Tuesday 8 December 2015

Textile Chemical Business in Bangladesh

In this post, I try to give some info about the various types of textile chemicals and other chemicals which are used in Bangladesh mostly. Here the present conditions of the textile chemicals in Bangladesh and also in world scenario has described shortly. We consider the list of textile chemicals which are used in Bangladesh.

Introduction: 

The textile industry is a chemicals based industry. There are different types of chemicals needed in the process of different types of textile processing steps. So chemicals play a vital role in textile industry specially wet processing factory. These chemicals find extensive application during the processing of cellulosic fibers such as cotton, viscose, linen, jute as well as synthetic fibers like PE, nylon etc. Bangladesh is developing as one of the major textile exporting nations; the demand for textile chemicals in the country has increased sharply in the recent years. Low worker wages and easy raw material availability are some of the prime factors driving the country’s textile industry as well as other allied industries such as textile chemicals. However, due to limited technical capabilities and poor infrastructure, multinational textile chemical companies have not been able to set up their production facilities in Bangladesh. Textile chemicals are mostly imported in Bangladesh from various countries due to lowly chemical production infrastructure in the country. In order to capitalize on huge growth opportunities in the market, these companies are importing textile chemicals from their key production facilities in countries such as India and China.

Textile Chemical Pertex Corporation
Textile Chemical Business in Bangladesh 
According to “Bangladesh Textile Chemicals Market Forecast & Opportunities, 2019”, the textile chemicals market in Bangladesh is projected to grow at a CAGR of 6.9% during 2014-19. The country is witnessing significant investments in the textile market from all across the globe, primarily from China and India. The textile chemicals market is expected to witness healthy growth due to continuously increasing demand for Bangladeshi textiles and readymade garments in Europe and the United States. In addition, changing patterns in the consumption of specialty finishing and pre-treatment chemicals is expected to drive the demand for textile chemicals during the forecast period. The report provides a comprehensive list of buyers, distributors and suppliers of textile chemicals, along with their portfolio and contact details, in Bangladesh.

The Dyestuff sector is one of the important segments of the chemical industry in Bangladesh, having forward and backward linkages with a variety of sectors like textiles, leather, paper, plastics, printing inks and foodstuffs. The textile industry accounts for the largest consumption of dyestuffs at nearly 70%. 


Objects of the Study:

The main objective of this study as follows:
  1. Segments of chemicals
  2. Prospect and challenges of basic chemicals industries in Bangladesh
  3. Present situation of chemicals sectors in Bangladesh
  4. Factors to consider when staring a manufacturing plant or a business
  5. Present condition of global chemicals industries
  6. Market demand to set up a chemicals business
  7. To identify the problems and prospects in different areas of chemicals sectors.
  8. To investigate the potential problem & prospects in chemical business.
  9. To find out the textile chemical market research.
  10. To increase the potentialities of chemical business.

Different Chemical Names and Their Uses:

Chemicals are the most important ingredients of the wet process based industry. Textile wet processing industry can’t imagine without chemicals. Without textile industry, chemicals also widely used in manufacturing of pharmaceuticals, papers, cements, fertilizers, paints, plastics etc. Different chemicals used for different manufacturing process. Mostly used chemicals in textiles and other industries are summarized below: 

Caustic Soda: 
One of the main basic chemical is caustic soda. Its chemical name is Sodium Hydroxide (NaOH). It is an industrial product. Different industries use Caustic Soda as raw material. We name here few of the large consuming industries of Caustic Soda consumption such as Soap, glass, drugs, paper & pulp, textiles, leather, sugar, WTP and ETP etc. 

Hydrogen Peroxide: 
Our main basic chemical is Hydrogen Peroxide (H2O2). Market size in our country is ever bigger like caustic soda. Textile, Dyeing, medicine, pharmaceuticals, cleaning agent, pulp and paper etc Industries use Hydrogen Peroxide in huge quantity.

Acetic Acid: 
This acid is widely used in textile wet processing industry for neutralization of fabric. And also used to neutralize from alkali condition or obtain acidic condition in dyeing solution.

Wetting & Detergent:
It is the heart of textile processing & dyeing. In the process of producing. It is used for removing extraction of oil, waxes and dirt from the fabric. It removes the sizing chemicals from the fabrics due to its high detergency property. There are different types of detergent available in this market. For example: http://www.pertexcorporation.com/index/article?cat_id=3&&scid_id=16


Stable Bleaching Powder (SBP): 

It is a very useful chemical. Not only domestic customers use this chemical. It is used in textile industry, pulp and paper industries and washing plant. Hospitals, WASA etc. organization use stable bleaching powder in bulk quantity. It has domestic use for cleaning houses, toilets and other places. For details:


Global Scenario: 

Global chemical industry is estimated to be USD 3.5 trillion and considered one of the fastest growing sectors of the manufacturing industry. The base chemicals form the largest segment accounting for 45% of the total industry, followed by pharmaceuticals accounting for 27%, specialty chemicals attributing 22% followed by bio-technology and agro-chemicals at 5% and 1%, respectively. Of these specialty chemicals are expected to grow at a faster pace in the next few years in comparison to their global counterparts. 


Market Demand:

According to “Feed Mill Industry in Bangladesh: Business Report 2012” the chemical industry in the country by identifying key market players, (including major producers, traders, etc), as well as evaluating foreign economic relations within the sector in the last three years.
The textile wet processing industry is a chemicals based industry. Different types of chemicals need in the process of different types of textile processing steps. So chemicals play a vital role in textile industry. 

There are number of company or suppliers supply the chemicals in the Bangladesh, Some of their Bangladeshi suppliers and some of their foreigner company. So there is a vast market demand in textile chemicals. 

This market research report offers a perspective on the actual market situation, trends and future outlook for chemical in Bangladesh. The study provides essential market information for decision-makers including: 


Challenge of Textile Chemical Sector in Bangladesh: 

Presently the apparel export sector is multi-billion dollar manufacturing and export oriented industry in Bangladesh. The success of ready-made garment exports from the country over the last 30 years that has surpassed the most optimistic expectations. For continuation of this success backward linkage of textile apparel industry such as spinning, weaving, knitting and specially dyeing, printing and finishing should develop and proper orientation of these sectors. To properly operate of the dyeing, printing and finishing sector need proper chemical arrangement and distribution.


Results and Discussion: 

Bangladesh chemical industry is of key importance from the point of view of domestic industries i.e. it caters to various industries and has a high potential of growth in the Bangladesh market. So far because of high demand in the domestic market itself, most of the chemical producers were focused on meeting domestic demand rather than exports. The export prospects are also seemed to be good in the light of the fact that Asian region is increasingly emerging as a larger producer as well as consumer of chemical products. 


Conclusion:

From this market research we have seen that there is a big condition to set up a textile chemicals business in Bangladesh. Chemicals business is profitable business. Bangladesh chemical industry is of key importance from the point of view of domestic industries i.e. it caters to various industries and has a high potential of growth in the Bangladesh market. However, due to lack of research and development, the Bangladesh industry lacks technical know-how and there are few Bangladesh companies in this field, which have attained global competency levels.


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