Trade Advisor writes to USTR, assures of increased trade facilitation
Bangladesh’s tariff list currently has zero duty on 190 products. It is being considered to add 100 more products in Bangladesh’s tariff line to the duty-free list.
Bangladesh’s Trade Advisor Sheikh Bashiruddin sent a letter to US Trade Representative (USTR) Jamieson Greer on Monday evening, mentioning this information. The letter was sent in the context of the counter-tariff imposed by the US. The letter said that since the US government withdrew the preferential benefits on Bangladeshi products, Bangladesh has been paying a duty of 15 percent on all export products. On the other hand, there is an average duty of 6.10 percent on products imported from the US. Of this, there is no duty on raw cotton imports. And the duty rate on iron scrap imports is 1 percent.
The letter said that Bangladesh is one of the largest cotton importers in the US, and that Bangladesh’s ready-made garment industry runs on this cotton. However, higher tariffs are being imposed on Bangladeshi products in the US.
On November 25, 2013, the Trade and Investment Facilitation Forum Agreement (TICFA) was signed between Bangladesh and the US. According to TICFA, both countries are committed to jointly identify and remove obstacles to trade and investment. It was mentioned that Bangladesh always believes in constructive dialogue and cooperation and is ready to remove any obstacles to US exports to Bangladesh. Several meetings have been held with the Trade Section of the US Embassy in Dhaka in this regard. Both sides have also agreed to take several steps.
The letter stated that Bangladesh has taken various reform initiatives to reduce tariffs, remove non-tariff barriers and make mutual trade more profitable. The initiatives include updating import policies, simplifying customs procedures, protecting intellectual property, trademark and patent protection, etc.
The letter said that Bangladesh is going to sign a long-term liquefied natural gas (LNG) agreement with the United States, a proposal for American car manufacturers to set up factories in Bangladesh, an initiative to import soybeans, wheat, cotton, etc. on a large scale through private entrepreneurs, and encourage US private equity funds to invest in Bangladesh’s health and other service sectors.
Sheikh Bashiruddin said, “I believe that these initiatives will be helpful in balancing bilateral trade and improving the living standards of the people of both countries.”
Sheikh Bashiruddin, along with Principal Advisor and Nobel laureate Professor Muhammad Yunus and his government, is personally committed to taking necessary steps to further strengthen bilateral trade relations through constructive discussions with the office of Jameson Greer, the letter said.
This evening, Trade Advisor Sheikh Bashiruddin told reporters, “I have informed them of the initiative to remove trade barriers. Four products contribute 75 percent of total imports from the United States. These are cotton, iron scrap, soy and energy products. And in the United States we export $8 billion worth of goods. The remaining $42 billion goes to other countries. We do not want to hinder the exports of the remaining $42 billion for the United States alone. Trade Advisor writes to
