GREEN BUSINESS:

Prepared for: Shah Ridwan Chowdhury

Assistant Professor

Department of Management

University of Dhaka

Prepared by:

Name Roll Remarks

Nurun Nahar Nishu 3416022
Arsha Shamini Huq 3416018

Course Title: Introduction to Business

Course Code: EM 501

Date of Submission: 1st December, 2016

Shah Ridwan Chowdhhury

Assistant Professor

Department of Management

University of Dhaka

Subject: Submission of Term Paper

Dear Sir,

This is the exceptionally overwhelming experience of submitting the project paper “Green
Business” which we have prepared with hard work and being driven by the urge as an MBA
student always put up with on. While making this report, we have experienced a fair knowledge
about the picture of eco-friendliness and environmental sustainability with regard to the business
sector of Bangladesh as well as the outside. We have tried our best to follow your guidelines in
every aspect of preparing this report. We have collected what we believed to be the most relevant
information to make the report as coherent as possible.

Here we want to take the opportunity to thank you for your heartiest co-operation and requesting
you humbly to go through the paper and scrutinize how far we have been successful in our effort.

Sincerely yours,

Nurun Nahar Nishu

34-024
MBA 34th batch,
Department of Management
University of Dhaka
 Table of Content

Chapter No. Name of Content Page No.

1. Introduction
1.1 Objective of the report
1.2 Methodology
1.3 limitation of the report
2. Literature Review
3. Green Business Highlight
4. Practice in Bangladesh
4.1 Banking Sector
4.2Industrial Sector
4.3Agricultural Sector
5. Global Aspects of Green Banking
6. Identification and Analysis Gap
7. Conclusion
8. Bibliography
Acknowledgement
We would like to thank my honorable faculty Shah Ridwan Chowdhury, Assistant Professor,
Department of Management, University of Dhaka for providing us with the opportunity and
privilege of working with the challenging topic of “Green Business”. His earnest cooperation and
guidance has made this report as seamless as possible.
Chapter 1: Executive Brief
 Chapter 2: Introduction

2.1 Objective of the study

The main objectives of the study can be summarized as follows

-To evaluate the performance of companies and banks in Bangladesh and abroad

-To examine how these organizations carry green business practices

-To identify the major economic and social features influencing the practice in the industry

-To stain out the influential factors

-To find out the problems

-To offer some suggestions

2.2Methodology

Source of Data

Data was mainly collected from secondary sources. The secondary data was collected from
company annual report, different publications, and websites. For the purpose of this study,
secondary data are collected from annual reports, company websites and different journals.

Limitation of the Study

Green business is indeed a very popular concept. But its practice is not started with full rhythm.
So we faced some limitations .The study cannot overlook these limitations:

 Time is not enough to complete such a study regarding this practice, in a lucid manner.

 Non-Availability of some preceding and latest data.

Chapter 3: Global Aspects of Green Business
The ozone layer is depleting, there is global warming and world leaders are all working hard to
ensure that they save our world .At present most of the world business giants are concerned
about the fact and trying to make their firms green that is environment friendly as much as
possible. Green businesses adopt principles, policies and practices that improve the quality of life
for their customers, employees, communities, and the planet. Analyzing the activities of global
firms we can notice some characteristics like:

Green businesses are socially and environmentally responsible

Green companies adopt principles and practices that protect people and the planet. They
challenge themselves to bring the goals of social and economic justice, environmental
sustainability, as well as community health and development, into all of their activities from
production and supply chain management to employee relations and customer service.

Green businesses care for their workers

Green businesses ensure they don’t use sweatshop or child labor. Everyone who works directly
for them or their suppliers earns a living wage and works in healthy conditions. They create jobs
that empower workers and honor their humanity. They also serve as models for the role
businesses can play in the transformation of our society to one that is socially just and
environmentally sustainable.

Green businesses protect their customers and clients

Green businesses ensure that they use the safest ingredients, to keep their customers and clients
and their families healthy. They also provide green living alternatives to improve quality of life,
with products and services that help in areas like affordable housing, sustainable agriculture,
education, clean energy and efficiency, fair trade, healthy air, clean water, and more. And
they reduce, reuse and recycle, setting a good example.
10 Global Ecofriendly companies:

A few generations ago it seemed like the world’s resources were infinite, and people needed only
to access them to create businesses and grow humanity. For every company that spills millions of
gallons of oil into the oceans, there are plenty more companies operating under this new ethos.
Here are a few standout green companies that deserve accolades:

1. IKEA

IKEA’s invested in sustainability throughout its entire business operations, including

things customers can readily see and things they can’t. It starts with their supply chain,
where the Swedish furniture-maker has sourced close to 50 per cent of its wood from
sustainable foresters and 100 per cent of its cotton from farms that meet the Better Cotton
standards, which mandate reduced user of water, energy and chemical fertilizers and
pesticides.

IKEA has more than 700,000 solar panels powering its stores, and plans to start selling
them to customers in the UK. In 2012, IKEA announced its goal to be powered by 100
per cent renewable by 2020 – but just four years later, it upped the ante aiming to be a net
energy exporter in the same time.

2. Unilever

Unilever has done more than make green investments, it’s made sustainability part of its
corporate identity. The company’s Sustainable Living Plan sets targets for sourcing,
supply chain and production on everything from energy and water use to treatment of
suppliers and communities where they operate.

When it was first adopted in 2010, CEO Paul Polman said he wanted to double the
company’s business while halving its environmental impact in just 10 years.
It’s made amazing strides: three quarters of Unilever’s nonhazardous waste does not go
to landfills and the share of its agricultural suppliers that use sustainable practices has
tripled. The United Nations awarded the company’s CEO its Champion of the Earth
Award in 2015 for his efforts toward reaching this goal.
3. Panasonic

Panasonic doesn’t get as many public accolades as many companies (something that Intra brand,
which ranks companies on sustainability, calls the 'gap'), but it consistently wins high marks
from experts.

Like many companies on this list, Panasonic has ambitious energy goals, both in terms of
efficiency and renewable, and it also focuses on making environmentally friendly
products.

What sets them apart is the way they’ve incorporated sustainability into their day-to-day
life. It moved its North American headquarters from suburban Seacaucus, New Jersey to
a LEED-certified building in downtown Newark by Penn Station, an intentional move to
eliminate the need for employees to drive to work and reducing their carbon footprint.
They’re also partnering with several companies to make a demonstration Sustainable
Smart Town in Japan centered around sustainability.

4. Allergan

The Venn diagram between environmentalism and Botox has a pretty small overlap, but smack
in the middle of it is Allergan, the Botox producer that has been at or near the top of Newsweek’s
green companies’ rankings for years. The California-based pharmaceutical company began its
commitment to sustainability more than two decades ago with a policy on water conservation
grounded in reporting and benchmarking.

Their strategy has grown from water to energy conservation, waste reduction and
emissions reduction in both their direct operations and supply chain. In 2016, it won the
Environmental Protection Agency’s Energy STAR Award for the fifth time, recognizing
its achievements in energy efficiency.

5. IBM

IBM was another early adopter of sustainability and eco-friendly business. Corporate social
responsibility and environmental stewardship has been part of the company’s mission since the
1960s. Its first sustainability report was published in 1990 and its data centers have received
awards from the European Commission for their long-time energy efficiency successes. Today,
IBM’s efforts include smart buildings that reduce resource demand, green procurement, water
resource management and more for a truly comprehensive approach.
6. Adobe

Adobe systems was the greenest IT company in Newsweek’s 2014 rankings, a well-earned
distinction. The company has already made some impressive achievements, including obtaining
LEED certification for more than 70 per cent of its workspaces, including retrofitting a historic
building in San Francisco. It also has ambitious goals—including getting to net zero energy
consumption and reducing its packaging, packaging being a resource drain and big contributor to
plastic pollution. Adobe was also a corporate leader in reducing its water use to respond to
California’s historic drought, even after it had already reduced its water use by more than 60 per
cent since 2000 through means like installing environmentally friendly fixtures and landscaping
with native plants.

