Sanitaryware sales rising in rural areas
Over the past two decades, there has been a marked improvement in the bathrooms in semi-urban and rural areas of the country. Thanks to improved living standards, people in these regions are now much more aware of the importance of good hygiene and are taking steps to ensure that their bathrooms are well-furnished and clean.
The market for sanitaryware is being driven by rapid urbanization and changing lifestyles, according to Kamruzzaman Kamal, director of marketing at Pran-RFL Group.
There are several different types of materials that RFL uses to make its bathroom fittings, including metal and PVC. In addition to Pran-RFL Group, other major players in the Bangladeshi sanitaryware market include Raja Metal Industries, Sharif Metal Ltd, and Sattar Metal Industries.
The total value of the domestic sanitaryware market is estimated to be more than Tk 1,300 crore. According to Irfan Uddin, general secretary of the Bangladesh Ceramic Manufacturers and Exporters Association, there are 18 factories with a total investment of nearly Tk 2,000 crore that manufacture sanitaryware in the country.
Uddin stated that the total market size was valued at Tk 1,357 crore in fiscal 2021-22 and that locally made products now dominate the once import-heavy segment.
Besides, the sanitary ware industry has created more than 9,600 opportunities for direct employment, he added.
Echoing Uddin, Kamal said although the market was dominated by imports in the past, the situation changed in the last few years as some large corporations entered the business with quality products.
The director of Pran-RFL Group went on to say that the company’s sales are increasing at an average of about 15-20 per cent each year.
However, he said that the recent hike in the price of US dollars has had a negative impact on the industry as the raw materials required are mostly imported.
As such, the cost of imports has increased by some 15-20 per cent in the last few months but moreover, production is being disrupted by daily load shedding and low gas pressure.
“We export our ceramic bathroom fittings mainly to India but we are planning to export metal products as well,” Kamal added.
Nazrul Islam, managing director of Raja Metal Industries, which has been making and selling kitchen and bathroom faucets for local consumers since 1970, said business growth has been quite good over the years.
“Many public and private infrastructures was built in Bangladesh over the past decade and more will be set up in the days to come. So, this industry will enjoy more business in the coming days,” he added.
Islam said that load shedding is hampering production at a time when operational costs have increased 50 per cent while transport charges are also higher due to the recent hike in fuel and dollar prices.
“As a result, there has been a negative impact on the business,” Islam said, adding that local consumers prefer foreign products.
“When they come across a local product, they ask for discounts, warranties, guarantees and what not because they think local products are not good.”
This issue is very challenging,” he said.
Islam believes the government should build an industrial park for sanitaryware makers so they can avoid various barriers and concentrate on manufacturing products that are completely home-grown with locally generated raw materials.
“Such support from the government could even help the industry grow towards becoming a major exporter,” Islam added.
Akij Group has invested approximately Tk 90 crore in a new sanitaryware plant that will have the capacity to produce 10,000 pieces of bathroom fittings each day. The new facility, named Akij Bathware Ltd, is located in Trishal upazila of Mymensingh and is projected to create 500 direct employment opportunities. The factory, equipped to produce 37 types of sanitaryware products, will be launched next month.
