Product diversification is the mantra

Bangladesh’s export prospects look brighter now with overseas markets opening up all over the world. As the scourge of Covid-19 is on the wane, people so long trapped in lockdowns have started to venture out to the local markets to buy essential commodities. Restaurants, hotels, resorts and sea beaches are also open now and eager to welcome the first lot of tourists.

When businesses in developed countries resume in full swing and trade and commerce bounce back, commodities from all over the world begin to arrive to the delight of the customers. This creates the opportunity for countries like Bangladesh to speed up its export to such markets. A variety of Bangladeshi products enjoy good demand in some foreign countries. But experts feel there is more that can be done to diversify our export basket.   

With regard to adding more items to the export basket, Prime Minister Sheikh Hasina on Thursday stressed diversification of the exportable products while urging businessmen and officials concerned to expand and explore new global destinations to strengthen the country’s economy further. She stressed on the fact that product diversification is essential to boost our export earnings and it was also a necessity that we attain our own efficiency in production to survive in the competitive world. She said this while inaugurating the Bangabandhu Bangladesh-China Friendship Exhibition Centre at Purbachal as the chief guest.

The exhibition centre will be the permanent venue for different product- based fairs throughout the year to act as a business hub in the country. It is expected that the centre will be a world class venue for organizing seminars, exhibitions and most importantly meetings between foreign buyers and our exporters and facilitate sealing of the deals.

The necessity of maintaining high quality of our exportable items to meet the standard of the international buyers has been emphasised by all quarters. In this regard it has been observed by IT experts that the possibility to export digital devices should also be explored by the entrepreneurs. The government has taken steps to set up 100 economic zones with the aim to create opportunities for local and joint venture companies to set up export-oriented factories there.

The PM urged the businessmen to get involved in manufacturing and exporting high quality textile, leather and leather goods, ceramic products, frozen, fresh and processed fish, vegetables, fruits, light engineering, furniture, pharmaceutical and pharmaceutical products and small and cottage industries to explore new overseas markets. Pharmaceutical products are considered having the potential to enter different markets despite the presence of big international manufacturers.     

With regard to expanding the existing export market even further and searching for new destinations abroad, the foreign missions of Bangladesh located at strategic cities can play an important role for the country. The economic experts in the missions should be proactive in finding new buyers through effective public relations. The officials should invite buyers to the missions, showcase our products and convince them to buy more from Bangladesh.

The Export Promotion Bureau (EPB) can take the lead in organizing exhibitions of Bangladeshi products at various trading hubs in the world. They can take groups of local manufacturers with them to interact with foreign buyers. This organization should organize training facilities for the local manufacturers to learn more about foreign markets, prices, packaging and export formalities.

It needs no emphasising that Bangladesh’s economy depends largely on export of both traditional and non-traditional products. Besides RMG, jute, leather and tea, all other products fall under the category of non-traditional items. Readymade garments remains in the centre stage of our export. In fact, Bangladesh’s 84 per cent of foreign currency comes from the export of readymade garments. Despite the ravages of Covid-19 in the year 2020, the export revenue increased by 14.12 per cent amounting to 45.37 billion. Bangladesh enjoys duty-free entry to a good number of countries of the world.

To reach the target of becoming a developed country, Bangladesh will need to earn more foreign currency through export of a wide variety of products besides readymade garments.