trade
Trade through Benapole land port suspended for Janmasthami
Export and import activities between Bangladesh and India remained suspended since Thursday morning due to Janmashtami, a religious festival of the Hindu community.
Abdul Jalil, deputy director of Benapole land port, said the trade activities between the two countries remained suspended since morning as there is a holiday on the both sides due to Janmashtami celebration.
The trade activities will resume on Saturday, he said.
However, the immigration activities are going on as usual.
Read: Export-import through Benapole land port halted
Bangladesh seeks enhanced trade, investment cooperation with Timor-Leste
Bangladesh and Timor-Leste, a Southeast Asian nation, have discussed ways to expand the relations with an enhanced cooperation in the areas of trade and investment.
Foreign Minister Dr AK Abdul Momen has met Timor-Leste’s Minister for Foreign Affairs and Cooperation Adaljiza Albertina Reis Magno on the sidelines of the ASEAN Regional Forum in Phnom Penh, Cambodia and discussed issues of mutual interest.
Momen is now on a three-day visit to Cambodia to attend the 29th ASEAN Regional Forum (ARF).
Both the Ministers expressed deep satisfaction at the excellent bilateral relations between the two countries and pledged to further strengthen the relations in depth and dimensions, said the Ministry of Foreign Affairs on Thursday.
Also read: Chinese FM’s visit: Dhaka, Beijing likely to sign multiple cooperation documents
During the meeting, the two Ministers shared their views for mutual benefits and they discussed the issues of Rohingya repatriation, Bangladesh peacekeeping force, poverty alleviation, mass education, women empowerment, agricultural research, fisheries, livestock & poultry industries, digitization, youth development and student exchange programme.
Momen underscored the need for regular exchange of visits at the high political and official levels as it is a very important tool for strengthening existing relations.
The meeting concluded to collaborate and share experience toward a more efficient partnership in the days ahead.
Also read: Bangladesh reiterates its firm adherence to ‘One China’ policy
Bangladesh Ambassador to Cambodia and Director General for Regional Organizations wing of the Ministry accompanied the Foreign Minister during the meeting.
Food & energy security, trade to get priority at D-8 Council of Ministers’ talks
Food and energy security, trade, tourism and climate change are some of the areas that will get focus at the 20th session of the Council of Ministers of D-8, also known as Developing-8, to be hosted by Bangladesh on July 27.
While briefing the media on Sunday, Foreign Minister AK Abdul Momen said energy and food security is a global issue that will be discussed at the meeting as there is much scope for cooperation in these areas.
“We are giving much importance on food security. Food security issue will be discussed largely. We would like to share our expertise with other friends. There is a much scope for cooperation,” he said.
On energy security, Momen said it is being discussed everywhere and it remains a hot topic globally. “We must ensure energy security. It will be discussed.”
He said though some of the D-8 countries showed maturity in the tourism sector, Bangladesh has scope to do more and gain through cooperation.
Momen said though the intra-trade is growing the D-8 countries can do more on this front.
“We will discuss on how the trade can further be expanded,” he said, adding that the intra-trade is likely to be boosted through proper implementation of the D-8 Preferential Trade Agreement (PTA).
The D-8 Preferential Trade Agreement (PTA), signed on 13th May, 2006 in Bali, Indonesia is regarded as one of the most tangible outcomes of D-8 cooperation in trade.
Read:Pak HC removes distorted photo amid Dhaka’s objection
The agreement has been a manifestation of the mutual desire to deepen trade relations among Member States and marked the beginning of economic dialogue at a higher level.
The PTA, after many rounds of discussions and multilateral negotiations, became effective as of 25th August, 2011 onwards.
The foreign minister said the D-8 meeting to be held on July 27 will take decision about Azerbaijan’s membership.
He said some foreign ministers of the D-8 countries will be represented by their colleagues at the meeting.
Prime Minister Sheikh Hasina is expected to inaugurate the meeting joining it virtually, Momen said.
Bangladesh will also host the 45th session of the D-8 Commission from July 25 to 26.
The D-8, also known as Developing-8, is an organization for development cooperation among Bangladesh, Egypt, Indonesia, Iran, Malaysia, Nigeria, Pakistan and Turkey.
