The New Nation - Internet Edition

BANGLADESH is seriously considering to have bilateral free trade agreements with close neighbours and some other countries. Government officials, trade policy analysts and business leaders have emphasised on such relations with India, Pakistan and Sri Lanka. Similar accords with Nepal and Bhutan as well as Russia and Turkey are also on the cards. The move is very much timely as the Doha Round trade negotiations have collapsed and SAFTA is advancing at a snail's pace.

In view of the realities of global and regional trade, Bangladesh cannot wait for the regional agreement. The authorities must go ahead vigorously with the initiative. It is supposed to take Bangladesh along the right track. Parties under free trade agreements are supposed to benefit from the exhaustive list of items to be traded. It will help know each other's demand and supply situation to take up production and export plans. Such agreements are likely to check cross-border smuggling.

Joint efforts of public and private sectors are needed for free trade as per agreement. The Adviser for Commerce has said bilateral free trade accords should be reached on the basis of joint homework of public-private partnership. Private sector should contribute inputs in trade negotiations. The concerned agencies of the government including the missions aboard must be activated fully for the purpose. Trade balance with other countries, especially with China and India, are against Bangladesh. Mutual trade accords are expected to help ease the situation. There must be regular monitoring of trade for the sake of follow-up measures. Gaining a favourable trade balance is not just a matter of negotiation skills, it is the outcome of a host of policy actions including industrialisation, increased production and export diversification. Bilateral free trading agreements are expected to promote them.