Tk 650cr glassware plant to come on stream

Workers construct a glassware and energy-saving bulb plant in Mirzapur, Tangail. The project undertaken by Nasir Group will cost Tk 650 crore. Photo: Sajjadur Rahman Sajjadur Rahman

Nasir Group is going to set up the country's first glassware and energy saving tube plant within this year at a cost of Tk 650 crore.

Officials said the new company -- Nasir Glassware and Tube Industries Ltd -- is expected to start operations by the end of this year.

“We have already invested around Tk 200 crore for the ongoing civil construction, including land acquisition,” said Habibur Rahman, project engineer of Nasir Glassware and Tube Industries.

The plant is being set up on a 125-bigha land at Sohagpur under Mirzapur upazila of Tangail district. Nearly 5,000 tonnes of 75-grade rod will be used for the factory.

Some 800 people will be employed permanently in addition to several hundreds casual workers, officials said.

“We have initially estimated the project cost at Tk 600 crore, but this will exceed considering the pace of the expenditure,” said Rahman who was also the project engineer of successfully built Nasir Glass Industries, the country's largest float glass manufacturer.

Nasir Glassware and Tube Industries will be the first of its kind in the country and will compete against a flood of imported goods now dominating the glass tableware, fluorescent and energy saving bulb market here.

Glassware products that will be manufactured at the plant include tableware, flower vase, perfume bottle, bowl and candle stand.

Officials, quoting a survey report, said the country has an annual market of glassware worth around Tk 500 crore. All of the items are imported from different countries including China, Thailand, Malaysia and Indonesia.

The market size of fluorescent and energy saving bulbs is almost same as that of glassware, they said. The energy saving bulb market will boom once the government makes its use mandatory.

“Initially our plan is to meet the domestic glassware demand, but we will export also,” said Aby Sayed, general manager (commercial and banking) of Nasir Group.

On the issue of bank financing, Sayed said: “It's under process.”

He however said several banks are offering the company their credit and the company is also going to some banks.

A senior private bank official admitted they are now appraising the project, and prefer to arrange a syndicated loan for one of its 'valued clients'. “We are studying the proposal thoroughly,” he added.

Earlier, as the lead arranger, Prime Bank managed a syndicated loan of Tk 100 crore for the group's Nasir Glass Industry Ltd in 2003.

Nasir Glass Industry manufactures float glass, reflective glass, tempered glass, coated glass, mirrors, clear and colour glasses.

Nasir Group, originally a regional bidi manufacturer based in western Kushtia district, became a household name after setting up the country's first float glass factory.

The group, also the country's biggest melamine manufacturer, has a sports shoes plant and sells low-priced cigarette.

Named after its owner Nasir Uddin Biswas, the group has an annual turnover of around Tk 1,000 crore.

sajjad@thedailystar.net