25/08/2026
Bangladesh’s gas crisis continues to put pressure on industries, power generation and production costs. Bangladesh’s daily gas demand stands at around 3.8–3.85 billion cubic feet (bcf) against normal supply of about 2.7 bcf, leaving a structural gap of more than 1 bcf. During the recent disruption, supply fell to around 2.03 bcf, creating a shortfall of approximately 1.77 bcf. By 18 August, supply had improved to around 2.42 bcf, but remained nearly 1.38 bcf below demand. LNG supply also increased to around 800 mmcfd, from below 300 mmcfd on 13 August, providing some relief.
The supply shortage has disrupted industrial production across major manufacturing hubs. More than 300 factories in Narsingdi have halted production, while around 450 dyeing factories in Narayanganj have reportedly stopped operations. In Gazipur, around 12–15% of industrial units have been affected. Several large industrial groups have also faced shutdowns or reduced operations. Factories relying on diesel as an alternative fuel are facing sharply higher operating costs, putting pressure on margins, export competitiveness and production schedules. Prolonged disruptions could also affect employment, domestic supply and inflation.
To address the immediate supply pressure, the government is stepping up LNG procurement. On 24 August, the Cabinet Committee on Government Purchase approved two LNG cargoes from South Korea and the UK at record-high prices exceeding USD 24 per MMBtu, specifically to meet growing domestic gas demand. Additional LNG imports should provide near-term support to power generation and industrial consumers and help ease production disruptions.
While the procurement is a positive short-term response, strengthening domestic gas exploration, LNG infrastructure, transmission capacity, storage and diversified energy sources remains essential for long-term energy security and industrial stability.
