Three jute mills to reopen, deal signed

The government has leased three closed state-owned jute mills to two private companies to facilitate their reopening.

Agreements to this effect were signed on Tuesday (August 11) between the Bangladesh Jute Mills Corporation (BJMC), PRAN-RFL Group and HAMCO Group in the presence of Prime Minister Tarique Rahman.

Under the agreements, PRAN-RFL Group has taken leases of National Jute Mills Ltd in Sirajganj and Star Jute Mills Ltd in Khulna, while HAMCO Group has leased Platinum Jubilee Jute Mills Ltd in Khulna.

BJMC Chairman Brigadier General Md Kabir Uddin Sikder signed the agreements on behalf of BJMC. Aminur Rahman, company secretary of PRAN-RFL Group, and A T M Mostafa, managing director of HAMCO Group, signed on behalf of their respective companies.

Under the agreements, the three mills, which have remained closed for years, will be reopened under private management. Their reopening is expected to create at least 11,629 jobs, with total investment estimated at around Tk 619 crore. The mills are projected to generate a combined annual turnover of around Tk 1,175 crore.

At National Jute Mills in Raipur, Sirajganj, around Tk 157 crore is planned to be invested. The mill is expected to create 5,238 jobs and generate an annual turnover of around Tk 500 crore once reopened.

Around Tk 250 crore will be invested in Star Jute Mills in Dighlia, Khulna. The mill is expected to create 5,238 jobs and has an annual turnover target of around Tk 500 crore.

Meanwhile, around Tk 212 crore is planned to be invested in Platinum Jubilee Jute Mills in Khalishpur, Khulna. The mill is expected to create at least 1,153 jobs and generate an annual turnover of around Tk 175 crore.

Officials said the government has decided to reopen 20 of the 25 BJMC mills that remain shut under private management through leasing arrangements.

So far, leases for 14 mills have been completed and possession has been handed over to the lessees. Production has already resumed at nine of those mills.

Commerce, Industries, and Textiles and Jute Minister Khandaker Abdul Muktadir, Textiles and Jute State Minister Shariful Alam, Textiles and Jute Secretary Sharaf Uddin Ahmed Chowdhury, and senior officials from BJMC and the leasing companies attended the agreement-signing ceremony.