Colgate-Palmolive (Asia) Pte Ltd, one of the largest manufacturers and suppliers of personal care products worldwide, is going to build a factory in Bangladesh in partnership with local conglomerate ACI Ltd to cater to the fast-expanding consumer market.
Colgate-Palmolive (Asia), which is incorporated in Singapore and part of New York-based Colgate-Palmolive, will spend around Tk 200 crore and while ACI Ltd will invest around Tk 50 crore to set up the factory to capture a significant pie in the Tk1,000-crore oral care market.
"We are delighted to partner with Colgate-Palmolive, which is a renowned multinational company known for providing world-class oral care products across the globe," said Arif Dowla, managing director of ACI Ltd.
"Colgate brand is a household name in Bangladesh and is known for its high-quality products backed by research and innovations. This joint venture aims to make a meaningful impact on oral care awareness and bring smiles to many faces across Bangladesh."
Pradip Kar Chowdhury, executive director for finance and planning of ACI Ltd, said after six to seven years of negotiation, the joint venture has finally come true.
The factory would be a world-class manufacturing facility and it will maintain environmental, social and governance standards so it would take a few more months to start the construction of the factory.
"Our first choice is to build the factory at the Mirsarai Economic Zone," said Chowdhury.
He hopes that the commercial operation of the factory will commence at the end of 2025.
Colgate products are already popular in Bangladesh but they are import-based.
The oral care market, which is growing by 5 per cent annually, is dominated by Unilever. Colgate has around a 10 per cent share of the market. Other major companies in the segment are Anfords Bangladesh Ltd, Square and GSK.
If the products are manufactured locally, consumers will get them at cheaper prices. Besides, Colgate-Palmolive has some modern solutions for oral care and those solutions will also be available in Bangladesh, according to Chowdhury.
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