Gas crisis disrupts factory yield in Sylhet

Amid persistent load shedding, a gas crisis has added to the woes of industries in Sylhet, disrupting normal production and driving up operating costs.

Reduced gas pressure has forced some factories to cut production, while others are struggling to keep machinery running. Industrial entrepreneurs say production at some establishments has fallen by 30 to 40 percent this month due to inadequate gas pressure, raising fears of mounting financial losses.

The crisis is being felt most severely in gas-dependent industries, where uninterrupted gas supply is essential for maintaining planned production. The disruption is affecting not only factory productivity but also workers’ working hours and the regular operations of businesses.

Tea industries in Sylhet, Moulvibazar and Habiganj are also facing disruptions due to the combined impact of low gas pressure and the electricity crisis. Industry stakeholders warn that a prolonged energy crisis could affect not only production but also product quality and marketing.

When gas pressure falls, many factories are forced to rely on alternative fuels, increasing production costs. At the same time, fixed expenses—including workers’ salaries, bank loan instalments, electricity bills and other operating costs—remain unchanged even when production declines.

Entrepreneurs fear that prolonged disruption could put significant financial pressure on industries and discourage further investment.

They have urged the government to ensure uninterrupted gas supply to industrial units on a priority basis, alongside supplies to residential and other sectors.

Sylhet, a major recipient of expatriate remittances, has witnessed an increase in industrial activity in recent years. Currently, 88 industrial establishments are operating in the two BSCIC industrial estates in Sylhet. However, gas-dependent factories are now facing severe operational difficulties.

Entrepreneurs say inadequate gas pressure has significantly reduced their production capacity, with some reporting a 30 to 40 percent decline this month.

“We installed gas connections and burners. So what is our crime? Earlier, we used to use gas for 24 hours, but suddenly they stopped running,” one entrepreneur said.

He said the irregular gas supply was also affecting product quality.

“The goods then face problems. The layers that are supposed to be properly heated burn on top, while remaining undercooked at the bottom and in the middle. As a result, the entire production process is disrupted and many products are damaged,” he added.

Entrepreneurs said gas pressure at some factories has fallen to between 2 and 5 PSI, making it difficult to maintain normal production and raising concerns about their ability to remain competitive.

Meanwhile, Jalalabad Gas Transmission and Distribution System Limited has issued a notice asking industrial consumers to reduce their gas load to conserve supply.

Entrepreneurs described the directive as a further blow at a time when industries are already struggling with low pressure.

Sylhet BSCIC Industrial Estate General Secretary Md Nurul Alam said factories could not operate profitably at significantly reduced capacity.

“We should not run more than 50 percent of the load that we have. If I do not run above 50 percent, then with 50 percent of the staff and facilities I have, I will not be able to break even,” he said.

Sylhet BSCIC Industrial Estate Executive Member Md Jasim Uddin said uninterrupted gas supply was essential to protect employment and sustain economic activity.

“Our expectation from the government is to ensure uninterrupted gas supply so that these people can remain employed and the country’s economy can keep running,” he said.

BSCIC officials said gas supply to the industrial units had not been completely suspended, but inadequate pressure was preventing factories from achieving their desired production levels.

Sylhet BSCIC Deputy General Manager Md Suhel Howlader said factories normally require around 5 PSI of gas pressure to operate properly.

“In many cases, it has been seen that the pressure sometimes drops to 3 PSI, sometimes 2 PSI or even below that. So the low pressure is disrupting production activities. However, there is supply—the problem is with the pressure,” he said.

Meanwhile, the government has acknowledged the impact of the gas and energy crisis on industries and said efforts are under way to address the situation.

Commerce Minister Khandaker Abdul Muktadir said the closure of mills and factories due to gas shortages was a reality.

“Mills and factories are shutting down due to a lack of gas. This is a reality. There is no doubt about this; we all know it,” he said.

“Even so, the government is trying to find some kind of solution, some emergency measures, to overcome the situation,” he added.

The government has announced several initiatives to increase gas availability, including new exploration, higher LNG imports and the establishment of a new floating LNG terminal. However, officials have said these measures will require time to take effect.

Industrial entrepreneurs are now demanding immediate steps to restore normal gas pressure and ensure priority supply to factories.

They fear that if the crisis persists, declining production and rising operating costs could eventually affect prices at the consumer level as well.

A prolonged gas shortage could also affect employment, investment and the local economy in Sylhet. Disruptions in export-oriented industries could further create uncertainty over timely delivery of goods.

With industries already struggling with the combined pressure of gas shortages and load shedding, entrepreneurs say restoring normal gas pressure and ensuring long-term energy security have become urgent priorities for sustaining industrial production in the region.