Impact of Corona outbreak
Golam Mostafa Jibon: The fate of various development activities especially ongoing mega projects worth at around Tk 1000 billion is now facing serious uncertainty as the country is now facing acute crisis of raw materials due to shut down of flights as well as export and import activities between Bangladesh and other countries of the globe in impact of recent COVID-19 outbreak.
In the same time, entrepreneurs of different small, cottage, middle and servicing sectors in the country have fallen in serious trouble for want of raw materials as most of the raw material producing and supplying industries in different countries have already become closed centering the recent epidemic of deadly Coronavirus across the world. Export and import sector is now also going through a hard time, experts said.
Importers can’t open new LC (Letter of Credit) or debenture for importing any goods from abroad that creating shortfall of the banks’ profit. Some 25 commercial institutions enlisted by the Federation of Bangladesh Chamber of Commerce and Industry revealed such as information to The Daily Industry recently.
Bangaldesh-China Chamber of Commerce and Industry leaders said, “The crisis has taken serious turn as most of the raw material producing and supplying industries in the world especially China have closed their production and export-import activities for the massive outbreak of Coronavirus. Consequently, countries development activities particularly ongoing construction works of several mega projects including Padma Bridge construction are being hampered seriously. Those works will not be completed in time. It may cause of additional cost and time.”
A study of FBCCI revealed that, “Bangladesh mostly depends on China for different raw materials and various equipments. But now, all types of goods import from abroad have remained off due to Corona outbreak that halted country’s internal development activities.
Relevant sources said, the ongoing projects will not be implemented in time for the prevailed shutdown. Consequently, the fate of government mega projects involving at around Tk 100000 crore is now uncertain. Those projects will not be completed in time. In addition, there will be needed more funds, new allocation and additional time to complete the project works.
Businessmen sources said, around 28 percent of the total goods worth around $56 billion was imported from China in the last FY 2018-2019. Of them, around 70 percent of goods were imported for textile industries, machineries, boilers, electrical and machineries industries. Now, it is being apprehending that, the impact of Coronavirus may be lengthened and it will fell a negative impact on industrial sector. If the industries fail to collect raw materials, they can’t go for production.
Mahfuzur Rahman, DPD of City Governance Project (CGP) in LGED told The Daily Industry that, “If the Coronavirus situation deteriorates further and is longstanding, it will seriously hamper the country’s development works as labourers will not be able to carry their works maintaining certain distance. Besides, contractors will not continue the works for want of raw materials centering closure of import activities.”
Tabibor Rahman, an Executive Engineer of Public Health Department told The Daily Industry that “Coronavirus has caused of a negative impact on almost whole activities including development works. People can’t join in their works in fear of infection. Besides, all the people have been asked not to go close contact of each other.”
“If the situation is not control right now, country’s development sector will face hardship in future,” he added.