All sugar mills count losses except one
Monday, 28 June 2010
Jasim Uddin Haroon
Carew and Co is the lone profit making state-owned sugar mill thanks to its production of quality liquor, officials said.
There are 15 sugar mills under the Bangladesh Sugar and Food Industries Corporation (BSFIC) and all are losing concerns, except Carew and Co, a sugar and distillery factory at Darsana in Chuadanga district.
The cumulative losses of the state-owned sugar mills account for more than Tk 183 billion in fiscal 2008-09, industries minister Dillip Barua told parliament June 19.
Ranjit Kumar Biswas, BSFIC chairman, told the FE: "It (Carew and Co) is the only sugar mill making profit each year and its contribution to the national exchequer since independence is worth Tk 7.6 billion."
Official sources said Carew's sales turnover from its distillery portion was recorded at Tk 1.25 billion in 2009-10 (provisional) against 1.19 billion in 2008-09 fiscal year.
Officials said the company has raised prices of liquors considerably last year to compensate for price hike of raw materials in the international market.
Carew and Co mainly produces different kinds of liquors to meet the demand of local consumption.
Apart form this, it also produces significant quantity of sugar. Official statistics said it produced more than 7000 tonnes of sugar in the last year.
ATM Ashraf, managing director of Carew and Co, said: "We're making profit mainly because of quality liquor production."
Mr Ashraf expects that the net profit from the mill will be Tk 225 million this year against Tk 160 million in 2008-09 fiscal.
Robert Russel Carew, a British entrepreneur, was assigned to set up the sugar mill in 1934 at Darsana, mainly to meet the demand for alcohol of the British soldiers at Fort William in Kolkata.
Carew's commercial production began in 1938 from molasses, a by-product of sugar mills mixed with imported flavours.
However, BSFIC sources said the government is planning to expand its capacity following huge profit each year.
"We're planning to expand the capacity of the sugar mill, and we also want to explore the export market of alcohol," said a high official at the ministry of industries.
Mr Ashraf said Carew's different kinds of alcohol are maintaining international standard since its commercial production adding: "It has demand abroad as well".
"Experts rated our products to be of international standard at a fair in Japan," Mr Ashraf added.
BSFIC chairman said: "Bottles and other get-ups of our products are not up to international standards. For this we are failing to explore the export market."
Carew and Co, employing 1260 people, is now producing on average 120,000 cartons of liquor each year.
The sugar and distillery unit has been set up on 3500 acres of land at Darsana including 2300 acres of farm land.
Carew and Co is the lone profit making state-owned sugar mill thanks to its production of quality liquor, officials said.
There are 15 sugar mills under the Bangladesh Sugar and Food Industries Corporation (BSFIC) and all are losing concerns, except Carew and Co, a sugar and distillery factory at Darsana in Chuadanga district.
The cumulative losses of the state-owned sugar mills account for more than Tk 183 billion in fiscal 2008-09, industries minister Dillip Barua told parliament June 19.
Ranjit Kumar Biswas, BSFIC chairman, told the FE: "It (Carew and Co) is the only sugar mill making profit each year and its contribution to the national exchequer since independence is worth Tk 7.6 billion."
Official sources said Carew's sales turnover from its distillery portion was recorded at Tk 1.25 billion in 2009-10 (provisional) against 1.19 billion in 2008-09 fiscal year.
Officials said the company has raised prices of liquors considerably last year to compensate for price hike of raw materials in the international market.
Carew and Co mainly produces different kinds of liquors to meet the demand of local consumption.
Apart form this, it also produces significant quantity of sugar. Official statistics said it produced more than 7000 tonnes of sugar in the last year.
ATM Ashraf, managing director of Carew and Co, said: "We're making profit mainly because of quality liquor production."
Mr Ashraf expects that the net profit from the mill will be Tk 225 million this year against Tk 160 million in 2008-09 fiscal.
Robert Russel Carew, a British entrepreneur, was assigned to set up the sugar mill in 1934 at Darsana, mainly to meet the demand for alcohol of the British soldiers at Fort William in Kolkata.
Carew's commercial production began in 1938 from molasses, a by-product of sugar mills mixed with imported flavours.
However, BSFIC sources said the government is planning to expand its capacity following huge profit each year.
"We're planning to expand the capacity of the sugar mill, and we also want to explore the export market of alcohol," said a high official at the ministry of industries.
Mr Ashraf said Carew's different kinds of alcohol are maintaining international standard since its commercial production adding: "It has demand abroad as well".
"Experts rated our products to be of international standard at a fair in Japan," Mr Ashraf added.
BSFIC chairman said: "Bottles and other get-ups of our products are not up to international standards. For this we are failing to explore the export market."
Carew and Co, employing 1260 people, is now producing on average 120,000 cartons of liquor each year.
The sugar and distillery unit has been set up on 3500 acres of land at Darsana including 2300 acres of farm land.