Bangladesh will press for greater access to the Indian market for readymade garments and will urge the government to ease barriers including stringent testing norms.
Bangladesh commerce minister Tofail Ahmed, who will meet commerce & industry minister Anand Sharma on Saturday, is also expected to chart out detailed plans for improving border infrastructure to boost trade between the two neighbours.
“The United States and European Union, Canada are very big markets for our readymade garments. But India, which is also a big market we cannot utilise it,” Ahmed told TOI in an interview.
“India shall have to give us more facilities so that we can export our readymade garments. In some places, India is our contestant for readymade garments. But, our product is cheaper than India’s as our cost of production is less than India’s.”
India and Bangladesh compete in the textile export segment in some markets but Ahmed said New Delhi has set up barriers such as imposing tough testing norms to keep readymade garments from Bangladesh out.
“India is not accepting the tests of BSTI (Bangladesh Standards and Testing Institution). That is the big problem. They feel that our testing process and methods are not up to the expectations. It is a matter of discussion,” Ahmed said.
“Bangladesh can take this opportunity but because of barriers we cannot come to the Indian market,” he said referring to the potential of the Indian market.
Ahmed said efforts are on to set up trade offices in Siliguri and Guwahati to expand trade in the seven northeastern states of India. “There is huge opportunity to export our products to seven sister states in India. We have lots of plans.”
The minister also said the new government in Bangladesh plans to expand its export procession zones and invited Indian companies to take advantage of the opportunities. He said he will engage with Indian companies.
Indian entrepreneurs, Indian industrialists can set up their industries in Bangladesh. As an LDC (least developed countries), Bangladesh is getting GSP (generalised scheme of preferences) and lot of other facilities from European markets. After setting up industries in Bangladesh, Indian entrepreneurs will be able to get the opportunity,” Tofail said.
Source: Timesofindia
