export and import situation of bangladesh

Export-Import of Bangladesh

Introduction

Foreign trade is of vital importance to the economic development of Bangladesh. The

country's import needs are large and the imperative to increase exports is immediate. In

order to finance those imports and also to reduce the country's dependence on foreign

aid grants, the government, since liberation, has been trying to enhance foreign

exchange earnings through planned and increased exports. The significance of foreign

trade to the economy is manifest in a number of facts and figures.

In 1991-92, foreign trade's contribution to government revenue was more than 37

percent; export-oriented industries' contribution to industrial value-addition was 56

percent; export industries' share of employment in the manufacturing sector was 60

percent, and the growth of export earnings was 16.09 percent. During the last decade

export earnings at current dollar prices increased by 14 percent per annum.

At present, major exports are raw jute, jute goods, tea, leather, frozen fish and read-

made garments, while major imports are capital goods, food grains, petroleum and oil,

yarn and textiles.

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Import Situation in Bangladesh

Agents and Distributors:

The main channel for selling goods in Bangladesh is through a local agent, i.e., an

agent, wholesaler or distributor. If authorized, companies may use their local agents to

service industrial consumers and bid on government contracts.

More than half of Bangladesh's imports are made through tender or direct purchase by

public sector corporations, government controlled corporations, and autonomous

bodies. These organizations prefer to deal with local firms acting as exclusive agents or

distributors of foreign manufacturers and suppliers. Foreign firms should consider hiring

an exclusive agent/distributor to monitor these projects.

Agent-principle agreements may be either exclusive or non-exclusive. Non-exclusive

arrangements are common for commodities where brand names are not important.

Import Restrictions:

The government has moved to reduce the number of items on its list of banned imports

and has eliminated the need for import licenses. However, some products are still

banned from importation, including certain maps, obscene materials, socially or

religiously offensive items, all types of wastes, and substandard or rejected goods, as

well as all imports from South Africa or Israel.

All commercial importers are issued pass books in which their import authorizations are

validated. The issuance of a pass book is a formality for items not on the controlled or

restricted lists. Pass books are valid for 12 months

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Import Duties:

Despite some recent reductions, tariffs in Bangladesh remain high, averaging over 50

percent. At the recommendation of the World Bank, Bangladesh has placed a 100

percent tariff ceiling on most goods, with the intention of bringing the ceiling down to 60

percent in fiscal year 1993-94. A value-added tax (VAT) of 10 to 20 percent and

additional fees, typically adding up to 15 percent of the cost and freight value, are also

applied to imports.

Duties are reduced to 2.5 percent for installation of imported machinery in less

developed areas. Duties are also reduced to 2.5 percent for capital machinery and

factories which use 70 percent or more indigenous materials and for imported

machinery for export-oriented industries. Exemptions from duties and the import sales

tax are available for a variety of goods.

Documentation:

Documentation required for commercial shipments to Bangladesh include a commercial

invoice, bill of lading or air waybill, an insurance certificate that must be underwritten by

the Sadaran Bima Corporation or any Bangladesh insurance company, and pro forma

invoice. A certificate of origin may be requested.

General import regulations and requirements

Importing most goods does mot require an import license. All importers must be

registered with the Ministry of Commerce. Some goods are restricted or prohibited. See

lists below under heading "

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Prohibited or highly restricted imports

Prior permission is required to import goods on the restricted list. Certain restricted

goods may be imported only by authorized users.Imports from Serbia and Montenegro

are prohibited.Bangladesh observes a boycott of Israel. Imports may not ship on Israeli

flag vessels. No vessel or aircraft used for shipments to Bangladesh may call on any

port in Israel.

Import customs tariff

Bangladesh uses the Harmonized Tariff System for tariff classification. You can search

the tariff schedule here. For more information on tariff requirements please see Tariff

Information (scroll down to desired country).

Tariff rates are set at 10, 15, 20, and 25 percent. Certain products are exempt from

duties.

Additional taxes/charges which may apply:

15 percent value-added tax

Supplemental tax on certain goods

Landing fee

Insurance charge

General import license/permit requirements

Most goods do not require an import license. The Ministry of Commerce requires

registration of each importer. Prior approval is required to import goods on the restricted

list. Certain restricted goods may be imported only by authorized users. There are no

tariff quotas on imports.

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Corn Import in Bangladesh

At present corn grown in India is high on demand in Bangladesh as per Bangladesh

export, import and trade reports brought out by reputed traders and analysts in that

country. As per Bangladesh trade news corn cultivated in Bihar, India is high in

popularity charts in that country.

Prohibited or highly restricted imports

All goods from Israel, Serbia and/or Montenegro are prohibited.

Prohibited articles

may include the following, in alphabetical order: artificial mustard oil, eggs (except

hatching eggs), fishing nets (gillnets), grass, horror comics, lard and tallow oil, lard, live

pigs, motorbikes more than three years old, nylon and polyethylene ropes, obscene and

subversive literature or similar types of materials; opium, pig and poultry fat, pig hair,

poppy seeds and dried posto dana, raw sugar, selected insecticides, selected

petroleum products, single phase electricity meters solid or semi-solid palm oil, some

kinds of cloth, tendu leaves, un-denatured ethyl alcohol (80% or higher) and other

denatured spirits of any strength, used or new rags, vessels more than 15 years old,

wine, woven fabrics of silk or silk waste.

