The government has initiated a move to diversify products in the state-owned sugar mills by tapping the existing potential in order to make them profitable, officials said.
The ministry of industries (MoI) has taken up several projects to this end.
It has directed the Bangladesh Sugar and Food Industries Corporation (BSFIC) to carry out feasibility studies on the diversification of products.
"We have taken up some projects for the diversification of products in the sugar mills considering their existing potentials," Industries Secretary Muhamamd Abdullah told the FE.
As the sugar mills have been incurring losses every year, the ministry has taken up the projects to produce paper, food products and electricity considering the potential of the mills, he added.
He said the sugar mills have vast unused lands that could be utilised to produce paper and food items and set up power plants for generating electricity using either coal or sugarcane coir.
Mr Abduallah also said many countries, including Saudi Arabia and Japan, have expressed their interest in cooperating with the government to implement the projects.
A team from Saudi Arabia will shortly visit the country to discuss the issue with MoI officials, he added.
When contacted, acting chairman of BSFIC AKM Delwer Hussain said that they are now working on the feasibility study of the projects.
He, however, said the sugar mills have been incurring losses due to cumulative interest on bank loans.
The 16 sugar mills, except Carew and Company Bangladesh Ltd., which are under BSFIC, have been mainly producing sugar.
Carew and Company, located in Chuadanga, is the biggest sugar mill and profitable as it produces not only sugar but also alcohol from sugar cane.
It is the oldest sugar mill in the country. It owns 1074 acres of land and grows sugar canes in a total area of around 8,300 acres of farmland.
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