Experts have underscored the need for coordinated and strategic efforts to transform Bangladesh’s light engineering sector into a more export-oriented and competitive industry, positioning it as a key pillar of the country’s next phase of industrialisation.

They said that although research, dialogue and policy discussions on the sector have continued since independence, tangible outcomes have remained below expectations.

With Bangladesh set to graduate from least-developed country (LDC) status and gradually lose duty-free market access, speakers stressed that strengthening capacity, upgrading technology and ensuring effective policy support have become increasingly urgent.

The observations were made at the inauguration of the three-day Bangladesh Light Engineering Expo 2026, organised by the Bangladesh Engineering Industry Owners Association (BEIOA), which began in the capital on Monday.

The expo will run until February 4 and remain open daily from 11:00 am to 7:00 pm, showcasing the latest technologies, components, machinery and innovative products from the sector.

Speaking as chief guest, Md Abdur Rahim Khan, additional secretary and project director of the Export Competitiveness for Jobs (EC4J) project, said that despite decades of discussion and study across various sectors, expected development outcomes had not been fully realised.

He observed that globally, light engineering products play a crucial role in reshaping export structures, but Bangladesh has failed to capitalise on this opportunity over the past five decades.

‘Bangladesh moved from agriculture to manufacturing and became deeply integrated into textiles and readymade garments. But the next step, light engineering, has not seen the transition it should have,’ Rahim said.

As a special guest, Hosna Ferdous Sumi, senior private sector specialist at the World Bank, said the EC4J project was providing extensive support to enhance the competitiveness of the light engineering sector.

She said that alongside export prospects, the domestic market, valued at around $8 billion, also offers substantial opportunity.

Chairing the session, BEIOA president Abdur Razzaque said the light engineering sector provides vital backward linkages to agriculture, textiles, construction, power, automobile and household appliance industries.

He said that the sector comprises around 50,000 small and medium enterprises, employs nearly 300,000 skilled workers and contributes about 3 per cent to national GDP.

Although the sector meets nearly half of the country’s $8.2 billion domestic demand and produces some 3,800 types of machinery and components, Razzaque said heavy reliance on imported machinery remains, pointing to significant scope for expansion.

With global engineering markets estimated at $7 trillion, he said Bangladesh’s share remains below 1 per cent, with exports currently at about $795 million.

With appropriate policy and investment, exports could reach $12.56 billion by 2030.

The inauguration was attended by senior BEIOA leaders, representatives of the EC4J project, and officials from the Ministry of Commerce.