Businesses look to brighter 2022

Businesses in Bangladesh hope that 2022 would be better than the previous two years as their optimism grew thanks to the ongoing strong recovery from the coronavirus pandemic. 

Only Omicron, the latest variant of Covid-19, could hand a serious blow to their optimism, a number of chief executive officers of the country's major corporate houses and companies admitted. 

The decision to reopen the economy and factories, especially, the garment factories, in June 2020 just after closure for two months has given a special leverage to Bangladesh's apparel manufacturers as most of the garment producing nations were shut at that time owing to high-level of coronavirus caseloads.

As a result, other garment producing countries have been detached from the global supply chain and are still taking more time to make a comeback in a significant way. So, global retailers and brands are coming to Bangladesh with more than expected work orders.

"We have to maintain a stable business environment so that we can execute the orders. I am hopeful that 2022 will be better for us than 2021 as prospects are brighter," said M A Jabbar, managing director of DBL Group, a leading garment exporter.

"We have already proved our resilience and Bangladesh has already become a global champion by maintaining a strong supply chain even during the peak of Covid-19."

AK Azad, chairman and chief executive officer of Ha-Meem Group, a top garment exporter, echoed Jabbar.

"For pandemic-related situations, some businesses have shifted to Bangladesh from other countries such as including China and Vietnam. Local investment has also increased."

"We will see the results in 2023-24," Azad said.

He, however, says the impacts of Omicron have slowed businesses in the European markets. US customers are also in a slow lane.

"They are observing the situation. The coronavirus situation will decide the course of next investments," said Azad, also a former president of the Federation of Bangladesh Chambers of Commerce and Industry.

"If the pandemic situation does not worsen, we will do better in 2022," said K M Rezaul Hasanat, chairman and CEO of Viyellatex Group, another major industrial conglomerate.

According to the entrepreneur, mindset is very important.

"The confidence level of people is growing. The confidence level of our business people has increased manifold, and this will help boost our economy."

"We have a lot of challenges and we have also success stories. Many major countries also now count Bangladesh as our economy is growing."

Sabbir Hasan Nasir, executive director of ACI Logistics, the parent company of Shwapno, the largest retail chain in Bangladesh, sees huge opportunities in online business segment.

He says the flow of investment to the healthcare sector is rising. "Pharmaceuticals and agri-businesses are growing as well."

He cited non-availability of raw materials and high prices as two major challenges facing businesses now.

Naser Ezaz Bijoy, CEO of Standard Chartered Bangladesh, said 2022 would be a good year if the nation can face the upcoming Omicron challenges.

"In the last two years, many investors have not invested because of uncertainty. If you can execute the under-process reforms, including one-stop services, the new year will be a good one."

Mostafa Kamal, chairman and managing director of Meghna Group of Industries, plans to set up five new factories this year after their launch was delayed by the pandemic last year.

"Every disaster creates new opportunities for investment. I found an opportunity in the shipping industry," he said.

Ahsan Khan Chowdhury, chairman and CEO of Pran-RFL Group, thinks export will increase tremendously in 2022 because there is a surge in demand in the developed economies.

"We are finding a lot more opportunities in the UK, Europe and the US," he said. 

He says domestic demand in Bangladesh is also rising because people have better jobs and are spending more.

"Due to Covid-19, many things were stagnant in the country. There are a lot of celebrations now. Activities are picking up."