Aci Logistics Limited

ACI rolls out plans to expand retail business, Sohel Parvez, ACI Logistics has rolled out plans for expansion in major cities in its strides to emerge on the top of retail chain business, dominated by tens of thousands of small and medium retailers across the country in an unorganised fashion.

The company will expand outside Dhaka and targets such cities and big towns as Narayanganj, Chittagong, Comilla, Sylhet, Khulna, Barisal, Rajshahi, Rangpur and Jessore.

"We are here to bring about changes in consumers' lifestyle and establish consumer rights by offering them fair price and weight as well as hygienic foods, " said Asif Iqbal, chief operating officer of ACI Logistics, one of the subsidiaries of ACI Limited.

The ACI Logistics executive made the statement after the company launched 12 retail outlets in different corners of Dhaka city under the brand, Shawpno, to venture in retailing where a few biggies such as Rahimafrooz, Gemcon Group and Nandan are now catering.

Industry insiders linked the entry of corporate giants such as ACI with the business potential in the retail and wholesale trade, contribution of which has been more than 13 percent to GDP since fiscal 1999-2000.

"We want to offer products to consumers within their purchasing capacity. We charge prices for almost all the products including perishables like vegetables below the prices charged in wet markets, " said the ACI official yesterday.

"Our aim is to give consumers a relief from their unpleasant shopping experiences through these neighbourhood stores, " he said.

Making debut in retailing both the perishables and fast moving consumer goods in October last year, ACI now has the highest number of outlets among all the retail chain store operators, although the size of its stores is relatively small than those of others.

ACI entered the scene at the time when a section of urban consumers, attracted by flourishing superstores in the last eight years, are shifting to the chain stores from wet or kitchen markets.

Officials said the aim of ACI is to open more than 50 outlets this year.

ACI says its each outlet shelves around 5, 000 items in an area between 1, 500 square feet and 6, 000 square feet in its aspiration to emerge what it terms as 'neighbourhood retail chain outlets' by concentrating on the vicinities with everyday needs of consumers.

"We carry out our operations keeping in mind the interests and rights of farmers, small suppliers and consumers, " Iqbal said, "As a part of our aim, we are now procuring essential food items like vegetables directly from the farmers. "

The company now endeavours to collect vegetables directly from the farmers by appointing a small supplier from the farmers' community.

One of the suppliers, the company has already managed, is Mohammad Asad, a small farmer from Raipura in Narshingdi.

Asad is not only supplying his produce -- eggplant and cucumber -- directly to ACI but also has organised around 30 of his mates to supply vegetables.

"I get better price compared to the local market price by selling vegetables to ACI. We fix price by comparing the prices in different wholesale markets including in Dhaka, " said Asad.

Tota Mia, another farmer, said he now gets higher prices than he got earlier by selling at local markets.

"It has helped increase my earnings and reduce my costs of transportation as I can supply the produce from my doorstep, " said Tota.