ADB, Meghna Group sign deal

Business Report :

The Asian Development Bank (ADB) and Tanveer Dal Mill and Flour Mills Limited, a member of the Meghna Group of Industries (MGI), have signed a $20 million loan agreement to support the construction of a greenfield state-of-the-art, energy-efficient flour milling plant in Bangladesh.

This new facility will double the MGI’s wheat flour output and enable the production of quality wheat products while consuming 37per cent less electricity than existing plants.

The improved energy efficiency is expected to lower operational costs and reduce carbon dioxide emissions by approximately 8,200 tons annually.

The plant will produce 660,000 metric tons of wheat, contributing to domestic agriculture production and enhancing food security, said an ADB press release on Thursday.

“This project marks a significant step toward the advancement of sustainable industrial development in Bangladesh. By promoting energy-efficient technologies and improving product quality, ADB and MGI are directly contributing to the country’s food security, food safety, economic resilience, and environmental sustainability,” said ADB Director General for Private Sector Operations Suzanne Gaboury.

“Furthermore, the project is aligned with the Government of Bangladesh’s goals of strengthening domestic agro-processing and reducing the energy intensity of key industries,” added Suzanne.
The demand for wheat in Bangladesh has been steadily increasing, but domestic production has not kept pace. In 2022, the country consumed about 8.8 million tons of wheat, while local production exceeded only one million tons.

This reliance on imported wheat highlights the urgent need to expand domestic milling capacity.