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Paragon Ceramic, Pioneering Innovation and Sustainability in a Challenging Global Market
The global ceramic industry, including Bangladesh, is navigating a period of uncertainty due to economic slowdowns, fuel shortages, and inflation. However, Paragon Ceramic Industries Limited (PCIL) has managed to stand out as a leader in this competitive sector, driven by an unwavering commitment to quality and resilience. Below is a closer look at the company’s journey, challenges, and future plans as discussed by its Managing Director, Farian Yusuf. A Journey of Resilience and Early Success Founded in June 2008, Paragon Ceramic began commercial production in December 2010. Remarkably, within just two months, the company achieved its first export, a significant milestone that set the stage for its future success. Despite the current oversupply in the domestic market, Paragon continues to thrive internationally, with exports showing considerable growth. “Our entry into exports soon after production was a major accomplishment,” said Yusuf. “Although the local market is challenging, we are seeing tremendous growth internationally.” Paragon Ceramic: A Leader in High-Definition Porcelain Tableware Manufacturing Located in Mirzapur, Gazipur, approximately 50 kilometers from Dhaka, Paragon Ceramic benefits from a strategic location with access to all necessary infrastructural facilities. With a total investment of over US$ 16 million, PCIL has established itself as a key player in the porcelain tableware industry in Bangladesh. Cutting-Edge Technology and Skilled Workforce PCIL specializes in manufacturing and exporting high-definition porcelain tableware, utilizing state-of-the-art machinery sourced from renowned global suppliers like SKK and TAKASAGO from Japan, TCK from Taiwan, Modena and COTO from China. The factory is supported by a workforce of approximately 1,600 highly skilled and motivated employees, ensuring the highest quality in every product. “In a market where competition from China is fierce due to low pricing, Paragon Ceramic has adopted a strategy of prioritizing product quality over competing on price. China, with its advanced technology and domestic resource pool, offers products at far lower costs than Bangladesh.” Durability and Performance Paragon Ceramic decorated tableware combines vibrant colors and unique shapes that endure even the most demanding dining kitchens. Our proprietary clay recipe, infused with alumina, ensures strength, durability and a pure white finish. Yusuf said “Tested for quality, our products resist fading, chipping, and scratching, even after 500 dishwasher cycles. With advanced shape engineering and glazing techniques, we guarantee functionality, hygiene, and impact resistance”. Innovation and Global Reach Through cutting-edge technology and constant design innovation, Paragon Ceramic stays ahead of trends, offering high-performance tableware. With a robust global distribution network, we ensure timely deliveries worldwide. State-of-the-Art Manufacturing and Quality Assurance PCIL operates with cutting-edge technology, from its porcelain plant to its decal and packaging units. With modern equipment from Japan, Taiwan and China, and a highly skilled workforce, PCIL produces high-definition porcelain tableware for global markets like IKEA and H&M. The company excels in custom designs, meeting clients’ diverse requirements with unmatched flexibility and service. Precision and Excellence in Every Step PCIL’s advanced Mould unit and dedicated Quality Assurance (QA) team ensure every product meets strict international standards. With over 25,000 Mould produced monthly, the team delivers high-quality ceramics while adhering to ISO 9001:2015 standards for superior customer satisfaction. Overcoming the Industry’s Biggest Challenges Paragon has faced its fair share of challenges, from fuel shortages to a shortage of skilled workers. The company’s resilience in overcoming these hurdles speaks volumes. According to Yusuf, the biggest obstacle remains the gas crisis, which has severely impacted production costs and supply. “Fuel costs have skyrocketed by over 250 per cent, yet gas pressure remains very poor, affecting overall production,” he explained. “We’ve had to turn to alternative energy sources but that increases our costs, making us less competitive and facing global challenges to survive” Despite these difficulties, Paragon has continued to expand and evolve, focusing on maintaining its stronghold in international markets while also striving to meet local demand