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Restricted articles

may include the following, in alphabetical order: goods bearing pictures or writing which

is obscene or of a religious connotation which may injure the religious feelings of any

class of Bangladeshi citizens; printed material, posters, video tapes, etc. containing

matters likely to outrage the religious feelings and beliefs of any class of Bangladeshi

citizens; unless otherwise specified, old, second-hand and reconditioned goods; unless

otherwise specified, all kinds of waste; reconditioned office equipment (i.e., photocopier,

typewriter, telex, computer, phone, fax machine);

Foreign exchange controls and letters of credit

Exchange control is administered by the Bangladesh Bank through commercial banks

and authorized financial institutions. Unless otherwise specified, all imports must be

made by opening an irrevocable letter of credit. Importers are required to have Letter of

Credit Authorization (LCA) forms.

Commercial invoice

A commercial invoice is required for every commercial shipment and should conform to

the information requirements described in our definition.

At least three (3) original, signed copies should be sent to the consignee or the agent

thereof with the other shipping documents. The shipper should confirm the exact

number of copies required with the consignee.

Country of origin information should be included, unless a separate certificate of origin

is requested. A pro-forma invoice is needed in advance for the required letter of credit

(L/C). Each non-commercial shipment will also require a pro-forma invoice.

For airfreight shipments, in most cases, the shipping documents should accompany the

cargo and/or the airwaybill (AWB).

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For more information on preparing and distributing commercial invoices, see GISTnet

headings: Commercial Invoice and Shipping Document Distribution Based on Specific

Functional Needs.

Packing list

Although not always required by regulations, at least three (3) copies of the packing list

should be included among the shipping documents sent to the consignee or the agent

thereof is recommended to expedite customs clearance at the port of entry for all

shipments containing more than one shipping unit.

The packing list should clearly identify the contents of each uniquely numbered shipping

package with the cargo description including the gross weight, net weight, the cubic

measurement and the shipping marks and numbers.

The information on the packing list must be consistent with all the information shown on

the commercial invoice or pro-forma invoice.

Transport document

A properly prepared transport document is required for transportation purposes and as

a source document for customs clearance purposes at the port of entry.

For ocean cargo, three (3) copies of an ocean bill of lading are required.

"To order" B/Ls are acceptable.

Certificate of origin

When required by the buyer/consignee or the terms of a letter of credit (L/C); a shipper

should consult with the customer in Bangladesh to determine the exact number of C/O

copies needed.

At the very least, three (3) copies should be prepared, using the general certificate of

origin (CO, C/O) form that is available from a commercial printer.

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Once completed, each C/O must be signed and each signature must be notarized.

Following notarization, each C/O must be certified by a recognized Chamber of

Commerce.

Official cargo insurance requirements

Every import shipment to Bangladesh is required to be covered by shipping insurance

underwritten by the Sadaran Bima Corporation or any other Bangladeshi insurance

company.

A copy of the insurance certificate or the insurance policy is required to be included

among the shipping documents.

Shipment packaging and marking requirements

Exporters should consult with their customers to confirm any special packing

requirements.

In general, follow standard shipping practices. Each package should be marked with:

contents & quantity, name & address of consignee, country of origin, port of loading,

port of discharge, net weight, gross weight, cubic measurement and marks & numbers.

Straw or hay used in packing must be certified to be free of insects and disease. Export

packing must be strong enough to withstand weather conditions, pilferage, and rough

handling during the cargo's through transportation. Packages should be uniquely

numbered if there are more than one shipping unit in the consignment.

Dangerous goods require the use of U.N. Performance Oriented Packaging (UN POP).

Product-specific packaging/labeling requirements

Exporters should confirm with their customers regarding product-specific packaging and

labeling requirements. Generally, labeling must show country of origin and complete

manufacturer's name and address. Specific packaging and labeling requirements apply

to food, agricultural and chemical products and to other products and commodities.

Obscene words or transcriptions are not permitted.

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ATA carnets

ATA Carnets are not accepted. For more information on carnets see the International

Chamber of Commerce website.

Plants and plant products

A phytosanitary certificate is required for the import of plants and most plant products.

Fruits and vegetables, except potatoes, are exempt from this requirement. An additional

certificate is required for leaf tobacco.

Plants and plant products, including seeds, for use as food

Exporters should contact their customers in Bangladesh for information regarding

product-specific requirements. Imports of certain foodstuffs must be covered by a

certificate of analysis.

Animals and animal products

A health certificate is required for certain animals, particularly livestock. A sanitary

certificate is required for fish and fish products. Pig and poultry fat is prohibited. Eggs

(except hatching eggs) are prohibited. Certain other animal products may be prohibited

from import..

Food products

A "radiation certificate," certifying the foods have not been exposed to radioactivity, may

be required for some foodstuffs. A free sale certificate and/or certificate of analysis may

be required for imports of food products. Palm oil (solid or semi-solid) and raw sugar are

prohibited. Check with customer in Bangladesh for exact requirements.

Pharmaceuticals

Imports of drugs and pharmaceuticals require special certification. Exporters should

confirm product-specific requirements with their customers in Bangladesh. A free sale

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certificate and/or a certificate of analysis may be required for imports of drugs and

pharmaceuticals.

Machinery and appliances: Telecommunications equipment, radios, TVs, and RF

devices

Generally applicable import requirements for telecommunications equipment:

Appliances that are connected to line power typically require testing and safety

certification by an independent laboratory recognized by destination (import)

country. There are also safety standards on batteries, particularly rechargeable

batteries, that are shipped included in such devices.

There are two concerns regarding emissions, which also require testing and

safety certification by an independent laboratory recognized by destination

(import) country:

Radio frequency interference (RFI): even radios and TV receivers emit weak

signals that can interfere with other devices; transmitters, including very low

power devices (e.g., cell phones, portable phones) can also cause interference.

