Bangladesh’s garment industry has suffered a 30-40% decline in production capacity over the past two weeks due to worsening gas shortages, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) President Mahmud Hasan Khan said.
Speaking in Dhaka, he said gas supply to the national grid had fallen to around 2.65-2.7 billion cubic feet per day, well below demand.
The crisis intensifi ed after an Excelerate Energyoperated fl oating LNG terminal in Moheshkhali was shut following a fi re on July 21, reducing gas supplies by around 450-500 million cubic feet per day.
Mahmud said the production losses were signifi cant, but maintaining the confi dence of international buyers was an even greater concern.
The government has indicated that gas supplies could improve from August 8-9, he added.
Garment exports stood at $3.89 billion in July, about 2% lower than the same month a year earlier.
Mahmud said the sector remained resilient but warned that prolonged energy shortages could affect export performance.