Turkey's Sanko eyes $300m investment in BD's Mirsarai Industrial Zone

Turkish textile giant plans integrated manufacturing hub to strengthen Bangladesh's value-added textile exports

Sanko Holding, one of Turkey's leading textile manufacturers, has expressed interest in investing approximately US$300 million to establish an integrated textile manufacturing complex in Bangladesh's Mirsarai Economic Zone, marking a significant potential foreign direct investment (FDI) in the country's textile sector.

The proposed investment was announced during a meeting on Tuesday (27 July) between Bangladesh's Minister for Commerce, Industries, and Textiles & Jute, Khandaker Abdul Muqtadir, and a delegation from Sanko at the Secretariat in Dhaka. State Minister for Textiles and Jute Md. Shariful Alam also attended the meeting.

Integrated Textile Production Planned

According to Sanko representatives, the proposed facility will include fabric manufacturing, textile processing, and the production of high-value-added textile products, using modern manufacturing technologies.

The company said the investment aims to strengthen Bangladesh's textile supply chain while enhancing its capacity to produce premium textile products for international markets.

Sanko currently supplies textile products from Turkey but said growing demand from its international buyers, combined with Bangladesh's competitive manufacturing base, skilled workforce and export-oriented apparel industry, has prompted the company to establish local production facilities.

Boosting Export Competitiveness

Company officials noted that Sanko already works with several major international buyers sourcing products from Bangladesh.

Establishing local manufacturing operations would not only improve supply chain efficiency but could also attract additional global buyers to Bangladesh.

The company said the project is expected to facilitate technology transfer, improve manufacturing expertise and expand market opportunities for Bangladesh's domestic textile industry.

Project Timeline

According to the delegation, preliminary site selection and discussions with potential business partners have already been completed.

Subject to obtaining the necessary government approvals and infrastructure support, Sanko plans to begin implementation within the coming months.

Commercial production is expected to commence 12 to 18 months after construction begins.

Request for Infrastructure Support

During the meeting, Sanko requested government support in ensuring timely access to natural gas, electricity and other essential utilities, as well as expediting regulatory approvals.

The company also emphasized its commitment to environmentally sustainable manufacturing.

Officials said the proposed facility would adopt energy-efficient technologies and comply with international environmental standards, including the use of coal-free energy solutions, to meet the sustainability requirements of global apparel brands.

Government Pledges Support

Welcoming the investment proposal, Minister Khandaker Abdul Muqtadir highlighted Bangladesh's favorable investment climate and reaffirmed the government's commitment to facilitating foreign investment.

"The government is actively encouraging foreign direct investment in the industrial sector and remains committed to providing the necessary support for investors," the minister said.

Strengthening Textile Industry

If implemented, the project would represent one of the larger recent foreign investments in Bangladesh's textile sector.

Industry observers say the investment could create significant employment opportunities, strengthen domestic value addition, expand export capacity and reinforce Bangladesh's position as one of the world's leading textile and apparel manufacturing hubs.

The proposed investment also aligns with Bangladesh's broader strategy of attracting higher-value manufacturing projects and diversifying its export-oriented industrial base as the country prepares for graduation from the United Nations' Least Developed Country (LDC) category.