Bangladesh is expected to form a joint trade commission with Cambodia in order to expand bilateral trade and commerce between the two countries.
The trade commission will aim at creating a win-win trade relationship between the businesses of the two countries while both the Government and private sector people will be engaged in the process to have the dream come true. Focus would be given on removing trade barriers and easing the export-import process with the viable tariff rate.
Hedayetullah Al Mamoon, Senior Commerce Secretary, Bangladesh said, “A note verbal detailing the purpose of joint trade commission has been prepared, which would be sent to Cambodia for consideration through the Ministry of Foreign Affairs by this week.”
According to the Export Promotion Bureau (EPB) data, Bangladesh’s export earnings from Cambodia stood at US $ 4.37 million in the fiscal year 2015-16 while in the first seven months of the current fiscal year, the earning stood at US $ 2.77 million. Bilateral trade of the two countries is about US $ 7 million. Bangladesh’s main exports to Cambodia include garments, footwear and leather goods while Cambodia primarily exports cotton, cooking oil and fertilizer.
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“We have agreed on which products and items that Cambodia will allow Bangladesh to import and export tariff-free. That will be revealed when we will sign the agreement. Both countries are dependent on the garment industry as the main driver of economic growth, and so we are looking at ways that trade can complement the growth of each other,” said Soeng Sophary, Spokesperson, Ministry of Commerce, Cambodia.
Adding to that, Van Sou Ieng, President, Garment Manufacturers Association of Cambodia (GMAC) said, “A bilateral trade deal could lead to further garment production despite the countries competing for the same global market. The countries should work to create a labour-sharing agreement that would allow Bangladeshi workers to migrate to Cambodia to fill the garment sector’s skills gap as it produces higher value-added goods. Having workers come from Bangladesh to Cambodia would be good for Cambodia because it would support future growth in manufacturing capabilities.”
Shafiul Islam Mohiuddin, Senior Vice President of Federation of Bangladesh Chamber of Commerce and Industry (FBCCI) also expressed his happiness on the (expected) trade commission.