for Porcelain tableware. Quality over Price: A Global Strategy In a market where competition from China is fierce due to low pricing, Paragon Ceramic has adopted a strategy of prioritizing product quality over competing on price. China, with its advanced technology and domestic resource pool, offers products at far lower costs than Bangladesh. However, Paragon’s superior quality remains a competitive edge. “While China has access to its own resources, we rely heavily on imports, which raises our costs,” said Yusuf. “But in terms of quality, we’re second to none and that’s what has helped us to secure buyers internationally.” Reducing Import Duties: A Key to Growth Yusuf believes that reducing import duties on raw materials could significantly boost Bangladesh’s Ceramic industry and its global competitiveness. Since the sector relies entirely on imported raw materials, lowering these costs could fast-track growth and innovation. “If the government offers duty benefits, the sector will see accelerated development. We have the potential, but policy support is crucial to our future,” said Yusuf. Attracting Foreign Direct Investment (FDI) for Expansion Paragon Ceramic is also focused on attracting foreign direct investment (FDI), which Yusuf sees as essential for broadening the scope of the industry. More FDI could increase the number of companies in the sector, giving buyers more options and boosting confidence in Bangladeshi ceramics. “In the same way that Bangladesh’s garment industry grew with increased foreign investment, the ceramic sector can also be benefited,” Yusuf explained. “The more companies we have, the more options buyers have, leading to better overall industry growth.” The Gas Crisis: A Major Production Bottleneck The ongoing gas crisis has led to a surge in fuel prices and decreased availability, creating a substantial challenge for Paragon and other industries. Low gas pressure in industrial areas like Gazipur has severely impacted production as well as quality that reflects on financial statement. “The entire industrial area is affected by this, and it’s not just us—garment and other industries are also facing disruptions,” Yusuf said. “We need long-term solutions for energy security if we are to continue growing.” Technological Advancements: A Path Forward Yusuf emphasizes the need for technological innovation to enhance production efficiency and maintain competitiveness. While inflation has dampened local
The LEGENDS OF CERAMIC INDUSTRY IN BANGLADESH
The ceramic industry in Bangladesh boasts a rich heritage and has produced several legends known for their significant contributions to ceramics and overall company formation. The industry has grown substantially over the past few decades, establishing itself as a leading sector in the country’s economy. In 1992, with the rapidly growing ceramic industry, a nationally recognized trade organization of manufacturers and exporters of ceramic tableware, pottery, tiles, sanitary ware, insulators, and other ceramic products was formed, called the Bangladesh Ceramic Manufacturers & Exporters Association (BCMEA), under the leadership of many of these ceramic legends. Here, we highlight some legendary leaders and key entrepreneurs who have been instrumental in the journey of the ceramic industry in Bangladesh. These pioneers have laid the foundation for the thriving ceramic industry in Bangladesh, which now covers various subsectors such as tableware, tiles, sanitary ware, and ceramic bricks. Their legacies continue to inspire future generations of ceramic entrepreneurs and professionals. Mohammad Abdul Jabbar Known as the pioneer of the ceramic industry in Bangladesh, Mohammad Abdul Jabbar founded Tajma Ceramic Industries. His contributions laid the foundation for modern ceramic manufacturing in the country. The story of Tajma Ceramic Industries Ltd is quite fascinating. In 1958, the ceramic industry took its nascent steps with only one small tableware manufacturing plant in Bogura. Mohammad Abdul Jabbar, instrumental in promoting and advancing the ceramic factory in Bangladesh, was the Managing Director of the company until his death on May 7, 1985. Tajma Ceramic Industries, recognized as the oldest modern ceramic manufacturing plant in Bangladesh, marked the formal beginning of the ceramic industry in the country. It was the first ceramic earthenware plant to produce porcelain tableware using traditional methods. Tajma played a crucial role in pioneering porcelain tableware production using advanced technology for its time, inspiring many other manufacturers to follow suit. Ariff