There are international and/or national standards limiting spurious radio

frequency emissions.

TVs and computer monitors employing cathode ray tube emit very low level

gamma radiation, and are subject to maximum radiation standards. (LED and

plasma screens, which have all but replaced CRT TVs, do not emit gamma

radiation).

Labeling for point of sale packaging varies by import country, but typical

requirements include:

o Product description

o Origin country

o Certifications as to safety, RFI, possibly radiation

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o Warnings: Require safety warnings concerning shock, and radiation if

gamma radiation is emitted

o General consumer product labeling requirements, such as required

language(s), name of manufacturer or distributor and how to contact

o Intellectual property (IP) protection; counterfeit and mis-branded products

prohibited

Gray market goods restrictions may be in place. Importer may have to provide

evidence of right to distribute within country of import, and such documentation

should be provided before exportation.

Some countries now require recycling instructions on these types of products.

For these products it is very important for an exporter to check requirements with a

prospective importer before concluding the product sale and certainly before shipping

product.

Vehicles

There are a variety of requirements that typically or may apply to the import of

automobiles and other highway vehicles and parts thereof, including:

Safety: Minimum standards and test certification of tires, brakes, electrical

systems, headlights, tail lights, safety belts, and crash worthiness, fuel

systems/tanks, etc.

Emissions: Maximum emission standards, a variety of chemicals, which

periodically become more strict, and fuel systems/tanks that are sealed.

Operational design: There may be operational requirements such as the side of

the vehicle for the driver position.

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Gray market goods restrictions: Importer may have to provide evidence of right

to re-distribute within country of import, and such documentation should be

provided before exportation.

Media containing data, including books

Horror comics, obscene and subversive literature or similar types of materials are

prohibited.

Artwork, antiques, cultural artifacts and collectors items

As a member of UNESCO this country is a signatory of the World Heritage Convention,

which defines the kind of natural or cultural sites that are to be considered for inscription

on the World Heritage List. By signing this Convention, each country pledges to

conserve not only the World Heritage sites situated on its territory, but also to protect its

national heritage.

Illicit Export of Works of Art under the Convention on Cultural Property Implementation

Act allows for stolen objects to be seized if there is documentation of it in a museum or

institution of a state party and issues of world cultural and natural heritage are affected.

The UNIDROIT (International Institute for the Unification of Private Law) Convention on

Stolen or Illicitly Exported Cultural Objects of 1995 calls for the return of illegally

exported cultural objects.

For reference contact: UNESCO Headquarters: 1, rue Miollis, F-75732 Paris Cedex 15,

France; tel: +33 145 681000; fax: +33 145 671690

Other products with special import requirements or restrictions

Some imports are prohibited or restricted for social, economic or religious reasons.

Exporters should confirm product-specific requirements with their customers in

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Bangladesh.

Imports of iron and steel require a producer's "certificate of conformity."

A "certificate of cleanliness," signed by a physician, is required for used clothing.

Prohibited or highly restricted exports

Generally prohibited exports: Endangered species, illicit drugs, stolen property,

protected cultural artifacts.

Export of the following products are generally restricted and/or controlled through

various forms of export licensing, export permits and/or export authorizations which the

exporter must obtain prior to export: Military weapons, ammunition, explosives; firearms;

conflict diamonds and minerals; pornography as defined by the export country; products

which violate national intellectual property protection law are generally prohibited (e.g.,

counterfeit goods, mis-branded products).

Exporters should be aware that the import of these products is likely also prohibited or

subject to import controls by the destination country. For these reasons it is very

important for an exporter to check requirements with a prospective importer before

concluding the product sale and certainly before shipping product.

Cosmetics

Exporters should be aware that cosmetics are import-regulated in many countries with

respect to:

Safety: A typically required import admissibility document is a "free sale

certificate" or equivalent issued by the government or a recognized chamber of

commerce in the country of export.

Some countries ban use of certain ingredients in cosmetics.

Labeling: Ingredient must typically be listed on label along with safe application

and use, known health risks and symptoms which indicate discontinuance of use

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http://www.gistnet.com/guest/cidbglos/conflict_diamonds.html

http://www.gistnet.com/guest/cidbglos/firearm.html

http://www.gistnet.com/guest/cidbglos/explosive.html

http://www.gistnet.com/guest/cidbglos/endangered_species.html


or medical attention, and general consumer goods labeling requirements (e.g.,

required language(s), name of manufacturer or distributor, and how to contact).

Intellectual property: Counterfeit items and/or labeling is against the law and will

often result in seizure by customs.

Gray market goods restrictions: Importer may have to provide evidence of right to

distribute within country of import, and such documentation should be provided

before exportation.

For these reasons it is very important for an exporter to check requirements with a


product.

Textiles, apparel and other textile articles (general)

Textiles and textile articles to be exported must generally meet the following criteria:

Sanitary condition: Must be free of filth and insects

Used textile products may be restricted or prohibited.

Labeling: Varies by import country, but typical requirements for apparel and

certain other manufactured products:

o Fiber content

o Origin country

o For consumer and general distribution end-items, required language(s),

name of manufacturer or distributor and how to contact, care & cleaning

instructions.

Intellectual property issues: Counterfeit labeled goods are generally prohibited

and subject to seizure by customs.

Gray market goods restrictions: Importer may have to provide evidence of right to

distribute a particular brand within country of import, and such documentation

should be provided before exportation.

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For these products it is very important for an exporter to check requirements with a


product.

