PRAN-RFL targets $2b in exports by 2030

With export earnings of $532 million in FY22, PRAN-RFL Group – the country’s leading business conglomerate – has set an earnings target of $1 billion by 2025 and $2 billion by 2030, to be achieved mostly by exporting agro and light engineering products.

Ahsan Khan Chowdhury, chairman and chief executive officer of the group, announced his vision to deliver Bangladeshi products at every corner of the world in a media briefing titled “25 years of PRAN-RFL Export: Taking Bangladesh to the world” on Sunday.

PRAN-RFL started its export activities in 1997 by sending pineapple juice to France.

With over 1,000 exportable products, PRAN-RFL group exported different types of goods worth $532 million in FY22. It contributed 1 per cent to the national export of $52 billion during that period.

The group exports agricultural, plastic, RMG, footwear, light engineering, chemical, and furniture products to 145 countries. 

Ahsan Khan Chowdhury further said, “Bangladesh’s economic growth is led by exports. A country’s growth depends on its exports and exports growth depends on diversification. PRAN-RFL group is now the most diversified exporter in Bangladesh.

“The group will export products under all categories in different markets across the world. Everything that is made in our beautiful country must be exported. Our target is to become one of the leading exporters in the country.”

He continued, “To this end, we set a target to earn $1 billion by 2025 and $2 billion by 2030, mostly from agro and light engineering products.

“Our group’s products are now competing with well-known brands of different countries and are being placed in famous chain shops, which are a matter of great pride for the country.”

PRAN-RFL Group products are available in chain stores such as Walmart, Carrefour, Loblaws, Aldi, Lidl, Mydin, Dollarama and Tesco.

Strategy to achieve the target

To attain the target, the manufacturer has devised a set of plans, which will be applied in the target period.

New production facilities in different countries, converting ethnic markets to mainstream markets, new line of products for the mainstream market, and including all our products in the export basket will be our strategy to achieve the target, said Ahsan.

In addition, emphasis will be given on contractual and technology-based farming to increase agro-processing product exports, penetrating to untapped export destinations mainly in South America and Africa, he added.

On the other hand, a new bicycle plant will increase exports in the light engineering sector, while new investments will make significant changes in RMG export volume, said Ahsan.    

Apart from creating the highest employment in the private sector, PRAN-RFL is the most diversified exporter in Bangladesh, playing a major role in diversifying the country’s export..

“Over 80 per cent of the country’s exports are from the RMG sector. We are working tirelessly to diversify the exports of Bangladesh. PRAN-RFL Group wants to lead from the front in this sector,” added Ahsan.

Of the total export earnings of the company, 70 per cent came from Asian countries in FY22, where India, Nepal, and the Indonesian market play an important role.

While 12 per cent came from the European Union and America, 8 per cent from Africa and Oceania.  The Association of Southeast Asian Nations (ASEAN) market is a great opportunity for us and it will focus on growing there in the coming days, Ahsan mentioned. 

PRAN-RFL’s challenges

Replying to a question, Ahsan said the main challenge is to expand the business and become bigger in terms of production. Capital expenditure is a big issue and PRAN-RFL is collecting foreign funds to build the fund.

The government’s responsibility is not only to diversify products, it can help ensure an investment friendly environment and provide policy support too, said Ahsan.

“The government policy is export-friendly, but we need to increase efficiency of ports, which is a great barrier to handling the growing shipment and business volume,” he added.

He also called for ensuring the supply of electricity to industries to keep the wheels of economy running, and the people should make sacrifices to avert any further crisis.

PRAN-RFL’s export items include juice and fruit drinks, beverage, biscuit and bakery, sauce, ketchup, noodles, jelly, spices, confectionery, frozen foods, ready-made garments, household plastics, shopping bags, hanger, furniture, bicycle, and footwear.

Director (Marketing) at PRAN-RFL Group Kamruzzaman Kamal, Head of Public Relations Touhiduzzaman, and other senior officials of the company were present at the event among others.