Wali Mohammed Tabani In 1958, Mirpur Ceramic Works Ltd in Dhaka began producing heavy clay products using German plant and technology, gaining a reputation for manufacturing the best quality ceramic bricks in the subcontinent. The late Ariff Wali Mohammed Tabani, known for his contributions to Mirpur Ceramic Works, played a key role in its evolution. Tabani was the founding Chairman and Managing Director until his death on December 7, 1990. Currently, the company manufactures various types of unglazed tiles and has established two more ceramic companies, Khadim Ceramics and Sunshine Bricks. Both Mirpur Ceramic Works Ltd. and Khadim Ceramics Ltd. have been synonymous with ceramic-based construction materials, manufacturing a comprehensive range of products including blocks, bricks, ornamental screens, claddings, pavers, roofing tiles, and floor and wall tiles, along with the necessary mortars. These materials have been pivotal in landmark projects nationwide, showcasing the group’s commitment to quality and innovation. Md. Abdul Hai Mohammad Abdul Hai was a visionary entrepreneur who founded the country’s first ceramic sanitaryware company, Dacca Ceramics and Sanitary Wares Ltd., in 1969. He embarked on a revolutionary journey in the ceramic sector with the aim of advancing the country through innovative ceramic products. Despite facing political unrest and significant challenges during the Bangladesh Liberation War in 1971, which led to the destruction of the factory and the loss of materials, Abdul Hai was determined to rebuild the company. After the war, he successfully revived the company in 1974. Dacca Ceramics became the country’s first non-heavy clay building ceramic plant and started the production of sanitaryware in Tongi, Gazipur. Under his leadership, the company grew to become a leader in the country’s ceramics industry, known for its high-quality, durable, and cost-effective products. Abdul Hai’s dedication and resilience played a crucial role in shaping the success of Dacca Ceramics, leaving a lasting legacy in the industry. Mr. Hai passed away on December 21, 1995. Ansar Uddin Ahmed A key figure in Peoples Ceramic Industries, Ansar Uddin Ahmed significantly contributed to the industry through innovation and quality control, helping the company gain a strong foothold in domestic market. In 1966, Peoples Ceramic Industries Ltd, formerly known as Pakistan Ceramic Industries and located in Tongi, Gazipur, began production using modern porcelain tableware manufacturing technology from Japan and started exporting their products. The late Ansar Uddin Ahmed, a respected entrepreneur, inspired many in the field. He was the Managing Director of Peoples Ceramic Industries and Standard Ceramic Industries Ltd and passed away on August 14, 2005. He served as the first President of BCMEA from 1992 to 2002, revolutionizing the export of local ceramic products Rashed Mowdud Khan As the Managing Director of Bengal Fine Ceramics Ltd, Rashed Mowdud Khan advocated for sustainable practices and modern technologies in ceramic production, enhancing the global reputation of Bangladeshi ceramics. In 1986, Bengal Fine Ceramics Ltd, the first stoneware tableware manufacturer in Bangladesh, entered both domestic and international markets. The late Rashed Mowdud Khan was a prominent figure in ceramics, known for his artistic and technical expertise. He served as the first General Secretary of BCMEA from 1992 to 2002 and President four times from 2003 to 2009. He passed away on January 9, 2011. Iftakher Uddin Farhad Mr. Iftakher Uddin Farhad was the Chairman & Managing Director of FARR Ceramics Ltd and served as the President of BCMEA in the 2011-13 session. Established in 2005, FARR Ceramics is a manufacturer and exporter of Euro Fine Porcelain tableware. The company began as an export-oriented business in 2007, producing hard porcelain tableware for both international and local markets. Located in Gazipur, Bangladesh, the plant is equipped with state-of-the-art European ceramics manufacturing technology from Germany and Italy, and decal printing technology from Japan. FARR Ceramics currently exports to 31 countries, from North America to Europe, the Middle East, and India, with a monthly production capacity of 2 million pieces. Mr. Farhad passed away on December 25, 2012. Golam Sabur Tulu The founder of Madhumati Tiles Ltd, Golam Sabur Tulu introduced advanced technologies and designs in ceramic manufacturing, significantly impacting the market in Bangladesh. He was a visionary entrepreneur who made significant contributions to the ceramic industry.
