The Worlds Competitive Supply Source World Trade Expo, October - PowerPoint PPT Presentation

Bangladesh The World’s Competitive Supply Source World Trade Expo, October 29-30, 2018 World Trade Centre, Mumbai

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Geographical Location of Bangladesh Bangladesh

: The People’s Republic of Bangladesh Name Capital : Dhaka : South Asia (20º34 ‘ - 26º38 ‘) N La. 88º01'- 92º42 ‘ E Location Long Boarders : India on the east, west and north ; on the south side covered by the Bay of Bengal and a small border strip with Myanmar on the south-east. Area/Land : 147,570 square km. Population : 163 million GDP : US$ 246.00 billion (Nominal,2017) GDP per capita : US$ 1602.00 (May,2017) Annual Export : US$ 34.19 billion (2016-2017)(excluding service sector) Annual Import : US$ 43.49 billion (2016-2017) 4

 Bangladesh has been cited as one of the next eleven countries that are likely to follow the BRICS ;  Bangladesh, the 77 th largest trading nation in the world, has now emerged as a trading hub with prosperous and sustainable growth ;  73% of our population are at the age of 40 or below 40 years;  Bangladesh has a young population compared to regional countries;  Homogeneous population;  Homogeneous language; English is widely spoken;  Strategically located;  Eight Export Processing Zones already in operation;  10 Special zones are being established;  2 private Export Processing Zones are under process of development;  Bangladesh has principally developed labor-intensive industries but she is now going for labour-cum- capital intensive industries. 5

Bangladesh and India are the members of WTO SARRC,  BIMSTEC and other important bilateral and multilateral trade organization. BD export The two way trade between two countries stood at US$  to India 6834.00 ; US$ 672.40 Bangladesh’s export to India is US$ 672.40 mn.  mn and Bangladesh’s import from India is US$ 6162.20 mn.  import from The major export items of Bangladesh to India are Raw jute,  India US$ Jute manufactures, Jute yarn and twine,Sacks and Bags ,Cut flower,Rice bran oil,Copper wire,Agro processed food, Soap 6162.20 and Toiletries , Cement , betel nuts ,Jamdani Sharee, Cane mn) in the molasses, Woven garments, Knitwear, Leather, Footwear, fiscal year Frozen fish,, Engineering goods, Mosquito net, Furnace oil, 2016-17 accumulator Battery etc. Bangladesh imports from India are Live Animal, Prepared  food stuffs, vegetables, mineral products, products of the chemical or allied industries ,plastic and article thereof ,textile and textile articles, Articles of stone, base metals ,vehicles and transport equipment etc.

 RMG (Knit & Woven Garments);  Pharmaceuticals;  Ship Building;  Light Engineering;  Environment friendly Jute Goods;  Frozen foods (Fish & Shrimps);  Furniture;  Footwear;  Ceramic. 7

Million US$ Products Name 2013- 2014-2015 2015-2016 2014 All products 30186.62 31208.94 34257.18 RMG (Knit & Woven) 24491.88 25491.4 28094.16 Pharmaceuticals 69.24 72.64 82.11 Ship Building 0.44 15.92 19.89 Light Engineering 366.63 447.04 510.08 Jute & Jute Goods 824.49 868.53 919.58 Frozen foods (Fish & Shrimps) 638.19 568.03 535.77 Furniture 42.58 38.94 46.26 Footwear 550.11 523.65 468.77 Ceramic 47.58 42.92 37.69 Vegetables 147.55 103.24 104.34 8

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Shares of major exportables of Bangladesh: 01. RMG 28094.16 02. Frozen Foods 535.77 03. Jute & Jute Goods 919.58 Six Items constitute 93.21% of the total 04. Home textiles 753.01 export figure . 05. Footwear 468.77 06. Leather 1160.95 Total: 31932.24 10

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Regional Export Market Share  Bangladesh exports to 198 countries on the Globe. Region – wise shares are: European Region 55.54 %  American Region 21.07%  Asian Region 11.95 %  Middle-east region 2.02 %  African region 0.93%  East European Region 3.25 %  Oceania Region 2.11 %  Other Region 3.13 %  12

Trend in Export Trade Where we were ?   Where we are now ? 13

(Product & market wise) 1972-73 2015-16 No. of Products 25 744 (H.S. Code 4 digit) No. of Markets 68 198 Export value 348.00 Mln. 34,257.18 Mln US$ 14

Export From Bangladesh During 1972-73 to 2015-2016 40000 35000 30000 Mn.US$ 25000 20000 15000 10000 5000 0 15

