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LPG Industry In Bangladesh - An Insider's Insight

LPG Industry In Bangladesh - An Insider's Insight

Bangladesh’s LPG industry, driven by depleting natural gas reserves and rising energy demand, faces overcapacity and fierce competition but holds promise through port expansion, innovation, joint ventures, and growing automotive applications.

January 19, 2021 5 min read Energy
LPG Industry In Bangladesh - An Insider's Insight

LPG INDUSTRY IN BANGLADESH
Bangladesh has been growing steadily over the last two decades registering an impressive growth trend. The GDP growth level has remained above 6% over the last decade, despite persistent global economic downturn. This resilience is due to Bangladesh’s economic vitality, which has been identified by Goldman Sachs, a global investment bank, which included Bangladesh as part of “Next-11” - a group of countries with potential to grow.

The report clearly delineates the growing demand for energy. The growth trajectory of the economy isaided by increasing movement and upward shift of fuel and energy need of the mass population. Due to ever diminishing reserve of natural gas, the Government of Bangladesh has put extra emphasison LPG or Liquefied Petroleum Gas as the future fuel by declaring LPG industry as a thrust sector.

THE PRODUCT
Liquefied petroleum gas (LPG or LP gas) are flammable mixtures of hydrocarbon gases including propane, butane or mixtures of these gases. LPG, liquefied through pressurization, comes from natural gas processing and oil refining. LPG is prepared by refining petroleum or "wet" natural gas, and is almost entirely derived from fossil fuel sources, being manufactured during the refining of petroleum (crude oil), or extracted…

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