The ice cream industry began 2023 with a strong 40% growth, but complications, including a dollar crisis affecting raw material imports, delayed shipments, reduced consumer numbers due to inflation, and changing weather conditions, have led to a slowdown to 18-20% growth since July 2023.
Despite an initial projection to surpass Tk2,500 crore in annual sales, the current situation suggests the industry might fall short of Tk2,300 crore. Import-dependent raw materials, impacted by a 40% surge in international prices, have led to three price adjustments, capped at 15-16%, as manufacturers navigate inflationary pressures. Igloo Ice Cream, holding a 35% market share, faces challenges in raw material imports due to the dollar crisis. Polar, following closely with a 25% share, is undergoing factory relocation. Savoy, gaining market share through strategic investments, faces obstacles from rising international prices and high customs duties on raw materials.
Entrepreneurs using 12% milk fat encounter challenges from increased customs tariffs. The industry remains resilient, adapting to market challenges.