7. Nike

Nike hasn’t always had a stellar record when it comes to corporate sustainability, but they’ve
made a lot of change that’s doing a lot of good. Nike topped Morgan Stanley’s list in 2015 of
most sustainable clothing and footwear brands.

Key to their success is the company’s robust disclosure about its supply chain and
production practices. They’re also making it easier for designers to make green choices
with an app that helps you compare the environmental footprint of different fabrics.
Like, Patagonia, it also uses post-consumer recycled materials in some of its products,
including its 2011 World Cup jerseys. It’s also redesigned its boxes to reduce packaging,
committed to eliminating chemical discharges, invested in energy efficiency in its
factories and more. Nike is also partnering with NASA and other government agencies to
spark innovation in chemistry to green the processing of raw materials into goods.
Companies considered best for the environment (Forbes Magazine)

The renowned magazine Forbes highlighted 11 companies who are conscious about the
sustainability of the environment and run their business in an eco-friendly way.

Seventh Generation

Seventh Generation not only uses sustainable practices, it’s also created space for green products
in a particularly environmentally destructive industry – household cleaners. Seventh Generation,
the Burlington, VT-based maker of environmentally friendly laundry detergent, trash bags and
diapers, takes its name from an Iroquois law that says, “in our every deliberation we must
consider the impact of our decisions on the next seven generations.” It was founded in 1988.

Cleaning products are mostly washed down the drain, and despite the best efforts of
wastewater treatment plants, some of the strong and toxic chemicals still pollute
groundwater and waterways.
Often, the argument against more environmentally friendly ones is they don’t work as
well – but that myth died with the success of Seventh Generation. Now, even brands like
Clorox have created greener versions of their products to meet demand for
environmentally friendly cleaning options.

The company has been trying to make good on that pledge, selling a line of products that
includes biodegradable, vegetable-based cleaning products, chlorine-free tampons and
paper towels and natural lotion baby wipes.
Its environment-saving goods and company policies land Seventh Generation, which
banks more than $200 million in sales, at the top of a list of 84 companies considered
“best for the environment” by B Lab, a seven-year-old non-profit based in Berwyn, PA
that invented the concept of a “Benefit Corporation,” a company that turns a profit while
benefiting its workers, its community and the Earth, sometimes at the expense of its
owners.

Founded by three Stanford buddies–two former basketball apparel entrepreneurs, Jay Coen
Gilbert and Bart Houlihan, and Andrew Kassoy, who used to manage Michael Dell’s private
investments–B Lab puts applicant companies through a rigorous vetting process, where it uses a
200-point system to measure companies’ performance in five areas: accountability, which
includes governance, transparency and customer engagement; employee impact, like
compensation, benefits, job flexibility and worker health and safety; consumer, including
whether its products promote public benefits or are targeted at under-served populations; and
community, which measures the extent to which the company uses locally sourced materials and
donates to local charities and service projects.

Method

Tied with Seventh Generation for the top score is a competitor, method, which also makes
environmentally friendly cleaning and personal care products, though its line is more limited
than Seventh Generation’s and doesn’t include paper products and trash bags. Based in San
Francisco, method was founded by high school friends and former roommates Eric Ryan and
Adam Lowry, who were determined to make their cleaners both effective and aesthetically
appealing, with packaging that would attract buyers. One of their signatures: clear, tear drop-
shaped bottles that dispense hand soap. It uses recycled plastic in all of its products and works
with suppliers to improve their environmental efficiency.

Go Lite

In third place: Go Lite, an outdoor clothing and equipment maker in Boulder, CO. Founded in
1998 by backpackers Kim and Demetri (Coup) Coupounas, the company specializes in ultra-
light packs, sleeping bags and down jackets. The company’s ambitious goal: to mitigate 100% of
its environmental footprint. To do this, it uses so-called “Environmentally Preferred Materials”
(EPMs) like recycled nylon and polyester, instead of newly-produced petro-chemical-based
fabrics and parts. So far, 67% of its materials are EPMs but it’s aiming for 100% by 2015. It also
has a product take-back program where it pledges to recycle and reuse items returned by its
customers. Go Lite is trying to make its headquarters a zero waste facility, where it recycles or
composts all of its garbage.

New Belgium Brewing

In fourth place: New Belgium Brewing in Fort Collins, CO, maker of Fat Tire Amber Ale.
Cofounded in 1991 by its CEO, former social worker Kim Jordan, who was inspired by a bike
trip through Belgium, it’s the third-largest craft beer maker in the U.S. Colorado-based New
Belgium Brewing is an industry leader when it comes to sustainability, an ethos that is shot
through every part of the company from its production and marketing to encouraging employees
and customers to bike rather than drive. The brewery diverts 99.8 per cent of its waste from
landfills. In addition to making energy efficiency integral to their brewing process, they’re also
an outspoken advocate for climate change action and signatories to both the BICEP pro-climate
business coalition and the Brewery Climate Declaration.

Among its environmentally-friendly practices: It monitors and records all of its energy use,
waste production and emissions and recycles, reuses or composts more than 75% of the waste it
produces in manufacturing. It also makes bikes and a Prius available to employees to run local
errands. One hundred percent employee owned, the company has more than 480 employees and
upwards of $180 million in revenues.

Patagonia

No. 5 on the list is one of the largest, best-known B Corps, Patagonia, the maker of high-end
outdoor equipment and clothing with more than 1,300 employees and some $540 million in
sales. Founded 41 years ago by outdoor enthusiast Yvon Chouinard, who used to make climbing
tools in his Ventura, CA blacksmith shop, the company pledges that three quarters of its
materials are “environmentally preferred,” meaning they are recycled, organic or otherwise
environmentally sound. A 2015 New Yorker profile called Patagonia’s corporate strategy 'anti-
growth', a tongue-in-cheek nod to the retailer’s crusade against conspicuous and superfluous
consumption. They’ve released ads encouraging people to not buy things they don’t need (even
their own products) and implemented a program to repair rather than replace their products.

Their commitment lies in their products – not just their messaging and marketing.
Wetsuits are made of natural rubber and plastic bottles are turned into parkas.
Patagonia also recognizes the importance of political action on the environment and has
made voting for eco-friendly leaders a cornerstone of its sustainability message.

The company’s environmental record stretches back to the early ‘70s when it urged climbers to
use nuts and runners instead of pitons, which damage rock. In 1985 it started a practice of tithing
1% of profits to environmental preservation groups. Since 1995, employees have gotten up to
two months off with full pay to volunteer for an environmental organization. The company has
dozens of other environmental initiatives, including a program in Patagonia, South America to
buy merino wool only from farmers who use sustainable grazing practices.

Solberg Manufacturing

Sixth on the list is oil and vacuum filter maker Solberg Manufacturing in Itasca, IL, outside
Chicago. Its products protect machinery and the surrounding environment. The company is
working with the U.S. Energy Department’s Better Buildings Better Plants program, aiming to
cut its energy use by 25% over 10 years. Already more than half of its energy supply comes from
renewable sources.

West Paw Design

No. 7: West Paw Design, in Bozeman, MT, whose 70-plus employees make eco-friendly dog
toys, mats and beds that are filled with fiber from recycled plastic bottles. Founded in 1996, the
company manufactures 98% of its products in the same Bozeman facility that houses its offices,
it uses recycled paper and soy-based inks in its packaging and invites customers to send back
used products for recycling.

