BJMC runs into heavy loss with labor & power problems
May 30, 2008 - Bangladesh
Bangladesh Jute Mills Corporation (BJMC) is trying hard to combat the grave challenges posed by labor unrest and power failure.
Huge losses amounting to Tk1000 million has been caused in the first nine months of this fiscal year by such disrupting circumstances.
The total loss in terms of production was slated at 21,046 tons of jute while lay-off and strike led to a reduction of 12,129 tons in production. This apart, there was a cut of 8,516 tons in output due to power disruption and of 401 tons due o labor disputes.
Loss in terms of monetary value was calculated to be somewhere around Tk989 million on the basis of the selling price of this year.
Earning from export of 102,069 tons of jute goods fetched Tk3790 million while local consumption contributed to the revenue by Tk500 million. This was against Tk4385 million and Tk 770 million procured in the last fiscal year.
The BJMC is still receiving huge orders from India, China and some other African countries for purchasing jute goods, but keeping the present situation under consideration, the association is finding it impossible to meet these growing demands.
At present BJMC is struggling to get loans for installing power generators at the mill but unless the Government does something about it, the situation is likely to remain grim.