The establishment of D-8 was announced officially through the Istanbul Declaration of Summit of Heads of State/Government on June 15, 1997.
The objectives of D-8 Organization for Economic Cooperation are to improve member states’ position in the global economy, diversify and create new opportunities in trade relations, enhance participation in decision-making at international level, and improve standards of living.
‘Day by day’: Trade bans, inflation send food prices soaring
Soki Wu’s food stall, tucked in a food court in a shopping mall in Singapore, is a crowd favorite for its fresh, juicy “chicken rice,” a national dish. But customers recently began complaining that his chicken didn’t taste quite as good as it used to.
Wu was forced to switch to frozen chicken after Malaysia banned exports last month of live broiler chickens that are more affordable and better tasting in a bid to offset rising local prices. For Singapore, which sources a third of its poultry from Malaysia, the impact was immediate.
“This is unavoidable. Using frozen chickens have affected the taste of the dish, but we have no choice,” Wu said.
As inflation surges around the world, politicians are scrambling for ways to keep food affordable as people increasingly protest the soaring cost of living. One knee-jerk response has been food export bans aimed at protecting domestic prices and supplies as a growing number of governments in developing nations try to show a nervous public that their needs will be met.
For business owners, the rising cost of cooking ingredients — from oil to chicken — has prompted them to raise prices, with people paying 10% to 20% more at Wu’s food stall. For consumers, it has meant paying more for the same or lesser-quality food or curbing certain habits altogether.
In Lebanon, where endemic corruption and political stalemate has crippled the economy, the U.N. World Food Program is increasingly providing people with cash assistance to buy food, particularly after a devastating 2020 port blast that destroyed massive grain silos. Constant power cuts and high fuel prices for generators limit what people can buy because they can’t rely on freezers and refrigerators to store perishables.
Tracy Saliba, a single mother of two and business owner in Beirut, says she used to spend around a quarter of her earnings on food. These days, half her income goes to feeding her family as the currency loses strength amid soaring prices.
Read: G20 finance leaders in Bali to tackle Ukraine, inflation
“I’m not buying (groceries) like I used to,” Saliba said. “I’m just getting the necessary items and food, like day by day.”
Food prices have risen by nearly 14% this year in emerging markets and by over 7% in advanced economies, according to Capital Economics. In countries where people spend at least a third or more of their incomes on food, any sharp increase in prices can lead to crisis.
Capital Economics forecasts that households in developed markets will spend an extra $7 billion a month on food and beverages this year and much of next year due to inflation.
The pain is being felt unevenly, with 2.3 billion people going severely or moderately hungry last year, according to a global report by the World Food Program and four other U.N. agencies.
Food prices accounted for about 60% of last year’s increase in inflation in the Middle East and North Africa, with the exception of oil-producing Gulf countries. The situation is particularly dire for Sudan, where inflation is expected to hit 245% this year, and Iran, where prices spiked as much as 300% for chicken, eggs and milk in May, sparking panic and scattered protests.
In Somalia, where 2.7 million people cannot meet their daily food requirements and where children are dying of malnutrition, sugar is a source of energy. In May, a kilogram (2.2 pounds) of sugar cost about the equivalent of 72 cents in Mogadishu, the capital. A month later, it had shot up to $1.28 a kilogram.
“In my home, I serve tea (with sugar) three times a day, but from now on, I have to reduce it drastically to only making it when guests arrive,” said Asli Abdulkadir, a Somali housewife and mother of four.
People there are bracing for even higher costs after India announced it would cap sugar exports this year. Even if that doesn’t reduce India’s sugar exports compared with previous years, news of the restriction was enough to cause speculation among traders like Ahmed Farah in Mogadishu.
“The cost of sugar is expected to surge since Somalia counts heavily on the white sugar exported from India and a few brown sugars from Brazil,” he said.
Also read: US inflation surges again in June, raising risks for economy
Food export restrictions aimed at protecting domestic supplies and capping inflation is one reason for the rising cost of food.
Food prices had been steadily climbing worldwide because of drought, supply chain issues, and high energy and fertilizer costs. The U.N. Food and Agriculture Organization says food commodity prices were up 23% last year.
