Bhairab upazila in Kishoreganj district is witnessing a robust growth trajectory in its footwear industry, underscoring the resilience of local artisans despite facing significant hurdles. Home to about 4,000 factories, the “Paduka Palli” (shoe production zone) manufactures a diverse array of products, including shoes, sneakers, sandals, and belts, utilising raw materials sourced both locally and from countries such as China and Taiwan.
With an annual trade volume estimated between Taka 1,500 and Taka 2,000 crore, the industry has created approximately 25,000 jobs, particularly in production, design, and distribution. This growth has been facilitated by Bhairab’s strategic connectivity, with well-established road, river, and rail links to major markets in Dhaka, Chattogram, and beyond.
The challenges faced by local entrepreneurs are echoed by Md Al-Amin Mia, president of the Bhairab Footwear Factory Owners’ Association (BFFOA), who began his venture in 1998. His factories now employ 15,000-20,000 individuals, primarily women. He emphasised the need for a common facility centre (CFC) to enhance skill development and modernize machinery, which is crucial for increasing production capacity and expanding export potential.
The SME Foundation has played a pivotal role in supporting the footwear industry, providing hands-on training, technical knowledge, and access to loans for local entrepreneurs. Anwar Hossain Chowdhury, managing director of the SME Foundation, stated that the organization aims to provide Taka 450 crore in loans to SMEs this fiscal year, through partnerships with 23 banks and financial institutions at a low interest rate of 4 per cent.
Since 2015, the SME Foundation has implemented various programs designed to enhance the skills of entrepreneurs in Bhairab, focusing on business management, product diversification, safety, and compliance. As a result, local manufacturers have expanded their product range to include oxford shoes and other items such as wallets and belts.
The positive impact of these initiatives is evident in the stories of local entrepreneurs. Md Ershad Ali Akash, who founded Lace Footwear in 2016, has grown his business from a small operation to a thriving enterprise with an annual turnover of Taka 8 crore and 250-300 employees. Training from the SME Foundation has been instrumental in this success.