THE only manpower centric bilateral trade issues with Malaysia has so far failed to tap the optimum business potentials in favour of Bangladesh. An English daily on Wednesday reported that the country has spoiled the opportunities to increase its exports to Malaysia to narrow the existing trade gap for various reasons. The report however blamed the apathy, ineptness and lack of sincerity on the Bangladesh part while its counterpart has availed these prospects through its well-measured diplomatic efforts. Poor negotiation ability of the commerce wing of Bangladesh High Commission in Kuala Lumpur, absence of incentives and encouragement to the private entrepreneurs and lack of support to Bangladeshi expatriates with regard to official procedures are the major reasons that led to a massive collapse in a balanced trade atmosphere between Bangladesh and Malaysia. Alongside the manpower export, fabrics, jute products, pharmaceuticals and food products have a huge demand in Malaysia but lack of government initiatives to increase and diversify the export volume of those commodities to Malaysia has kept the situation at a lower level.
Though the trade volume has been increasing between these two fraternal countries over the years, the deficit is widening manifold in favour of Malaysia. It has created a trade imbalance. The total volume of the two-way trade between Bangladesh and Malaysia reached nearly $1,804 million while Bangladesh’s exports were only $43.87 million against Malaysia’s $1,759.60 million exports to Bangladesh for the year 2010-2011. In 2013, total trade with Bangladesh was valued at $ 1.67 billion, an increase of 5.7 percent from 2012. From January to September 2014, Malaysia’s trade with Bangladesh was $1.06 billion. Malaysia’s exports to Bangladesh stood at $978.8 million while imports from Bangladesh were $87.7 million. That is the trade gap is over $900 million in favour of Malaysia.
Though there is a huge market potential for Bangladeshi products in the Malaysian market, but due to lack of policy prioritization, the government has failed to capitalise on the benefit of duty free access. Rather, China and India have been enjoying paying lesser duty on their products as they have free trade agreements (FTA) with Malaysia. Thus Bangladeshi products are losing competitiveness and markets due to higher prices after paying 29 percent duty.
However, as the critics point a finger at the Commercial Attaches of the Kula Lumpur Mission of Bangladesh, we urge the government to take measures against the incompetent officials posted there. It was their duty to serve the national interest first. The hard-earned people’s money is not for the luxury of the few, rather the persons posted in the mission who are unable to serve must be made accountable for failures.
