PVC pipes, fittings industry thriving

Once Bangladesh had to depend on imported Polyvinyl Chloride (PVC) pipes and fittings products fully but nowadays local manufacturers are meeting 80 per cent of the demand with quality products.

The industry insiders said the country used to meet around 90 per cent of its demand for the products from import two decades ago but now more than 100 brand and non-brand companies have been set up in the country to meet the domestic demand.

Widespread urbanisation, housing and construction businesses, particularly residential, commercial, sewerage and industrial factories are boosting the market, they said.

RFL, Gazi Group, Bengal Plastic, Navana, Anwar (A1), Akij, BRB, Madina, Lira, and National Polymer Group are key players in the industry, they added.

There is a market of Tk6, 000 crore annually in Bangladesh where 16,000-17,000 people are directly involved in the sector. The construction industry is growing by 20 per cent per annum.

The businesses also added that Bangladesh imports the rest 20 per cent from different countries like Thailand, Malaysia and India.

They urged the government to discourage import of the products to further boost the domestic industries here.

Talking to The Business Post, Director for Marketing of Pran-RFL Group, Kamruzzaman Kamal said plastic pipes and fittings are now one of the most important materials in the construction sector. Both items are needed to complete work at any establishments.

“We are producing all types of PVC pipes and fittings from ½ inch to big size for residential, commercial, industrial, sewerage for long. Almost two decades ago, around 90 per cent of its demand for PVC pipes and fittings were met through imports. Now over 80 per cent of the demand is met by domestic companies,” he stated.

He also explained that the demand for the products has increased due to expansion of the areas of urbanization, industrialization and irrigation. The RFL Company’s production capacity is 1.5 lakh MT per annum.

“We are meeting 30 per cent of domestic demand. Even, we also export the items to India,” he also said. Kamruzzaman Kamal said every business has a challenge. Nowadays challenges are manifold due to increase in competiveness.

Now no one can sustain in the market without quality products as competition is strong at all levels.

The government should fix a proper standard and Bangladesh Standards and Testing Institution (BSTI) should monitor it so that every manufacturer maintains the standard.

According to Chowdhury Hasan Tariq, Head of Business of Akij Group, the company started to manufacture PVC pipes and fittings in 2021 with high quality raw materials and machinery of German technology at Trishal Upazila in Mymensingh.

“Our production capacity is around 2100MT monthly. Of them, pipes are of 1800MT and fittings 300 MT. We maintain international standard to manufacture the products to sustain in the competitive market,” he also said.

Tariq added that they were producing three types of products such as filter pipe, water distribution and connection pipe. 

“Akij pipe is the first PVC pipe market in Bangladesh to offer calcium and zinc-coated pipes. The quality and durability of the pipes are tested through strict quality control in the European technology lab. So we are trying to deliver high-quality pipes and fittings to our customers,” he added.

Talking to The Business Post, former president of Bangladesh PVC Pipe Manufacturers’ Association and also proprietor of Mohsin Pipe Industries, Md Shohrab Hossain said small manufactures are facing big challenges due to various reasons such as market competition, finance and raw material import through LC, skilled manpower and modern technology.

“Current high dollar rate created another challenge for us. Besides, the price of raw materials also increased in the global market. Our costing of doing business also went up,” he added.

“Considering overall situation, we are lagging behind here.The government should support local small manufacturers to boost the sector and generate more employment in the country,” he also added.

Shohrab says their raw materials are PVC resin, processing acids, lubricants and colours.

However, the market of products has huge potential in both domestic and international market. Bangladesh has a scope to earn huge currencies exporting the pipes and fittings after meeting the demand of domestic market.

A good number of small factories have been set up in different parts of Old Dhaka, Jatrabari, Demra, Chittagong Road, Narayanganj, Rayerbagh and Kamrangirchar, he said.