmed emphasised the urgent need for the government to address the sector's pressing concerns, as it plays a pivotal role in industrial growth and export activities.

The ban will disrupt supply chains and hinder industrial growth, Ahmed said.

He also expressed concerns that the government did not consult key stakeholders, such as the commerce and industries ministries and trade bodies, before implementing such a drastic measure.

In response to the ban, the BPGMEA proposed several recommendations to address the issue.

These included promoting plastic recycling initiatives to reduce environmental harm and align with global sustainability goals, as well as ensuring that policies related to plastic restrictions are implemented gradually, with proper consultation and planning.

Ahmed stressed that aligning such policies with the UN's Sustainable Development Goals (SDGs) could provide a balanced and measured approach, allowing the industry to adapt over time.

The BPGMEA president made this appeal during a press conference at the association's office in Dhaka today.​
 

IPF 2025 to showcase global innovations in plastics and packaging
FE Online Report
Published :
Jan 30, 2025 21:33
Updated :
Jan 30, 2025 21:33

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The 17th Bangladesh International Plastic, Printing & Packaging Industry Fair (IPF 2025) will begin on February 12.

The four-day show will take place at the International Convention City Bashundhara (ICCB) in Dhaka, according to a statement.

This premier event, jointly organised by the Bangladesh Plastic Goods Manufacturers & Exporters Association (BPGMEA) and Yorkers Trade and Marketing Service Co Ltd, is poised to be a significant platform for industry innovation and collaboration.

With the participation of 390 companies from 18 countries, including China, India, the USA, and Japan, the fair will feature 800 stalls showcasing cutting-edge products and technology. The event highlights the growing importance of plastic in global markets, with high-quality and innovative products taking centre stage.

The IPF is one of Southeast Asia’s largest industry events, promising to attract substantial investment and expand market opportunities.​
 

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