Published: 01:20 AM, 17 March 2026
Industries brace for hard times in the middle of energy scarcities
Bangladesh has started experiencing a fuel crisis more than a week after the US and Israel launched massive military strikes on Iran, prompting the Tehran government to close the Strait of Hormuz, through which Dhaka imports nearly all of its crude oil and LNG from the Middle East.
As a result, Bangladesh, like many other countries, is in danger of facing a severe energy crisis if the conflict does not de-escalate within the next few weeks. In fact, panic buying of fuel oil has already hit filling stations across the country, including Dhaka, where long queues were seen on Friday due to fears of a fuel price hike and supply shortages in the coming days.
Amid this crisis, illegal fuel sales through the black market have been reported in many places. Cashing in on the uncertain situation, some unscrupulous traders and individuals have been buying large amounts of fuel in drums and containers from filling stations to hoard and resell later at higher prices.
Against this backdrop, the government has imposed limits on fuel consumption per vehicle in order to curb panic buying. Under the arrangement, motorcycles are allowed to buy a maximum of 2 litres of petrol or octane per visit, while private cars are limited to 10 litres. Jeeps and microbuses can purchase between 20 and 25 litres. Pickup trucks and local buses running on diesel are capped at 70 to 80 litres, and long-distance buses and trucks may buy up to 200 to 220 liters.
This rationing system has been put in place as fuel oil prices in the global markets have surged significantly. According to reports, US crude oil spiked more than 12 percent to over $91 per barrel, its highest price since late 2022. On the other hand, Brent, the international oil benchmark, crossed $94 per barrel after jumping more than 9 percent to its highest level since late 2023.
However, experts predict that if the Iran war continues sine die, crude oil prices in the international markets could reach $150 per barrel soon.
By and large, if such oil market volatility occurs, Bangladesh will be hit hard. Approximately 350 garment factories and over 50 textile mills have already been shut down due to energy shortages in recent times. Many more factories may face closure if supply disruptions continue, as Iran has been launching widespread missile and drone strikes on US bases across the Middle East.
Tehran has targeted Israel, Iraq, Oman, Bahrain, Kuwait, Saudi Arabia, the United Arab Emirates (UAE), and Qatar. Suffice it to say, Bangladesh buys most of its LNG and crude oil from these Middle Eastern states.
