The ready-made garment (RMG) industry, the driving force of Bangladesh's economy, is facing severe challenges due to the direct impact of the global energy crisis. The abnormal surge in fuel, gas, and coal prices in the international market has begun to negatively affect domestic industrial production. Particularly, the lack of regular power and gas supplies has severely disrupted factory manufacturing processes, raising significant concerns about achieving overall export targets.
Driven by prolonged global geopolitical instability and supply chain disruptions, energy prices have skyrocketed worldwide. As Bangladesh relies heavily on imports to meet its energy demands, the shock of this international price hike has directly impacted domestic factories. Relying on diesel and backup generators to keep factories operational has multiplied production costs for entrepreneurs, making it increasingly difficult for them to remain competitive in the global market.
Apparel sector entrepreneurs and business association representatives have noted that while production costs have increased significantly, global brands and buyers are reluctant to raise product prices. As a result, shrinking profit margins are pushing many factories toward financial losses. Furthermore, gas and power shortages make it nearly impossible to manufacture and ship goods within deadlines, creating the risk of order cancellations.
To address this situation, industry experts emphasize the urgent need for policy support from the government and the implementation of long-term energy sector planning. Ensuring uninterrupted gas and power supplies to industrial units and exploring alternative energy sources, including renewables, are deemed critical. Failure to do so could jeopardize Bangladesh's long-standing reputation and position in the global apparel market.
Business leaders have called for immediate and effective measures to protect the RMG sector, which employs millions of workers and serves as the primary source of foreign exchange earnings. They expressed hope that through the concerted efforts of all stakeholders and timely government policy support, the country's garment industry will be able to overcome this global crisis.
