BRAC

BUSINESS CLASSIFICATION

BRAC is a Social Enterprise Conglomerate. It cannot be classified strictly as just a factory or just a trader. Instead, it operates as a hybrid of both. Through its various commercial and social enterprises, BRAC acts as a manufacturer (operating dairy processing plants, seed factories, and artisan production centers) and as a trader/retailer (distributing and selling products through its own retail brands like Aarong).

COMPANY PROFILE

Established: 1972

Founder: Sir Fazle Hasan Abed

Headquarters: Dhaka, Bangladesh

Primary Sector: Non-Governmental Development Organization and Social Enterprise

Overview

BRAC is international development organization based in Bangladesh and is widely recognized as the largest non-governmental organization (NGO) in the world in terms of the number of employees and people served. Originally established as the Bangladesh Rehabilitation Assistance Committee to aid refugees after the 1971 Liberation War, it has grown into a global pioneer in poverty alleviation, healthcare, education, and microfinance.

Business and Operational Model

To sustain its development programs and reduce dependency on donor funding, BRAC established a unique model of social enterprises. These enterprises are designed to create market linkages for poor and marginalized producers.

Key Enterprise Sectors

1. Aarong (Retail and Craft Production)

This is BRAC's most famous commercial brand. Aarong operates as a major retailer and exporter of Bangladeshi handicrafts, textiles, and fashion wear. It functions as a trader by marketing products, but also controls production through the Ayesha Abed Foundation, which operates numerous production centers (factories) across the country.

2. BRAC Dairy

An enterprise that collects milk from thousands of smallholder dairy farmers, processes it in its own factories, and markets pasteurized milk and dairy products nationwide under the brand name Aarong Dairy.

3. BRAC Seed and Agro Enterprise

This sector produces, processes, and distributes high-quality agricultural seeds and crop nutrition products to farmers, operating its own research centers and seed processing plants.

Summary

In the commercial landscape, BRAC is a Social Enterprise that integrates the entire supply chain, acting as both a producer (factory/manufacturer) and a seller (trader/retailer) to drive social and economic development.

BRAC, a development organization based in Bangladesh, manufactures or sells a diverse range of products and services. These include:

Microfinance loans, savings products, and various insurance products.

Dairy products such as milk, yogurt, butter, and cheese. Poultry products including day-old chicks, eggs, and animal feed. Fish and fish fingerlings. Seeds for various crops, along with agricultural inputs like fertilizers and pesticides. Livestock and fresh produce.

Clothing, traditional and contemporary handicrafts including pottery, jute products, and embroidery. Home decor items, jewelry, leather goods, and footwear are sold through its retail outlets. Bakery and confectionery items.

Medicines and pharmaceuticals. Diagnostic services and health products such as sanitary napkins and oral rehydration salts. Educational materials and learning aids. Sanitation products like latrines and hygiene kits.

Artificial insemination services for livestock. Printing services. IT services. Consultancy services. Training programs. Community clinics and general healthcare services.