Bangladesh’s trade journey is all set to get challenging during the eighth five-year plan period thanks to the weakened multilateral system, growing competition in the key markets, rise of mega trading blocs and the potential fallouts of graduating from a least developed country (LDC).
This was underlined by the Centre for Policy Dialogue (CPD), a leading think-tank of Bangladesh.
The observations were made at ‘The Eighth Five Year Plan: Addressing Covid-19 Challenges and Sustainable LDC Graduation’, organised virtually by the CPD on 8 December, during which CPD maintained that following Bangladesh’s graduation to a developing nation in 2024, average tariffs facing the country’s exports are set to rise by 9 per cent, and potential shipment loss could be to the tune of 14 per cent.
Taking part in the discussions, member of the General Economics Division of the Planning Commission, Prof. Shamsul Alam, reportedly said that post the LDC graduation, Bangladesh will lose 1 per cent to 4 per cent of its annual exports amounting to US $ 7 billion but added the Government will try to boost exports through signing of free trade agreements (FTAs), preferential trade agreements (PTAs) and comprehensive economic partnership agreement (CEPA).
Further, as per the CPD, there is a possibility of loss of employment, particularly in the garment sector, following a possible fall in exports (expected to be around 5.7 per cent annually).
An estimated 538,770 jobs could be lost due to preference erosion, the CPD reportedly maintained while adding sectors such as the pharmaceuticals could lose its existing flexibilities in terms of patenting and licencing requirements as well.
Bharat Tex Special Report 2026 