DBL CERAMICS Conservation and Sustainability
Between depleting natural resources and a dire need to conserve and restore nature is the upsurging imperative to ensure industrial growth. An emerging economy like Bangladesh needs urgent transition to a more greener approach when it comes to growth, a resurgence of a 52 year-old nation. Focusing On Ceramic Industry While the product itself is environment-friendly, the production process causes 0.29 tonne of CO2 emission for every tonne of ceramic produced. Following a worldwide awareness, nations are turning to sustainable approach. The ceramic companies in Bangladesh are adapting to it as well. On a broader perspective, the 2023 SDG report says, one in every two countries lacks an effective framework for sustainable water management. From 2015 to 2020 there has been a slight improvement when it comes to SDG implementation. This, however, needs to be doubled if we want to meet the global goals. As Bangladesh has pledged to implement SDGs and comply with global standards, its ceramic sector has seen sustainable growth. DBL Ceramics, a concern of the DBL Group, is a young ceramic manufacturer, established in 2017. In a very short period of time, the company has reached the current position as one of the top manufacturers of ceramic tiles. DBL tiles are made for almost every surface –regular floors, high-endurance/areas with heavy traffic, gymnasiums and so on. The past few years saw substantial growth of the company which has over 160 dealers and 6 display centres in Dhaka, Chattogram, Rangpur, Sylhet and Barishal, with plans to expand to Khulna and Rajshahi. DBL has also made significant investments in reusable resources and waste water management, amongst other sustainable initiatives. In an attempt to reduce waste water, DBL has installed waste water treatment plants capable of treating 18,720 cubic meters of wastes by product everyday. State-of-the-art machineries at DBL SACMI kilns to turn clay to ceramic, Ball Mills for fine grinding, and Air Power glazing line–most of DBL’s machineries are energy efficient motors. They have inverters, energy cogeneration system, machines to reuse energy from kilns and dryers, along with other equipment to reduce wastes. To add a bit more automation to the mix, the company has Techno Ferrari for handling and storage. Ceramic Bangladesh Magazine visited DBL’s Gulshan office recently and sat with its head of operations Md. Bayazed Bashar to discuss his experience in the industry, future plans of the company, export difficulties, and more issues. DBL is a relatively young company but has fast become one of the top tier tiles manufacturers in the country. It has some of the best showrooms in the country and provides clients with an immersive experience, allowing them to visualise the product better. “Ever since I joined DBL, I’ve had unwavering support from our management. I was on project implementation when I joined, and I am thankful for the faith our management had in us, which consequentially resulted in our performance and growth” said Mr. Bashar. “DBL ceramics is the first diversified project for the DBL Group. We have an R&D (research and development) team working on innovation and we have become one of the top brands within a short time. We uphold our standards through our service quality and innovation,” he said. In terms of growth, DBL has been adding a production line every alternative year, and now has the capacity of producing 35,000 square meters per day from the initial capacity of 8000 sqm. The conversation ensued as we talked about the initial steps of a career in the ceramic industry, Mr. Bashar said, “It’s very difficult to find a mentor who can guide you in the earlier years of your career, especially after graduation. A mentor can help you choose the right track, giving you opportunities, and helping you polish yourself. I’m really happy to have had the opportunity to join DBL Ceramics, and found my own mentor here.” He added, “I have seen individuals get frustrated with their jobs if/when they get no opportunity to work on their competency. Once given the opportunity to explore, a working professional finds more interest in his work and solidifies into an asset for his company.” When asked about the hurdles of a career in this industry, Mr. Bashar recalled the tougher times and the ever-existing troubles. Having passed through them, he is now happy with where he stands and what he has learned through the experiences. He stated, “I am happy to have chosen this path for my career, considering that I was inclined towards doing what my friends did – going abroad for higher studies after graduation. Instead I joined DBL in 2007.” One of the most recent initiatives of the company is the Tiles manufacturing project in Sylhet. The extension is called Bright Ceramics – a tiles, tableware and sanitary-ware manufacturing plant, which will finish construction by the end of next year. DBL is also working on advanced ceramic products. According to Mr. Bashar, among some of the major drawbacks of this industry is import dependency. The added disadvantages due to incremental gas price and shortage create a much greater impact on the production cost. A shortage of gas supply results in on-and-off gas in the kilns – slows down in production. According to Mr. Bashar, the added cost has only been inflicted on the manufacturers and the customers are unaffected. “The duty structure really surprised everyone. We are paying full duty on imported clay that is 25-30 per cent moisture.” Mr. Bashar pointed out. On a brighter note, DBL will be the first player in the subcontinent to incorporate Industry 4.0- allowing it to collect data analysed later on a big screen. AI for DBL Ceramics DBL has already started with AI (artificial intelligence) for ceramics. It is planning on a full automation for the factory that will function with minimal human intervention. Mr. Bashar could only tell Ceramic Bangladesh Magazine that the AI software is being developed by an international IT company, and soon, will be set in motion. Concerning imperatives Some of the