31 state-owned industrial units are running at loss: Industries minister

A total of 31 state-owned industrial enterprises under the Industries Ministry are operating at a loss, Industries Minister Khandakar Abdul Muktadir told parliament today (2 April).

“Five state-owned enterprises of Bangladesh Steel and Engineering Corporation (BSEC), 14 of Bangladesh Sugar and Food Industries Corporation (BSFIC), and 12 of Bangladesh Chemical Industries Corporation (BCIC) under the ministry are operating at a loss,” he said.

The minister made the remarks in his scripted reply to a question from treasury bench lawmaker SM Jahangir Hossain (Dhaka-18) during the question-and-answer session.

Earlier, the parliamentary session resumed at 3:30pm with Speaker Hafiz Uddin Ahmad in the chair.

Abdul Muktadir said the government provides subsidies to cover the trade gap – the difference between production cost and selling price – of fertilisers such as urea, TSP and DAP produced under BCIC.

However, no subsidies are provided to loss-making enterprises under BSFIC, though the government offers loans as operating capital support, he said.

Similarly, no subsidies are given to loss-making industries under BSEC, he added.

The minister said the government has plans to reduce the losses.

He said initiatives have been taken to modernise sugar mills under BSFIC, increase sugarcane production and recovery rates, rationalise manpower, and establish agro-based industries and distillery plants.

He added that a project is underway to convert the production process of Chhatak Cement Company Ltd under BCIC from wet to dry process.

Besides, initiatives have been taken to restart closed factories and establish energy-efficient, environment-friendly, and profitable industries to produce import-substitute goods using modern technologies.

Efforts are also ongoing to modernise BSEC industries, make them environmentally friendly, and improve their marketing systems, he said.