Bangladesh official says no rush for free trade pact with China

Thursday, 26 April 2018 00:00 - - {{hitsCtrl.values.hits}}

Dhaka (Reuters): Bangladesh is in no rush to sign a Free Trade Agreement with China, a senior Bangladeshi trade official said on Tuesday, though Chinese officials said it would help the poor South Asian country cut its deficit with its largest trading partner.

China is expected to host talks in June, having first floated the idea of an FTA in 2016. Bangladesh does not have an FTA with any trade partner.

“We have no intention to sign such an agreement right now and we are not in a hurry, but we may continue to discuss this,” Shubhashish Bose, Secretary of the Commerce Ministry, told Reuters on Tuesday.

Bangladesh mainly imports machinery, cotton, consumer products and chemical and chemical products from China, while exporting jute, jute products, readymade garments and processed leather the other way.

Li Guangjun, Economic and Commercial Counsellor at China’s embassy in Dhaka, said an agreement would help Bangladesh reduce its deficit, as exports to China only accounted for $1 billion of the $16 billion annual trade between the two countries.

“We would like to see more exports from Bangladesh and for that it needs to become more competitive,” Li told Reuters.

“We believe if Bangladesh signs a Free Trade Agreement, it would then reduce this huge trade gap,” he said, adding that it would lead to more Chinese investment in Bangladesh, and more diversity in Bangladesh’s exports.

Both officials said studies were needed to weigh the pros and cons.

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.