No. 8: Sungevity

Tied for eighth place are two solar companies, Sungevity in Oakland, CA, which bills itself as
the nation’s fastest-growing residential solar company, and Namasté Solar, an employee-owned
company in Boulder, CO that also produces and installs home solar systems in addition to
systems for businesses and government offices. Sungevity uses satellite images and aerial
photography to assess a roof remotely and offer quotes. Namasté, founded in 2005, has installed
more solar systems than any other company in Colorado.

Positive Energy Solar

Another solar company, Positive Energy Solar, in Santa Fe, NM, is tied for ninth place. Like
Namasté, it is owned by its employees and its core business wins it a spot on B Lab’s list.

WasteZero

The core business of WasteZero is also pro-environment. Its mission: To cut U.S. residential
solid waste in half. Founded in 1991, the Raleigh, NC company started out recycling plastic
grocery sacks into garbage bags. By 1992 it became a pioneer in the so-called pay-as-you-throw
model, where residents pay for trash collection based on how much they throw away, producing
an economic incentive to recycle more. WasteZero has compiled some sobering statistics: Every
year, Americans spend $100 billion discarding recyclable materials, including 59 billion pounds
of paper, 63 billion pounds of plastic, and six billion pounds of aluminum. Instead of being
recycled and reused, the waste is incinerated and stuck in landfills, polluting the air, water and
earth.

50 innovative green business ideas for 2016

Green Product Sales Business Ideas

1. Sale of Energy Saver Electric Bulbs

The concept of going green is all about saving energy and making use of an ecosystem friendly
gadgets and materials et al. One of the green product sales businesses that an aspiring
entrepreneur can easily launch is the sale of energy saver electric bulbs. As a matter of fact,
energy saver electric bulbs are trending currently in most parts of the world simply because it
reduces electric bills.

2. Sale of Used Books

If someone is looking for a thriving and profitable low start – up green products sale business to
start, then one of your options is to start retailing used books.

Just ensure that he does not only restrict the sales of used books to the conventional bricks and
mortar bookshop but he should also leverage on the internet to sell used books; the internet is
indeed the largest market available.

3. Sale of Recycle Plastic Bottles

Another thriving and profitable green product sales business that an entrepreneur can
successfully start is the sale of recycle plastic bottles. There are loads of products that one can
produce from recycled plastic bottles. One can produce products like plastic bottles, buttons for
clothes, plastic components, plastic chairs, toys, plastic ruler, plastic bags, just to mention but a
few.

That is why it is important to conduct research and feasibility studies so that one can know the
product that is of high demand before building the plastic bottle recycling company. It is a fact
that the market for plastic bottle recycling business is profitable and open.

4. Go into the Production and Sale of Bio fuels

Bio fuel is another source of energy that is becoming more popular and it is safe and ecosystem
friendly. Just ensure that one conducts a thorough feasibility studies and market survey before
going into this type of business.

5. Sale of Recycled Paper Bags

The sale of recycled paper bags is yet another highly thriving and money – spinning business that
an entrepreneur who is looking towards starting a green product sale related business should
consider. It is fact that in most countries in Europe and even in North America, retail outlets are
encouraged to make use of recycled paper bags simply because they are environmental friendly
and they can easily decomposed when discarded.

6. Sale of Recycle Glass Products

Another green product sales related business that an aspiring entrepreneur who is looking
towards starting a business should consider starting is the sale of recycled glass products. Glass
is one material that can’t decomposed hence it is advisable to recycle and continue to re – use
them. Besides it is cost effective and energy saving recycling glass as against producing virgin
glass products. It is a cool means of earning income.
7. Open a Consignment Store

Opening a consignment store is yet another green product sale related business that an
entrepreneur who is looking towards starting a business can successfully launched with little start
– up capital. The essence of green product sales is to encourage the reuse or recycling of
products so as to save the world the energy of producing new products.

8. Sale and Repair of Bicycle

Another green product sale related business that an aspiring entrepreneur who is looking towards
starting an eco-friendly business should consider starting. On like petrol / diesel powered
automobiles, bicycles do not emit gas and this is why it is an eco-friendly means of
transportation.

9. Sale of Eco-friendly Children Toys

The sale of eco-friendly children toys is yet another thriving and profitable green sales related
business that an aspiring entrepreneur can successfully start in any part of the world. Eco-
friendly children toys are toys that can easily decomposed when they are buried in the ground.

10. Start a Paper Recycling Business

Another cool means of making money is to start a paper recycling business. There is indeed a
large market for recycled papers and as a matter of fact people are encouraged to start this type
of business because it is a way of indirectly protecting of environment. It is a fact that trees are
used in the production of papers and trees are major components when it comes to balancing the
ecosystem.

11. Go into the Sale of Refurbished Phones, Tablets and Pads

The sale of refurbished phones, tablets and pads is yet another highly thriving and profitable
green product sales related business that an aspiring entrepreneur can successfully start in any
country of the world. It is a fact that there is a large market for refurbished phones, tables and
pads simply because they are cheaper than brand new ones. It is important to note that more
energy is being consumed in the process or manufacturing brand new smart phones as against the
energy consumed in refurbishing. The essence of green product sales is to help save our
environment.

12. Go into the Sale of Refurbished Computers and Laptops

Another green product sales related business that an entrepreneur who is looking towards starting
an eco-friendly business should consider starting is to go into the sale of refurbished computers
and laptops et al. It is cost effective and energy saving refurbishing computers and laptops as
against producing new ones. There is indeed a large global market for refurbished computers and
laptops.

13. Go into the Sale of Refurbished Electronic Gadgets

The sale of refurbished electronic gadgets is yet another thriving and profitable green product
sales related business that an aspiring entrepreneur can successfully launched. Just like any
refurbished product, the process is energy saving and cost effective when compared to starting
the process from the scratch in the production of new electronics.

14. Start Cardboard Recycling Business

Another thriving and profitable green business idea that an aspiring entrepreneur should consider
starting is cardboard recycling business. Starting a recycling business in most climes receive
support from both state and federal governments, which is the reason why one should consider
starting his own recycling business.

Cardboard recycling business is all about collecting used cardboards and then recycling it so that
it can be reused for the production of cardboards or any other related materials like; books, paper
folders, et al. It is a fact that cardboard recycling business is indeed a profitable business.
15. Start an Aluminum Can Recycling Business

It is a fact that aluminum is a sustainable metal and it can be recycled over and over again to
produce new products. Another good thing is that recycling aluminum cans requires about 5% of
the energy used in the production of virgin aluminum from the ore. Although establishing your
own aluminum can recycling company requires huge startup capital and rigorous processes to
build your own plant, but it is a fact that it is indeed a profitable venture.

The market for recycled aluminum can is large and can accommodate loads of investors.
Recycled aluminum cans are used for canning foods, drinks, chemicals, lubricants, oil, industrial
gum and much more.

16. Ink Refill Business

Ink refilling business is yet another highly profitable and thriving green business product sale
related business that an entrepreneur who is looking towards starting a small scale business
should consider starting. The fact that most organizations print on a daily basis makes it
inevitable for them to run out of inks hence the need for ink refilling. Ink refill business saves the
earth from receiving unwanted empty cartridges which becomes useless and hazardous if not re –
used.

17. Start Retailing Herbal Medicines

Another easy to establish business to start in the green business industry is to start retailing
herbal medicines. It is a thriving and profitable business to start and you may need a license to
successfully retail herbal medicines. So, if one is looking for a simple business to start in the
green business sector, then one of the options available to him to go into the retailing of herbal
drugs.

18. Start a Medical Waste Recycling Business

Medical waste recycling business is yet another thriving and profitable business that an
entrepreneur who is serious about making money from the green business industry should
consider starting. As a matter of fact, the recycling industry is a thriving industry; hence medical
waste recycling wouldn’t be an exception.
19. Start Publishing Environmental Related Magazine

Another thriving and profitable business that an entrepreneur who is looking towards starting a
business in the green business industry should consider starting is the publishing of
environmental related magazine. When it comes to generating incomes, magazine companies
exploit the sale of their magazines in newsstands, from advertisement from stakeholders and of
course from those who sign – on to prepaid subscriptions and when it comes to distributing
magazines, most magazines publisher make use of the mailing system, bookshops, strategic news
– stands, through registered vendors and selected pick – up locations.