Russia’s war in Ukraine further sent the price of wheat and cooking oils up, fueling a global food crisis. There was a breakthrough this week to create safe corridors for Black Sea shipments, but Ukrainian ports have been blocked from exporting these key goods for months and it will take time to get them moving again to vulnerable countries worldwide.
There’s concern that the impact of all these factors will lead more countries to resort to food export bans, which are felt globally. When Indonesia blocked the export of palm oil for a month in April, palm oil prices spiked by at least 200%.
Analysts say food export bans are shortsighted because they have a domino effect of driving up prices.
“I would say that roughly 80% of the bans we see are ill-advised — a kind-of, sort-of gut reaction by certain politicians,” said David Laborde, who is credited with creating a food trade policy tracker at the International Food Policy Research Institute.
“In the world where you will be the only one to do it, that can make sense,” he said. “But in a world where other countries can also do it, actually that’s far from being a good idea.”
Laborde said bans are “a very selfish policy ... because you try to get better by making things worse for others.”
The list of food export restrictions Laborde has been tracking since the COVID-19 pandemic is long and changes constantly. Examples of their impact include Kazakhstan’s restrictions on grains and oil on prices in Uzbekistan, Tajikistan, Turkmenistan and Afghanistan; Cameroon’s rice export restriction on Chad; and Tunisia’s fruit and vegetable restrictions on Libya.
In Singapore, 29-year-old Wu is hopeful he can keep the family business running as Singapore’s government signed off on Indonesia as a new chicken supplier.
“Things will get better,” he said. “(This) will only make us more resilient.”
FBCCI keen to enhance trade ties with Brazil; two MoUs signe
The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) is keen to develop broader trade relations with Brazil, the largest economy in Latin America.
As a part of this initiative, the apex trade body of the country has signed two Memoranda of Understanding with the Rio de Janeiro Chamber of Commerce and Industry and the Sao Paulo Chamber of Commerce; two of the country's most influential trade organizations.
FBCCI President Md. Jashim Uddin on behalf FBCCI signed the MoUs during the visit to Brazil as entourage of State Minister for Foreign Affairs Md. Shahriar Alam, said the trade body on Saturday.
The signing between Rio de Janeiro Chamber of Commerce and Industry and FBCCI took place in Rio de Janeiro, the second capital of Brazil on July 20 and Sao Paulo Chamber of Commerce inked the MoU in Sao Paulo, the port city of the country on July 21.
Also read: FBCCI called for setting up Eswatini High Commission in Dhaka
State Minister Shahriar Alam, Bangladesh Ambassador to Brazil Sadia Faizunnesa and President of Brazil Bangladesh Chamber of Commerce Shahriar Ahmed also witnessed the MoUs signing ceremonies.
Earlier, the FBCCI President has had meetings with Apex Brazil, the country's Trade and Investment Development Agency and the main industry representative organization National Industry Confederation (CNI).
Issues related to bilateral trade and investment potentials, challenges, and the way forward were discussed in the meetings.
The FBCCI President expected the visit will facilitate exchange of delegations in future and bolster bilateral trade relations.
Also read: FBCCI wants power rationing for uninterrupted production
“Bangladesh now needs to explore and expand new markets. Diversification of export baskets has become essential. Therefore, establishing trade ties with Brazil, the 10th largest economy of the world will add new dimensions to Bangladesh’s export earnings, as well as help expand its footstep in other countries of South America”, he added.
Canadian Trade Union delegation calls on BGMEA President
A Canadian Trade Union delegation paid a courtesy call on BGMEA President Faruque Hassan at the latter’s in Gulshan, Dhaka on July 21.
The delegation included Lily Chang, Secretary-Treasurer for the Canadian Labour Congress (CLC); Jocelyne Dubois, Director, International, Social and Economic Policy Department (CLC); Doug Olthuis, Department Leader, Global Affairs and Workplace Issues, United Steelworkers (USW); Michelle Ravary, USW Local Union; Caroline Lemay, USW Local Union; and Alexandra Lourenco, USW Local Union.
