Bangladesh's large-scale manufacturing up 6.85%

As per Bangladesh Bureau of Statistics (BBS), in January, the LSM sector surged by 6.85 per cent, reversing a three-month decline. This rise signifies resilience in manufacturing, overcoming challenges like import restrictions and dollar shortages.

With LSM industries contributing around 11 per cent to the economy, the January quantum index reached 244.36 points, up from 228.70 a year earlier. Most notably, the LSM index demonstrated consistent annual growth, with only six out of 23 industrial categories experiencing declines.

Economists attributed this surge to heightened economic activity, driven by preparations for Ramadan and the general election even if despite domestic challenges like high input costs and policy rates, LSM exceeded potential growth, surprising analysts.

The notable growth sectors included clothing, food, beverages, chemicals, pharmaceuticals, and electronics, with food and beverage sectors growing by 17.6 per cent and nearly 32 per cent respectively.

Meanwhile, textiles, rubber, and motor vehicle manufacturing saw declines.

Looking ahead, the forecast is optimistic, with expectations of sustained growth in clothing manufacturing and increased beverage production due to rising temperatures from climate change. 

Fibre2Fashion News Desk (DR)