Inauguration of BSRM's environment-friendly steel plant funded by JICA

The Japan International Cooperation Agency (JICA) has funded Bangladesh Steel Re-Rolling Mills (BSRM) Limited's new environmentally friendly steel plant.

The plant at Mirsharai, Chattogram, was inaugurated on February 1, 2025. The ceremony marked a significant milestone for JICA's support of Bangladesh's private sector. The project, supported by a USD 50 million loan signed in October 2023, represents JICA's eighth Private Sector Investment Finance (PSIF) transaction and its first corporate loan project in Bangladesh.

Adilur Rahman Khan, Advisor to the Ministry of Industries and Ministry of Housing and Public Works; H.E. Antonio Alessandro, Italian Ambassador to Bangladesh; Dr Shahadat Hossain, Mayor of Chattogram City Corporation; Alihussain Akberali, Chairman of Bangladesh Steel Re-Rolling Mills (BSRM) Limited; Ichiguchi Tomohide, Chief Representative of JICA Bangladesh Office; and other esteemed guests attended the ceremony.

JICA recognises that a strong domestic steel industry is crucial for infrastructure development and economic resilience. The new BSRM plant will add 500,000 metric tons per annum (MTPA) of rebars, 100,000 MTPA of wire rods, and 250,000 MTPA of billet production. By reducing dependence on imported steel, the facility will help stabilise the country's trade balance while generating more than 500 new employment opportunities and supporting the development of local industries.

"This project exemplifies JICA's dedication to partnering with leading companies like BSRM to drive industrial advancement in Bangladesh," said Ichiguchi Tomohide, Chief Representative of JICA Bangladesh. "We hope that the inauguration of this new plant will serve as a symbolic milestone to develop Bangladesh's industries further, attracting increased foreign investment to Bangladesh."

Beyond financing, JICA prioritises sustainable and responsible industrial growth. The BSRM plant incorporates cutting-edge environmental technologies, including an advanced Air Pollution Control (APC) system to ensure clean air emissions and a water treatment and recycling facility that achieves 100 per cent process water reuse. By integrating rooftop solar power plants and energy-efficient production methods, the factory will mitigate climate change by reducing greenhouse gas (GHG) emissions by 10,000 tons (CO2 equivalent) per year. Additionally, the plant promotes a circular economy by repurposing slag from steel production for construction use. These initiatives contribute to Sustainable Development Goals (SDGs) 7 (Affordable and Clean Energy), 9 (Industry, Innovation, and Infrastructure), and 13 (Climate Action), reinforcing JICA's commitment to environmental stewardship. 

JICA remains committed to fostering a sustainable industrial ecosystem in Bangladesh. With the inauguration of this eco-friendly steel plant, JICA and BSRM set a benchmark for responsible industrial growth, ensuring that economic development aligns with environmental protection and social well-being.