A delegation led by Mohammad Tofazzel Hossain Miah, Principal Secretary to the Honorable Prime Minister of Bangladesh, paid a visit to Heidi Hautala, Vice-President, European Parliament, in Brussels on March 30.

BGMEA President Faruque Hassan, Commerce Secretary of Bangladesh Tapan Kanti Ghosh, Bangladesh Ambassador to Belgium Mahbub Hassan Saleh, Deputy Head of Mission Preeti Rahman, former President of MCCI Nihad Kabir, and Commercial Counsellor Md. Saiful Azam were also present at the meeting.

The issues of bilateral trade, LDC graduation, proposed EU GSP scheme for 2024-2034,  challenges, preparedness to address them and continue the development momentum of Bangladesh got due importance at the meeting.

Stressing the significance of EU’s continued support for Bangladesh’s smooth LDC graduation, the delegation urged the EU to take the extension of transition period from 3 years to 6 years into consideration.

In the meeting BGMEA President Faruque Hassan said apparel export from Bangladesh had immensely benefited from LDC-specific trade preferences under the Generalised System of Preferences (GSP) scheme.

The ready-made garment industry has significant contribution to socioeconomic development of Bangladesh, especially poverty alleviation through employment creation and empowerment of women who make up the 60% of the total RMG workforce, he said.

That is why such trade preference from the EU remains extremely important and relevant for Bangladesh even after LDC graduation so that the country’s development journey could sustain, he added.

In the meeting the Bangladesh side urged the EU to consider textile threshold criteria for Bangladesh in the newly proposed GSP provisions.

As per the proposed provisions Bangladesh is likely to qualify for GSP+ after its LDC graduation but the specified EU 'safeguards' would exclude the country's clothing exports from any tariff preferences.

Bangladesh’s apparel sector would not get benefit from the GSP+ facility and would loss competitiveness in the EU market, which would have adverse impact on the RMG sector and millions of lives who depend on the industry for their livelihood, the delegation said.

They expressed hope that the EU would consider the issues and would continue support to Bangladesh so that the momentum behind Bangladesh’s economic growth continues after LDC graduation.

They discussed various issues including trade and investment, Everything But Arms (EBA), Bangladesh relations with the EU in the post-LDC era, and other issues of bilateral importance. 

They highlighted the importance of specific trade preferences under EU’s Generalised System of Preferences (GSP) for the development of Bangladesh.