Bangladesh fails to fully tap $30m omasum market
Only about 7.5% of the omasum and pizzle were collected from this year’s sacrificed animals
Highlights:
- Global market for omasum and pizzle worth $2.56b
- 47.05 lakh cows and buffaloes sacrificed this year, only 3.5 lakh piece somasum and pizzle were collected
- Collection amounts only to 7.5%
- Bangladesh could earn over $30m a year
- Currently earns around $12.5m
- Slaughter sites currently major source, Eid largely unused due to lack of awareness
- About 40 exporters are active in business
Despite growing global demand and expanding export destinations, Bangladesh continues to underutilise the massive export potential of cattle byproducts, specifically omasum (a part of the cow's stomach) and pizzle, due to a lack of awareness and systematic collection practices.
According to exporters, the global market for omasum and pizzle is worth an estimated $2.56 billion (Tk30,000 crore), while Bangladesh currently earns around Tk150 crore ($12.5 million) annually by exporting 70–90 shipments of these products to countries like China, Hong Kong, Vietnam, Thailand, and Korea.
Globally, the top three exporters of omasum are Brazil, India, and Pakistan. Brazil leads the world with 8,649 shipments, followed by India with 4,689, and Pakistan with 1,119 shipments.
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During this year's Eid-ul-Azha – the biggest season for cattle slaughter – 91.36 lakh animals were sacrificed across the country, including 47.05 lakh cows and buffaloes, according to the Department of Livestock Services. This marked a decline of over 13 lakh animals from the previous year.
Exporters and traders say that even if omasum and pizzle from just half of these 47.05 lakh cattle had been collected and processed, Bangladesh could have exported around 3,000 tonnes of these items, earning an estimated $21 million (Tk230 crore) in just one month.
Instead, only 3.5 lakh pieces were collected this year– a decrease of 1 lakh from last year, highlighting the missed opportunity caused by poor collection systems and limited awareness among sacrificers and amateur butchers.
"Only about 7.5% of the omasum and pizzle were collected from this year's sacrificed animals," said Saleem Uddin, owner of Jorac International, a Chattogram-based exporter.
He added, "Very few people know that these byproducts can be exported, earning a handsome amount of foreign exchange for the country. As a result, most omasums are buried and the export potential is wasted."
"We consider Eid a dull season for omasum collection, as only a small portion is collected during the month. Our main source is around 25 lakh cattle slaughtered year-round by professional butchers who supply us with salted omasum," said Talha Abbas, owner of SP Traders International.
He emphasised the need for awareness campaigns ahead of Eid and policy support from the government to help boost collection and exports. "If we can make people aware of how to preserve omasum and pizzle by applying salt, collection will increase significantly," he said.
From waste to exportable commodity
A decade ago, omasum and pizzle were routinely discarded or thrown into rivers and canals. Today, they are in high demand across East Asia and Europe, where they are used in gourmet soups and salads.
Each container (typically 28 tonnes) of processed omasum or pizzle fetches between $6,000 to $7,500 per tonne in the international market. In 2017–18, Bangladesh exported a record 120 containers, followed by 96 containers in 2018–19. The numbers dipped during the Covid-19 pandemic but have gradually recovered in recent years.
In 2020–21, omasum exports earned $10.56 million, rising to $14.74 million in 2021–22. The following year saw a drop to $7.44 million, with earnings bouncing back to $10.45 million in 2023–24, and already reaching $12.78 million by May of the current fiscal year.
Currently, about 40 exporters are active in the business, with 10 operating from Chattogram alone. From butchers to warehouse workers, the industry employs around 20,000 people nationwide, with 5,000 in Chattogram engaged in processing, salting, storing, and preparing the items for export.
Exporter Talha Abbas noted, "Once the government used to provide a 15% cash incentive on omasum exports. But the incentive was reduced to only 6% seven years ago, which negatively impacted the business."
He urged the government to increase the incentives to help boost a sector that has the potential to earn Bangladesh over $30 million a year.
How the trade works
Local traders collect omasum and pizzle from slaughter sites and salt them within two hours to preserve quality. Stockists then purchase the salted raw materials at Tk50–70 per kg for pizzle and Tk400–450 per kg for omasum. After processing, exporters buy these items at Tk550–650 per kg, clean and package them, and store them in cold storage for overseas shipment.
Despite this well-established supply chain, the collection rate remains low. Only 10% of cattle slaughtered during Eid yield omasum and pizzle for export, according to traders.
"There is massive potential. If we could collect and export 100% of omasum and pizzle, it would bring in thousands of crores in foreign exchange," said Md Yunus, President of the Chittagong Omasum Storekeepers Cooperative Society. "We need greater awareness among the public and financial support for entrepreneurs."
Room to grow
Exporters say the demand for omasum and pizzle peaks between November and January, particularly in China during the New Year. With proper infrastructure, awareness campaigns, and financial incentives, stakeholders believe Bangladesh could significantly increase its earnings from this overlooked byproduct of the meat industry.
Abdul Quader, former President of the Chittagong Raw Hide Traders Association, noted that many leather traders who suffered from the industry's decline have now turned to the omasum and pizzle trade for survival.
"This industry has proven to be a lifeline for many. With the right policy support, it can be scaled up nationally," he said.
As Bangladesh continues to seek avenues for export diversification, the underutilised omasum and pizzle sector offers a clear example of a low-cost, high-return opportunity– if only the country takes notice.
