Jasim Uddin Haroon

RAK, a United Arab Emirates-based conglomerate, has taken moves to introduce non-traditional beverage products and insect repellants in the country because of domestic as well as export market potentials.

RAK (Ras Al Khaimah), recently formed two separate concerns -- RAK Food and Beverage Limited and RAK-Mosfly Bangladesh Limited -- as a part of its expansion plan.

Mosfly is a concern of Maya Group of Singapore and one of the leading anti insect producers in the world is the co sharer of the mosquito repellant plant.

The Gulf conglomerate along with Mosfly will initially invest Tk 600 million in the project to produce anti mosquito products.

RAK Food and Beverage Limited will produce non-traditional beverages including lemon, bubble, coconut, mineral and tonic waters. Local raw materials will be used in producing most of the beverages.

AHM Zaker, a director of RAK Group, told the FE: "We have taken to launch the products mainly because of a large potential domestic market and especially considering the public health care."

Sources said the market for fruit juices and soft drinks is around Tk 5.0 billion and only pure drinking water market in the country is over Tk 1.5 billion.

RAK sources said there is no market estimation for non-traditional beverages.

RAK Food and Beverage Limited is being built at Batulia in Gazipur while RAK Mosfly Bangladesh Limited is at Madapur in Habiganj.

RAK director said the anti mosquito products both in coil and aerosol forms is likely to be released in local market early in 2010 while beverages later in 2010.

He also said: " Substantial quantity of pineapple, coconut and mangoes are produced in the country, but most of the produces are not used economically due to lack of preservation. We want to utilise the locally available products for making beverages through sophisticated methods."

RAK sources said it is procuring machines from Thailand and China.

The company also said it will set up two pulp stations one in Sylhet and other at Bandarban to ensure coninuous supply of raw materials for its beverage plants.