RAK Ceramics Plans to Begin Faucet Production in Bangladesh

Bangladesh: RAK Ceramics is set to begin faucet production in Bangladesh, with a new factory in Gazipur expected to start operations soon. This move marks a significant expansion for the company, which is also seeing annual growth of 15% in its sanitary ware business. The local production of faucets will enhance RAK Ceramics' product portfolio and strengthen its market position.

Despite facing significant challenges such as gas shortages, high inflation, and foreign currency issues, RAK Ceramics continues to thrive. The gas shortage has particularly impacted the company, reducing the factory's operational capacity, which has hindered the ability to meet market demand and increased overhead costs. To address this, the company has invested in advanced technology generators and is exploring the use of LNG to enhance efficiency.

The rising cost of imported raw materials has forced RAK Ceramics to increase product prices, though this has not fully compensated for the higher expenses. Instead of resorting to layoffs, the company has focused on improving cost efficiency in manufacturing and sales. Despite intense competition and ongoing price wars, RAK Ceramics remains a market leader in revenue, thanks to its commitment to high-quality products and strict compliance with standards.

RAK Ceramics is also looking into export opportunities, contingent on government support. The company's dedication to innovation and quality ensures that it remains at the forefront of the ceramics industry, even as it navigates a challenging economic landscape.

Source: The Business Standard