BGMEA Vice President Md. Nasir Uddin, Vice President Miran Ali, Directors Barrister Vidiya Amrit Khan, Md. Imranur Rahman and Neela Hosna Ara were also present at the meeting.
They had discussions about issues, particularly about workplace safety, workers’ rights and well-being.
BGMEA President Faruque Hassan appraised the delegation about the exemplary progress made by Bangladesh’s apparel industry in workplace safety and labour rights through collaboration of the global brands and retailers, manufacturers, government, ILO, development partners, and local and global unions.
He also briefed them about the remarkable progress in the RMG industry in recent years especially in improving trade union activities, skills development and labor welfare.
Faruque Hassan said the RMG industry is increasingly focusing on the skill development of workers to equip them with skills and knowledge required to cope up with changing trends in the global apparel industry, especially brought by the Fourth Industrial Revolution (4IR).
BGMEA is collaborating with the government and development partners in carrying out different skill development programs.
The RMG industry is committed to continue its efforts for the betterment of garment workers, he added.
Bhomra land port resumes operation after Eid holidays
Trade through Bhomra land port in Satkhira resumed on Wednesday after five day of Eid holidays.
Import and export between India and Bangladesh remained suspended from July 8-12 through Bhomra land port on the occasion of Eid. But movement of people through the border was open.
Read: Trade through Bhomra port resumes as lockdown lifted
Bhomra land port Customs Clearing & Forwarding (C & F) Agents Association general secretary SM Maksud Khan said the decision to suspend import and export between the two neighbouring countries was made after consultation with India's Guzadanga C & F Agents Cargo Association.
Bhomra land port assistant customs commissioner Amir Mamun said around 300-350 goods laden trucks entered the port through India's Guzadanga land port.
The government earns more than Tk 2 crore daily from this land port, said the customs official.
Inflation sparks global wave of protests for higher pay, aid
Rising food costs. Soaring fuel bills. Wages that are not keeping pace. Inflation is plundering people’s wallets, sparking a wave of protests and workers’ strikes around the world.
This week alone saw protests by the political opposition in Pakistan, nurses in Zimbabwe, unionized workers in Belgium, railway workers in Britain, Indigenous people in Ecuador, hundreds of U.S. pilots and some European airline workers. Sri Lanka’s prime minister declared an economic collapse Wednesday after weeks of political turmoil.
Economists say Russia’s war in Ukraine amplified inflation by further pushing up the cost of energy and prices of fertilizer, grains and cooking oils as farmers struggle to grow and export crops in one of the world’s key agricultural regions.
As prices rise, inflation threatens to exacerbate inequalities and widen the gap between billions of people struggling to cover their costs and those who are able to keep spending.
“We are not all in this together,” said Matt Grainger, head of inequality policy at antipoverty organization Oxfam. “How many of the richest even know what a loaf of bread costs? They don’t really, they just absorb the prices.”
Oxfam is calling on the Group of 7 leading industrialized nations, which are holding their annual summit this weekend in Germany, to provide debt relief to developing economies and to tax corporations on excess profits.
“This isn’t just a standalone crisis. It’s coming off the back of an appalling pandemic that fueled increased inequality worldwide,” Grainger said. “I think we will see more and more protests.”
The demonstrations have caught the attention of governments, which have responded to soaring consumer prices with support measures like expanded subsidies for utility bills and cuts to fuel taxes. Often, that offers little relief because energy markets are volatile. Central banks are trying to ease inflation by raising interest rates.
Read: Tackling inflation to protect people’s purchasing power key challenge: DCCI
Meanwhile, striking workers have pressured employers to engage in talks on raising wages to keep up with rising prices.
Eddie Dempsey, a senior official with Britain’s Rail, Maritime and Transport Union, which brought U.K. train services to a near standstill with strikes this week, said there are going to be more demands for pay increases across other sectors.
“It’s about time Britain had a pay rise. Wages have been falling for 30 years and corporate profits have been going through the roof,” Dempsey said.
Last week, thousands of truckers in South Korea ended an eight-day strike that caused shipment delays as they called for minimum wage guarantees amid soaring fuel prices. Months earlier, some 10,000 kilometers (6,200 miles) away, truckers in Spain went on strike to protest fuel prices.
