Widgetized Section

Go to Admin » Appearance » Widgets » and move Gabfire Widget: Social into that MastheadOverlay zone

Plastic goods export to US rises by 4%

plasticBangladesh’s plastic goods export to the United States rose by 4% to US$3.82m in the first 10 months of the current financial year compared to $2.75m for the same period of 2012-13, despite suspension of the Generalised System of Preferences (GSP).

After the suspension of the trade preference, the experts had feared that the export earnings from the plastic goods might see a downtrend as Bangladesh plastic goods used to get access to the US market under the GSP trade benefits.

Export earnings from the plastic sector would be much more, if we could have enjoyed the GSP facilities in the US markets, Md Jashim Uddin, president of Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA), told the Dhaka Tribune.

“American buyers are very keen to buy Bangladeshi plastic products but we’ve lost our competitiveness because of the imposed import duty on our products soon after we had lost the GSP facilities,” said Jashim.

If the government can restore GSP through fulfillment of the conditions set by the US government, it would help us to grab the markets, he added.

Meanwhile, political unrest had cast negative impact on the export earnings as the buyers were unwilling to place their orders fearing delayed shipments from the country.

“Since the political turmoil caused financial losses, we have urged the government to offer us cash incentives along with reduction of advance income tax to 0.30% as like as the RMG sector,” said Jashim.

To reduce dependency on certain markets, the sectoral people are now focusing on Asian countries, especially, on China and India because of its huge population.

In the current fiscal, Bangladesh plastic products stepped into the 22 new markets including Angola, Azerbaijan, Switzerland, Chile, Colombia, Cyprus, Denmark, Ethiopia, Finland, Hungary, Lebanon, Liberia, Madagascar, Mongolia, Nigeria, Panama, Papua New Guinea, Romania, Sierra Leone, Uganda, Uzbekistan and Yemen with its high quality products at a reasonable price.

The country’s total export earnings from the plastic sector marked a 3.18% fall to $68m in July-April period of 2013-14 due to slow down in the economy of the European

Countries. In July-April of 2012-13, Bangladesh had earned $70m from plastic sector.

Jashim, also vice chairman of Bengal Group, a leading plastic manufacturer said: Total export value of the sector declined due to slowdown in the economy of European Union country as they are also the major buyers of Bangladeshi plastic products.

Among plastic products, PVC bag registered 16.6% rise to $31m, while plastic waste earnings declined by 29.6% to $23m and other products rose by 30% to $13m.

———————————–
Report: Ibrahim Hossain Ovi
Source: Dhaka Tribune

 

Share This Post