BSS, Dhaka :
Stressing the need for looking new markets for boosting exports, speakers at a seminar here today said steps will have to be taken for export diversification considering the demands of new markets.
Bangladesh has no alternative but to diversify its export products for sustainable development, they said, adding that the country’s export has been confined to readymade garments which is not good for an economy struggling to achieve higher growth.
Organised by International Growth Centre (IGC), the seminar on ‘Reducing Vulnerability: the Export Diversification Challenge in Bangladesh’ was addressed, among others, by chairman of the parliamentary standing committee on the commerce ministry Prof Ali Ashraf, former caretaker government’s finance adviser Dr AB Mirza Azizul Islam, executive director of the Centre for Policy Dialogue (CPD) Dr Mustafizur Rahman and IGC country director Sultan Hafizur Rahman.
Chairman of Policy Research Institute (PRI) Dr Zaidi Sattar presented the keynote speech.
Prof Ali Ashraf in his speech said Bangladesh has no alternative but to diversify its export products for sustainable development.
The country’s population is increasing but its arable land is decreasing, he said, adding that at this situation, export diversification is urgently needed for boosting export earnings to support development of the country.
He said the government is giving the business community all policy support for export diversification.
Dr AB Mirza Azizul Islam said steps need to be taken to export those goods that will have maximum value added tax to increase export earnings. For export diversification, foreign investment will have to be increased in the country and at the same time, new market will be searched for exports, he added.
Dr Mustafizur Rahman said the country’s export has been limited to readymade garments but Bangladesh must come out of it and look for new markets and take steps for export diversification considering their demands.
Dr Zaidi Sattar in his keynote paper said export concentration in readymade garments makes the economy, jobs and income extremely vulnerable to external shocks arising from changes in global demand or prices.
He suggested some customized approach to addressing the lack of export diversification problem. Firstly, the import-regime must be made seamless to facilitate imported inputs into exports, secondly, the incentive structure fir exports must be set right, more specifically removing anti-export bias, he said.
Thirdly, lowering the costs of trade-related services-improving trade and transport logistics-is critical for ensuring export competitiveness, he said, adding that fourth, proactive policies will have to be taken.