Peru’s government imposed a brief curfew after protests against fuel and food prices turned violent in April. Truckers and other transport workers also had gone on strike and blocked key highways.
Protests over the cost of living ousted Sri Lanka’s prime minister last month. Middle-class families say they’re forced to skip meals because of the island nation’s economic crisis, prompting them to contemplate leaving the country altogether.
The situation is particularly dire for refugees and the poor in conflict areas such as Afghanistan, Yemen, Myanmar and Haiti, where fighting has forced people to flee their homes and rely on aid organizations, themselves struggling to raise money.
“How much for my kidney?” is the question most asked of one of Kenya’s largest hospitals. Kenyatta National Hospital reminded people on Facebook this week that selling human organs is illegal.
For the middle class in Europe, it’s become more expensive to commute to work and put food on the table.
“Increase our salaries. Now!” chanted thousands of unionized workers in Brussels this week.
“I came here to defend the purchasing power of citizens because demonstrating is the only way to make change,” protester Genevieve Cordier said. “We cannot cope anymore. Even with two salaries ... both of us are working, and we cannot get our head above water.”
In some countries, a combination of government corruption and mismanagement underpin the economic turmoil, particularly in politically gridlocked countries like Lebanon and Iraq.
Read: Bangladesh hits eight-year high inflation at 7.42pc: BBS
The protests reflect a sense of growing financial insecurity. Here’s how that has played out in Africa:
— Health care professionals in Zimbabwe went on strike this week after rejecting the government’s offer of a 100% pay rise. The nurses say the offer does not come close to skyrocketing inflation of 130%.
— Kenyans have protested in the streets and online as the price of food jumped by 12% in the past year.
— One of Tunisia’s most powerful labor unions staged a nationwide public sector strike last week. The North African country faces a deteriorating economic crisis.
— Hundreds of activists this month protested the rising cost of living in Burkina Faso. The U.N. World Food Program says the price of corn and millet has shot up more than 60% since last year, reaching as high as 122% in some provinces.
“As far as this cost of living that keeps increasing is concerned, we realized that the authorities have betrayed the people,” said Issaka Porgo, president of the civil society coalition behind the protest in the west African country.
Protesters condemn the military junta, which ousted the democratically elected president in January, for giving themselves a pay raise while the population faces rising prices.
The International Monetary Fund says inflation will average about 6% in advanced economies and nearly 9% in emerging and developing economies this year. Global economic growth is projected to slow by 40%, to 3.6%, this year and next. The IMF is calling on governments to focus support packages to those most in need to avoid triggering a recession.
The slowdown comes as the COVID-19 pandemic is still gripping industries worldwide, from manufacturing to tourism. Climate change and drought are hitting agricultural production in some countries, prompting export bans that push up food prices even further.
Rising food prices are particularly painful in low-income countries, where 42% of household incomes are spent on food, said Peter Ceretti, an analyst tracking food security at risk advisory firm Eurasia Group.
“We will see more protests, probably broader and angrier, but I do not expect destabilizing or regime-changing protests,” he said, as producers adjust and governments approve subsidies.
Bangladesh urges Japanese businessmen to invest more in various sectors
Bangladesh Ambassador to Japan Shahabuddin Ahmed has urged the Japanese businessmen and investors to invest in various sectors in Bangladesh including information technology, garment industry, and leather.
He also highlighted Japan's involvement in various mega projects in Bangladesh and thanked the Japanese government for their continuous support.
In the context of the decreasing population in Japan, the Ambassador urged Japan's manpower recruiting agencies to recruit skilled workers from Bangladesh.
Read Japan honours businessman Matiur Rahman with Order of the Rising Sun award
He was addressing a seminar on ‘Trade, Investment and Skilled Human Resources’ held in Saitama, Japan on Wednesday.
Nearly 200 participants from Japanese companies and manpower recruiting organisations were present at the event, said the Bangladesh Embassy in Tokyo.
The seminar was organised as part of celebrating 50 years of Bangladesh-Japan diplomatic relations supported by the City of Saitama, Japan International Cooperation Agency (JICA), Japan External Trade Organization (JETRO), Saitama, UNIDO-ITPO Tokyo, and JITCO.
