The Bangladeshi Government has announced the formation of a six-member committee aimed at reviewing the labour and business environment at the Beximco Industrial Park, which houses 24 industrial units operated by the beleaguered conglomerate, Beximco. The committee will be led by Labour and Employment Adviser M Sakhawat Hussain.
This newly established panel will focus on recommending short-, medium-, and long-term solutions to the ongoing labour unrest at the Beximco facility. Other members of the committee include Finance Adviser Salehuddin Ahmed, Home Affairs Adviser Md Jahangir Alam Chowdhury, Industries Adviser Adilur Rahman Khan, Commerce Adviser Sk Bashir Uddin, and the Chief Adviser’s Special Envoy on International Affairs, Lutfey Siddiqui.
In addition to addressing issues specific to Beximco, the committee is also tasked with ensuring a conducive work environment across similar firms in the region, as noted in a cabinet division notification issued on Sunday. A five-member supporting committee, comprising secretaries from the Bangladesh Investment Development Authority, as well as the commerce and labour ministries, will assist the advisory panel. The administrator of the Bangladesh Garment Manufacturers and Exporters Association will also provide support.
This initiative comes in response to a pressing need for action as the government agreed to lend Beximco Taka 60 crore from the national budget to help cover October wages amid ongoing worker demonstrations at the Dhaka industrial park located in Gazipur.
Beximco, which employs around 40,000 workers, has encountered significant challenges following the arrest of its vice-chairman, Salman F Rahman, who previously served as a private sector adviser to former Prime Minister Sheikh Hasina. The company is currently facing a liquidity crisis that has resulted in halted production due to shortages of raw materials and unpaid wages for its employees.
Compounding these difficulties, Beximco is struggling to secure new letters of credit for raw material imports as banks have become hesitant to extend loans amid rising concerns over the conglomerate’s financial situation. A significant portion of the loans extended by Janata Bank to Beximco—approximately Taka 19,000 crore out of Taka 23,000 crore—have turned sour, leading the bank to cease disbursing fresh funds.
In a firm response to escalating financial troubles, Bangladesh Bank, following a High Court directive, appointed a receiver to oversee Beximco Group’s financial affairs and assets on 10th November.
