Gas crisis: Production halted at over 300 factories in Narsingdi

The gas crisis gripping Bangladesh’s industrial sector has persisted, forcing numerous factories in Narsingdi, Narayanganj, Gazipur and other areas around the capital to suspend production or operate at reduced capacity because of inadequate gas pressure.

In Narsingdi alone, more than 300 small and large factories have been forced to shut down production, according to businesspeople.

Gas pressure has remained low across industrial areas in Dhaka, Chattogram, Narayanganj, Gazipur and elsewhere in the country for several days, disrupting production.

Daily demand for gas stands at 3.8 billion cubic feet (bcf), while supplies of up to 2.7 bcf are normally managed through rationing. Supply stood at 2.42 bcf early Saturday, fell to 2.40 bcf on Sunday and declined further to 2.28 bcf on Monday. By 6:00 pm on Tuesday, total gas supply had dropped to 2.26 bcf.

According to the Prothom Alo correspondent in Narsingdi, hundreds of small and large factories in the district have suspended production because of the gas shortage, leaving workers idle. Gas supplies have also been insufficient for households, with many unable to cook, while queues at CNG filling stations have grown longer.

Industrialists said gas pressure had remained at its lowest level for about a week, at times falling to zero. Although they had previously managed to maintain at least 10 per cent of production through alternative arrangements, factory owners have been forced to suspend operations entirely in recent days.

Narsingdi’s textile mills supply around 70 per cent of the country’s demand for locally produced fabrics. The district is home to more than 3,000 textile, dyeing and spinning mills.

Narsingdi Chamber of Commerce and Industry President Rashidul Hasan told Prothom Alo that business owners had been compelled to suspend production at more than 300 small and large industrial units because of the lack of gas.

Among the factories that have halted production in and around Narsingdi town are Chishtia Sizing Mills, Yamin Sizing Mills, Momin Sizing Mills, Hossain Dyeing and Calendaring Mills, Abed Textile Mills, Shilpi Dyeing, Nadi-Bangla Sizing Mills and Bhuiyan Textile and Calendar Mills.

Several factories belonging to Amanat Shah Group and Pakiza Group in Madhabdi have also shut down, along with MMK Dyeing, Muktadin Dyeing, Madhabdi Dyeing and several other factories.

Narsingdi Textile, Dyeing and Printing Association President and owner of Madhabdi Dyeing Finishing Mills, Nizam Uddin Bhuiyan, said that if the situation continued, industrialists would be unable to pay either workers’ wages or their gas bills.

Anisur Rahman Bhuiyan, director of Bhuiyan Textile and Calendar Mills Ltd., called for an immediate resolution to the gas crisis. “The government should tell us when this crisis will be resolved and what we are expected to do until then,” he said.

Abdullah Al Mamun, managing director of Abed Textile Mills in Narsingdi, said the factory had been completely shut for 20 days. To prevent unrest among workers, he said, they were being assigned equipment maintenance and cleaning duties.

Maksudur Rahman, manager of Titas Gas’s regional marketing office in Narsingdi, said, “There is virtually no gas pressure in Narsingdi. Whatever supply we receive is being prioritised entirely for the Ghorashal-Palash urea fertiliser plants. Unless gas pressure improves, it will not be possible to resolve the crisis.”

In Narayanganj, production at Messrs MS Dyeing and Printing in the Panchabati BSCIC Industrial Estate in Fatullah has been suspended.

The company’s General Manager Babul Hossain told Prothom Alo that there was virtually no gas pressure in the pipeline and that production had been suspended for several days.

Fakir Knitwear in the Kayempur area of Fatullah in Sadar upazila has been forced to operate its generators to keep production running. This has increased production costs, said the company’s General Manager Rajib Ahmed.

Production at City Group’s factory in Rupsi, Rupganj—one of the country’s largest consumer-goods manufacturers—came to a complete halt from Tuesday afternoon.

City Group Technical Director Syed Rafiqul Rahman said, “We need a gas pressure of 120 PSI to keep production running. But after noon, the pressure fell to 20–25 PSI. All the factories have shut down.”

In Gazipur, many factories have been forced to operate at reduced capacity because of inadequate gas supplies. Production has been particularly affected in dyeing units and other gas-dependent sections of garment factories. Some factories have had to temporarily suspend their dyeing operations, according to industry insiders.

Abdur Rahman, a manager at a factory in Konabari, said irregular and inadequate gas supplies were not only disrupting production but also creating uncertainty over the timely delivery of finished products.

Saifuzzaman Sani, manager of Titas Gas in Gazipur, said, “Gas pressure has fallen somewhat. We hope the problem will be resolved very soon.”

According to people familiar with the situation, there are two floating storage and regasification units (FSRUs) at Maheshkhali for supplying imported liquefied natural gas (LNG). One is operated by US-based Excelerate Energy and the other by local company Summit.

Excelerate Energy’s terminal was shut down following a fire on 21 July. After 25 days of severe gas shortages, supplies increased when Summit’s terminal resumed full operations and Excelerate’s terminal partially resumed operations on Saturday.

However, supplies from Excelerate’s terminal have been declining for the past three days because no new LNG cargoes have arrived. A cargo is expected to arrive on 20 August and may be delivered to Summit’s terminal. A source said another cargo for Excelerate’s terminal could arrive on 23 or 24 August.