Carew and Company Distillery Profit Crosses Tk 200 Crore Amid Sales Boom

🍹 Darshana, Bangladesh — Riding on surging demand, state-owned distiller Carew and Company (Bangladesh) earned more than Tk 200 crore in profit before tax from its distillery unit alone in fiscal 2025-26 — a first for the company.

📊 Liquor sales rose to around Tk 500 crore for the first time, marking 10% growth from the previous fiscal year, while profit before tax increased 18% to Tk 224 crore, according to a company official. The fiscal year ended in June 2026.

💰 Financial Performance Highlights

📊 Key financial metrics for Carew’s distillery unit in FY2025-26:

• 💰 Liquor sales: ~Tk 500 crore (first time above Tk 500cr)
• 💰 Profit before tax: Tk 224 crore (up 18% from Tk 190cr in FY25)
• 💰 Sales growth: 10% year-on-year
• 💰 Retained earnings: ~Tk 1,500 crore (expected)
• 📊 4th consecutive year above Tk 400 crore gross revenue
• 📊 5th consecutive year above Tk 100 crore net profit

🤝 Import Restrictions Drive Growth

📊 The growth in Carew’s sales and profits has largely been driven by the government’s decision in 2021 to restrict imports of foreign liquor in an effort to curb tax evasion. The move increased demand for locally produced alcohol, benefiting the state-owned company, according to officials.

💬 MD Rabbik Hassan: Growing Demand

💬 Carew’s Managing Director Rabbik Hassan told The Business Standard: “Due to growing sales amid a surge in demand, the company’s profit is gradually increasing.”

⚠ Sugar Unit Still Losing Tk 60 Crore

💬 “Despite rising profitability in the distillery unit, the sugar unit continues to incur losses as recovery rates are not improving. Carew’s sugar unit incurred a loss of around Tk 60 crore in FY26, but revenue in other business segments — such as the commercial farm and bio-fertiliser units — is growing,” he said.

💬 “The second sugar-producing unit, set up with an investment of around Tk 100 crore, has recently come into operation, giving us hope to stop the bleeding in the sugar division. If we can run this unit at full capacity, losses will decline,” he added.

📊 FY2025 Comparison

📊 According to its annual report for FY25, Carew’s distillery unit posted:

• 💰 Profit before tax: Tk 190 crore
• 💰 Corporate tax paid: Tk 32 crore
• 💰 Net profit: Tk 158 crore
• 💰 Sugar unit loss: no corporate tax paid on sugar
• 💰 Consolidated revenue: Tk 499 crore
• 💰 Consolidated net profit: Tk 97 crore (after sugar losses)

📊 FY2026 Segment Performance

📊 Sales breakdown for FY2026:

• 🍹 Distillery sales: ~Tk 490 crore (up 10% from Tk 444cr in FY25)
• 🌾 Sugar unit sales: ~Tk 30 crore (flat year-on-year)
• 📊 Other segments: revenue yet to be finalised (audit under way)

📋 Tax Contributions

📊 In addition to corporate tax, Carew pays:

• 💰 Excise duty
• 💰 Value-added tax (VAT)
• 💰 Regulatory duty (RDF)
• 💰 Surcharge

🏛 Company Background

📊 Carew and Company (Bangladesh) details:

• 📅 Established: 1938
• 📅 Nationalised: 1972
• 🏙 Location: Darshana, Chuadanga
• 🏭 Primary business: Sugar mill
• 🍹 Secondary business: Licensed distillery producing alcohol from sugar molasses
• 👥 Ownership: State-owned (Government of Bangladesh)

🌏 Strategic Context: Bangladesh Spirits Industry

📊 For Bangladesh’s spirits industry, Carew’s performance reflects several market dynamics:

• 🚫 Import restrictions — 2021 policy curbing foreign liquor imports boosted domestic production
• 💰 Tax revenue — Carew contributes significant excise duty, VAT, RDF and surcharge to government
• 📊 Domestic demand growth — 10% annual sales growth signals expanding market
• 📊 Molasses utilisation — distillery uses sugar molasses, creating value chain integration
• 📋 State monopoly — Carew is one of few licensed domestic distillers

✅ For Bangladesh’s broader industrial landscape, Carew’s success in the distillery segment demonstrates how import substitution policies can create domestic industrial growth — even in sectors traditionally dominated by imports. The company’s ability to generate Tk 224 crore in profit before tax, while paying substantial taxes to the government, makes it a significant contributor to public revenue.

🌏 For the sugar sector, Carew’s ongoing losses in its sugar unit (Tk 60 crore in FY26) highlight the structural challenges facing Bangladesh’s sugar industry — including low recovery rates, ageing machinery, and competition from imported refined sugar. The new Tk 100 crore sugar unit investment offers hope for improvement, but the fundamental competitiveness issues in sugar production remain to be addressed through broader sector reform and modernisation.