High Commissioner of Bangladesh to Pakistan Muhammad Ruhul Alam Siddiqui Sunday called for focusing on the untapped trade potential between the two countries.
During a meeting with business community, he cited global economic factors, inflation and the ability to import goods as reasons why the trade volume between Pakistan and Bangladesh had not exceeded the US$1 billion mark.
The high commissioner acknowledged that Bangladesh imports more from Pakistan than it exports, particularly textile raw materials, given Bangladesh’s position as the second-largest exporter of ready-made garments in the world. However, he noted a significant reduction in Bangladesh’s exports this year due to global factors. Similarly, Pakistan’s ability to import has been affected by its current account deficit and global economic factors.
Highlighting the importance of regional trade, the high commissioner expressed his belief that SAARC had not been successful in harnessing the benefits of trading in the region compared to ASEAN and the EU. He lamented the underdevelopment of regional trade in South Asia and stressed the need to explore avenues for mutually beneficial trade.
Addressing the challenges, posed by the global factors, the HC called for concerted efforts to achieve a win-win situation in trade between the two countries. Recognising Pakistan’s potential, he encouraged the LCCI to form a delegation to visit Bangladesh and explore areas of interest for investment.
During his tenure, the high commissioner observed minimal trade disputes between the two countries, citing their shared characteristics and commonalities. He urged focus on advantageous sectors, such as food processing, where Pakistan possesses expertise. He also expressed Bangladesh’s willingness to facilitate investment in this sector through special incentives.
The Bangladeshi HC further mentioned that his country, which previously imported fertilizers from Russia and Ukraine, was now prepared to import the commodity from Pakistan. With both countries acknowledging the potential for increased trade and cooperation, efforts were underway to strengthen economic ties and explore new avenues of collaboration.
The LCCI president said that other than India, both Pakistan and Bangladesh were key members of SAARC in terms of the size of their economies, so it was imperative for them to find ways to utilise the platform for enhancing their share in the regional trade.
He said that although the balance of two-way trade was heavily in favour of Pakistan, at present the volume of bilateral trade was still below the actual potential.
Considering the size of global trade of Bangladesh that was around US$129 billion (total exports US$63.4 billion and total imports US$65.6 billion), they need to make some concentrated efforts to enhance the present level of bilateral trade.