Bangladesh Exports by Product Section in US Dollars - Yearly

Section 2001 2002 2003 2004

0 - Food and live

animals $392,968,000 $336,578,000 $355,783,000 $431,318,000

1 - Beverages and

tobacco $3,900,000 $5,411,000 $3,615,000 $25,475,000

2 - Crude

materials, inedible,

except fuels

$66,559,000 $53,850,000 $56,848,000 $116,620,000

3 - Mineral fuels,

lubricants and

related materials

$10,312,000 $7,402,000 $26,721,000 $25,453,000

4 - Animal and

vegetable oils, fats

and waxes

$427,000 $246,000 $304,000 $1,966,000

5 - Chemicals and

related products,

n.e.s.

$73,114,000 $57,622,000 $80,839,000 $18,116,000

6 - Manufactured

goods classified

$741,068,000 $659,552,000 $669,995,000 $655,433,000

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http://www.indexmundi.com/trade/exports/?country=bd&section=6



















chiefly by material

7 - Machinery and

transport

equipment

$48,716,000 $58,661,000 $51,043,000 $21,383,000

8 - Miscellaneous

manufactured

articles

$4,339,019,00

0$4,036,516,000

$4,561,486,00

0$4,501,026,000

9 - Commodities

and transactions

not classified

elsewhere in the

SITC

$5,683,000 $3,055,000 $2,721,000 $119,000

Source: International Trade Center - UNCTAD / WTO

Export Situation in Bangladesh16 | P a g e

http://www.intracen.org/












Export Earnings

Export growth is one of the corner stones of development strategy of the present

government. In 1991 total export earning was US$ 1,718 million; it increased by over 47

percent and was more than US$ 2,533 million in 1993-94; during 1994-95 fiscal year the

export target has been fixed at US$ 3,100 million. This along with higher remittances

from abroad has helped reduce the country's debt service ratio from over 20 percent in

I991, to less than 13 percent in the fiscal year 1993-94. The continued improvement in

export trade was accompanied by the benign structural shift in composition of exports

with non traditional items contributing increasingly higher share of total exports. The

share of non-traditional items in the country's total exports which stood at 75 percent

increased to 86. In respect of economic classification of export commodities, the

primary as well as the manufactured items and export commodities recorded a

balanced growth with their respective shares in total exports remaining more or less at

the same levels. Recently a trend of increased price of raw jute is being observed in the

international market. The government is determmed that restructuring of jute

manufacturing industry should move apace for much needed viability and external

competitiveness. There is need for requisite technological inputs to adequately exploit

the potentials of this fibre. New opportunities have emerged to produce pulp from jute

through chemical process. Steps are underway for production of 25,000 MT of pulp for

industrial grade paper during the current jute season.

Total import payments increased by 21 percent from US$ 3,470 million in 1990-91 to

US$4,191 million in 1993-94. Structure of import now reflects a significant pick up of

overall economic activities. Imports of intermediate goods, industrial raw materials and

capital and miscellaneous machinery recorded increases during 1993-94 fiscal year.

Industrial raw materials which constituted 29 percent of total imports in 1990-91

increase to over 38 percent in 1993-94.

Despite satisfactory performance of the export sector the balance of trade experienced

some fluctuations owing mainly to fluctuations in the import levels. However the trade

gap which had stood at US$ 1,800 million in 1990-91 has declined to US$ 1,650 million

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in 1993-94. Export earnings as percentage to import payment which was about 50

percent in 1990-91, reached over 60 percent in 1993-94.

Strategies

The government has taken following strategies to boost export:

• Simplification of export procedures and strengthening export-led co-operation through

reducing regulatory role of the government;

• Rationalization of the value of Taka to make the export trade more attractive;

• Creation of an Export Promotion Fund (EPF) for strengthening the export activities;

• Encouraging establishment of backward linkage industries through utilization of locally

available raw materials;

• Participation in international trade fairs, single country exhibitions and specialized fairs

and sending business delegations abroad for expansion and consolidation of existing

markets and creation of new markets;

• Expediting BMRE of existing wet-blue producing tanneries and converting them into

finished leather producing and exporting units;

• Accelerating expansion of improved traditional and semi-intensive methods of shrimp

cultivation for enhancing export off

• Allowing import of high quality foundation-tea for blending and establishing the brand

name of Bangladesh tea through marketing;

• Taking measures to improve quality, increase production and expand market of

exportable agricultural products;

• Undertaking activities for increasing export of computer software, engineering

consultancy and services;

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• Expediting steps for export of labor intensive electronic and engineering products

keeping in view the market requirements in the USA and other developed countries;

• Promoting export of electronic components and engineering items to various countries;

• Providing appropriate financing facilities for production of components of electronic

and engineering items for marketing on consignment basis;

• Expanding the list of products under crash programme beyond 4 products (toys,

luggage and fashion items electronic and leather goods) and including 8 more items

such as diamond cutting and polishing, jewelries making, stationery articles, silk, gift

items, cut artificial flower & orchid, vegetables, engineering consultancy & services for

export;

• Organizing commodity-wise trade fairs of international standard in the country;

• Developing and expanding infrastructural facilities for export trade; and

• Creating product-development councils for important products.

Fishery Exporters

The association is based in Cox's bazaar in Chittagong Division. Salted dried croaker,

also known as jewfish, dried fish maws and shark fins are the main items exported by its

members.