20. Start Developing Green Software Applications

Another thriving and profitable green business idea that an entrepreneur who is looking towards
starting a business should consider starting is developing and retailing of green software
applications. The software application will help people learn and understand the need for
protecting the planet; it would also offer and teach ways to protect the environment.

21. Open Electric – Powered Car Dealership Business

Electric – powered car dealership is yet another promising and of course profitable green product
sale related business that an aspiring entrepreneur who is looking towards starting a business
should consider starting. It is a fact that in the nearest future, the numbers of electric – powered
cars on our roads all over the world will increase tremendously and the best way to positioned to
leverage on this type of business is open an electric – powered car dealership shop.

22. Open Solar – Powered Car Dealership Business

Another thriving, promising and profitable green product sale related business idea that an
aspiring entrepreneur who is looking towards earning income from the green business value
chain should consider starting is to open a solar – powered car dealership shop. Just like electric
– powered cars, solar – powered cars is rapidly gaining acceptance all over the world simply
because it is environmental – friendly to drive solar – powered cars as against petrol – powered
cars.
23. Open a Music and Movies Downloads Shop

Music and movies download shop is yet another thriving and profitable green product sale
related business that an entrepreneur who is looking towards starting a business in the green
business industry should consider starting. Downloads eliminates the usage of CDs, CD casings
and printing et al which would have consumed materials and energy during production.

24. Start Retailing and Installing of Solar Panels

Another highly thriving and money – spinning green product sales related business idea that an
aspiring entrepreneur can successfully start is the retailing and installations of solar panels. No
doubt the demand for solar panels is on the increase simply because how convenient it is easy to
use plus the fact that it is eco – friendly.

25. Retailing of Recycled Furniture

Retailing of recycled furniture is yet another thriving and profitable green product sales related
business idea that an entrepreneur who is looking towards starting a business should consider
starting. If furniture is recycled, it saves our planets from losing trees and also other materials
and the energy involved in producing new furniture. Besides it is cost effective and economical
to recycled furniture as against building brand new furniture from the scratch.

26. Retailing of eBooks

As much as possible, people should be encouraged to buy more of eBooks as much as they can
rather than buy hardcopy books. This is important, because books are responsible for the failing
of several trees and we need trees in our environment to balance our eco –system. This type of
business requires low start – up capital and of course it is highly profitable.

27. Retailing of Solar Power Bank

The retailing of solar power bank is yet another trending and profitable green product sale related
business idea that an entrepreneur who is looking towards starting an environmental friendly
business should consider starting. Aside from the fact that it cost nothing to re- charge solar
power banks, solar power banks are very effective and can be used in any part of the world even
in places where one can hardly access electric at all.

28. Sale of Environmental Friendly Building / Construction Materials

Another green business idea that an aspiring entrepreneur who is into construction should
consider starting is to go green in his or her construction business. It is obvious that the
construction industry is not left out in the environmental protection movement; green
construction is now a very popular trend in the construction industry.

Green construction involves the use of environment-friendly products to build houses. For
instance; solar water heating systems are used instead of the regular heating systems and water
and energy saving materials are introduced into the house.

29. Open an Organic Product Shop

Retailing of organic products is yet another highly profitable and thriving green product sale
related business idea that an aspiring entrepreneur who is looking towards starting an eco –
friendly business should consider starting. There are loads of organic products that you can retail.
Organic hair products, skin products, cleaning materials and pet supplies are just some of the
products that one can manufacture and make good profit from.

With little or no skill, an aspiring entrepreneur can successfully launch this type of business.

30. Start Recovering and Selling of Scrap Gold

The recovering and selling of scrap gold is yet another profitable and thriving small – scale green
business idea that an entrepreneur can successfully launch. One can actually start making money
recovering scrap gold from condemned computers and electronics right from his garage or
backyard.
Green Services Business Ideas:

31. Start an Eco-friendly Non-profit Organization

One of the green services business ideas that an aspiring entrepreneur who is looking towards
starting a business that will contribute to preserving our world should consider starting is to start
an eco-friendly nonprofits organization. There are loads of activities that an eco-friendly
nonprofits organization can be involved in.

They could start the campaign for going green, discouraging people from deforestation,
encourage people to conserve energy, print only when highly necessary and encourage
entrepreneurs to start recycling business amongst many other businesses.

32. Start a Landscaping Business

Another thriving and profitable easy to start home improvement cum green service business that
an entrepreneur who is serious about making money should consider starting is to offer
landscaping services. Landscape architecture is all about the art, planning, designing,
management, preservation and rehabilitation of the land and the design of a large man – made
construct; it beautifies our environment. Landscaping business just like Lawn care business is not
one of those businesses that someone can start and make big money from without truly working
pretty hard and smart.

Any entrepreneur who intends starting his or her own landscaping business and making huge
profits from it must be very creative and must be ready to go the extra mile to convince clients
that he or she can deliver an excellent job and he or she must prove beyond every reasonable
doubt that they are competent.

33. Offer Lawn Care Services

Lawn care services is one of the home improvement cum green service based business that an
entrepreneur who is interested in making money should consider starting. It is a business that is
easy to start and manage; the basic equipment needed to start this time of business are lawn
mower, shovel, rake, wheelbarrow and shearer et all.

It is important to state that Lawn care and maintenance business falls in the category of seasonal
businesses; the industry experience downtime during the winter period and in most states in the
US. In general, the demand for lawn care services is usually at its peak in the spring and
generally between April and October.

Which is why lawn care companies are always everywhere sourcing for lawn care business deals
within this period of the year.

34. Open a Recycling Plant

People who are into recycling business don’t necessarily need to own their own recycling plant.
All they need in other to carry out their business is to locate an efficient and effective recycling
plant within their location. So if someone is looking towards starting a green services business,
then one of his options is to open a recycling plant.

35. Make Money Selling Recycle Bins for Homes

Another thriving and profitable green services business idea that an aspiring entrepreneur who is
looking towards starting an environmental friendly business should consider starting is selling
recycle bins for homes. In recent times all over the world, there have been several campaigns
concerning the need to recycle household things and a lot of people all over the world are
beginning to pull into this. This is because there might be other items which some centers do not
accept that others do since their services vary.

36. Power Plant / Generating Set Maintenance and Servicing Business

It is the norm to see offices and players in the manufacturing industry generating their electrical
power themselves especially in the developing world where electricity supply is epileptic. If one
lives in a country where companies generate their own electric power, then one of the green
business services he can render is to go into power plan / generating set maintenance and
servicing business.

The truth is that is power plan and generating sets are well – maintained, they will emit less
carbon monoxide and we know the effect of carbon monoxide in our environment. It is a thriving
and profitable business that a trained plant engineer or technician can successfully start.
37. Start Blogging on Environmental Related Issues

It is interesting to note that there are loads of people out there who are making millions annually
blogging. An environmental professional or someone who has sound knowledge in the
environmental industry, then one of the businesses that he can consider starting is to start
blogging on environmental related subjects.

38. Start Publishing Environmental Magazines and Journals

Another interesting and money – spinning business that an entrepreneur who is interested in
making money in the green services sector should consider starting is to start publishing
environmental magazines and journals. Just like blogging, if someone has useful and helpful
contents in his magazines and the magazine is wide reaching, then he will surely attract good
advertising deals from the government and from the private sector.

