The government has taken an initiative to reopen three long-closed state-owned jute mills. To this end, Bangladesh Jute Mills Corporation (BJMC) has signed lease agreements with two private industrial groups.
Under the agreements, around Tk619 crore will be invested in the three jute mills. Once the mills reopen, at least 11,629 direct jobs are expected to be created.
The agreements between BJMC, PRAN-RFL Group and HAMCO Group were signed at the Secretariat on Tuesday afternoon in the presence of Prime Minister Tarique Rahman.
Under the agreements, PRAN-RFL Group has leased National Jute Mills Ltd in Sirajganj and Star Jute Mills Ltd in Khulna. HAMCO Group, meanwhile, has leased Platinum Jubilee Jute Mills Ltd in Khulna.
BJMC Chairman Md Kabir Uddin Sikder signed the agreements on behalf of the corporation. PRAN-RFL Group Company Secretary Aminur Rahman and HAMCO Group Managing Director ATM Mostafa signed the agreements on behalf of their respective companies.
Tk619cr investment in three mills
Under the agreements, the three long-closed jute mills will be reopened under private management. A total investment of around Tk619 crore is planned for the mills. Once production begins, their combined potential annual turnover will stand at around Tk1,175 crore.
Around Tk157 crore is planned to be invested in National Jute Mills at Raipur in Sirajganj. Once reopened, the mill will create 5,238 jobs. Its potential annual turnover is around Tk500 crore.
Around Tk250 crore will be invested in Star Jute Mills at Digholia in Khulna. Once the mill reopens, it will create 5,238 jobs, while an annual turnover target of around Tk500 crore has been set.
Meanwhile, around Tk212 crore is planned to be invested in Platinum Jubilee Jute Mills at Khalishpur in Khulna. Once reopened, the mill will create at least 1,153 jobs. Its potential annual turnover is around Tk175 crore.
20 of 25 mills under private management
It was announced at the programme that the government had decided to reopen 20 of BJMC’s 25 mills where production remains suspended under lease-based private management.
The lease process for 14 mills has already been completed and possession handed over to the lessees. Production has already begun at nine of these mills.
Through the government initiative, opportunities are being created to bring the long-closed state-owned jute mills back into production. At the same time, it is expected to create employment for a large number of people and increase the production of jute and jute products.
Commerce, Industries and Textiles and Jute Minister Khandakar Abdul Muktadir, State Minister for Textiles and Jute Shariful Alam, Textiles and Jute Secretary Sharf Uddin Ahmed Choudhury, and senior officials of BJMC and the leaseholding companies were among those present at the signing ceremony.
