Home / Knowledge / News / Apparel/Garments / Bangladesh garments may lose duty-free access to Canada
Bangladesh garments may lose duty-free access to Canada
06
Feb '13
Bangladesh may lose duty-free access for its garments to Canadian market, as the developed nation has excluded India and China - from which Bangladesh mainly imports yarn and fabric for its garments - from its General Preferential Tariff (GPT) facility list.
 
Under the GPT rules, 175 developing nations, including Bangladesh were allowed to export their goods to Canada duty-free or at preferential rates. However, the country has dropped 72 nations, including India and China, from the GPT list after a review of the facility.
 
The GPT benefit will not be applicable from July 1, 2014 to Canadian imports from 72 countries classified as “high-income” or “upper-middle income” countries by the World Bank for two consecutive years, or have had a share of equal to or greater than one percent of world exports for two consecutive years. 
 
Though Bangladesh has not been excluded, it may still face some problems, as two of its key sources from which it procures raw materials have been dropped, Commerce Secretary Mahbub Ahmed said.
 
As per Government data, Bangladeshi garment sector procures around 60 percent of its woven fabric and 50 percent of its overall yarn requirement from India and China.
 
The rules mandate that no country can avail GPT benefit on export of apparels produced from raw material imported from a country not included in the GPT list.
 
Though knitwear exports from Bangladesh to Canada would not be much impacted because of the development, woven garment exports would suffer, Mr. Ahmed said.
 
Briefing media on sidelines of a meeting with concerned authorities at the Secretariat, he said the Bangladesh Government would be forwarding letters to the Canadian Government requesting it to make some arrangement for continuation of duty-free facility for Bangladeshi products.
 
Last year, Bangladesh exported around US$ 912 million worth of readymade garments to Canadian market, with woven garments accounting for 55 percent of the same.
 

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 17th Jan 2017

GST rollout from July 1; states to control small taxpayers

The Centre and states have reached a consensus on the issue of dual...

Textiles | On 17th Jan 2017

Reliance Industries net increases 3.6% in Q3FY17

In the three months ended December 31, 2016, India’s biggest private...

Textiles | On 17th Jan 2017

IMF projects advanced economies to grow at 1.9% in 2017

Advanced economies are projected to grow by 1.9 per cent in 2017 and...

Interviews View All

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search