Read: Japan to provide US$ 5 million to promote Bangladesh primary education
From the city of Saitama, Hitoshi Shibuya, director, Department of Commerce, Industry, and Tourism, Bureau of Economic Affairs spoke.
Dr Ariful Haque, Minister (Commerce) of the Embassy delivered a presentation on trade and investment opportunities in Bangladesh, and Md Zoynal Abedin, first secretary (Labour), of the Embassy, presented on the ‘Prospects and Potentials of Skilled Human Resources in Bangladesh: Collaboration with Japan for Greater Mutual Benefit.’
Noriyoshi Fukuoka, director (South Asia), Trade Policy Bureau, Ministry of Economy, Trade, and Industry (METI) praised Bangladesh’s economic progress and prospects.
Read Japan: Lasting Rohingya solutions to help a free Indo-Pacific
Yuji Ando, country representative, JETRO Bangladesh discussed the business environment in Bangladesh through a video message.
Toshihiro Shimizu, from JICA, presented on JICA’s business supporting survey in Bangladesh and Kiminobu Hiraishi, CEO of Maruhisha Group shared business experiences of Japanese textile companies in Bangladesh.
Ambassador Shigeo Matsutomi, senior vice president, Japan International Trainee & Skilled Worker Cooperation Organisation (JITCO) discussed on sending or acceptance structure of Bangladeshi trainees & workers, and Keisuke Irako, chief director, Machida Hospital shared experiences of recruiting Bangladeshi caregivers in his hospital.
Read Japan pulls out of Matarbari-2 plant after consulting Bangladesh: Nasrul
Embassy officials, officials, and representatives from METI, JICA, JETRO, Japan Chamber, and UNIDO ITPO Tokyo, among others, attended the seminar.
Businesses reject plan to impose 8pm closing time on shops
Businessmen on Saturday urged the government to postpone the decision of the closure of shops, shopping malls, markets, and kitchen markets after 8 pm till the Eid-ul-Adha.They came up with this call at the first meeting of the FBCCI Standing Committee on Local Garments (Avhantarin Poshak) at FBCCI.They said that Businesses were deprived of the full-scale festival centric sale due to the 2-year long Covid-19 pandemic and incurred huge losses.They said businesses had managed to remain on their feet the help of timely incentive packages, and now are working relentlessly to revive the economy.They apprehended that if the sales close after 8 pm, the process of revival will stumble.Read: FBCCI preparing a master plan to face post-LDC challenges
FBCCI senior Vice-President Mostofa Azad Chowdhury Babu in response to the demands of businessmen, called for postponing the government decision till Eid-ul-Adha.“The office goers prefer to visit malls after evening; therefore, the instruction will discourage them to shop, which would put the millions of small and medium entrepreneurs into further loss,” the FBCCI Senior Vice President said.The committee members also called for initiatives to set up a garment village for the manufacturers who produce clothing for the domestic market.They said that garment manufacturers have to procure raw materials from different places and re-package and sell them in the wholesale market which accumulates a huge cost.A dedicated garment village will ease the business process and reduce the cost and also facilitate buyers to afford clothing at a cheaper price.Read: Good governance major challenge to implement budget: FBCCI
Acquiescing with the demands of the businessmen, Vice President M A Momen assured that FBCCI will take initiatives to discuss with the concerned ministry in this regard.“Businesses will face additional challenges after LDC graduation in 2026. Hence, the local sector needs to be stronger,’ he added.While chairing the meeting, Committee chairman and president of Bangladesh Avhantarin Poshak Prostutkarak Malik Samity Md. Alauddin Manik said that they meet the huge domestic demand and thus help reduce import cost. The sector would further flourish if it gets bank loans.Director-in-Charge of the Committee Abu Motaleb complains that the tax-officials harass businessmen in the name of collecting revenue. He calls for the end of the harassment.FBCCI Director Shafiqul Islam Vorosha and Hafez Harun also spoke at the meeting.Co-Chairmen Hazi M H Mostofa, Md. Abul Khayer, Md. Sarwar Uddin Khan, Hazi Md. Tipu Sultan, Md. Kefayetullah Twinkle and Junaed Ibna Ali were also present.