The nationwide internet blackout that began on July 17 has severely impacted online-based small businesses, leaving entrepreneurs and freelancers struggling to cope with significant losses. Business owners are urgently calling on authorities to restore cellular internet connectivity to help them recover.
Although broadband internet was restored on Wednesday, popular social media platforms like Facebook, Instagram, and TikTok remain blocked by the state due to the ongoing unrest created by miscreants under the guise of the quota reformation movement.
This continued blockage has resulted in prolonged financial losses for Facebook-based businesses, commonly known as f-commerce.
Insiders have reported that the ten-day internet blackout has resulted in a total daily transaction loss of Tk 1,200 crore for the f-commerce sector, averaging Tk 120 crore per day.
Additionally, entrepreneurs of this sector have incurred individual losses amounting to Tk 30 crore. As a result, over half a million f-commerce entrepreneurs nationwide are struggling to regain customers’ trust and ensure their businesses' survival.
State Minister for Posts, Telecommunications, and Information Technology Zunaid Ahmed Palak on Wednesday expressed hope that the mobile internet services will be restored by tomorrow or Monday.
The sufferings
Afia Munira, a university-going student and a homemaker, has a Facebook-based cloud kitchen business. She faced considerable financial losses due to the enforced internet shutdown.
"I run a small cloud kitchen where my mother prepares food items that we sell through our Facebook page. My entire business relies on Facebook, but since July 17, there has been no mobile internet connectivity, and the broadband service was shut down the following day.
"The internet was restored on Tuesday, but it was unstable. By Thursday, I regained broadband access but still could not open my page because the government has restricted Facebook, TikTok, and other apps. I feel helpless and face many challenges in running my business and reconnecting with my customers."
Nabil Ahmed, owner of Kunja, a Facebook-based jewellery shop, shared his condition saying, “When the movement started, both the orders and the delivery system got disrupted. Customers complained over the phone that they did not receive the parcel and we did not receive our pending money as well.
"I lost Tk 30,000 due to the protests. As a small f-commerce business owner, my suppliers couldn't fulfil orders, creating a double blow."
Tk120cr a day
During the Covid-19 pandemic, e-commerce businesses surged in Bangladesh as many organisations collapsed, resulting in the emergence of many new entrepreneurs who sought to restart their lives, especially women and students. In comparison to the pre-pandemic period, the growth of online sales increased by 70 to 80 per cent during Covid.
Of the 4,000,00 Facebook-based merchants, around 200 are associated with the E-Commerce Association of Bangladesh (e-CAB). The facebook page owners can earn between Tk 10,000 to Tk 1,00,000 on an average each month.
e-CAB Executive Director Jahangir Alam Shovon explained and painted a clear picture saying, “The business of this sector has been completely closed. Some call-based businesses did start on a limited scale but as Facebook remained closed, small businesses were completely shut down.
“A meagre 15 per cent of the people have been able to re-start their business after the internet outage while the rest are still struggling. Everyday transactions worth Tk 120 crore were facilitated through this sector which came to a halt as well,” he continued.
"Fifteen per cent of all e-commerce businesses operate through Facebook, enabling Tk 30 crore in daily transactions. Many people are facing cash shortages with these operations halted. Additionally, banking transactions were closed for three consecutive days, preventing any withdrawals.
"Small entrepreneurs will face the most trouble regarding restarting their businesses and some may even be forced to shut down. Those dealing with perishable items suffered the most. It will take at least a month for this sector to recover," Shovon added.
However, the e-CAB executive director hopes that the situation would be resolved soon.
