A vast majority of small and medium entrepreneurs (SMEs) fear their investments centred on Pahela Baishakh celebrations are at risk due to the government decision to enforce early-evening shop closures.
Pahela Baishakh, the Bengali New Year, is the country's largest and most inclusive festival, driving significant consumer spending across the retail and SME sectors.
Fashion entrepreneurs and industry leaders have proposed revising shop hours to 1:00pm-10:00pm, instead of the existing 10:00am-7:00pm, to better align with consumer behaviour and minimise losses.
Sayeda Hassan, owner of Rangdhanu Block and Batik Shop at the capital's Anarkoli Market, said she had increased her investment by around 20 per cent this year due to higher prices of imported raw materials.
"Now I am worried as sales have started falling following the government's decision on evening closures," she said, demanding reconsideration for the next few days.
Syed Nasim Manzur, managing director of Apex Footwear, said a vast majority of SMEs depend on a festival-based economy, often generating sales at around Tk 120 million.
"They usually invest funds three to four months ahead of the festival. Their production is already complete, and they are now waiting for sales," he said.
He noted that reduced shopping hours have disproportionately affected SMEs and small retailers, while larger businesses are better equipped to absorb the losses.
The sudden change in shopping hours has come as a shock to seasonal entrepreneurs who rely heavily on Pahela Baishakh sales. After the festival, demand for themed products -- typically designed in specific colours and motifs -- drops sharply.
Manzur suggested allowing shops to remain open from 1:00pm to 10:00pm between April 10 and April 14, to help SMEs recover their investments.
Khalid Mahmood Khan, co-founder and chief executive of fashionwear retailer Kay Kraft, said Baishakh sales this year could have been stronger due to a moderate gap from Eid-ul-Fitr.
"We would recommend the government take immediate measures to offset the losses that shops have already started incurring," he said.
SME Foundation Managing Director Anwar Hossain Chowdhury said SMEs usually target two major festivals annually, but the latest decision was taken considering the country's energy security challenges.
"We are trying to support affected entrepreneurs by organising an SME fair from April 12 to April 18 with concessional stall rents," he said.
Dr Nadia Binte Amin, president of Women Entrepreneurs Network Development (WEND), also called for revising shopping hours to strike a balance between business needs and energy conservation.
She questioned the effectiveness of early closures in saving energy, noting that shopping malls and retail outlets consume electricity during the daytime as well due to lighting and air-conditioning needs.
"Evening closures alone may not significantly reduce overall energy consumption," she said.
Kay Kraft's Khalid, also senior vice-president of the Fashion Entrepreneurs Association of Bangladesh, said consumer behaviour in Bangladesh is largely shaped around evening shopping, particularly after office hours.
Sudden changes in timings, especially during a major festival like Pahela Baishakh, may discourage purchases.
Dhaka Chamber of Commerce and Industry (DCCI) President Taskeen Ahmed said the concerns raised by businesses are valid as they continue to face evolving challenges.
"Seasonal investors who depend on festival sales are likely to be the worst affected," he said, adding that resource constraints must also be considered and all sectors may need to make compromises.
Amid a fuel crisis triggered by the ongoing US-Israel conflict involving Iran, the government last week announced that shops and shopping malls across the country would close by 7:00pm.
According to industry estimates, the retail sector employs between 8.4 million and 12 million people and contributes around 14-15 per cent of GDP. Reduced operating hours could therefore significantly impact incomes.
Business leaders estimate that limiting evening trade may also reduce value-added tax (VAT) collection by 15-20 per cent.
Association data show that the commercial sector accounts for 8.0-10 per cent of national electricity consumption, with retail contributing only 2.0-3.0 per cent, suggesting that targeted efficiency measures may be more effective than across-the-board restrictions.
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