Australia keen to develop manufacturing hub in Bangladesh

16 Mar '22

1 min read

Pic: Shutterstock

Australia has reportedly expressed interest to develop a manufacturing hub in Bangladesh and buy back goods to be produced there or export to European and other countries. Australian businesses will provide inputs like wool, cotton, timber, meat, hides and grains to Bangladeshi industrialists, who will produce goods and re-export to Australia or Europe.

This was discussed at the first joint working group meeting under the Trade and Investment Framework Arrangement (TIFA) held late last month in Canberra.

Both countries will facilitate industry connections between Australian exporters of agricultural raw materials and Bangladesh importers and manufacturers, the meeting decided.

It was also decided that both sides will jointly identify the opportunities for Australian producers and Bangladesh manufacturers to engage with global value chains, according to Bangladeshi media reports.

Canberra agreed to continue to connect Bangladesh and Australian business chambers through its high commission in Dhaka for encouraging commercial ties between enterprises.

Trade officials in Dhaka said Canberra has pledged continuation of duty-free and quota-free (DFQF) market access of Bangladesh products to the Australian market even after Bangladesh's leaving the least developed countries club in 2026.

Trade between the two countries now hovers around $1.5 billion.

ALCHEMPro News Desk (DS)

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