Editorial
Availing of GSP facility
We need to act fast
Explaining the government's position on the US considering withdrawing its Generalised System of Preference, or GSP, for our exports, foreign minister Dipu Moni made two points. First, the government was seized of the issue and that it is taking steps for Washington to continue with the policy.
Second, she also pointed out that export under the US policy accounts for only 0.6 per cent of our total export.
Her approach misses the point that at issue is not merely the percentage of products Bangladesh exports to the US under GSP facility. But that it could impact the tone and tenor of the bilateral relationship between two countries, which have been very friendly.
What message are we sending to our trading partners in a country that buys a large chunk of our readymade garment (RMG) products?
In fact, we are giving the impression that we are not really interested in addressing the underlying issues that have a bearing on the GSP policy of the US.
It is not that the US has come out with the issue all of a sudden. Actually, for the past several years GSP has been a talking point between the two countries. The US has been making repeated requests to Bangladesh to address the issues of labour rights, better working conditions for workers, workplace safety, wages and the like, many of which have not yet been met.
It may be noted that, Trade Policy Staff Committee (TPSC) a subcommittee under the GSP, is reportedly considering lifting, suspending or limiting the facility also because the largest federation of trade unions in US, the AFDL-CIO, has put Bangladesh under the microscope. In fact, it has taken exception to Bangladesh's not having conformed to international labour standards.
These developments may send a wrong signal to our other trading partners, particularly, the EU, the largest destination of our RMG products.
Needless to say, the US and the EU share similar views on our human rights situation and workers' rights. Accordingly, our risk perceptions should be formed.
Ideally, we should have addressed these issues of concern on our own before being asked by our trading partner to do so.
We would like to emphasize that 31st January being the deadline to meet the conditions, time is fast slipping away.
So, if we are to avail ourselves of the GSP facility, we would need to act fast and take all necessary measures required.
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