Bangladesh to work together with EU to boost trade and investment overcoming problems: Tipu Munshi

Commerce Minister Tipu Munshi on Wednesday urged the European investors who already invested here and have been successfully operating their businesses to advocate for Bangladesh's competitiveness in the global arena.

"You come and see. Let's take the message to investors," he said while speaking at a seminar as the chief guest.

The commerce minister said Bangladesh wants to work hand in hand with the European Union (EU) and is committed to removing the existing problems that hinder inbound investment.

"Yes, we acknowledge our challenges. However, we are eager to engage with the EU and collaborate effectively. Together, we can address these issues and find solutions," Munshi said, adding that if the foreign investors come here and invest, they will benefit a lot. 

The seminar titled "Unlocking Trade and Investment for European Companies in Bangladesh" was jointly organised by Dhaka Chamber of Commerce and Industry (DCCI) and the European Union Delegation to Bangladesh at a hotel in Dhaka.

Executive Chairman of the Bangladesh Investment Development Authority (BIDA) Lokman Hossain Miah was present as special guest. 

Lokman said they are working for reforms to attract more FDI from the EU member countries. "BIDA is committed to provide faster and investment friendly services."

He also informed that all services of BIDA will be available in OSS by the end of this year and invited more direct or joint venture EU investment in Bangladesh enjoying various fiscal and non-fiscal incentives given to the foreign investors.      

Readiness of Bangladeshi industries coupled with sustainable regulatory framework, favourable tax regime, positive image branding, technologically skilled workforce, export competitiveness, conducive environment and diversification of products are key to attract more investment from the European Union countries in Bangladesh, said the speakers.

DCCI President Md Sameer Sattar said the five-decade-long Bangladesh and EU partnership had truly become an unprecedented and remarkable journey that turned the EU into one of the most reliable trading partners of Bangladesh.

"Our total export to the EU has surged to USD25.23 billion in FY2023 having 93% RMG share which has positioned Bangladesh as one of the popular sourcing destinations," he said.

Upon the LDC graduation of Bangladesh in 2026, Bangladesh needs to sustain the export market in its traditional and major destinations including the EU.

He also emphasized sustainable export product diversification to increase the share of Bangladesh's export to the EU market.

He invited EU investors to harness the country's proven and diversified investment sectors including agro-processing, textile, automobile, service sector, ICT in hi-tech parks, skills development, infrastructure, economic zones and logistics sectors for rewarding return and sustaining the win-win bilateral economic ties.      

Ambassador and Head of EU Delegation to Bangladesh Charles Whiteley said for decades, the EU has been the main destination for "made in Bangladesh" goods.

The graduation of Bangladesh to a developing country will reinvigorate EU-Bangladesh ties, he said, adding that it is time to explore new areas of cooperation from ICT to infrastructure, aviation, renewable energy, agriculture and pharmaceuticals. The EU is keen to boost bilateral trade and investment ties in the days to come.

Counsellor, EU Delegation to Bangladesh Jurate Merville said that to attract European FDI, a friendly regulatory framework is crucial.

She said that the EU is one of the top investors here in Bangladesh. She also called for an increasing skilled workforce to tap the future potentials of international business. 

Country Representative, Airbus Morad Bourouffala stressed on human capital development, skill development is more important for Bangladesh.

Syed Nasim Manzur, Managing Director, Apex Footwear Ltd. said RMG has positioned us in a prestigious stage in the global arena.

"But we have a few other sectors that have huge potential to have their access in the EU market like the leather industry," he said.

"At present we have many (Leather Working Group) LWG certified factories in Bangladesh. We need more EU companies to invest in manufacturing industries in Bangladesh. We need EU investment in skills transfer technology to create a technologically skilled workforce," he added.

Iqbal Chowdhury, CEO, Lafarge Holcim said cost effective and sustainable energy security is crucial for smooth production. "Existing FDI is our brand ambassador to attract more FDI."

Massih Niazi, CEO, Petromax LPG said they are successfully operating in Bangladesh. "At present we are facing a few short-term challenges like shortages of dollar, lack of LC opening and inflation, devaluation of taka."

He also hoped that these challenges will be overcome soon. He said the power supply, roads and transportation system should be improved, he added.  

Ziaur Rahman, Regional Country Manager, H&M said to compete in the international market "we have to prioritize our product diversification."

Mushtaque Ahmed, Vice President, Bangladesh Bicycle and Parts Manufacturers and Exporters Association said Bangladesh is now producing a huge number of e-bikes and the EU market will be a potential destination for this product.