In last one year under interim government of Dr. Mohammad Yunus, Akij Group's investment in poultry and animal feed, cement, cable, light engineering and pharmacy sectors has stood at more than 800 crore. At a time of countrywide investment stagnation, this unusual rapid growth of the Group has sparked new discussions in the industry. Many in the business community are rising the question whether the meteoric growth of the Akij Group was possible because of the power and influence of and Akij Group man-Sheikh Bashir Uddin, an Adviser of the interim government under Chief Adviser Dr. Mohammad Yunus.
Various members of the Akij family have formed separate groups. Sheikh Nasir Uddin is running Akij Group, Sheikh Bashir Uddin owns Akij Bashir Group, Sheikh Jamil Uddin Akij runs Insaf, Sheikh Jasim Uddin heads Akij Resource Group and Sheikh Shamim Uddin looks after Akij Venture Limited. Among them, Sheikh Bashir Uddin was the Trade and Commerce Advisor of the interim government. Akij Group's founder was late Sheikh Akij Uddin.
Akij Resources has set up an Akij Feed Factory in Munshiganj. Since December last year, feed production for poultry, cattle and fish farms has started there. At the same time, the company started investing in the pharmacy sector last June. So far, a total of 12 pharmacies have been opened in Dhaka and outside Dhaka, which are bking operated under the name of 'Akij Pharmacy'.
The group also has plans to expand further in the health sector. In addition to the pharmacy, initiatives have been taken to open diagnostic and consultation centers. The first center will be established in Mirpur, Dhaka. There are also plans to produce medical equipment.
In addition, Akij Resources is thinking of investing in the production of pesticides, chemicals and fertilizers used in the agricultural sector. They also plan to open small-scale city-based supershops. When the process of granting digital bank licenses began, the Group applied to Bangladesh Bank last November to establish a digital bank called 'Munafa Islamic Digital Bank'.
Sheikh Jasim Uddin told the media that their investment in various sectors in the last three years was about Tk 2,500 crore. There is a plan to invest a total of Tk 15,000 crore in the next seven years. Of this, about Tk 6,000 crore will be invested in the first three years. This money will be spent on expanding businesses in cement, steel, cable, packaging and health sectors.
On the other hand, Akij Bashir Group, owned by former Adviser Sheikh Bashir Uddin, has made major investments in the rapidly expanding cable manufacturing sector. At an inaugural ceremony in Dhaka on January 8, the Group said that initially, cables used in the industrial and communication sectors will be produced to meet domestic demand. There are also plans to produce high voltage and specialized cables in the next phase.
Akij Bashir Group has already acquired an almost completed cable manufacturing factory owned by Eminence Cable Central Well. In the initial phase, the factory has set a target of processing about 300 tons of copper cable and 200 tons of PVC annually. The company has also announced plans to double its production capacity within the next one year.
In this time of political uncertainty and investment contraction, the continuous investment of the two groups of the Akij family has raised questions about the source of investment.
Akij Resources established Akij Feed Factory in Munshiganj. In December last year, the factory started producing feed or food for poultry, cattle and fish farming. The factory has a monthly production capacity of 20,000 tons. However, Akij Resources officials said that monthly sales have reached 10,000 tons within eight months.
Meanwhile, Akij Resources started investing in pharmacies last June. So far, they have opened 12 pharmacies in and outside Dhaka. The group plans to open 500 pharmacies in the next two years. The drug sales centers under the name Akij Pharmacy are under its own ownership.
In addition, Akij Resources has set up a factory for light engineering products in the port of Narayanganj. Eight different categories of products are being manufactured in this factory. The group has brought the flagship brand 'Innovar' for the products produced in this factory - 'electrical, home appliances, water pumps and tools. So far, 1,000 people have been employed in the light engineering sector. Group officials said that there will be 7,000 more jobs in the next three years.
Mohammad Toufiq Hasan, Chief Business Development Officer of Akij Resource Group, told the media at his office about the new investment.
He said, "Our group's MD finalised a business strategy paper in 2021. Akij Resource Group is investing based on that strategy paper. In the last one year, we have invested Tk 500 crore in four sectors - poultry and animal feed, light engineering, pharmacy, and jobs".
The late Sheikh Akij Uddin had 15 children. 10 sons and 5 daughters. Only Akij Uddin's sons have joined the business. In the 1990s, Akij Uddin himself divided the business among his 10 children. Among the sons, Sheikh Nasir Uddin, Sheikh Bashir Uddin, Sheikh Jamil Uddin, Sheikh Jasim Uddin and Sheikh Shamim Uddin used to do business together. Five years ago, they started a single-leadership business.
