177 SME Clusters in Bangladesh:

SME Foundation defined cluster as “A cluster is a concentration of enterprises producing similar products or services and is situated within an adjoining geographical location and having common strengths, weaknesses, opportunities, and threats”. Key criteria selected to define an SME cluster are; products or services should be similar or homogenous and related, enterprises must be production or service units, At least 50 and above production units, adjoining geographical location: several villages, wards, unions and industrial estates, scattered within an area of 3-5 kilometer radius.

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Based on the above definition SME Foundation identified 177 SME Clusters in 51 districts of Bangladesh. There is a maximum of 38 Handicrafts & Miscellaneous clusters followed by 34 Agro-Processing/Agri-business/Plantation, 31 Light Engineering and Metalworking, 22 Knitwear & Readymade Garments, 16 Fashion Rich Effects, Wear & Consumers Goods, 13 Leather Making & Leather Goods clusters, 10 Handloom & Specialised Textiles clusters, 5 Healthcare & Diagnostics clusters, 3 Plastics & Other Synthetics, 3 Electronics & Electrical, and 2 Educational Services clusters in Bangladesh. These clusters are located in 51 different districts and there are 13 districts namely Netrokona, Rajbari, Narail, Meherpur, Lalmonirhat, Sunamganj, Barguna, Bhola, Patuakhali, Noakhali, Bandarban, Rangamati and Khagrachari where no clusters are found.

There are about 69,902 SME enterprises employing approximately 1,937,809 workforces. Their annual turnover is about BDT 573,510 million per year. A major portion of government revenue in different forms (Income tax, VAT, Customs duty, etc.) comes from these sectors. But no significant government support is visible to develop or promote SME Clusters/entrepreneurs.

List of Products Producing in 177 SME Clusters:

1. Agro-Processing/Agri-business/Plantation Clusters: Major products are rice, Brocken rice (commonly known as khud), husking dust (commonly known as kura), burning wood (commonly known as lakri), oil, and oil cake (commonly known as khail), etc.

2. Light Engineering and Metal Working Clusters: Major products are Door and window grille, door and window frame, collapsible gates, iron and steel furniture, Motor parts, engine repair, pump, Machine tools, Agricultural equipment, automobile body building, repairing, and coloring, ship breaking, etc.

3. Knitwear and RMG Clusters: Major products are thread, pants, jackets, ladies’ three-piece sets, towels/chamchas, shirts, tape/ nima, frocks, baby set, suits, clothes, etc.

4. Fashion-rich Wears, Effects & Consumption Goods Clusters: Major products and services are Jewellery made with Gold / Silver / other metals, hair spa, hair protein, party makeup, facial, eye-brow pluck, Herbal facial, haircut, orange facial, etc.

5. Leather and Leather goods clusters: Major products are gent’s shoes, ladies’ shoes, baby shoes, sandal shoes, Slippers, etc.

6. Healthcare & Diagnostics Clusters: Major services are X-ray, ultra-sonogram, ECG, different pathological tests, hematological tests, biochemical tests, echo-cardiogram, CT scan, surgery, etc.

7. Plastics & Other Synthetics Clusters: Major products are Mugs, Bowls, Buckets, Bodna, and many other home appliances.

8. Electronics & Electrical Clusters: Major products are Electrical Board, Switch, Socket, Holder, Cut-out, Anti-cut-out, Coil, Battery, TV, Pluspain base, electric cables, etc.

9. Educational Services Clusters: Major services are education services/counseling.

10. Handloom & Specialized Textiles Clusters: Major products are Blouse, Sari, orna, three-pieces, fernet, towels, Panjabi, cushion covers, bed sheets, pillow covers, etc.

11. Handicraft & Miscellaneous Clusters: Major products are dining table, Mat, Bamboo net, Large bamboo basket (commonly known as Dhol), tabla, Nest, kula, candle stand, cup-plate, clay piggy-bank, flower vase, different dices, mud cover, tub, oil-based perfume, incense sticks, curry and rice cooking pot, bamboo goods, tray set, bowl set, file set, ruler set, cylinder set, and partition set, Wooden Furniture boxed bed, normal bed, dressing table, reading desk, computer desk, Sofa set, dining table, and chairs, etc.