Business News -Under Bush administration, Bangla-US trade will continue to boost

Dhaka-- (UNB) – Bangladesh yesterday made a fervent plea to US authority for allowing its exports, alongside products from other LDCs, free access to American market upholding their policy of nondiscrimination towards less fortunate nations.

Visitors take a look at a computer at the US trade show in Dhaka, Thursday Jan. 25, 2001. A total of 71 exhibitors will display American goods and services that are sold in Bangladesh by different US-based companies. AP

“It’s our sincere expectation that the US will allow similar treatment to all LDCs, including Bangladesh,” said Commerce Minister Abdul Jalil inaugurating US Trade Show 2001 at Sheraton Hotel.

The US congress has accorded duty-and quota-free access to 72 Caribbean and Sub-Sahara African countries through passing US Trade Development Act 2000. And it caused concern in the business circles here about losing their competitive edge in export business and hence their market in America.

“There is a strong apprehension among our business community that the Act might adversely affect Bangladesh’s export of textile products, leather and footwear to the US,” the minister told US business function.

He in this context expected a parity of treatment from the US in line with a recent European Commission decision to allow duty-free access of all LDC exports to the EU market.

US Ambassador in Bangladesh Mary Ann Peters and president of the American Chamber of Commerce in Bangladesh (AmCham) Forrest E Cookson also addressed the function.

AmCham and the US Embassy in Bangladesh have cosponsored the 3-day trade show where 71 companies are showcasing their products in 114 booths.

Jalil said although Bangladesh has active trade relations with more than a hundred countries of the world, the position held by the US is unique in many respects.

“The US, as a single market, occupies the top position among our export destinations, accounting for more than 37 per cent of the country’s total global exports,” he told the function.

Major exports to the US include readymade garments, Knitwear, frozen foods, jute yarn and twine, ceramic tableware and leather while import items include textile materials, machinery and equipment, chemicals, edible oil and consumer products.

There is definite scope for further expansion through fruitful interaction between the business communities of the two countries, the Commerce Minister said.

The exhibition, 10th of its kind in Dhaka, aims at familiarizing US products and services here to promote American exports to Bangladesh, which enjoys a trade surplus with the United States.

In the fiscal year 1999-2000, Bangladesh exports to USA figured US$ 2.3 billion while her imports cost US$325 million.

“We hope to promote US exports to Bangladesh to balance the lopsided trade imbalance,” said Mary Ann Peters.

She said the US-Bangladesh business is in the forefront of their mutual agenda specially after president Clinton’s visit to Bangladesh in March last year and Bangladesh Prime Minister Sheikh Hasina’s trip to the United States in October last year.

“Under the new Bush administration, the trade will continue to boost,” the envoy said striking a note of optimism on the change of guard in the US presidency—from the Democrats to the Republicans.

Energy, gas, power generation, infrastructures, like private port, telecommunications and IT, are some of the areas of interest for the American investors, she informed the function indicating more investment of their capital here.

Real US investment in Bangladesh would be roughly US$ 800 million, most of which has gone to gas sector where American oil giants found rewarding business. Another one billion in investment in infrastructures, including one in container terminal and one in energy, is in the official process.

US companies are also among the bidders who participated in a tender floated by Biman for purchasing civil aircraft. The deal is under process with the recent move towards privatization of the national flag carrier.