Doing Business in Bangladesh Dhaka Chittagong Economy Foreign Trade

 Educational level: Continuing education / Executive education programs.

Course summary Doing Business in Bangladesh

Bangladesh has a population of about 146.6 million, making it one of the densely populated countries of the world. Bangladesh is bordered by India and Myanmar. The majority of the people are Muslim. Over 98% of the people speak in Bangla language.

Agriculture still holds an important position in their national economy in creating employment and increasing national income. In FY 2005-06, the contribution of this sector in national income is about 21.77%. GDP growth of broad Industry sector was 9.56% in FY 2005-06 compared to 8.28% in FY 2004-05. The performance of the industrial sector was mainly based on the growth in textile and wearing apparel, drugs and pharmaceuticals, fertilizer, petroleum products, glass products, cement, electronics, footwear and food & beverage industries. The service sector continued to be the largest contributor to the country's real GDP growth in 2005-2006. The sector grew by 6.47% during the year, compared to 6.36% in 2004-2005 and contributed 49.22% to GDP growth.

Bangladesh is strategically located next to India, China and ASEAN markets. As the South Asian Free Trade Area (SAFTA) comes into force, investors in Bangladesh will enjoy duty-free access to India and other member countries.

Foreign trade of Bangladesh
Total export receipts of Bangladesh (including exports of EPZ) during the years, 2009-2010 and 2008-2009 amounted to Tk. 102148.2 crore and Tk.97498.1 crore or US$ 14763.8 million and US$ 14170.7 million respectively.
- Principal exports: Ready made garments, frozen foods (shrimps), leather, leather products, jute, jute products, tea, ceramic, textile fabrics, home textile, chemical product, light engineering products including bi-cycle.
- Major trading partners: USA, EU countries, China, India, Pakistan, Japan, South Korea, Canada, Australia, Malaysia, Hong Kong, Taiwan, Thailand, Indonesia, Saudi Arabia and UAE.
- Total imports: $23.74 bn (2009-10)
- Total FDI: $0.70 bn (2009)

Example of the course Doing Business in Bangladesh:

Export Processing Zones (EPZs) are export oriented industrial enclaves which provide the infrastructures, the facilities, administrative and support services for a wide variety of enterprises.

From spinning to weaving, from knitwear to leisurewear and high street fashions, the textiles and clothing industry is Bangladesh’s biggest export earner with value of over $ 12.347 bn of exports in 2008-09. Their factories design and produce for the world’s leading brands and retailers.

The annual market size for IT including computer hardware, peripherals and software was estimated to be worth approximately US$25m. The market is fast growing at an annual rate of over 25% and is forecast to rise to $43m in 2009.

Established under Investment Board Act 1989, the Board of Investment (BOI) is the principal private investment promotion and facilitation agency of Bangladesh.

Desh Garments Ltd. (established 27th December 1977) was the first export oriented ready-made garment industry in Bangladesh. It was set-up in joint venture with Daewoo of South Korea. At its time of inception, Desh was the single largest and most modern garment-manufacturing unit in the sub-continent.

Walton HIL (Walton Hi-Tech Industries Ltd.) is the pioneer of Refrigerator, Freezer, Air Conditioner and Motorcycle Manufacturing Technology in Bangladesh. R. B. Group (Mother Company) is the country's top business Group in electrical and electronics, Motorcycle, Electricity generating equipments and other household electrical & electronics appliances using the brand name WALTON.

International Economic Relations. Bangladesh is member of: Asia-Pacific Trade Agreement (APTA), South Asian Association for Regional Cooperation (SAARC / SAFTA), Bay of Bengal Initiative (BIMSTEC), Ocean Rim Association for Regional Cooperation (IORARC), Asian Clearing Union (ACU), EU's Generalised System of Preferences (GSP), Organization Islamic Conference, Islamic Development Bank, Boao Forum For Asia (BFA), Asia Cooperation Dialogue (ACD), Asia - Middle East Dialogue (AMED), Asian Development Bank (ADB), Economic and Social Commission for Asia and the Pacific (ESCAP), Colombo Plan, Commonwealth, Bangkok Agreement and Developing-8, United Nations, World Bank, International Monetary Fund, ...

South Asian Association for Regional Cooperation SAARC:

Recently Bangladesh started negotiation bilaterally to form FTA with India, Pakistan and Sri-Lanka and very recently Trade and Investment framework agreement (TIFA) with the United States is also under active consideration of the Government.  Is beneficiary of EU Generalised System of Preferences (GSP).