In Kushtia, a town in the north, small factories are playing a crucial role in supplying products to a broader market. Shiladoho Dairy produces yogurt that reaches supermarkets in Dhaka, while Vegan Agro processes mango pulp for big companies like PRAN, extending its reach to consumers nationwide. In Feni, Starline manufactures various consumer goods that are distributed in local markets and nearby areas.
Although these businesses are not major exporters yet, they are integrated into national value chains where quality and consistency are key factors. This highlights the significance of Bangladesh’s agro-processing sector, where small and medium enterprises, despite their size, have a significant economic impact beyond their immediate scope.
Agro-processing is a vital component of the country’s economy, contributing approximately 11–12 percent to the GDP and offering employment opportunities to millions of individuals involved in farming, processing, transportation, and trade, especially in rural and peri-urban regions. However, the small and medium enterprises that form the backbone of this sector often face challenges in meeting evolving market demands.
Many of these businesses aspire to grow, formalize their operations, and explore international markets. However, when they venture beyond local clients, they encounter new demands, including stricter food safety, hygiene, traceability, and quality standards. Small factories, typically operating with limited resources and staff, struggle with gaps in training, internal systems, and production practices, leading to inconsistent quality and heightened operational risks.
To address these challenges, Swisscontact collaborates with agro-processing SMEs to enhance skills and implement practical improvements through projects like BYETS. The focus is on integrating skills development directly into factory operations, emphasizing essential practices such as cleaning routines, hygiene protocols, safe handling, and basic quality checks that can be immediately applied by workers. These practices are gradually linked to formal systems like Good Manufacturing Practices (GMP), Hazard Analysis and Critical Control Points (HACCP), and Total Quality Management (TQM) to help factories align with global food safety and quality standards.
In Kushtia and Feni, progress is evident as workers become more informed about expectations, processes become more consistent, and hygiene and quality become routine practices. This transformation instills confidence in business owners, making regulatory compliance clearer and interactions with large buyers less daunting. With improved productivity and reduced risks, small agro-processing enterprises become better positioned to enter national and international markets.
Through initiatives like the BYETS project, funded by the Embassy of the Kingdom of the Netherlands and executed by Swisscontact, small agro-processors are gradually enhancing their competitiveness and preparing to expand their market reach. This quiet but impactful work is bridging the gap between local production and global markets, empowering these enterprises to thrive in a competitive landscape.