Urea fertiliser imports in Bangladesh are facing challenges as banks struggle to secure dollars for opening letters of credit (LCs). The Bangladesh Chemical Industries Corporation (BCIC), responsible for supplying urea, has had its LC applications frequently rejected due to a dollar shortage. Currently, four out of five BCIC-operated urea factories are shut down because of gas shortages, leaving the Ghorashal Polash factory to produce only a fraction of the annual demand. With 500,000 tonnes in stock for the Aman season, BCIC is worried about potential shortages for the upcoming Boro season. The BCIC has reached out to government bodies for assistance, emphasizing that any disruption in urea imports could severely impact agricultural production and food security. Despite past efforts to open LCs through several banks, the ongoing dollar crisis continues to impede the process. Ensuring gas supply to the closed factories could help mitigate the crisis and meet local demand without imports.
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