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Bangladesh urges India to further ease duty on garments
Sep '13
The Government of Bangladesh has urged India to remove all tariff and non-tariff barriers on Bangladeshi garments.
Although the Indian Government granted duty-free access for Bangladeshi readymade garments in September 2011, the volume of trade has not risen to expected levels due to various barriers, Bangladesh Commerce Secretary Mahbub Ahmed said at an event organized by the Indian Chamber of Commerce in Kolkata.
Mr. Mahbub informed that he has met his Indian counterpart SR Rao and Revenue Secretary Sumit Bose and have urged them to remove all tariff and non-tariff barriers on Bangladeshi exports to India.
At present, the bilateral trade stands at US$ 5 billion, with Bangladesh’s exports to India accounting for only US$ 563 million.
Mr. Mahbub urged Indian entrepreneurs to invest in Bangladesh by setting up their units in the neighbouring country and take advantage of the duty-free and quota-free access it has to advanced countries.
Explaining the existing trade barriers, Abida Islam, Deputy High Commissioner of Bangladesh in Kolkata, said despite granting duty free access to Bangladeshi garments, India levies countervailing duty of 8 percent on the assessable products and a special additional duty of 4 percent.
Moreover, India does not accept the test certificates issued by the laboratories in Bangladesh for garments and other products.

Fibre2fashion News Desk - India

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