The New Nation - Internet Edition

BUSIENSS REPORT

IFC, a member of the World Bank Group, has facilitated a partnership between Singer and Al Amin Enterprise that will generate employment in Bangladesh's light engineering sector.

The two companies recently signed an agreement for producing 20,000 electric fans to be supplied by Al Amin.

Singer is a multinational organisation that produces and markets electrical goods and appliances. One of its leading products is an electric ceiling fan imported from China. Al Amin Enterprise is a manufacturer and marketer of electric fans in Bangladesh.

Like many local small and medium enterprises, the company has the potential to grow and compete with other companies that import goods, given the proper guidance and opportunity. This partnership is expected to help create jobs locally and increase income for Al Amin, and it also sets a precedent for other linkages in Bangladesh's light engineering sector.

In the long run, the partnership may help foster the development of local manufacturing companies to compete globally.

Deepak Adhikary, Deputy General Manager and Head of IFC Advisory Services in Bangladesh, Bhutan, and Nepal, said, "In countries like Bangladesh, small and medium enterprises are left to their own fate.

Linking them to larger firms helps improve local supply chains and gives them a chance to reach larger markets."

This initiative, led by IFC Advisory Services in South Asia, is part of IFC's strategy to promote and develop Bangladesh's light engineering sector.

As part of a broader effort, IFC is partnering with the Bangladesh Electrical Merchandise Manufacturer's Association to facilitate business linkages between large multinationals and small manufacturers.

Such linkages are critical for local economic development and the growth of small businesses, and they also allow for a much needed transfer of knowledge and expertise and market access.