Industry Overview :

The global iron and steel market was valued at USD 1,599.4 billion in 2022 and is projected to reach USD 1,928.6 billion by 2027, with a compound annual growth rate (CAGR) of 3.8% during the forecast period from 2022 to 2027,The steel industry experienced sharp growth in the early 1990s owing to private entrepreneurs’ investment in the sector. This industry is now flourishing, mainly relying on the investment of large conglomerates, diversifying products, and transforming production. As per the World Steel Association, Bangladesh manufactured 5.2 million metric tons of steel in 2022, and its net import of steel decreased to 2.2 million metric tons, implying that the country’s consumption of steel was roughly 7.4 million metric tons, According to The Business Standard, there is an anticipated increase in the rate of expansion of factory capacity, with projections indicating a rise to 13 million metric tons by the year 2025. Currently, the steel industry in Bangladesh is worth BDT 55,000 crore (USD 6.2 billion), as per The Business Standard with per capita steel consumption forecast to increase from 45 KG in 2022 to more than 100 KG by 2030. Production capacity is experiencing a sharp rise along with demand at an annual growth rate of 10%. In 2012 we had almost 400 mills across the country

Bangladesh Light Engineering Industries Sector (BLES) constitutes a significant segment of the economy of Bangladesh in terms of their contribution to employment, output, value addition, and exports. (BLES) occupies a unique position in the economy of Bangladesh. It plays a vital role in the socio-economic development of the country. The growth of the economy for alleviation of poverty and improvement of the well being of the people crucially depends on the development of the LEIs. Foundry & Light engineering enterprises are scattered throughout Bangladesh, which implies employment generation is also widespread. BLES provides employment to 10+ Lac semi-skilled, skilled and technically educated people and innovative entrepreneurs are actively engaged in 60,000 micro-enterprises and 20,000 Small and Medium Enterprises, with a total investment of about USD 20 billion. The manufacturing sector contributes to 20% percent of the total GDP of Bangladesh and out of this LES contributes to about 2 percent of the GDP. The average annual turnover of the sector now stands at Tk. 200 billion.