The latest hike in the price of petroleum products will cost the Bangladeshi clothing industry an extra US$200m a year, the country's apparel makers' organisation has told just-style.

Leaders of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) now fear the increased fuel prices will make their exports less competitive.

Fuel prices went up by 33% to 37% from the beginning of this month, rising by BDT15 (US$0.22) per litre toBDT55 (US$0.8). Just 15 months ago the government, which controls petroleum trade, hiked the prices by 13% to 21%. 
Higher diesel prices will cost the industry at least US$100m in running power generators during power cuts, while increased transportation and other costs will add another US$100m according to Shahidul Islam, acting chief of BGMEA.

By Jahir Ahmed.