Notwithstanding the fact that cancelled orders are being reinstated now while new work orders are also trickling in, there seems no respite for the smaller units as they are finding it difficult to resume operations, as per media reports.
According to reports, following the countrywide shutdown imposed by the Government to curb the spread of the COVID-19 pandemic, many smaller players owing to capital shortage had to shut down operations permanently.
Many others were yet to decide on work resumption as no consensus could be reached between the factory owners and the trade union leaders on the issue as many of these factories were yet to clear the workers’ wages and dues with union leaders demanding dues be cleared first before work resumes.
Meanwhile, many other smaller factories are relying on bigger units for work orders as these units have not been able to garner direct orders from global buyers, the report underlined.
Most of those factories used to operate on a sub-contractual basis before they were closed, reportedly maintained BGMEA Director Md. Rezwan Selim to the media.
As per some accounts, around 300 small- and medium-sized factories had to shut down operations so far due to the fallout of coronavirus pandemic in Bangladesh.