39. Start a Medical Waste Disposal Business

Medical waste disposal business is yet another thriving and profitable business in the healthcare
cum green services sector that an entrepreneur who is interested in starting a business can
consider. Medical waste disposal business is niche in the cleaning industry and it requires some
level of professionalism.

40. Start an Environmental TV Program

Another business idea in the green services industry that an entrepreneur who intends starting a
business in the industry should consider starting is to start an environmental related TV program.
Although there are several environmental related TV programs out there, but that does not in any
way stop someone from starting it.

41. Start an Environmental Program on Radio

Of course it is more expensive to buy slots on TV than it is for radio. So if one is looking
towards starting an environmental related program and he doesn’t have the finance to purchase
airtime on TV, then going on radio is the best options.
42. Start Organizing Green Fairs / Expos

There are loads of players in the environmental business value chain who are looking for
platforms to showcase and market their goods and services to their target market. One of such
platforms they can leverage on is green fairs / expos; a place where entrepreneurs and
organizations in the environmental industry can attend to promote and market their goods and
services.

43. Start Air duct cleaning

Another green services business idea that an aspiring entrepreneur who is looking towards
starting an environmental friendly business should consider starting is to go into air duct cleaning
services. Dusts and dirt can easily accumulate in our air ducts and these would prevent the air
conditioning system from working properly and increase energy consumption. Air ducts are to be
cleaned regularly to reduce energy consumption.

So, if you are looking towards starting a green services related business, then one of your options
is to start an air duct cleaning business. There are loads of homes and offices that will engage
your services if you go out there to market it.

44. Start a Green Consulting Business

Green consulting business is yet another thriving and money – spinning green services business
idea that an aspiring entrepreneur who is well grounded in the environmental industry should
consider starting. The truth is that, if one has the experience and of course necessary
qualifications, he will not only secure contract from the government, but also from other
organizations that are in the fore – front when it comes to the going green and saving our world
from degradation and depletion.

45. Organize International Environmental Conferences

If anyone is looking towards making money from the business value chain in the environmental
industry, then one of his options is to start organizing international conferences. If he goes online
or tune to his TV, he probably will see advertise for various conferences on subjects like ‘global
warming’, protecting the ozone layer’, climate change’ and going green amongst so many other
environmental related topics.
46. Charging station for electric vehicles

The numbers of electric – powered vehicles is increasing on a daily basis hence the need for
charging stations for electric – powered vehicles. So if one is looking towards starting a green
services related business, then one of his options is to open a charging station for electric –
powered vehicles.

47. An Energy Auditing Firm

Another promising and profitable green services business idea that an aspiring entrepreneur who
is looking towards starting an environmental friendly business should consider starting is an
energy auditing firm. Energy auditing involves visiting people’s homes to inspect their energy
usage and recommend ways to increase efficient usage of energy. The truth is that anything that
will help people reduce their energy consumption will be highly welcomed because it will also
help them save money.

48. Starting Car Sharing Services

Car sharing services is yet another thriving, trending and of course profitable green services
business idea that an entrepreneur who is looking towards starting a business should consider
starting. Car sharing business involves linking up people who stay in same axis and work in
same axis to share cars as against driving solo to work every day.

49. Offering Environmental Legal Services

For the lawyers who are looking towards leveraging on the green business value chain to make
money, then one of their options is to offer environmental legal services. There are communities
that are subjected to oil spillage, gas flaring and other hazardous elements. Their duty as an
environmental lawyer is to help defend such community; they can as well work with corporate
organizations that may need their services.
50. A Tree Planting Non-profit Organization

Last but not least, another green services business idea that an aspiring entrepreneur who is
looking towards starting a business is the environmental industry should consider starting is a
tree planting nonprofit organization. Of course the major duty is to start a tree planting campaign
and also to discourage people from falling trees unnecessarily. It is true that the green line of
trade might not be too saturated as it is with other businesses.
Chapter 4: Green Business Practice in Bangladesh

In a world where global warming, the energy crisis, environmental devastation and a myriad of
social problems are posing huge threats to people’s health and security, the repercussions for
business are huge.

Any kind of pollution which is causing damage to environment is equally bad for whole
humanity. Today, various kinds of serious health problems (like cancer) are increasing fast
across the world and the main reason behind this is increasing pollution of our environment. So,
the whole world is currently in environmental crisis. Bangladesh is also a severe state of
environmental pollution for various causes-like rapid growth of urbanization, lack of proper
implementation of environmental rules and policies etc. According to the Air Quality
Management Project (AQMP), Bangladesh is rated as having one of the worst air quality in the
world, causing an estimated 15,000 premature deaths a year in capital Dhaka alone. Bangladesh
is a developing and densely populated country in the South Asia. In 2015, its population is about
170 millions. No doubt Bangladeshi manufacturers and marketers play an important role in using
and diverting the resources in a manner to give maximum satisfaction to the consumers with
minimum efforts and costs. It is necessary to analyze whether the manufacturers of Bangladesh
are aware or not about green business or products and eco labeling, though BSTI and other
organizations give licenses for all marketing goods without verifying the environmental aspects
of that products. At the present situation, it is very difficult in implementing green business in
Bangladesh. Government of Bangladesh and other organizations can advise the small and large
scale manufacturers to practice the habit of green marketing. In Bangladesh, green business is
not an easy concept actually. Green business concept in Bangladesh still at its fetus stage.
Manufacturers must be taken care while framing the marketing plans, strategies and policies so
as to prevent the environment and nature from any harm caused due to its operations not only
today but also in future. Despite being a new concept, green business has vast opportunities if all
the rules and policies are properly implemented.

Areas in Bangladesh where “green business” concept is implemented:

Over the years, “green” issues have been more talked not in Bangladesh but also globally about
by business and industry, financial institutions and the public. There has been much discussion
about the environment and the damaging effects produced by everyday activities. Extensive
environmental damage in our country has been caused by continuous consumption, marketing,
manufacturing, processing and polluting, along with several environmental disasters. There are
various responses to the “green business” issue and now a days, many industries and companies
in Bangladesh have adopted the environmental friendly policy. These policies include- green
product promotion, green marketing, environmental management that aiming for sustainability.

These are the main sectors of Bangladesh

1. Banking sector

2. Industrial sector

(i) RMG sector

(ii) Pharmaceutical sector

3. Agricultural sector

Banking Sector
Global warming, which is one of the most burning & discussed issues, has the worst impact on
the climate of the planet as a whole. Due to unusual weather pattern, rising greenhouse gas,
declining air quality etc. society demands that business also take responsibility in safeguarding
the planet. Green Banking is one of the revolutionary concepts in today’s business world which
basically refers to as sustainable banking, socially responsible banking or ethical banking that
endorse environment-friendly practices and reducing carbon footprint from banking activities.
The main objective of Green Banking is to ensure the use of organizational resources in favor of
the environment and society. Green banking as a concept is proactive and smart way of thinking
with a vision for future sustainability of our only Spaceship earth. So in a very specific way-

Green Banking means banking practices that foster environmentally responsible financing
practices as well as using environmentally sustainable internal processes.
Green Business Concept in Bangladesh:

The economic development of any country is inextricably linked with environmental issues
because activities of financial institutions may boost wealth creation as well as environmental
degradation. Bangladesh is identified by climate change experts as being among the countries
more severely challenged by climate change threat with correspondingly high urgency of
preparedness with mitigate and adoptive responses. The government and the central bank of
Bangladesh is fully conscious about this issue and have played a proactive role in this regard.

Green Banking as a concept of sustainable banking practices was formally introduced in

Bangladesh on February 2011 with the development of an indicative “Green Banking Guideline”
for Banks and Financial Institutions by Bangladesh Bank. The main objective of this guideline is
to give a detail and indicative advice to all the commercial banks of Bangladesh to adopt
environment friendly financing policies as well as to take appropriate initiatives to make internal
operations more energy efficient and environment conscious.

