Syful Islam February 24, 2018
Signing of a deal with Eurasian Economic Union (EEU) to
expand trade with East European countries mainly targeting duty-free market
access to Russia was deferred again as the text of the agreement could not be
finalised yet, officials said.
A Bangladesh delegation was scheduled to visit Moscow last
week to finalise the text of a memorandum of understanding (MoU), but the visit
was cancelled at the last moment as top bosses of the ministry of commerce
(MoC) showed reluctance.
Rather, they decided that the Bangladesh ambassador in
Russia will handle the issue of text finalisation and the MoU will be signed
later.
Subsequently, a copy of the draft MoU and related documents
have been sent to Bangladesh embassy in Dhaka for next course of action.
However, trade officials in Dhaka argue that special
expertise is needed for finalising the text of such an important deal and the
ambassador may not have that kind of skills to deal with the matter.
When contacted over telephone Friday, commerce secretary
Shubhashish Bose, however, told the FE that before a visit of Dhaka's trade
officials to Moscow, more discussions are needed.
That's why the scheduled visit was cancelled at the last
moment, he said.
However, Mr Bose could not confirm when the visit will take
place and the text of MoU be finalised for signing.
Replying to a query, the secretary said signing of the MoU
may boost Bangladesh's trade with EEU member states. It may also pave the way
to get duty-free market access to the regional trade bloc.
According to the sources, a top official of the EEU is
scheduled to visit Dhaka in March to sign the MoU if the text can be finalised
by February. Now the possibility of signing the MoU in March seems to be bleak,
said a trade official.
The EEU comprises five northern Eurasian countries such as
Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia. These nations have common
customs border and a single market of 183 million people and gross domestic product
of over US$ 4.0 trillion.
Trade officials said the aim of the deal between Bangladesh
and EEU is to promote trade and economic relations. It also aimed at
comprehensive cooperation between EEU member states and Bangladesh towards a
higher volume of mutual trade and investments, and eliminating barriers,
according to the draft MoU.
Despite having immense potential of Bangladeshi goods in
East European countries, market access is still very limited. Presently,
Bangladeshi goods have to take a detour to enter these countries mainly through
Germany and Turkey.
Signing of the MoU will open the door for direct entry of
goods, leading to an increase in exports to those countries, trade officials
said.
"We are particularly interested to sign the MoU to create
an environment to get duty-free market access to Russia for which we have been
trying for years," said a trade official in Dhaka.
Bangladeshi goods have immense potential in the Russian
market. Export of Bangladeshi products to Russia increased significantly during
the last couple of years. Bangladesh exported goods amounting to US$ 314.29
million in the fiscal year 2015-16.
Bangladesh mainly exports apparels, jute, frozen foods, tea,
leather, home textiles and ceramic products to Russia while it imports cereals,
minerals, chemical products, plastic products, metal, machinery, and mechanical
equipment, among others.
syful-islam@outlook.com
Courtesy: The Financial express Feb 24, 2018