Bangladesh urged to consider FTA with S Korea for post-LDC benefits

13 Dec '22

2 min read

Pic: Shutterstock

The Bangladesh high commission in South Korea has urged its own government to consider signing a free trade agreement (FTA) or a preferential trade agreement (PTA) with the country to ensure trade benefits after graduation from the least developed country (LDC) status in 2026 and overcome likely export shocks from the developed South Korean market.

The Bangladesh government should fix its position and devise the next course of action by conducting a feasibility study with various stakeholders, said its mission in Seoul.

It called for requesting South Korea to continue the duty free, quota free (DFQF) facility for Bangladesh products until any FTA or PTA is signed, according to Bangladeshi media reports.

South Korea has expanded its DFQF facility for LDCs and provides duty-free market access to Bangladesh in 95 per cent of tariff lines now.

But it will not offer DFQF market access to products from Bangladesh on its own after Bangladesh graduates from LDC status as it might come under pressure from countries that have such trade deals with it, according to an embassy letter sent earlier.

In March last year, the Bangladesh mission requested the South Korean trade, industries and energy ministry to form a joint feasibility study team for any prospective FTA. The latter, however, has not informed the former anything regarding that till now.

Fibre2Fashion News Desk (DS)

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