Rules & Regulations Governing Green Banking In Bangladesh:

With a view to encouraging sustainable development in Bangladesh, the government of

Bangladesh has formulated two important documents namely the Environmental Conservation
Act 1995 and the Environmental Conservation Rules 1997. These two documents basically make
the ground rules for Green Banking in Bangladesh. In January year 2011, Bangladesh Bank as a
regulatory body in the financial sector of Bangladesh had formulated the Environmental Risk
Management Guidelines for Banks and Financial Institutions. The ERM guideline basically
represents structured formats of addressing environmental risks in project financing and also
provides standards in this regard. Besides, in February 27, 2011 Bangladesh Bank formulated the
Green Banking Policy Guidelines that provides a standard format for the commercial banks in
Bangladesh to develop their own Green Banking Policy.

The Green Banking practices in Bangladesh can be viewed from three perspectives:

1) Initiatives taken by Bangladesh Bank

2) Initiatives taken by other commercial banks

Initiatives taken by Bangladesh Bank:

Bangladesh Bank is the first central bank in the world which has taken real initiatives according
to a definite agenda in its vision and mission to play a specific role in Green Banking. With the
different initiatives of in-house green activities, the authority has developed an indicative Green
Banking Policy on February 27, 2011 which aims to provide a detail guideline to all the
commercial banks to adopt Green Banking policy. The policy is to be rolled out in the following
three phases

Bangladesh Bank (BB) has prepared a draft policy guideline for introducing green banking
this year in line with global development and response to the environmental degradation.
The guideline, posted on the central bank web site, outlines a three-stage roadmap for
green banking, requesting public feedback by January 25, 2011.

1st Phase

Policy Formulation & Incorporation of Initiating In-house

Governance Environmental Risk in Environment
Core Risk Management Management

Introducing Online Banking

Green Financing

Supporting Employee
Creation of Climate Risk Phase-1 Training Consumer
Fund Awareness & Green

Introducing Time Line: 31 December, 2011 Reporting Green

Green Marketing Banking Practices

Source: Bangladesh Bank, BRPD Circular No.02, 2011

The guideline, in the first phase, suggests all banks to develop green banking policies and
establish separate green banking cells and incorporate environmental risk management
strategies by June 30 this year. In this phase, the banks are also advised to introduce green and
create climate risk funds to finance flood, cyclone and drought prone areas at regular interest rate
without charging additional risk premium.

Promoting eco-friendly products, supporting training and events for raising awareness for
environmental risk management are also suggested to include in the regular activities of the bank
in the next six months.

2nd Phase (Intensification)

Sector Specific Setting up Green

Green Strategic Planning
Environmental policies Branches

Improved In-house
Environment Management Rigorous Programs to
Educate Clients

Phase-II
Time Line: 31 December, 2012

Formulation of Bank Specific

Environmental Risk Disclosure & Reporting of
Management Plan & Guideline Green Banking Activities

Source: Bangladesh Bank, BRPD Circular No.02, 2011

In the second phase, the draft suggests banks to take specific policies by June 2012 for
different environmental sensitive sectors such as agriculture, poultry, dairy, ship breaking
etc. During this period, all banks will also set up green branches to use maximum natural
light, renewable energy, energy saving light bulbs and other equipment. During the same period,
they will have to determine a set of achievable targets and strategies, and disclose these in their
annual reports and websites. They will have to set up green branches. The banks should
increasingly rely on virtual meeting through video conferencing.
 3rd Phase (Diversification)

Phase-III
Time Line: 31 December, 2013

Designing & Introducing Innovative Reporting in Standard Format with

Products External Verification

According to the draft guideline, banks in the next one year will adopt a green strategic plan,
determining their target for green banking. The draft says a system of environment management
should be in place in all banks before they step into the third phase of green banking, to be
completed by June 2013.

In this final stage, banks will focus on fine tuning of their green activities and will look for more
innovative products and services to expand eco-friendly business and industries.

Initiatives taken by commercial bank:

Commercial banks will have to adopt a comprehensive green banking policy by

December 2013 as part of the central bank's efforts to make banking practices more
responsible to social and environmental causes. The central bank names top ten banks for their
overall performances in green banking, and will take into account to give it permission to
open new branches.

With some formal guidelines of Bangladesh Bank as well as government, the commercial banks
of Bangladesh have also come up with some remarkable initiatives regarding green banking like:

-Policy Formulation and Governance Climate Risk Fund

-Budget Allocation Green Marketing
-Green Banking Unit/Cell/Desk Green Banking
-Incorporation of Environmental Risk in Core Branches powered by Solar Energy
-Risk Management (CRM)
-Bank’s In-house Green Activities Improved In-House Environment Management
-Green Finance Employee Training, Consumer Awareness and Green event

Top 10 banks practicing green banking during 2012

According to the report of Bangladesh Bank the top 10 banks in Green Banking activities by the
end of the year 2012 are:

-AB Bank Limited

-Bank Asia Limited
-Eastern Bank Limited
-EXIM Bank Limited
-IFIC Bank Limited
-Islami Bank Bangladesh Limited
-Prime Bank Limited
-Rupali Bank Limited
-Social Islami Bank Limited
-Standard Chartered Bank Limited

Green Concept in Industrial Sectors

To be competitive and for the long term sustainability, there is no way for the sector to
implement or comply with international social and environmental standards. In our industrial
sector, ‘Green’ or ‘environmental issues” are not properly implemented. In our industrial areas,
only RMG (Readymade Garments) and pharmaceuticals companies follow few regulations
regarding to green banking. So, to be particular, we can find very limited implementation of
green business concept mainly in these two industrial sectors:

1. RMG sector
2. Pharmaceutical sector
Green concept in RMG sector in Bangladesh

The potentiality on green financing in RMG sector of Bangladesh:

There is also tremendous growth potential for this sector in the future. However, a major
environmental hazard present in textile industries is the discharge of untreated effluent to the
environment, causing pollution of nearby soil and water. Therefore, textile and readymade
garments (RMG) are crucial among some specific sectors (sectors such as leather industry and
brick) of Bangladesh that require intervention in terms of providing green finance with a view to
reducing pollutant and saving water bodies and maintaining ecological balance. Therefore, to be
competitive and for the long term sustainability, there is no way for the sector to implement or
comply with international social and environmental standards. Under this circumstance,
entrepreneurs in the textile, RMG sectors have willingness to comply with the international and
national social and environmental standard but lack of finance has been identified as a major
hindrance to promote their factories in to green and compliance one. So, there are huge scopes
and opportunities of green finance in the RMG sectors.

Present state or movement of green business in RMG sectors of Bangladesh:

In today’s world environmental sustainability is a core component of sustainable success.

Environmental sustainability is about finding innovative ways to minimize the impact of
industrial operations on the environment through using state-of-the-art technologies.
Sustainability means to take responsibility -towards protecting the environment in which we live
and operate. So, all products should be made in a caring and responsible way that preserves the
environment for future generations. While improving working conditions and protecting the
environment are certainly admirable goals, they have also proven to be good business strategies.
Therefore, international community is getting increasingly interested in sustainable business and
eco-friendly production. There is also a growing pressure on industries for environmental
compliance, and at the same time international buyers are giving preference to green producers.
Moreover, it is now apparent that companies that fail to integrate sustainability into their core
strategies will fail to maintain their competitiveness over time.

