Bangladesh’s export-oriented industries and manufacturing units are facing a significant crisis due to prolonged interruptions in gas supply, industry insiders report. Key sectors such as textiles, ceramics, and the captive power plants of the ready-made garment industry require a minimum gas pressure of 15 PSI but are often receiving as little as 2 or 3 PSI, with some instances of no supply at all.
Factories located in industrial hubs including Dhaka, Narayanganj, Gazipur, Narsingdi, Manikganj, and Mymensingh are experiencing acute disruptions in gas supply. Industry representatives highlight that the country needs approximately 4,000 million cubic feet per day (MMcfd) of gas, including imports. Current supply levels fall short, at under 3,000 MMcfd, resulting in a deficit exceeding 1,000 MMcfd.
Showkat Aziz Russell, president of the Bangladesh Textile Mills Association, noted that around 50 per cent of textile mills have shut down due to the gas shortage. He expressed concern over increasing overdue loans, stating, “We have yet to receive any instructions from Petrobangla or any other Government authority.” He criticised the Government’s decision to divert gas to fertiliser factories, which has exacerbated the crisis.
Russell urged the Government to revisit contracts established under previous administrations and warned that factory workers might take to the streets if the situation does not improve soon.
The ready-made garment (RMG) sector, which primarily uses gas for generating captive power, is also feeling the impact. Md Abul Kalam, managing director of Chaity Group and a panel leader of the Bangladesh Garment Manufacturers and Exporters Association, reported a 25 per cent decrease in production due to gas shortages. He highlighted that the disruption not only affects production but also damages machinery and increases maintenance costs.
In January, the apex trade bodies representing the country’s major four industrial sectors—BGMEA, BKMEA, BTMA, and BTTLMEA sent a joint letter to Muhammad Fouzul Kabir Khan, adviser to the Ministry of Power, Energy and Mineral Resources, expressing their concerns over insufficient gas pressure and the financial losses being incurred.
The letter indicated that production in industry-heavy areas has dropped by 50-60 per cent due to the gas crisis, disrupting supply chains and timely shipments of raw materials to the RMG sector.
At a recent event, energy adviser Muhammad Fouzul Kabir Khan stated that improvements in the situation are unlikely until new gas fields are developed. Efforts to reach Petrobangla chairman Md Rezanur Rahman for comment on the ongoing crisis were unsuccessful.
