BGMEA seeks clarity from US on trade deal’s duty-free access mechanism

Following the recently signed US-Bangladesh trade agreement, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) sought a clarification on how duty-free access for garments produced using American cotton will work in practice.

BGMEA president Mahmud Hasan Khan raised the issue with US ambassador to Bangladesh, Brent T Christensen during a meeting at the association’s office in Dhaka.

Following the US-Bangladesh trade agreement signed recently, trade body BGMEA sought a clarification on how duty-free access for garments produced using American cotton will work in practice.
The Office of the USTR is working on the mechanism, US envoy to Bangladesh Brent T Christensen responded.
BGMEA also called for US investment in his country’s energy sector to support the expanding industrial base.

The Office of the US Trade Representative (USTR) is working on the mechanism now, Christensen responded.

The agreement, he hoped, would boost American cotton exports to Bangladesh, according to domestic media reports.

The meeting also discussed business uncertainties arising out of recent tariff volatility. Christensen expressed confidence that stability would return soon.

Khan also called for US investment in his country’s energy sector to support the expanding industrial base. As a short-term solution, he suggested US investment in LNG infrastructures, while in the long term, he deemed US technology and investment necessary to enhance domestic gas exploration and extraction.

Christensen said US investors would be interested if Bangladesh adopts a stable, long-term energy policy.

The meeting also included detailed discussions on labour law and the proposed new labour ordinance.

Fibre2Fashion News Desk (DS)