Page 12 - Chemexcil NEWS August - September 2017 for web

foreign exchange. Approximately, 2.2 million
Bangladeshis are employed in this industry, of
which 80% are women. The textile industry is
made up of several small- and large-scale, private
and public companies. The Unites States is the
biggest garment importer for Bangladesh, with $5
billion in imports annually.
So there is huge opportunity for exports of textile
chemicals in Bangladesh from India.
ECONOMY:-
Bangladesh's economy has grown roughly 6%
per year since 1996 despite prolonged periods of
political instability, poor infrastructure, endemic
corruption, insufficient power supplies, and slow
implementation of economic reforms. Although
more than half of GDP is generated through the
services sector, almost half of Bangladeshis are
employed in the agriculture sector, with rice as the
single-most-important product.
Garment exports, the backbone of Bangladesh's
industrial sector, accounted for more than 80% of
total exports and surpassed $25 billion in 2016.
The sector continues to grow, despite a series
of high-profile factory accidents that have killed
more than 1,000 workers and crippling strikes,
including a nationwide transportation blockade
orchestrated by the political opposition during the
first several months of 2015. Steady export growth
in the garment sector combined with remittances
from overseas Bangladeshis - which totaled
about $15 billion and 8% of GDP in 2015 - are key
contributors to Bangladesh's sustained economic
growth and rising foreign exchange reserves.
Regulations and customs in Bangladesh
• Non Tariff BarriersNon-tariff barriers include
registration procedures and other regulatory
requirements, which often impede access to
the market.
• Customs Duties andTaxes on Imports17.22%
• Customs Classification Bangladesh applies
the Harmonized Commodity Coding System.
• Import Procedures:-Most imports require
opening an irrevocable letter of credit
(L/C), which necessitates a letter of credit
authorization (LCA) approved by the central
bank. Foreign companies must obtain
authorization from the Chief Controller
of Imports and Exports and provide the
August-September-2017
following documents: photocopy of an
import registration certificate; photocopies
of invoices, bills of lading, and import
permit duly certified by the bank; a copy of
the certificate of the General Index Register
(GIR); certified copy of the last tax order;
name and description of each imported item
with the quantity and approximate CIF value.
Private sector importers must provide the
following documents: certificate of affiliation
to a chamber of commerce and local industry
recorded or professional association
established in Bangladesh; proof of payment
of renewal fees for import registration
certificate (IRC) for the tax year; copy of a
certificate of tax identification number (TIN);
three copies of the proof of payment of the
previous year's income tax.
• Importing Samples: - Importing samples
requires an import license or an authorization.
(Source:https://import-export.societegenerale.fr/en/find-
your-market/country/bangladesh/regulations-customs )
FTA INVOLVEMENT
The Bangladesh has 6- free
trade agreements in force
which are as under
1. Bay of Bengal Initiative
for Multi-Sectoral
Technical and Economic
Cooperation (BIMSTEC) Free Trade Area
(Members:- Bhutan, Myanmar, Sri Lanka,
Bangladesh, India, Nepal,Thailand)
2. Pakistan-Bangladesh FreeTrade Agreement
3. Trade Preferential System of the Organization
of the Islamic Conference (Members: Bahrain,
Egypt, Indonesia, Jordan, Kuwait, Lebanon,
Morocco, Nigeria, Pakistan, Saudi Arabia,
Turkey, Uganda, Bangladesh, Cote Divoire,
GuineaIran, Islamic Republic of Maldives,
Oman, Qatar, Senegal, Syrian Arab Republic,
Tunisia, United Arab Emirates, Benin, Burkina
Faso, Cameroon, Chad, Comoros, Djibouti,
Gabon, Gambia, Guinea-Bissau, Iraq, Libya,
Malaysia, Mauritania, Niger, Palestine, Sierra
Leone, Somalia, Sudan)
4. Asia-Pacific Trade Agreement (Members :
Bangladesh, India, Lao PDR, China, People's
Republic of Korea, Republic of Sri Lanka)
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