Frozen food exporters

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Bangladesh Frozen Foods Exporters Association (BFFEA) has targeted Tk 10,000 crier

from exports of frozen foods by 2013.Frozen food exporters, mostly the members of the

BFFEA, earned Tk 3,180.80 crore in fiscal year 2008-09, 20.83 percent lower than the

previous year due to the global recession. He is optimistic about the bright prospects of

frozen food export and believes that the country can fetch Tk10, 000 crore from this

sector.

Musa said the export earnings could be increased substantially by bringing the

production and processing of the fish under the latest technology. The demand for

shrimp is increasing in global markets including the United States, Australia, Canada,

the United Kingdom and some Asian and Middle-eastern countries. At present, farmers

are producing prawn on 1.70 lakh hectares of land. To meet the increasing demand, he

also suggested expansion of prawn production in Sylhet, Mymensingh, Jamalpur,

Jessore, Patuakhali and Barisal.

Categories: Agriculture/Agricultural Security/Agro-Products

Crocs eye forex

Four years after its inception, the country’s first commercial reptile farm–The Reptiles

Farm Ltd–in Mymensingh is now all set to make its first export of crocodiles.

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The Bhaluka-based farm’s Managing Director Mushtaq Ahmed told The Daily Star that

they are at the final stage of signing deals with a few importers in France, Germany,

Italy and Japan. They are expecting to export around 100 crocodiles aged over two

years by November this year. “Export of each crocodile will fetch us Tk 75,000 and we

will get a reasonable profit from the first export,” Mushtaq said hoping that his farm

would earn up to Tk 35 crore from crocodile exports by 2015.During the last four years

the farm expanded. The farm’s crocodiles produced 140 hatchlings in 2007 and 240 last

year. Some 400 hatchlings are expected from some 550 eggs laid this year.

Categories: Small and Medium Enterprises and Cottage Industries

Knit exporters

The country’s knitwear manufacturers are going to explore potential overseas markets

in Africa for selling their products as a delegation is expected to visit South Africa and

Botswana early next month to search for buyers there, apparel manufacturers said

Friday.

“We are working to diversify our export market. A delegation of knitwear manufacturers

would go on a week-long visit to South Africa and Botswana on October 4,” president of

the Bangladesh Knitwear Manufacturers and Exporters’ Association (BKMEA) Md.

Fazlul Hoque said. The country’s garment export to African markets is so far very

insignificant.

The Export Promotion Bureau (EPB) data showed that Bangladesh exported woven and

knit garments worth US$42.51 million to South Africa and $280,000 to the Botswana

last financial year 2009.

RMG stands tall in US market

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Export of ‘Made in Bangladesh’ readymade garments in the US market grew 7.8 per

cent during the first half of 2009, which is the highest among South Asian and East

Asian nations, according to a finance ministry projection. Admitting the fact of cheap

labour Bangladesh Knitwear Manufacturers and Exporters Association president Fazlul

Haq said there are other factors, which also worked behind the good performance. He

said timely delivery, price and quality made Bangladesh more attractive when its rival

countries pumped in billion of dollars stimulus package to halt the slide in export.

Bailout for Bangladesh Export Sector

US – Bahrain export, import and trade relations have received a shot in arm with signing

of a Free Trade Agreement. It has been revealed that with signing of this agreement

aggregate trade between these two countries has surpassed $1.34 billion mark. This

was an increase of 24 percent from 2006 when total value of aggregate US – Bahrain

export, import and trade had been more than a billion dollars, which was unprecedented

as well. Recently Bangladesh export sector had demanded a financial bailout package

worth $434 million in form of cash subsidies. Important members of Bangladesh import

and export community had met with Prime Minister.

Importance of Bangladesh Export in National Economy

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Along with remittances sector Bangladesh export, import and trade sector has also

contributed handsomely to economic development of that country.In this time frame

economy of Bangladesh has grown at a rate of 6 percent on a year on year basis. From

July 2008 to March 2009 fiscal rate of growth of Bangladesh export had been 14.5

percent and aggregate value of goods and services exported in that period was $11.63

billion. However, after October 2008 Bangladesh export had been suffering owing to

world economic crises that had affected markets that had been major export partners of

Bangladesh.

Bangladesh Shrimp Export

In recent times shrimp export industry of Bangladesh has come under considerable

amount of threat because of shrimp smuggling activities going on near its Indian

borders. This is a crucial sector as it is behind readymade garments as far as export

stakes are concerned.

EXPORT TREND: Trend Index

Trend in Export Trade (In product & market)

1972-73 2006-2007 Growth

No. of Product 25 154 516%

No. of Market 68 184 171%

Total Export 348 12178 3399%

Top

Export from Bangladesh 1972-73 to 2006-2007

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1992-93

2002-03

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http://www.epb.gov.bd/images/clip_image002a.gif

http://www.epb.gov.bd/images/clip_image002_0003.gif



2006-07

% Share of Major Importing Countries of Bangladesh

Exportables

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http://www.epb.gov.bd/images/clip_image002_0005_06-07.gif


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Market share of major export products (2006-2007)

01. Woven Garments 38.25%

02. Knitwear 37.39%

03. Frozen Food 4.23%

04. Jute Goods 2.63%

05. Leather 2.18%

06. Raw Jute 1.21%

07. Chamical Products 1.77%

08. Tea 0.06%

09. Other 12.28%

Regional Market Share (2006-2007)

01. European Union (E-U) 52.26%

02. American Region 32.74%

03. Asian Region 8.52%

04. Middle East Region 2.75%

05. African Region 0.64%

06. Ocenia Region 0.25%

07. East European Region 0.35%

08. Other 2.19%

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Bangladesh Exports by Product Section in US Dollars – Yearly

Section 2001 2002 2003 2004

0 - Food and

live animals $392,968,000 $336,578,000 $355,783,000 $431,318,000

1 - Beverages

and tobacco $3,900,000 $5,411,000 $3,615,000 $25,475,000

2 - Crude

materials,

inedible,

except fuels

$66,559,000 $53,850,000 $56,848,000 $116,620,000

3 - Mineral

fuels,

lubricants and

related

materials

$10,312,000 $7,402,000 $26,721,000 $25,453,000

4 - Animal and

vegetable oils,

fats and waxes

$427,000 $246,000 $304,000 $1,966,000

5 - Chemicals

and related

products,

n.e.s.

