Bangladesh biz steps in to accelerate historic trade pact

• A pact will boost bilateral trade: Bathiudeen

• YoY bilateral trade up 67%

As both Bangladesh and Sri Lanka moved closer to a historic trade pact, negotiations are set to be given fresh impetus as International Chamber of Commerce of Bangladesh President Mahbubur Rahman said he would speak to his country’s Commerce Minister to expedite the process.

“I will meet our Commerce Minister and inform him to expedite the FTA process,” Rahman told Industry and Commerce Minister Rishad Bathiudeen while making a courtesy call to him at EDB on 27 November.
Also present at the meeting were EDB Chairman and CEO Bandula Egodage and ICCB Secretary General Ataur Rahman.
Considered a pioneer in the Bangladeshi private sector, ICCB President Rahman, who started his business activities in 1960s, was the founder of the diversified group ETBL Holdings Ltd., Eastern Trading (Bangladesh), ETBL Development Construction, ETBL Securities & Exchanges Ltd., Progressive Investments (successors to the National Rubber Industries) and Century Cold Storage Ltd. He was also the leading sponsor of Bangladesh’s Eastland Insurance Co., International Publications (Publisher of the Daily Financial Express), National Bank Ltd. and National Housing Finance & Investments Ltd.
“From your side whatever steps are taken, he (Bangladeshi Commerce Minister) too will promptly reciprocate from his side. He has also been very supportive of Bangladesh’s private sector since it is the driver of our economy. Bangladeshis, in business and other activities, work in kinship with Sri Lankans. I am also pleased to say that many Lankan investments in Dhaka are doing very well. For example, the Commercial Bank of Sri Lanka is doing so well there that even our businesses constantly seek its assistance.”
According to the Department of Commerce of Sri Lanka, Bangladesh ranked 25th on Sri Lanka’s list of export destinations for 2013. Bilateral trade between both countries surged by 67% in 2013 to $ 139.23 million from 2012’s $ 83.19 million.
Responding to ICCB President Rahman, Minister Bathiudeen said: “We welcome your intervention and this will greatly boost bilateral efforts. In fact, we too agree that it is the private sector at both sides that will finally drive trade. I am pleased to inform you that the Department of Commerce has already completed the trade agreement study report on our side and both parties have now exchanged their respective reports. We are ready for any kind of agreement you look forward to – whether it is a Preferential Trade Agreement (PTA) or a Free Trade Agreement (FTA). Whatever the form, our Government, led by our committed President Mahinda Rajapaksa, will be positive on the requirements that you have. In fact we welcome a Free Trade Agreement if you so choose. Despite an increase in trade, there are still great unrealised trade potentials and a trade agreement will be the way forward towards bigger bilateral volumes.”
On 23 September, Sri Lanka and Bangladesh successfully inked their second bilateral Joint Working Session in Colombo while also coming to a consensus on creating a prospective Trade Agreement between the historic partners. However, they have stopped short on the exact nature of the trade agreement to be reached “for a while”. Sri Lanka’s leading exports to Bangladesh in 2013 were apparel (cotton, fabrics, narrow woven fabrics and other articles of apparel) and enzymes. The leading imports from Bangladesh in 2013 were medicaments, apparel, electric accumulators and potatoes.