Bangladeshi Textile Industry Struggles with Energy Insecurity Amid Supply Disruptions

The textile industry in Bangladesh is facing energy insecurity due to high costs and supply disruptions. The Middle East war has driven up gas prices, while a fire at one of the country's two LNG terminals last month cut supply by half.

Factories are now operating at 40% below capacity, with some turning to expensive diesel or compressed natural gas from roadside filling stations. Industry leaders are considering alternative fuels such as biomass and electricity.

Dr Laxmikant Jawale of the Apparel Impact Institute says biomass cannot be a sector-wide strategy due to logistics and infrastructure limitations. However, facility-by-facility adoption is feasible.