Meghna Group partners with Turkey’s Tam Hangers to produce RMG hangers

Infographics: TBS

The Meghna Group is collaborating with Turkey's renowned Tam Hangers to produce plastic garment hangers for export to retailers worldwide.

In Bangladesh, this collaboration operates under the name Tam Hangers Bangladesh Limited, with 51% ownership held by Tam Hangers and 49% by Meghna Group.

A new facility in Mirzapur, Tangail, began trial production on 4 October, using 16 machines, each capable of producing 30,000 hangers a day. The facility plans to expand to 40 machines with a total investment of $7.5 million, creating approximately 500 jobs.

Md Shahidullah Shahid, head of International Business Development at Meghna Group, said they will continue trial production for three months.

In addition to producing new hangers, the company is recycling old ones sourced from abroad to create new products, thus reusing raw materials for virgin production. 

Tam Hangers is a leading supplier of hangers to global brands and operates in over 50 countries, including the UK, China, Germany, Italy, India, and Australia.

According to the company's website, Tam Hangers has been involved in the production and sales of hangers since 1972, serving the global textile and apparel market.

Paul Williams, co-CEO of Tam Hangers, attended the factory's opening ceremony alongside other directors from the Meghna Group.

Shahid said their three-storey factory currently occupies two acres, with an investment of $3 million to date. Located within the 34-acre Meghna Industrial Park, the facility is set to expand to five stories.

"After an audit, we will begin shipping directly to retailers, while the products made during this period will be stored," he added.

He said the factory is committed to sustainable production practices, noting that it will use recycled materials and operate entirely on solar power, with an initial 500-kilowatt solar setup in place.

Shahid also said they have been nominated as a supplier of hangers for global brands, including Marks & Spencer and H&M. 

"These brands purchase garments from Bangladesh, and the companies supplying products to them will source hangers from us," he added.  

"However, we will also export products directly," Shahid said, mentioning that the new facility is located near Meghna Group's production unit, which manufactures plastic buttons, labels, and other garment accessories. 

According to the Bangladesh Garments Accessories and Packaging Manufacturers and Exporters Association, there are about 1,800 packaging and accessory manufacturing units, primarily located in Gazipur, Narayanganj, and Tangail. 

These factories produce over 40 types of products—including buttons, plastic hangers, polybags, labels, zippers, and thread—contributing approximately $8.22 billion (deemed and direct) in earnings for the country during the 2022-23 fiscal year, with about $1 billion coming from direct exports. 

The association's adviser Md Moazzem Hossain Moti told TBS that direct hanger exports earned $30 million for Bangladesh last year, adding that foreign investment will further boost the industry. 

Concerning the sustainability of the project, Shaidullah Shahid said Bangladesh needs a circular economy to achieve sustainable economic development amid global climate risks. Global brands are also encouraging manufacturers to focus more on recycling in their production processes. 

At the Bangladesh Business Summit 2023, H&M Group's Stakeholder Engagement and Public Affairs Manager Faisal Rabbi said recycled materials and decarbonisation will be crucial for the ready-made garments sector, as these may soon be requirements for market access in the European Union. 

The backward linkage industry in Bangladesh supplies 90% of the necessary accessories for export-oriented garments, positioning it as a potential hub for meeting global market demand.