Export as a percentage of Import (2007-2008 to 2015-2016 ) (Value in million US$) FY Exports Imports Contribution 2007-2008 14,111 21,630 65.23% 2008-2009 15,565 22,507 69.16% 16204.65 23738.00 68.26% 2009-2010 22928.22 33657.40 68.12% 2010-2011 24301.90 35516.30 68.42% 2011-2012 27027.36 33969.00 79.56% 2012-2013 30186.62 40692.90 74.18% 2013-2014 31208.94 40638.50 76.80% 2014-2015 34257.18 40097.40 85.43% 2015-2016 16

Limited Products  (1) only six products dominate the export; Limited Market :  (1) EU – 54.55% (2) U.S.A – 18.16% (3) Other countries – 27.29% 17

 Largest cotton t-shirt exporter in the world;  Second largest knitwear exporter of the world;  Third largest Apparel exporter in the world;  6,500 garment factories in Bangladesh;  4.50 million workers are employed in Apparel sector;  80% of the workers are women;  Workers are loyal, adaptible, trainable & committed  GSP facilities for the Apparel sector to EU, Japan, Australia, New Zealand, Canada;  Duty Free Market Access to China, S. Korea, India.  US$ 28.29 billion worth of Apparel export from Bangladesh; 18

Continued…..  Available backward linkage Industry in the apparel sector;  Composite Textile Mills on the rise;  Japanese Importers are planning to source 10% of their Apparel requirements from Bangladesh;  Reputed world chain stores like Wal-Mart, C&A,H&M, Marks & Spencer, Zara, Mango, Matalon, GAP , Tesco, Puma are sourcing from Bangladesh;  High value Apparel Production on the rise ;  Fashion University has been in operation ;  Own brands are developing in Bangladesh;  Apparel export will rise to 45 billion US$ as predicted by Mcenzie Report;  Positive growth in Knit & Woven Sector. 19

 246 companies registered with food & drug administration of Bangladesh;  US$ 82.11 million worth of medicine export from Bangladesh;  Export to 156 countries in the world;  Quality & Price Competitive products;  Maintain GMP (Good Manufacturing Practice);  Second largest contributors to the National Exchequer ;  Only LDC in the world to produce generic medicine;  License to produce patent medicine;  Good number of products registered with EU, Latin America & African Countries;  97% total domestic demand met from local production;  3% imported for domestic consumption;  Multinational companies exist;  Bangladesh successfully exporting APIs (Active Pharmaceutical Ingredients) and a wide range of products covering all major therapeutic classes and doses ;  Besides regular dosage forms like Tablets, Capsules & Syrups, Bangladesh is also exporting high-tech specialized products like HFA Inhalers, CFC Inhalers, Suppositories, Nasal Sprays , Injectables, IV Infusions etc. 20

 Ship building emerged as an important export sector in Bangladesh;  Bangladesh has the potential to earn US$2.0 billion by exporting ships and vessels in the next five years;  Shipyards of Bangladesh are capable to make ships of about 10,000 DWT as per international standard, and performance of three of those has been highly appreciated;  Bangladesh has been exporting new ships to European Union market, especially to Denmark, Finland, Germany and Pakistan, Mozambique;  The Government of Bangladesh has declared shipping industry as one of the driving forces of our economy. 21

 Light Engineering Products include Spare Parts of paper & cement mills, Bicycle, Motor cycles, Automotive maintenance free sealed batteries, Fancy light fittings, Construction equipments, Battery, Voltage stabilizer, Carbon rod, Automobile spares, Electronic items, etc;  Bangladesh exports Light Engineering Products to E.U, USA, Middle East, Japan and India;  About 0.60 million workers are employed in this sector. 22

 Jute is an environment friendly product whose use as a good alternative to the use of synthetic fibers such as carbon or ceramic fibers which are subject to environmental concerns;  Bangladesh is one of the largest jute goods exporters of the world;  Demand for Jute goods has been growing in developed market such as USA, Canada, Japan, Australia where consumer groups are conscious about carbon footprint of consumer goods. Jute is a natural fiber and biodegradable. Bangladesh is in a unique position to take advantage of this growing consumer concern. 23

 Supplier of world’s reputed tasty salted & fresh water Shrimps & Fishes;  Strictly maintain quality following HACCP & Traceability;  Exporter of Consumer packets and value added products;  Approved processing plants by the EU are 74. 24

 Bangladesh declared furniture as priority sector for expanding export ;  Exporting furniture to Japan, Singapore, Australia, USA and other markets;  Furniture factories are committed to developing design and quality;  Supplier to Shipbuilding Industry. 25