The European Union (EU) has long been a major market for Bangladeshi goods. And the 27 countries of the European Union are the destination of about 48 percent of Bangladesh’s exports. Annual export volume is approximately US$25 billion (US$2,500 crore). As a result, Bangladesh is far ahead when it comes to bilateral trade with the EU.
Readymade garments account for 93 percent of Bangladesh’s exports to the EU. The Generalized System of Preferences or GSP has kept the textile industry in a strong position over the last two decades. Even though Bangladesh will become a developing country by achieving LDC status in 2026, even after that it will continue to get this facility for three years. After this, Bangladesh will have to obtain GSP Plus (GSP+) to maintain tariff-free facilities with the EU. This would not be possible under the current rules and regulations and Bangladesh is in talks with the EU on this matter.
More to follow…