The long-standing friendly bilateral ties between Bangladesh and Canada has contributed to a greater trade increase between the two countries. The volume of Bangladesh-Canada bilateral trade was US$ 2.24 billion in 2017.
Bangladesh exports to Canada:
Bangladesh mainly exports apparels, frozen fish, plastic items, head wear, footwear, ceramics, toys, games and sports equipment and furniture to Canada.
Bangladesh imports from Canada:
Bangladesh imports red lentils, cereals, fruit items, fertilizer, mechanical appliances, wood pulp, paper and paperboard, scraps, optical instruments, medical & scientific instruments from Canada. Bangladesh is the second largest importer of Canadian food grains and other agricultural products in South Asia.
Potential exportable from Bangladesh:
Potential trade areas between Bangladesh and Canada are pharmaceuticals, leather and leather products, software, ICT collaboration, jute and jute products, textile, handicrafts, vegetables, bi-cycle, high-end RMG etc. The Government of Bangladesh through its’ Missions abroad consistently working hard to increase export volume through trade diversification and business to business contacts.
General Preferential Tariff (GPT):
Since 2014, Bangladesh has been enjoying General Preferential Tariff (GPT) facility (duty-free, quota free access (DFQF) with Canada. This facility will be in force till December 2023.
Investment in Bangladesh:
Bangladesh’s liberalized investment policies particularly in the areas of infrastructure building have opened new opportunities for Canadian companies. Canadian companies can invest in food processing, agro-processing, IT and telecommunications, renewable energy, green tech industries, light and heavy engineering, shipbuilding and service sectors i.e. tourism, hospitals etc.
Bangladesh is pursuing ‘Blue Economy’ after the delimitation of the maritime boundaries with India and Myanmar. This has opened a wide horizon of foreign investments opportunities for Canadians. Bangladesh and Canada are currently negotiating Foreign Investment Protection Agreement (FIPA), which will help to attract more direct investments from Canada. Both the countries have inked an Air Services Agreement. This will pave the way for more bilateral trade between Bangladesh and Canada strengthen people-to-people contact.