Taking all these factors into consideration, BGMEA runs several programs to promote
environmental friendly green concepts among entrepreneurs and motivate them to adopt energy-
efficient technologies and resource-efficient production technologies. In order to institutionalize
the process, BGMEA has set up an Environment Cell. BGMEA concluded two pilot projects
with IFC-SEDF in this regard, organized a number of workshops and seminars to disseminate the
findings of the projects. A MOU was signed on “Promoting Clean & Responsible Production in
the Bangladesh Textile Sector” among BGMEA, the Government of the Netherlands and a
number of buyers. Following the MOU, the Bangladesh Water PACT: Partner for Cleaner
Textile has been launched recently. BGMEA is cooperating with IFC in implementing the
program that aims to enhance the long-term competitiveness and environmental sustainability of
the textile wet processing sector in Bangladesh, by supporting factories in specific geographic
clusters to reduce their water footprint through

(a) Enhancement of water resource management

(b) Adoption of low-cost/no-cost Cleaner Production practices

(c) Investments in technologies that significantly reduce water consumption and effluent.

To encourage its members to adopt good environmental practices, BGMEA also started award
ceremony to recognize their outstanding practices. Recently BGMEA has taken an initiative to
disseminate knowledge, expertise, and experience on resource efficiency and environmental
sustainability. BGMEA signed a Memorandum of Understanding (MOU) with PSES, a project of
the governments of Bangladesh and Germany, implemented by GIZ, to improve environmental
performance of garment factories. Under the MOU, BGMEA will cooperate with PSES, GIZ to
improve the environmental performance of BGMEA’s 2nd tier factories.

The cooperation will be implemented under the banner of ‘TREES’ (Toward Resource
Efficiency and Environmental Sustainability), an initiative of BGMEA to promote cleaner
production practices among its member factories and encourage them to adopt eco-friendly
technologies. With this joint initiative BGMEA and PSES aim to make existing knowledge and
best practices of BGMEA members with 1st tier factories accessible to members that wish to
improve their environmental performance.

Besides, there are a good number of green garment factories in Bangladesh. Moreover, beyond
the regulations and compliance of the government and buyers, many member factories of
BGMEA have commendable environment-friendly practices like use of energy- and resource-
efficient technology and machinery, use of renewable energy, material recovery and environment
management system etc.

Environmental sustainability is not a mere buzzword, rather it is an integral part of any business
that wants to sustain in today’s world and also in the days coming. This is also true for our
readymade garment industry, which is gradually going green and BGMEA has been making
efforts to facilitate the process.
Gaps and the way forwards: The area of green financing in Bangladesh is still a new concept
and because of a knowledge gap both from consumers and bank side coupled with inadequate
marketing of the banking, it has not gained sufficient popularity and momentum and in this
respect, it needs to be addressed widely in order to extract significant benefits, particularly for
the RMG sector of Bangladesh. Commercial banks, private, government and industrial or
development specialized banks should come forward to provide loans for green industry
development for RMG sector and also to provide support for green products development in
Bangladesh like other financers including ADB and other international agencies and
development partners. As RMG sector suffers from the adequate supply of electricity, so the
commercial, private and government banks should provide loans at a lower interest rate for RMG
sector to invest in solar or renewable energy. The green financing activities should have linkage
with the environmental policies and laws of the government as well as international
environmental policies and laws. Similarly, government should take rigorous steps to bring green
FDI in the Exclusive Economic Zones so that technology transfer is made. Although Bangladesh
Bank (BB) developed a Green Banking Policy in 2011 under a green banks and CSR projects
requiring commercial, private and also government bank to disburse 5% of lending to green
banking. But as the concept is relatively new, green financing is not gained sufficient momentum
in Bangladesh. The Industrial Policy 2010 states that the government will take necessary
measures for effective enforcement for proper running of ETPs and central effluent treatment
plants in the industries. Last but not least, development of eco-friendly RMG industry through
Green financing is a demand of time from the perspective of long term sustainability of RMG
industry and to be competitive and build image of this industry globally and to save the mother
nature. The failure to do so will certainly make costs in terms of business, environmental and
livelihoods of people as well.

Top garments factory in Bangladesh who emphasize a lot on green management:

-AKH Group (has been certified by LEED)

-Plummy Fashions (America’s US Green Building Council (USGBC) awarded the company with
its LEED platinum certificate)
-Vintage Denim Studio (One of the most top rated green apparels in the world)
- Hena Clothing Bangladesh ltd
- Giant Textiles
- Cosmopolitan Industries Private Ltd (LEED certification from the US Green Building Council
in 2011)
 Green movement in Pharmaceutical sectors in Bangladesh
Pharmaceutical residues may reach the environment by a number of different routes. It is
generally assumed that the production of pharmaceuticals in industrialized countries is well
controlled and harmful to the environment, due to the local legal restrictions usually required to
permit production. However, a substantial fraction of the global production of pharmaceuticals
takes place in low-cost production countries like India and China. Recent reports from India
demonstrate that such production sites may emit very large quantities of e.g. antibiotics, yielding
levels of the drugs in local surface waters higher than those found in the blood of patients under
treatment. For this current state of environmental pollutions due to pharmaceutical industries,
green management strategy should implemented in proper way not only in Bangladesh but also
in worldwide.

Current green movement in pharmaceutical industry in Bangladesh:

To be particular, we can find very limited implication of green business concept in our
pharmaceutical industries.

ACI is the first company in Bangladesh to have obtained ISO 14001 Certification for
Environmental Management System.

ACI Environmental Policy

ACI is committed to formulate and conduct all its operations in an environmental friendly
manner, ensuring continual improvement in the utilization of resources and prevention of
pollution or degradation of the environment.

In pursuit of this Goal, ACI will:

 Comply with all local and national legislations and regulations.

 Conserve natural resources like water and energy for sustainable development, and adopt
environmentally safe processes.
 Ensure appropriate treatment of all effluents prior to discharge.
 Ensure appropriate communication with internal and external interested parties on
environmental issues.
  Create awareness on environmental issues among our employees and contractors ensure
waste management in an environmentally responsible manner through continuous up-
gradation of technology.

But now a days, some of renowned pharmaceutical companies in our country, such as- Beximco
Pharma, Suare pharma, Renata Pharma etc have started to take initial steps regarding to
environmental friendly business movement. So, government should concentrate more on
pharmaceutical industry so that every pharmaceutical company in Bangladesh can properly adopt
and implement the environmental friendly “Green Business” concept.

Green business concept in agricultural sector of Bangladesh

Ecofriendly Jute industry:

Jute has long been called the 'golden fiber’ of Bangladesh. Crops that yield the natural fibers
have thrived in the climate of the Bay of Bengal for decades. As the global demand for
environmentally friendly products rises, jute cultivation and the export of diversified jute
products represent a value chain with great potential for smallholders and the general economy
of the country. Facilitating the connection between poor farmers, small entrepreneurs and market
intermediaries aim to strengthen the competitiveness of Bangladeshi exports through the
promotion of jute-related products. To ensure a highly ecofriendly environment in jute industry
of Bangladesh, government has taken these following steps:

 The environmentally-friendly and sustainable use of low-cost green products is promoted

through the production and consumption of diversified jute products.
 16,000 small jute producers (half of them women) are organized into 350 village groups
and provided with technical support.
 60 marginalized smallholding women are trained as producers and sellers of organic
fertilizers.
Agribusiness

Over 90 varieties of vegetable are grown in Bangladesh, yet for such a fertile land there are huge
gaps in local resources and under-utilization of the country’s agricultural capacity. This presents
many opportunities for investors seeking to export agricultural products, or to meet the rapidly
growing local demand. Here are just some of the investment opportunities:

 Cold storage facilities to serve all stages of the supply chain, and especially for fresh produce
for export.
 Fresh produce production for local and export markets · Production of fertilizers and
cultivation of seeds
 Eco-friendly jute production, with the support of several jute industry technology
development institutes
 Shrimp farming
 Halal foods
 Milk and dairy products
 High value added-value foods for export, including herbs, spices, nuts and pulses
 Chapter 5: Identification and analysis of gap
Global perspective:

Current state of green movement throughout the world’s largest and economically stable
countries:
The percentage of most influential countries, who have adopted highest green business policy in
recent days are showed below-

The yellow bars represent the percentage of current green business movement around the year
2015 and the blue bars represent the estimated future green business movement around the year
2018. This green business movement includes all the aspects of ecofriendly movements- such as
green banking, green products, green industry etc. From the graph, it is found that green business
concept is more popularly accepted and implemented mostly by the western countries because
we can see higher green business activities in- firstly in US, Australia, South Africa and then
Mexico. The graph also indicates that there are very limited implications of “eco-friendly
business” or “green business concept” in Asia region except India. India adopted 20% of
ecofriendly concept last year. Apart from India- the other Asian countries- such as China and
Saudi Arabia adopted very few implications of green business concept.

