Pran-RFL Group has partnered with the Bangladesh Textile Mills Corporation (BTMC) to reopen two government-owned mills—RR Textile Mill in Sitakunda and Rajshahi Textile Mill—under a 30-year public-private partnership (PPP). These mills, rebranded as Chittagong RR Textiles Limited and Barendra Rajshahi Textiles Limited, were previously closed in 1997. Through this PPP, PRAN aims to establish “green factories” by utilizing vacant spaces for solar panels and promoting local employment, particularly in North Bengal, where Rajshahi Textile will become the largest mill in the region.
PRAN will pay BTMC Tk 10 crore upfront for RR Textile Mill and Tk 6 crore for Rajshahi Textile, with a three-year grace period before beginning annual payments of Tk 3.22 crore and Tk 1.715 crore, respectively. These contracts include renewal options based on performance.
This agreement is part of a broader government initiative to revive 24 closed mills, with 16 targeted for reopening under PPP. So far, seven mills are nearing operational readiness, and 10 more have been shortlisted for future PPP agreements. BTMC has previously attempted to reopen some mills through tenders, but bids were not received for all facilities, including Feni’s Dost Textile and Magura Textile.
BTMC, originally established in 1972 with 74 nationalized mills, is using this PPP model and leasing arrangements to revitalize the industry and create job opportunities, particularly outside major cities like Dhaka, as part of its long-term strategy for the textile sector’s growth and modernization.
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