Bangladesh should concentrate more on the diversification of products for its export growth, business leaders and academics said yesterday.
They also said the country needs to enhance its negotiation capacity in bilateral and multilateral trade talks.
They were speaking at the launching ceremony of a project titled 'Addressing the Impact of the Phasing-out of Textiles and Clothing Quotas in the Asian LDCs' in Dhaka.
Unnayan Shamunnay in co-operation with UNDP Regional Centre in Colombo (RCC) will implement the project to conduct a study on trade and industrial policy environment and trade negotiations in Bangladesh.
Apart from apparel sector, there have been many potential sectors such as pharmaceuticals, leather, information and communications technology, frozen food, and agro products, which deserve attention for export growth, the speakers said.
Mir Shahabuddin Mohammad, vice chairman of Export Promotion Bureau, however said so many studies on the impact of phasing out of MFA (multi fibre agreement) were conducted, but the reality has proved many of the predictions wrong.
He also said other potential sectors have a huge share in the global market, while the textile has a small share.
He said it is possible to promote the diversification of such products to improve the export basket of the country by not hurting the textile sector.
"I also request the development partners to help Bangladesh develop such sectors," he said.
Manzur Ahmed, advisor to the Federation of Bangladesh Chambers of Commerce and Industry, said the government should form a national taskforce on trade negotiations involving economists, business leaders and lawyers.
Speaking on the project, Unnayan Shamunnay Chaiman Dr Atiur Rahman said the project will examine the issues of inefficient infrastructure, rigid rules and rent seeking practices, shortage of human resources, low level of foreign direct investment and technology transfer, and lack of adequate linkages between various sectors.
Issues covering free market access, preference erosion, aid for trade, rules of origin, non-tariff barriers, trade facilitations, and movement of natural persons will also be covered, he noted.
UNDP Senior Poverty Adviser and Team Leader Karen T Dunn, Bangladesh Textile Mills Association Secretary General Secretary GKM Towfique Hassan also spoke at the programme while Ratnakar Adhikari of RCC, Dhaka University professors Selim Raihan and MA Razzaque presented the concepts of the project.
