Mollah Mohammad Majnu, the managing director of Crown Cement PLC, recently discussed the progress and challenges faced by the local cement industry in an interview with local media. He noted that the current cement market in Bangladesh is estimated to be around 40Mta. In comparison to neighbouring countries, Bangladesh’s per capita consumption at 210kg/person lags significantly behind the leading markets of India at 400kg/person and China at nearly 1700kg/person. 

Given Bangladesh’s high population density and the increasing trend toward vertical housing, Majnu anticipates that per capita consumption could rise to at least 800kg within a short period. Bangladesh’s cement industry has a combined installed capacity of around 80Mta, which is double the domestic demand of 40Mta. Crown Cement is among the top players in the market, accounting for more than 10 per cent of the total market share. 

Export
Crown Cement has also initiated cement exports from Bangladesh, distinguishing itself as the only company to receive three National Export Trophies from the government. The company primarily exports to northeastern states of India, which are logistically closer to Bangladesh than to mainland India. Additionally, Crown Cement is exploring new markets in Bhutan and Nepal and is seeking export rebates. 

Challenges
While market overcapacity can pressure pricing and margins, it also positions the company well for future demand growth. Bangladesh still faces a significant housing gap, and the need for vertical development due to land scarcity ensures that cement will remain a critical material. The high cost of imported raw materials and some government import policies create more challenges. 

At last, Crown Cement is actively exploring concrete production and other related segments. With the growing demand for stronger and more resilient construction materials, diversification is seen as both necessary and an opportunity for growth. The company also plans to invest in energy-efficient technologies and automation to improve production output and product quality.

by Abdul Rab Siddiqi, Pakistan