Deshbandhu setting up 100% export-oriented jumbo bag making plant

Deshbandhu Group, a leading conglomerate, is setting up a 100% export-oriented jumbo bag manufacturing plant with an investment of Tk300 crore.

A jumbo bag, also known as flexible intermediate bulk container, bulk bag, super sack, big bag, or tonne bag, is a large and heavy-duty industrial container made of flexible fabric that is designed for storing and transporting dry, flowable products, such as sand, fertiliser, chemicals, granules of plastic, etc.

The Group says jumbo bags in its plant will be produced using fully European-standard automated machinery.

A factory is being built in Narsingdi's Palash upazila. During a visit to the factory in January, this correspondent found that construction of a two-storey steel structure was complete and its other work was underway.

Golam Mustafa, Chairman of Deshbandhu Group, said, "We're investing around Tk300 crore for the project. Some machines are being imported from Germany, while some are from China. Booking has already been done for buying these machines."

Mohammad Arif Hossain, senior general manager of Deshbandhu Group, told The Business Standard that the company named Flexible Intermediate Bulk Container Limited will employ about 2,000 people.

"It will produce 1,000 tonnes of products per month. Accordingly, 100 containers of jumbo bags will be exported per month. Letters of credit have been opened for the import of machinery. Production is scheduled to commence in June 2024," he said.

He said that the factory is being built on 2 acres of land. It will be expanded to another 2 acres of land in the future, Arif Hossain said.

Uses of jumbo bags

The widespread use of jumbo bags has increased significantly in various industries recently. The bags are becoming increasingly popular due to their flexibility, in addition to their strength and durability. Up to two tonnes of product can be transported in a bag.

They are used in various industries, including food and beverage, pharmaceuticals, minerals, and other general industries.

Deshbandhu Group officials say jumbo bags are one of the most cost-effective and ideal types of packaging for shipping and storing dry bulk products. They can be produced from either tubular or flat polypropylene (PP) woven fabrics. These fabrics can be both coated and uncoated and vary in different weights depending on the requirements of the safe working load or safety factor.

The Group also says each jumbo bag can contain load capacities between 500kg to 2,000kg with a safety load of 5:1 or 6:1 (5:1 is for single use and 6:1 is for multiple use), depending on the bag design and size.

Global jumbo bag market likely to hit $8.2 billion by 2033

According to market research consultant Future Market Insights, in 2022, the global jumbo bag market recorded a valuation of $5.2 billion. The jumbo bag market is expected to reach $8.2 billion by 2033.

Future Market Insights says as the world moves toward sustainable packaging solutions, the demand for PP Jumbo bags is likely to foresee a considerable surge in the upcoming years. PP jumbo bags are environmentally friendly, causing minimal harm to the surroundings compared to other plastic bags. PP jumbo bags have also gained more impetus in the industrial sector as they can be reused multiple times before recycling.

Sakhawat Hossain, general manager of Deshbandhu Polymer, said after the launch of Deshbandhu Sugar Mills, about 50 to 65 lakh sugar bags were required every year for packaging. In the context, Deshbandhu Polymer Limited factory was established in 2006, he said.

Sakhawat Hossain said that the production at Deshbandhu Polymer Limited, the only company of the group that is listed in the capital market, has been increased to 6 crore pieces a year with the addition of cement bag manufacturing.

Arif Hossain said Deshbandhu Polymer Limited's products are sold in the domestic market and Deshbandhu Packaging Ltd factory's products are sold in both domestic and foreign markets.

Deshbandhu Packaging Ltd produces jumbo bags, WPP bags, PE bags for packaging of fertiliser, rice, salt, sugar, chemical, etc., he said.

"As much as 700 tonnes of jumbo bags produced by Deshbandhu Packaging Ltd were exported last year. With its success, the Group is now setting up the 100% export-oriented plant," Arif Hossain said.

He further said, "The new factory, Flexible Intermediate Bulk Container Limited, is our third project in this sector."