SAUDI ARABIA is likely to extend duty-free market access to five products from Bangladesh, including garment and pharmaceuticals, to enhance bilateral trade. The development came after Bangladesh made the proposal during the 11th meeting of the Bangladesh-Saudi Arabia Joint Commission meeting that concluded in Dhaka on Thursday, reported the local press.
The two-day event took place at the National Economic Council Auditorium, where a 25-member Saudi delegation led by the Deputy Minister of International Affairs at the Ministry of Labour of Saudi Government and Senior Secretary of the Economic Relations Division, Ministry of Finance, GoB, led their respective side.
The Saudi delegation also said their country will consider providing Bangladesh duty-free access in line with its obligations in the World Trade Organisation, Trade Preference Agreements and the Customs Union of the Gulf Cooperation Council, said an ERD official. At the meeting, both the sides agreed on expansion of trade by reducing obstacles and difficulties and offering the industrial and investment opportunities available in the two countries, according to the ERD statement.
Trade relations between Bangladesh and Saudi Arabia are getting better, said a top bureaucrat, adding that Bangladesh now exports goods worth around $200 million to Saudi Arabia. The Saudi side requested Bangladesh to provide them with investment opportunities within the framework of an initiative for agricultural investment abroad, according to the statement. The Bangladesh also expressed its desire to establish joint ventures between the two countries in the field of agro-based industrialisation in which Bangladesh has advanced experience. The Saudi side also acknowledged the contributions of Bangladeshi professionals and workers towards the development activities of Saudi Arabia and expressed its interest to recruit Bangladeshi doctors, nurses and teachers.
Duty-free access to one of the largest economies of the Gulf states — especially in key sectors like garment and pharmaceuticals where Bangladesh has a strong comparative advantage — is good news for our country as we can expect to see strong growth in our exports to Saudi Arabia due to the strong fundamentals which exist in our favour in these fields.
Saudi Arabia can also see this as an opportunity to diversify from the dominance which oil currently has over their economy (it contributes almost 45 percent of their gross nominal product). They can use the expertise we have to invest in the agricultural sector or in other sectors like RMG or Ship-building to diversify their economy and prepare for the inevitable day when oil will no longer contribute a substantial part of their output. So its essentially a win-win situation for both countries if both can plan and implement their ideas effectively so that an actual transfer of technology and knowledge takes place.
The two-day event took place at the National Economic Council Auditorium, where a 25-member Saudi delegation led by the Deputy Minister of International Affairs at the Ministry of Labour of Saudi Government and Senior Secretary of the Economic Relations Division, Ministry of Finance, GoB, led their respective side.
The Saudi delegation also said their country will consider providing Bangladesh duty-free access in line with its obligations in the World Trade Organisation, Trade Preference Agreements and the Customs Union of the Gulf Cooperation Council, said an ERD official. At the meeting, both the sides agreed on expansion of trade by reducing obstacles and difficulties and offering the industrial and investment opportunities available in the two countries, according to the ERD statement.
Trade relations between Bangladesh and Saudi Arabia are getting better, said a top bureaucrat, adding that Bangladesh now exports goods worth around $200 million to Saudi Arabia. The Saudi side requested Bangladesh to provide them with investment opportunities within the framework of an initiative for agricultural investment abroad, according to the statement. The Bangladesh also expressed its desire to establish joint ventures between the two countries in the field of agro-based industrialisation in which Bangladesh has advanced experience. The Saudi side also acknowledged the contributions of Bangladeshi professionals and workers towards the development activities of Saudi Arabia and expressed its interest to recruit Bangladeshi doctors, nurses and teachers.
Duty-free access to one of the largest economies of the Gulf states — especially in key sectors like garment and pharmaceuticals where Bangladesh has a strong comparative advantage — is good news for our country as we can expect to see strong growth in our exports to Saudi Arabia due to the strong fundamentals which exist in our favour in these fields.
Saudi Arabia can also see this as an opportunity to diversify from the dominance which oil currently has over their economy (it contributes almost 45 percent of their gross nominal product). They can use the expertise we have to invest in the agricultural sector or in other sectors like RMG or Ship-building to diversify their economy and prepare for the inevitable day when oil will no longer contribute a substantial part of their output. So its essentially a win-win situation for both countries if both can plan and implement their ideas effectively so that an actual transfer of technology and knowledge takes place.