$73,114,000 $57,622,000 $80,839,000 $18,116,000

6 - $741,068,000 $659,552,000 $669,995,000 $655,433,000

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Manufactured

goods

classified

chiefly by

material

7 - Machinery

and transport

equipment

$48,716,000 $58,661,000 $51,043,000 $21,383,000

8 -

Miscellaneous

manufactured

articles

$4,339,019,000 $4,036,516,000 $4,561,486,000 $4,501,026,000

9 -

Commodities

and

transactions

not classified

elsewhere in

the SITC

$5,683,000 $3,055,000 $2,721,000 $119,000

Source: International Trade Center - UNCTAD / WTO

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http://www.intracen.org/













A comparison of Export & Import

The value of imports doubled between 1971 and 1991 as compared to the value of

exports. The trade deficit has declined considerably owing to an increase in exports

since 1991. A closer look at the trade statistics of the country reveals that in 1989-90,

imports exceeded exports by 120%. This percentage came down to 56% in 1996 and

62% in 1997. The economy of Bangladesh was once riding on jute, its major produce. In

the late 1940s, its share of the world jute export market was 80%, which came down to

70% in the 1970s. Unfortunately, the trend of polypropylene products across the globe

led to a setback for the jute industry of Bangladesh.

Bangladesh Import Export

Many traveler or tourist visit another country, then decide they will import or export

products to their home country. Please submit help for people that travel the planet to

accomplish this goal in the above country.

Import Export, pier import, import opportunity, furniture import, import supplier, Asian,

dvd, business, African, food, shoes, bulletin board, street racing, dockside, cds, global,

world, car magazine, European. Customs, car accessory, table, video, international,

bank.

Analysis of market potential and development of interventions for GTZ-

PROGRESS

Bangladesh is one of the poorest countries in the world, and as with almost all

developing countries, agriculture and related industries are very important. One of the

largest industries in Bangladesh is the jute industry, in which almost 1.5 million people

are active. Historically, jute was the main foreign exchange earner and its contribution

30 | P a g e


to the national economy is still significant. In the 1950s and 60s, almost 80% of the

world’s jute was produced in Bangladesh. Due to several setbacks and the introduction

of, often cheaper, substitutes the market declined and jute started to lose its dominant

position. In 2000, 5% of all exports from Bangladesh consisted of jute. This figure

decreased to 3% in 2004, while the world market for jute products is slowly increasing

again. This gives reason for PROGRESS, which focuses on the development of Small

and Medium Sized Enterprises (SME’s) in Bangladesh, to look into the jute market.

The last years the diversified jute products (JDPs) is an increasing market and offers

potential, also for Bangladesh. For PROGRESS, this is an interesting market and

therefore it wants to look into this market to see where possible interventions can help

develop this market further. Based on this, the problem formulation for this research is:

What are the market opportunities in Europe for the Bangladeshi Jute Diversified

Products (JDP) industry and how should PROGRESS support this industry to take

advantage of these opportunities? To answer this question, the research is divided into

five sub questions that each answers a part of the problem formulation. The first area

of interest is the assessment of the target market.

Minerals & Metals Trading Corporation (MMTC)

The MMTC is India’s largest international trading company and the first Public Sector

Undertaking to be awarded Golden Super Star status in the country. It is actively

involved in exploring overseas markets for exports and sourcing material for domestic

needs. With focus on ‘bulk’ operations, the MMTC primarily has seven core commodity

groups, viz., Minerals, Precious Metals, Coal & Hydro carbon, Fertilizers, Agro, Metal

and General Trading.

Performance

The fiscal year 2003-04 had been a landmark year for MMTC for various reasons.

Highlights of the performance were as follows:

The highest ever turnover of Rs. 9099 crores with annual growth of 46 per

cent

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Net profit after tax of Rs. 51 crore – (annual growth- 102 percent)

Second highest export of Rs. 1891 crore

All time high import of Rs. 6679 crore – (annual growth of 79 percent)

Highest ever domestic business of Rs. 529 crore – (annual growth - 235

percent)

Return of 7.70percent on net worth – (annual growth 88 percent)

Details of MMTC’s trade performance for the period from 2002-03 to 2004-05

(projected) is given below:

Segment Wise Performance

i. Exports

The second highest ever export turnover of Rs. 1,891 crore was achieved during the

year 2003-04. Mineral exports were to the tune of Rs. 1,419 crore as against Rs. 1,245

crore during the previous year registering a growth of 14 percent. Precious metals group

grew nearly 7 times and General Trade group registered a growth of nearly 15 times

over that of the previous year.

ii. Imports

Driven by the overall growth in all the commodity groups, the MMTC achieved the

highest ever import turnover of Rs. 6,679 crore and registered a growth of 79 percent

over that of the previous year. .The commodity specific annual growth was in the

following order:: Fertilizers 282 percent, Precious Metals 72 percent; General Trade 67

percent, Coal & Hydro Carbon products 60 percent, Agro products 40 percent and Metal

products 37 percent.

