Gas crisis, poor drainage push Naogaon BSCIC Industrial Estate to brink
Amidst these challenges, most factories struggle to survive, with many shutting down.
The Naogaon BSCIC Industrial Estate is grappling with several challenges that have led to the closure of many factories and a decline in production over the years.
One of the issues plaguing the estate is the absence of gas supply. Amid the higher prices of energy, the unavailability of gas supply is forcing many factories to either cease or close operations.
Another problem is the lack of proper drainage systems, leaving roads and pathways flooded during the rainy season. Besides, the apathy of the authorities concerned in making the estate vibrant, is hampering its growth and development.
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Amidst these challenges, most factories struggle to survive, with many shutting down. Even the ones still operational face difficulties as they can only run for three to six months a year. This intermittent operation has caused a significant reduction in production.
Industry owners say many of them have taken loans from banks after getting plot approval and now they have to run their operations — even if for three to six months a year — to ensure a continuation of the loans.
The Naogaon BSCIC Industrial Estate, which started its journey in 2004 on 15.14 acres of land at Shalukha and Masharpur, is home to 82 plots, of which 81 are allotted. Within the estate, there are 53 industrial units. According to official records, 50 industrial units are active in production. These units are producing various goods, including food and food-related products, pesticides, truck bodies, pumps, cables, agricultural machinery parts, organic fertilisers, plastics, chemicals, and light engineering products.
Many factory owners have told The Business Standard that around 70% of the estate factories have been closed down. Even the operational ones are barely running for three to six months a year.
Nasim Brothers Automatic Rice Mill, a factory within the estate, has been running for only four months a year. Nasim Uddin, the owner, expressing his concerns over the "mismanagement" of the estate, said it is challenging to sustain businesses in the region in the competitive market.
Nur Muminul Haque, owner of Munim Enterprise, shared the concerns of other factory owners regarding the absence of a gas supply in the area. Due to this, many factory owners have resorted to selling their factories, he said. "Running factories without gas supply is unsustainable, causing many to close down or shift their business elsewhere." Many entrepreneurs have become loan defaulters after failing to cope with the challenges, he said.
Doctors Food Products, which is supposed to make cake and sweet items, has even started producing biryani to make ends meet in the tough market competition, said its manager Emran Hossain.
Some factory owners, like Abdul Bari of Barik Engineering Complex, have opted to stay on the factory premises itself by constructing buildings, in violation of rules.
Abdul Bari claimed that his managers live there, but he does not stay there permanently. He argued that he has to stay there sometimes as he is not solvent enough to appoint security personnel.
Shamim Akhtar Mamun, deputy manager of the Naogaon BSCIC Industrial Estate, told TBS that he is now aware of the issue of staying in the industrial units by constructing houses. He, however, acknowledged that the factories in the estates are facing problems because of the unavailability of gas and many of them are running their operations for three to six months a year due to poor business conditions.
Shamim Akhtar Mamun, however, said the authorities concerned have been informed about the problems in a detailed report.
Naogaon BSCIC Industrial Estate Owners Association Vice-President Mashiur Rahman expressed his frustration over the long-standing problems and apathy of the authorities concerned.
In the face of this crisis, local industry leaders have appealed to the government for intervention, emphasising the need for proper infrastructure, gas supply, and support for these small and cottage industries in Naogaon.
Naogaon Chamber of Commerce and Industry President Iqbal Shahriar Russel pointed out that the apathy of government officials has further exacerbated the situation. He stated that most factories in the industrial estate are not operating, and the gas crisis is crippling the region. The lack of investment and infrastructure maintenance has left many factories in a state of despair, leading to mass closures, Iqbal Shahriar said.
