International retailers and brands have cancelled or reduced orders at 55% of surveyed knitwear factories in Bangladesh amid the ongoing energy crisis, according to a survey by the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA).
The survey found that 78% of factories experienced partial production shutdowns, while 87% faced shipment delays and around 60% had to offer discounts to buyers. Nearly 59% reported a risk of defaulting on bank loans, while 7% had completely halted production.
Power shortages were the biggest disruption, affecting about 90% of respondents, while nearly 75% reported gas shortages. Among factories providing data, gas supplies were on average 78% below normal requirements, while daily load-shedding increased by about 200%.
The energy shortages sharply reduced output, with knitting production falling by 37–38%, dyeing by 51% and garment sewing by 40%.
The association surveyed about 20% of its member factories in Narayanganj, Gazipur, Chattogram, Dhaka and other areas between Aug. 21 and Sept. 14.