Outlook 2004-05

With the strong business base that can respond to agility to changes in its operating

environment and the drive to strengthen the core business and adding new ones is

yielding results during the year 2004-05. First time in the history of the company the

turnover during the period April-December 2004 crossed Rs. 110,000 crores mark as

against proportionate MOU target of Rs. 4932 crores – 229 percent achievement of

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MOU. Performance during same period is 90 percent higher than the turnover of Rs.

5916 crores achieved during the same period last year.

Export turnover at Rs. 2003 crores as against MOU target of Rs. 1080 crore for

the April-December period – 185 percent achievement. Export is 67 percent higher than

achieved during the same period last year.

Import during the same period stood at Rs. 8777 crores and has achieved 263

percent of MOU proportionate target and which was 106 percent higher than the

performance in the same period last year.

All set to further improve the performance and achieve new milestones, by the end of

2004-05 it is expected that a turnover of Rs. 13,000 crores would be achieved.

Performance

Total Turnover

The total turnover of the Corporation during April-December’04 amounted to Rs.6942

crore - 29 percent higher when compared to Rs.5380 crore achieved during the

corresponding period last year. Import sales of bullion accounted for 64 percent of the

total turnover. Excluding bullion, total turnover at Rs.2505 crore during April-

December’04 was 49 percent higher than such turnover achieved in April-December’03.

Exports

The Corporation’s total exports during April-December’04 at Rs.334 crore were lower as

compared to Rs.717 crore achieved during the corresponding period last year mainly

due to change in the Govt. policy whereby no further quotas of food grains are being

released for exports this year. Nevertheless, during April-December, 2004, the

Corporation has been able to effect exports of wheat worth Rs.240 crore and rice worth

Rs.42 crore.

Imports

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The import sales of the Corporation during April-December ’04 amounted to Rs.6262

crore - 37 percent higher than the import sales of Rs.4557 crore effected during the

corresponding period last year. During the period under review, the Corporation effected

substantial import sales of bullion amounting to Rs.4437 crore as against sales of

Rs.3698 crore made during April-December’03. This was followed by peak sales of

hydro-carbons amounting to Rs.928 crore. Edible oils on STC’s commercial account

also contributed significantly to the total import turnover by way of import sales of

Rs.406 crore. Import sales of fertilizers on Corporation’s own commercial account also

accounted for a turnover of Rs.271 crore.

Fiscal Year Total Export Total Import Foreign Remittance Earnings

2007-2008 $14.11b $25.205b $8.9b

2008-2009 $15.56b $22.00b+ $9.68b

2009-2010(Set Target) $17.6b N/A $10.87b

Export Import policy of BangladeshAcceleration of production and expansion of trade result in growth of national wealth.

Increased production in export sectors may become the prime mover in thedevelopment

34 | P a g e


cycle in a densely populate of Bangladesh like our as this will generate employment

opportunities which in turn will generate savings and investment on consequent flow of

capital. The prime national objective of poverty alleviation will thus be materialised. As a

first step towards reaching this goal we need to look at the country's production

infrastructure.

Our export trade is featured by the dominance of a few commodities in a narrow market.

Such dependence on at limited number of export items targeted a limited market is not

desirable for economic development. We must, therefore, aim both at product and

market diversification or else our export trade will become stagnant in the near future.

Our export trade must keep pace with the projected GDP growth @ 7% and make due

contribution through increased export earning. In this exercise it is imperative to identify

new thrust sectors, increased export of higher value added items, diversify product wise

, ensure products quality, improve packaging, attain efficient productivity. We should

aim at marketing quality products at competitive price at the correct time.

The Export Policy 1997-2002 has been designed to operate in the imperatives and

opportunities of the market economy with a view to maximizing export growth and

narrowing down the gap between import payment and export earning.

Objectives:

The principal objectives of this policy are :

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To achieve optimum national growth through increase of export in regional and

international market;

To narrow down the gap between the country's export earning and import

payment through achievement of the export targets ;

To undertake timely steps for production of exportable goods at a competitive

price with a view to exporting and strengthening existing export markets and

making dent in new markets;

To take the highest advantage of entering into the post Uruguay liberalized and

globalized international market;

To make our exportable items more attractive to the market through product

diversification and quality improvement;

To establish backward linkage industries and services with a view to using more

indigenous raw materials, expand the product base and identify and export

higher value added products ;

To simplify export procedures and to rationalize and solidify export incentives;

To develop and expand infrastructure ;

To develop trained human resources in the export sector;

To raise the quality and grading of export products to internationally recognized

levels.

Strategies:

The following strategies shall be undertaken to attain the objectives of the export policy

1997 - 2001 :

Simplifying export procedures, and helping the private sector achieve efficiency.

The Govt.. desires more and more involvement of the private sector while the

govt. will continue to play its facilitating role;

Enhancing technological strength and productivity and facilitating reduce cost

and attain internationally accepted standard of quality of exportable products and

thereby consolidate their competitiveness ;

36 | P a g e


Ensuring maximum use of local raw materials in the production of export goods

and encouraging establishment of backward linkage industries;

Participation in the international trade fairs, specialized fairs, single country

exhibitions abroad and also sending out trade missions, with a view to

consolidating our position in the existing market and creating new markets;

Encouraging export of new category high value added readymade garments and

also encouraging the concerned trade associations for establishment of a

Fashion Institute ;

For promotion of high value added leather and leather goods export: providing

various facilities including bonded warehouse facilities for import of materials

such as raw hides, pickled, wet blue, crushed and finished leather, components

and chemicals etc. to 100% export oriented leather industries;

