Authors: Mohammad Nazmul Huda
Abstract: The state-owned sugar sector in Bangladesh, managed by the Bangladesh Sugar and Food Industries Corporation (BSFIC), is conventionally evaluated through a strict commercial accounting lens. Consequently, recurring operating deficits have framed the industry as an economic burden, leading to factory closures and disinvestment. This paper argues that a conventional profit-and-loss (P&L) approach misrepresents the sector’s systemic function. We propose an integrated "Financial Performance + Social Value + Rural Development" valuation framework. By incorporating socio-economic indicators—such as smallholder income stabilization, climate resilience, employment generation, and regional infrastructure—this study demonstrates that public sugar mills serve as essential rural economic anchors whose broader public value offsets financial losses. Strategic policy interventions centered on modern co-generation, product diversification, and multi-dimensional performance accounting are recommended to align the industry with Bangladesh's Sustainable Development Goals (SDGs).
