Steel re rolling mills in Chittagong fear huge losses as an acute gas crisis has forced them to cut their production by half.

Millers said that the crisis loomed over at least 50 big and small steel re rolling mills in two industrial zones in Sitakunda and Nasirabad after the gas supplier instructed them to shut their production for three days a week. These mills account for 70% of the country's total steel production.

Karnaphuli Gas Distribution Company Ltd asked the industrial units to cut production on October 26.

20 rerolling mills in Nasirabad industrial area, including Bangladesh Steel Re-rolling Mills Ltd, Ratanpur Steel Re-rolling Mills, Bayezid Steel Mills Ltd, Islam Steel Mills and Benz Steel Mills, were the first to follow the instruction.

Later, 30 steel makers, including GPH Ispat, Kabir Steel Re-rolling Mills, Abul Khair Steel Mills and Shima Steel Mills, located in the areas from Kumira in Sitakunda to City Gate, followed suit.

Steel makers formed human chains in front of their factories on Monday, protesting the KGDCL decision. They feared the factories would turn into losing concerns if they cut their production for long.

M Firoze head of marketing and product development at BSRM said that most factories would incur huge losses. He said that if a factory has to cut 43% to 45% of its production it will fail to pay bank loans.

Mr Firoze said that "These are the process industries, and production in these factories should run round the clock. We keep the factories shut only during big festivals like Eid."

(Sourced from thedailystar.net)