Half of Bangladesh factories face order cancellations amid energy crisis

Approximately 55 percent of factories across Bangladesh have reported that international and domestic buyers are canceling or reducing orders due to ongoing energy supply constraints, according to industry reports. The widespread disruptions highlight the growing challenge posed by inadequate gas and electricity availability to the nation's manufacturing competitiveness.

The energy crisis has created uncertainty in production schedules, forcing buyers to seek alternative suppliers or reduce their import commitments from Bangladesh. Manufacturers have struggled to maintain consistent output levels, with many unable to guarantee timely delivery of goods due to unscheduled power cuts and insufficient gas supplies to industrial facilities.

The cancellations and order reductions pose significant risks to employment and export earnings at a time when Bangladesh's garment, textile, and light engineering sectors remain vital to the national economy. Factory owners have increasingly called on the government to prioritize infrastructure development in the energy sector to restore buyer confidence.

Industry analysts warn that prolonged energy shortages could result in permanent loss of market share to competing manufacturing nations in the region if supplies are not stabilized in the coming months. The situation underscores the urgent need for expanded power generation capacity and improved gas distribution networks to support industrial growth.