Coca-Cola to invest $50m

Global soft drink giant Coca-Cola looks at increasing its production capacity significantly in Bangladesh within 2015 by setting up a new manufacturing plant.
To set up the plant, the world leading beverage brand will invest $50 million as foreign direct investment (FDI).
 "The increased production capacity will be more than that we currently have in the country," Venkatesh Kini, deputy president, Coca-Cola India and South West Asia, told the FE in an interview recently at a city hotel. He is also responsible for its all business unit operations and functional leadership.
Mr Kini was in Dhaka with the FIFA World Cup trophy that was brought here for three-day as part of its world tour in 90 countries.
 "Few years back, we have made a commitment to invest $50 million in FDI here. We are now in the process of fulfilling the commitment by setting up a green field manufacturing plant through National Beverage (Pvt) Ltd," he said.
With the investment, Coca-Cola will be the first multinational beverage company that brought FDI in Bangladesh, an official said.
 "Bangladesh is a key priority market for us in this region because of its high growth potential. We believe that Bangladesh has all the ingredients for long term growth potential," Mr Kini said.
Currently, the Coca-Cola, second largest market player in the local beverage market, operates its business in Bangladesh through two bottling entities-- Abdul Monem Ltd and National Beverage (Pvt) Ltd.
The two companies supply Coca-Cola products across the country. Presently, Coca-Cola has a manufacturing plant, operated by Abdul Monem Ltd, he said.
Mr Kini sees a huge market prospect in the beverage sector in Bangladesh having 160 million people.
When asked about any business challenge for them here, Mr Kini expressed his confidence to meet such any challenge based on the company's long 128-year business experiences worldwide (207 countries).
 "We successfully grew our business even through the World War I and II, revolutions and financial crisis. So, as a company, we have seen so many ups and downs in the world market. We are here for long term, and we are very optimistic about the future potential of Bangladesh," he said.
Terming the people of Bangladesh 'very resilient', Mr Kini foretold that they (Bangladeshis) would come out of any problem they face.
Under the corporate social responsibility (CSR), the Co-Cola operates a programme to build safe water access and separate latrine for male and female students in the primarily level schools.
Till now, it built such facilities in 85 primary schools in different areas including Chandpur, Comilla, Tangail and Dhaka. The company is continuing the programme across the country.
However, Mr Kini said, along with commitment to the Bangladesh football, the country's long term business potential prompted the Coca-Cola to bring the FIFA WC trophy here.
The trophy tour in Bangladesh will promote the country's sports, tourism and a lot of economic activities here, he noted.
Asked about any future plant to promote Bangladesh football, Mr Kini said they have a lot of experience of working to promote football in many countries partnering with the local football federations and other bodies around the world.
 "We will look for the similar things in Bangladesh. Now, we don't have any plan. It (trophy tour) is the beginning. I hope in the long term to promote football in Bangladesh," Mr Venkatesh Kini added.