BSS
  06 Oct 2025, 18:29

EDCL turns profitable: Samad Mridha

EDCL Managing Director Md. A. Samad Mridha. Photo: BSS

By Borun Kumar Dash

DHAKA, Oct 6, 2025 (BSS) - Essential Drugs Company Limited (EDCL) Managing Director Md. A. Samad Mridha said EDCL has been turned into a profitable institution and in near future it will produce and supply all the medicines the public hospitals distribute free of cost to the patients.

“The winds of change have already started blowing in EDCL, which was mired in irregularities, corruption and mismanagement of the previous government,” he told BSS in an interview today.

He said EDCL, the only state-owned pharmaceutical manufacturing company, once stagnant institution, is on the path to success today. 

The winds of change are blowing with a combination of efficient management, transparent procurement policy and modern technology, he said. 

“EDCL is becoming an example of good governance. The company has achieved remarkable success in just about a year. The company is now moving forward with new enthusiasm by increasing working hours, reducing overtime costs, off loading inefficient manpower and increasing production capacity,” he said.

Regarding the increase in working hours and speed of production, the Managing Director of EDCL said, EDCL's production machinery is now being run for 30 minutes more every day. 

This has increased 1,261 working hours daily which makes a total of 3,10,206 more working hours possible per year.

He said this increased efficiency has saved about Taka 46,530,900 per year. As a result, it is possible to complete daily work within the scheduled office hours, he added.

Samad Mridha said due to changes in management, Taka 41,352, 283 has been saved on overtime compared to the previous period. 

This has been possible due to increased working hours and efficiency in time management, he said.

He said, "Previously, work used to be completed at night, now everything is completed on time. Everyone has become more responsible for the work. In addition, production has increased even though 722 additional and inefficient employees have been reduced.” 

In the 2024-25 fiscal year, drug production increased by Taka 59 crore, and there was a saving of Taka 24 crore on salaries, he said, adding as a result, the company has come out of the financial crisis and returned to a stable state.

Regarding savings in toll manufacturing, EDCL's Managing Director said due to the increase in the production capacity of the company, toll manufacturing has been reduced by one-third compared to the previous period.

Earlier, 33 items of drugs were manufactured in external factories, now 12 items are being manufactured, he said, adding as a result, Taka 30.67 crore has been saved in the fiscal year 2024-25. 

“We will gradually increase our production capacity and completely stop toll manufacturing,” he said.

Regarding EDCL's Gopalganj project, Samad Mridha said that a trial run for the production of birth control pills and edible saline is already underway in the Gopalganj branch. 

In addition, a machine trial is also underway for the production of IV fluid (500 and 1000 ml), he said, adding that once the project is fully operational, there will be a big change in the supply of saline in the country.

Stating that transparency has been brought in the procurement process, he said as the syndicate has been broken in EDCL's procurement process, more bidders are now participating in the tender. 

In this, raw materials are being purchased at competitive prices, he said. As a result, Taka 26,68,58,997 has been saved in the current fiscal year. 

Earlier, bidders used to increase the price by syndicating. Now, with competitive prices assured, raw materials are available at low prices from good sources, he added.

Regarding the progress of the vaccine project in Sirajdikhan, Munshiganj, the EDCL MD said that the construction process of EDCL’s new vaccine production center in Sirajdikhan Chemical Industrial Park is in full swing, which will be launched by 2027. 

“If it is launched, it will meet the country’s vaccine demand and create opportunities for export abroad. In addition, a modern pharmaceutical factory is under construction in the same area as per FDA guidelines, where international standard drug production will be possible,” he said.

Regarding the improvement of Good Manufacturing Practice (GMP) standards and construction of new buildings, Samad Mridha said that a multi-storey building is under construction on 67.109 decimal land next to EDCL’s Dhaka factory.

This will increase production capacity in addition to improving GMP standards and saving about Taka 13 crore annually on the cost of rented warehouses, he said.

About the motivation and training of employees, the EDCL top official said, "Through motivation and training, employees have been made productive. Where many workers were absent from work earlier, now they are performing their duties on time. This has increased the speed and quality of work." 

EDCL Managing Director Samad Mridha said that the monitoring of the organization's procurement has been strengthened and the overall cost rate including packaging, raw materials, engineering materials, stationery and other purchases, dining-related expenses has already been reduced. 

Work is underway to modernize and expand the Dhaka, Khulna and Bogra projects, he said, adding that if the projects are completed properly, EDCL will be able to fully meet the government's demand for medicines.