If the gas price is hiked at the proposed 103-116 per cent in such a situation, they need an additional Tk 20.47-23 as electricity cost to produce a kg of yarn, BTMA claimed.
"The overhead per-kilo production cost of yarn will be double or 50 cents from its existing rate of 25 cents if the proposed gas hike takes effect," BTMA president Mohammad Ali Khokon told a press conference in Dhaka.
Opposing the state-owned distribution company's proposal for gas price hike, BTMA said the hike in gas price would erode competitiveness of the sector, according to Bangla media reports.
Khokon urged the government to ensure uninterrupted gas supply by not raising the price further.
Although some 1200 electronic volume corrector (EVC) meters have been imported, he said, a negligible number of factories get such devices installed. Despite the gas crisis, factory owners have been forced to pay millions in bills to Titas Gas Transmission and Distribution Company in the absence of EVC meters, he claimed.
The BTMA chief urged the government to immediately install EVC meters at captive power generator mills for bill payment.
He also demanded uninterrupted gas supply to industries by halting supply to fertiliser factories and transport sector for an interim period.
He sought a 5-10-year energy policy to help the sector plan investment accordingly to produce additional raw materials worth $10 billion.
ALCHEMPro News Desk (DS)
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