The steel sector in the country faced a significant 65% increase in operational costs over the past year. This surge was primarily driven by a 40% rise due to the appreciation of the US dollar, coupled with a 25% increase attributed to hikes in utility bills. This information was disclosed at a press conference organized by the Bangladesh Steel Manufacturers Association (BSMA), representing 41 large steel producers. The sector’s financial stability is at risk, with loans becoming precarious amidst the soaring operational expenses. Additionally, banks are struggling to facilitate imports of steel raw materials due to a shortage of US dollars, further exacerbating the situation. The insufficient importation of raw materials is disrupting the entire supply chain of the steel sector, aggravating the crisis.
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