For promotion of export of shrimp: Extension and modernization of

traditional/semi-intensive method of shrimp cultivation and ensuring quality as

per buyers requirements;

For promotion of export of jute and jute goods: Undertaking extensive publicity of

jute and jute goods as environment-friendly natural fibre and diversification of the

uses of jute products;

For promotion of export of tea undertaking programmes for establishing brand

name and developing linkage with established blending and distributing agents;

For promotion of export of agro based products: undertaking programmes for

raising quality standard and expansion of market;

For the promotion of export of electrical and electronic goods ( including

computer software and data entry) : Building and ensuring conducive

infrastructure

For the promotion of export of engineering consultancy and other services and

sub-contracting involving, in a bigger way, Bangladesh missions abroad

obtaining contracts;

Organizing regularly international trade fairs and product-specific fairs with the

country;

37 | P a g e


Making appropriate development and expansion of infrastructure conducive to

export;

Making arrangements for necessary technical and practical training for

development of skilled manpower in the export sector;

Ensuring maximum utilization of financial and other assistance extended by the

World Trade Organization to the Least Developed Countries;

Ensuring maintenance of ecological balance and pollution-free environment in

the production of exportable goods;

Extending technical and marketing assistance for development of new products

and for finding appropriate marketing strategies;

Taking necessary steps to assist procurement of raw materials by the export

oriented industries at world price ;

Scope and General Provisions :

This policy shall apply to the customs areas (excluding Export Processing Zones)

of Bangladesh.

This policy shall take effect from 01.07.1998 and remain in force till 30.06.2002.

However, the policy shall be considered valid until the next Export Policy is

announced.

If any provision of this policy is found inconsistent with any provisions of the

Imports and Exports ( Control ) Act, 1950, or of the Import Policy Order, the

Ministry of Commerce shall be entitled to amend, alter or modify such provision.

The Ministry of Commerce may, as and when necessary, amend, alter or modify

any provision of the Export Policy including the export negative/restricted items.

Different aspects of the Export Policy shall be reviewed annually.

Target

38 | P a g e


For the policy period Export targets have been set at US dollar 5020 million for the fiscal

year (F.Y.) 1997-98, US dollar 5,630 million for the F.Y.1998-99, US dollar 6,340 million

for the F.Y. 1999-2000, US dollar 7,175 million for the F.Y. 2000-2001 and US dollar

8,100 million for the F.Y. 2001-2002.

Export Promotion Councils/Committees;

A National committee on export has been formed. The highest level committee on

export promotion, is headed by the Honorable Prime Minister and consists of the

Honorable Ministers for Foreign Affairs, Finance, Commerce and Industries, Planning,

Jute and Textile as well as senior government officials and representatives of important

trade associations. The committee reviews the export situation, provides necessary

directions and readily resolves problems.

For immediate attention and action on export related problem a task force has been

formed under the chairmanship of the Honorable Minister for Commerce.

With a view to exchanging ideas with Chambers of Commerce and Industries,

Exporters' Associations and private sector organizations in formulating export policy and

strategies, and up lamenting policy decisions an export council has been formed.

A task force shall also be formed to recommend practical measures for export increase

and monitoring the implementation of incentives and facilities of thrust sector and crash

programme items.

Commodity Councils:

Commodity Councils shall be formed for jute, tea, shrimp, readymade garments and

leather & leather products.

Thrust Sector:

39 | P a g e


Leather and leather goods industries, high and high value added readymade garments,

computer software and agro-processing sectors have been identified as thrust' sectors

in this export policy. Although the leather and leather goods sector has enormous export

potential the sector has not been able, till date, to achieve desired results. On the other

hand, the readymade garments sector is expected to stage a breakthrough in the export

of high-priced, high value added garments of newer categories after having survived

successfully the initial phase of exporting low-end garments. Like wise computer

software and agro-processing sectors could not record the desired level of export

through the sectors offer bright prospects for earning foreign exchange. These -four

sectors have been declared, 'Thrust Sectors', in this policy to ensure priority with the

following lines of actions :

Leather & Leather Goods :

Leather manufacturing units shall be modernized in order to enable them to produce

increased quality of finished leather out of raw hides With a view to reducing cost of

production, steps shall

Conclusion40 | P a g e


Acceleration of production and expansion of trade result in growth of national wealth.

Increased production in export sectors may become the prime mover in the

development cycle in Bangladesh like as this will generate employment opportunities

which in turn will generate savings and investment on consequent flow of capital. The

prime national objective of poverty alleviation will thus be materialized. As a first step

towards reaching this goal Bangladesh need to look at the country's production

infrastructure.

Reference

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http://www.epb.gov.bd

http://www.reportbd.com/articles/31/2/Bangladesh--Export-and-Import-Overview/

Page2.html

http://www.bizbangladesh.com/export_policy_bangladesh.php

http://www.thedailystar.net/newDesign/news-details.php?nid=107142


http://www.thefinancialexpress-bd.com/2009/09/20/79496.html

http://209.85.135.132/search?q=cache:EeHjiDYq_hAJ:www.bizbangladesh.com/a2z-

importers-list.php+what+products+Bangladesh+imports%3F&cd=1&hl=en&ct=clnk

http://www.bizbangladesh.com/a2z-importers-list.php?page=2

http://www.bizbangladesh.com/a2z-importers-list.php?page=3

42 | P a g e

http://www.thefinancialexpress-bd.com/2009/09/20/79496.html



http://www.bizbangladesh.com/export_policy_bangladesh.php

export and import situation of bangladesh

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