Ministry awaits core group recipe for greater access to US market

The commerce ministry is waiting for recommendations from the core group on how Bangladesh can gain greater access to the US market through ‘New Partnership for Development Act 2007’ and ‘Trade Relief for Apparel and Textiles bill,’ official sources said.
The government recently formed the core group comprising representatives from ministries of foreign affairs, commerce, and textile and jute and the National Board of Revenue to recommend the ways and means to get duty- and quota-free access for apparels to the American market.
The commerce ministry in its recent recommendations submitted to the industries ministry said approval of the New Partnership for Development Bill in the US Congress is still uncertain.
‘The decision of passing the bill in the US Congress largely depends on US government. Bangladesh has nothing to negotiate on this issue,’ according to the recommendations.
‘We have already sought recommendations from the newly-formed core group to devise a plan how our garments exporters can get duty-free and quota-free access to the US market,’ commerce secretary Firoz Ahmed told New Age on Friday.
The core group would also suggest as to how the government would deal with the New Partnership for development Act of 2007 and Trade Relief for Apparel and Textiles Bill.
‘The core group will submit its proposals in a short time regarding US market access,’ Firoz said.
US government introduced the “New Partnership for Development Act of 2007” in the Congress aiming at reducing global extreme poverty through eliminating tariff on all products that originate in the least developed countries.
Besides, a trade relief bill was placed before the US Senate last month to provide trade relief for apparel and textiles imported from Bangladesh and 13 other LDCs.
The WTO cell at the commerce ministry suggested that the industries ministry should formulate guidelines for the government to negotiate for duty- and quota-free market access for readymade garments under the US development act.
However, the government has not yet received the US position on the issue of Bangladesh’s greater market access under the 2007 act.
Bangladesh exported about $3.3 billion worth of apparel products to the US last year and American importers paid about $500 million as duty against those imports.
‘It will bring tremendous benefit to the apparel sector if the trade relief bill is approved by the US Congress in favour of Bangladesh,’ said Fazlul Huq, president of the Bangladesh Knitwear Manufacturers and Exporters Association.
He said the Nepalese minister had gone to the US for lobbying with American policymakers for the passage of trade relief bill in favour of his country.
‘Though it was learnt that our commerce minister would visit US to lobby for ensuring Bangladesh’s benefit from the trade relief bill, the visit is yet to take place and no effective measure is in sight,’ he added.

Courtesy of NewAgebd