From, Bangladesh perspective:

To be honest, Bangladesh has taken very few initiatives to ensure an ecofriendly environment in
business areas. Only banking sector of Bangladesh has taken some notable measures to ensure a
proper green business concept. In 2012, Bangladesh Bank introduced a uniform reporting format
for reporting green banking activities in a structured manner for banks. In 2013, Policy
Guidelines for Green Banking was also issued to the Financial Institutions (FIs) and the banks
scheduled in 2013 where they were brought under the structured reporting system as well. To
expedite the ongoing initiatives of banks and FIs at faster pace for sustaining the environment
compatible to climate change risk, minimum target of direct green finance is set 5% of the total
loan disbursement/investment from January 2016 onwards for all banks and FIs.

This review report has highlighted the activities of refinance schemes of BB. Thus, this review
report is the consolidated reflection of the quarterly reports of all scheduled banks and FIs of
January-March, 2016 and the activities of refinance schemes of BB for green products of the
same quarter2.

Green Banking Activities of Banks and Financial Institutions (FIs)

Policy Formulation and Governance:

All 56 banks have their own Green Banking Policy Guidelines approved by their respective
Board of Directors/Competent authority as well as have Green Banking Unit (GBU) for pursuing
Green Banking activities. They also have their own Green Office Guide for conducting in-house
green activities.

Allocation and Utilization of Fund for Green Banking Activities:

The snapshot of allocation and utilization by banks and FIs in Green Finance, Climate Risk Fund
as well as Marketing, Training and Capacity Building in March 2016 quarter is shown in Table-1
and Table-2
Findings from the allocation table:
From table-1, we can find that allocation of fund to green finance, climate risk fund and training
fund by all the banks in Bangladesh- State owned Commercial Bank (SOCB), Specialized Bank
(SDB), Private Commercial Bank (PCI), Foreign Commercial Bank (FCI) and other Financial
Institutions (FI). We can see, most proportion of the total fund is allocated to the section- “green
finance”. The total amount allocated in green business sector totals- 357233 million tk. which
approximately consists 99% of the total allocated fund (358678 million tk.)
Interpretations from Table-2:
From table-2, we can find the amount utilized in green finance sector, climate risk fund and
training fund by all the banks in Bangladesh- State owned Commercial Bank (SOCB),
Specialized Bank (SDB), Private Commercial Bank (PCI), Foreign Commercial Bank (FCI) and
other Financial Institutions (FI). We can see, the total amount utilized in green business sector
totals- 126445 million tk. which approximately consists 35% of the total allocated fund (358678
million tk.)

Green Finance

46 Banks out of 56 and 11 FIs out of 32 have had exposure in green finance, either direct (40
Banks, 8 FIs), indirect (30 Banks, 5 FIs) mode in the reporting quarter. Total amount invested as
green finance has been Tk. 126,445.26 million in January-March 2016 quarter. Though green
financing is very steady, but still in this case Banks and FIs are concentrated in Indirect Green
Finance.
From the above mentioned table contains the data of green direct investment, we can represent
that data into a pie chart diagram as follow-
From the pie chart, we can depict the highest green direct investment is allocated to the-
recycling and recyclable product- 24.75% , second position in green direct investment is
alternative energy division.

While the majority of consumers around the world (83%) say that it is important that companies
implement programs to improve the environment, only 22% say they will pay more for an eco-
friendly product, according to The Nielsen Company’s 2011 Global Online Environment &
Sustainability Survey of more than 25,000 internet respondents in 51 countries. In addition,
about three in four (76%) global consumers say raw materials influence their decisions on where
to shop and what to buy.

Middle East/Africa Most Willing to Pay More

Willingness to pay extra for environmentally-friendly goods is highest in the Middle East/Africa,
where one-third of consumers are willing and lowest in North America, where only 12% of both
Canadians and Americans say they will pay extra for eco-friendly products.
 Many consumers reported a personal preference for eco-friendly goods, but large percentages of
respondents report setting aside this preference and buying whichever product is cheapest,
including 48% in North America, 36% in Middle East/Africa, 35% in Europe, 33% in Asia
Pacific, and 27% in Latin America.

There are many types of ecofriendly or organic certified products are produced without harmful
chemicals. There are also many natural products, especially cosmetics and food related which are
ecofriendly because the ingredients are locally sourced and do not require chemical processing.

Comparing to these statistical data, it can be said that- in Bangladesh, there is no particular
statistical evidence showing consumer attitude regarding to green products but in recent days
green business movement is becoming a very popular in our country. With the data of
distribution and utilization of fund in environmental friendly areas, we can conclude that- the
green business opportunity is growing very popular in Bangladesh day by day.

Findings from the analysis:

1. Green business movement has now become an important issue not only in Bangladesh but all over
the world. As of now, environmentally sustainable units in Bangladesh are not implemented to a
fuller extent because of the present set up of the companies. Due to increasing the level of
pollution, industries are supposed to have an eco-friendly set up but the present set up cannot be
changed instantaneously as it would create a financial burden for the industries itself.

2. According to the legal frame the Polluting industries either have to close down or have to make
necessary investment to comply with the standard. In this process these industries will lose their
competitiveness in the international market, which would directly affect the economy of our
country.

3. Though green business is becoming popular throughout the world, its application in Bangladesh is
so limited. Banks are still trying to do their part in sustainable development by using solar
powered ATM’s, Online and mobile banking initiatives etc thus creating a path towards green
planet.
 Chapter 6: Recommendations

-Make regular adjustments and updates of the Green Business Policies.

-Increase the exposure of Green Finance to new projects. 

-The government should take necessary steps to develop new products or services with
environmental features. 

- All the companies and financial institutions should arrange more training and workshop programs
to encourage the employees to follow and foster the Green Business Concept in their day to day
business operations.

-Development and marketing of products designed to minimize negative effects on the physical
environment or to improve its quality

-
Chapter 7: Conclusion
 Chapter 8: Bibliography
1. “Quarterly Review Report on Green Banking Activities of Banks & Financial Institutions and
Green Refinance Activities of Bangladesh Bank January” - March, 2016 Sustainable Finance
Department Bangladesh Bank Head

2. “Doing Green Business: barriers and solutions for the Northern Rivers”- Northern Rivers
Green Business Project 2012

3. GREEN BUSINESS PRACTICES IN 22 GLOBAL COMPANIES – AN ANALYSIS OF CORPORATE

ENVIRONMENTAL REPORTS

4. Consumer Attitude towards Green Marketing in Bangladesh- Jesmin Akter

5. Measuring the Green Economy- U.S Department Commerce, Economics and Statistics
Administration.

6. Practices of Green Marketing in Bangladesh: A Case Study of Dhaka City

7. Aspects of Green Marketing: A prospect for Bangladesh

8. Hart, Stuart. (1995), “Does it Pay to be green? An Empirical Examination of the relationship between
Emissions Reduction and Firm Performance” Business Strategy and the Environment (September).

6. FE (The Financial Express) Report, http://www.thefinancialexpress bd.com/more.php?news

id=112054. Visited on 22.11.16. 8.00 pm.