Bangladesh’s trade pact with US faces criticism in Dhaka for being one-sided: Report

New Delhi, May 6 (IANS) The bilateral trade agreement signed by Bangladesh with the Donald Trump administration has come in for a lot of media criticism in Dhaka for being one-sided, as it gives the US a huge advantage while imposing too many restrictions on the South Asian country. In fact, many politicians and economists are demanding that the agreement be scrapped, according to a new report.

Leading Dhaka-based Prothom Alo newspaper says that “the trade agreement with the United States imposes obligations on Bangladesh in a one-sided manner. In comparison, the United States does not have to do much”.

It further points out that illegal or contractual language, the use of the word “shall,” indicates mandatory obligations, while “will” denotes discretionary actions. In the 32-page agreement, the word “shall” appears 179 times, whereas “will” appears only three times. Of these, “Bangladesh shall” appears 131 times, while “US shall” appears just six times.

The Agreement on Reciprocal Trade (ART) between Bangladesh and the United States was signed on February 9, just three days before the national parliamentary election. Later, on February 20, the Supreme Court of the United States annulled the imposition of reciprocal tariffs.

Member of Parliament Rumeen Farhana has called for its cancellation while speaking in the country’s parliament. Various political parties and organisations have also demanded that the trade deal be scrapped. Economists have suggested engaging in further discussions with the United States to reach a suitable solution, the article further states.

The agreement has not yet come into force, but Bangladesh has already begun signing deals to import various goods from the United States under its provisions, which has also raised questions.

The article highlights that the main agreement contains six articles, while details on its implementation are outlined in annexes, which are considered integral parts of the agreement.

The first article addresses tariffs and quotas. It states that Bangladesh shall impose fixed tariffs on US products, shall not apply quotas on them, and that the United States shall also impose tariffs on Bangladeshi goods at specified rates.

The section on non-tariff barriers includes 11 clauses. Its core principle is that Bangladesh cannot impose regulations, such as documentation requirements, permits, inspections, quality checks, or licensing, that would hinder trade beyond tariffs.

For example, Bangladesh shall not require import licenses for US goods; products that comply with US or international standards shall be allowed entry; and if certification is provided by recognised government or international laboratories, Bangladesh cannot impose additional conditions, the article further states.

The agreement also includes provisions granting priority access for US agricultural products in the Bangladeshi market. However, if imports need to be restricted for health or safety reasons, such measures must be science-based and risk-based, and not intended to restrict trade, the article points out.

Bangladesh cannot adopt standards that would put US goods at a competitive disadvantage compared to other countries. Transparency and fairness must also be ensured in granting Geographical Indication (GI) protection or recognition, the article added.

–IANS

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