Bangladesh is unlikely to get duty free access to the US market, and a high official of the country has already informed the country's position regarding the issue to the Bangladesh government.

"Rather than demanding duty-free access to US market, Bangladesh should continue dialogue for duty reduction and preference programme," visiting Assistant US Trade Representative for South Asia Michael J Delaney said yesterday. Michael J. Delany called on foreign minister Dr Dipu Moni at her office yesterday and spelt out Washington's position on the issue, sources concerned said.+

At the meeting Dr Dipu Moni said Bangladesh stands ready to intensify relations with the United States in all areas, including trade and commerce, energy, and socio-economic development. "Bangladesh stands ready to intensify Bangladesh-US cooperation in all areas, including trade and commerce, energy, socio-economic development," a foreign ministry statement quoted the Minister as saying during the discussion with the US official. During the meeting, Dipu Moni said Bangladesh would like to go ahead and the main focus of the country had shifted from aid dependence to expansion of trade as the engine of growth and development.

Some 26 per cent of the Bangladesh's export is destined for the USA and during 2008-2009, Bangladesh exported US$ 4,052 million worth of products which is 12.85 percent (US$ 461.44 million) higher than the previous year. During 2008-2009, Bangladesh imported US$ 457.82 million worth of products from the USA, thus resulting in a trade surplus of US$ 3,594.18 million.

The foreign minister thanked the US government for extending GSP facilities to Bangladesh readymade garments and shrimps for grater access to the US markets. She also mentioned the increased Bangladesh's market access to the US as an least developed country (LDC) through extension of duty and quota-free access. The issue of the Trade and Investment Framework Agreement (TIFA) came to the discussion table. The foreign minister mentioned that they are examining the proposed agreement and would continue further dialogue.

Delaney, earlier, at the regular October luncheon meeting of American Chamber of Commerce in Bangladesh, AmCham, at Dhaka Sheraton Hotel Delaney said Bangladesh should consider signing a Free Trade Agreement (FTA) with the US for getting bilateral trade advantages as the third option. "But, FTA is highly theoretical and it may not be possible for Bangladesh right at this moment," he added. "The present preference programme of the US government will expire at the end of this year. But, the government will continue such preference programme in a modified form," Delaney said. Under the preference programme the duty is very low in the US market.

Delaney also said the right policy environment could improve trade and investment between the United States and Bangladesh. One mechanism that can help create this environment is TIFA. TIFA can yield many direct benefits, he said adding that a US-Bangladesh TIFA would serve as a forum for the governments and business representatives from the two nations to discuss economic issues of mutual interest.

-New Nation