A total of 434 industrial units under the Bangladesh Small and Cottage Industries Corporation (BSCIC) are facing financial difficulties or have closed, affecting their ability to generate employment. Many of these units have become “sick” due to financial issues, loan defaults, and operational challenges. Some units are tied up in legal disputes, such as inheritance claims, further delaying their operation.
Key industrial estates with high numbers of closed or idle units include the Jamdani Industrial Estate and Research Centre, Tongi Industrial Estate, and several others. Entrepreneurs typically lease plots from the BSCIC for 99 years, but many have defaulted on loans, leading to prolonged closures. Despite attempts to reallocate idle plots, including canceling seven plots in Rajbari, several estates still face persistent problems.
Since the COVID-19 pandemic, many units have struggled to recover, especially in sectors like food, garment accessories, and dyeing. The BSCIC has been working to address these issues, reallocating approximately 100 plots per year, and has amended policies to manage plot allotments more efficiently. Additionally, entrepreneurs could be offered loans or recommended for bank loans to revive their businesses.
BSCIC oversees 12,311 industrial plots, with 6,132 units currently operating. These estates contribute to 30% of Bangladesh’s import-substitute products and 11% of its exports, employing over 6.7 million people and attracting significant investment.
Comment here