Economy
BKMEA Urges Diplomacy Over US Trade Sanctions Threat Amid Labor Rights Debate
In a recent roundtable discussion at the National Press Club in Dhaka, Mohammad Hatem, the executive president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), criticized the United States for considering trade sanctions on Bangladesh regarding labor rights issues.
Hatem argued that any concerns should be addressed diplomatically rather than through punitive economic measures. He highlighted Bangladesh’s commitment to international labor standards, emphasizing the nation’s endorsement of all eight core fundamental conventions on workers’ rights, in contrast to the limited endorsements by influential nations like the US, China, India, and Vietnam.
Hatem questioned the moral standing of the US in discussing labor rights, pointing out the differing levels of commitment between Bangladesh and the mentioned nations. He pledged the support of entrepreneurs to the government in dealing with any potential political actions but stressed that there is no justification for trade sanctions.
The president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Faruque Hassan, echoed these sentiments, emphasizing Bangladesh’s adherence to labor laws and expressing concern over the impact of potential sanctions on the industry.
Faruque Hassan addressed a letter from eight US Congress members urging apparel and footwear importers to raise clothing prices due to the recent 56% increase in wages in Bangladesh. He asserted that adjustments to product prices should be the responsibility of buyers. Despite concerns about the global economic situation and inflation, Hassan expressed confidence in maintaining positive export growth and emphasized the industry’s commitment to a $100 billion export target.
Engineer Md Shafiqur Rahman, president of the Institution of Textile Engineers and Technologists, highlighted the significant progress in the apparel industry since the Rana Plaza collapse, emphasizing improved labor rights and the industry’s positive trajectory.
The roundtable discussion was presided over by Shyamal Dutta, general secretary of the National Press Club, and featured insights from various industry leaders, including Dhaka University professors, business executives, and the general secretary of the Bangladesh National Garments Sramik-Karmachari League, Ruksana Akhter.
Chief Adviser Prof Muhammad Yunus on Thursday paid tribute to the Armed Forces Division by placing a floral wreath at its headquarters.
Prof Yunus, who visited the division as part of his official duties, laid the wreath to honor the sacrifices and dedication of the members of the Armed Forces.
Following the wreath-laying ceremony, he signed the visitor’s book.
Chief Election Commissioner (CEC) Kazi Habibul Awal, along with four other election commissioners, announced their resignation during a press conference today at the Election Commission (EC) building. The resignation follows growing speculation and pressure.
CEC Awal stated, “In this changed situation, I and other commissioners have decided to step down. We’re handing over our resignation letters to the EC Secretary to send it to the President.” After submitting the letters, the CEC and some commissioners quickly left the premises, with no clear explanation for the absence of two election commissioners.
The resignations come amid increasing unrest tied to the registration of political parties such as Nagarik Oikya and Gono Odhikar Parishad. Sources revealed the CEC felt unsafe due to aggressive behavior from activists, prompting the decision to step down.
Protesters outside the EC building hurled shoes at vehicles carrying Election Commissioners Rashida Sultana, Md Alamgir, and Anisur Rahman as they left. Meanwhile, preparations for their exit had already been underway, with the commissioners reportedly relocating personal belongings from their offices.
The commission, appointed in February 2022 for a five-year term, had previously expressed confusion over demands for their resignation, maintaining they had conducted fair elections. However, internal discussions led to the collective decision to resign earlier than expected.
The government will now purchase LNG from the international spot market through open tender instead of negotiation.
Cabinet Committee on Economic Affairs (CCEA) in a meeting on Wednesday in principle approved a proposal in this regard.
Adviser of the interim government for Finance Dr. Salehuddin Ahmed, who presided over the meeting, said that the government will procure LNG through open tender.
The Energy and Mineral Division of the Ministry of Power, Energy and Mineral Resources placed the proposal where it sought approval to import LNG from 23 listed companies in the international spot market.
The adviser said that though such 23 companies were enlisted by the previous Awami League government and signed Master Sales and Purchase Agreement, they will remain unchanged.
He said that instead of applying the Speedy Increase of Energy and Power Supply (Special) Act 2010, the interim government will follow the Public Procurement Rules 2008 to ensure the competitive bidding process.
“We don’t want to change them as we wanted to import LNG quickly, ensuring proper competition among the suppliers,” he told reporters.
Committee also approved another proposal in principle to sign a contract to import urea fertiliser for the 2024-25 fiscal year from Fertiglobe Distribution Limited, UAE, on a G-to-G basis.
Meanwhile, the Cabinet Committee on Government Procurement (CCGP) in a meeting, presided over by the Adviser for Finance, approved 3 proposals for import of lentil and fertiliser.
As per the proposal, the Trading Corporation of Bangladesh will procure 10,000 metric tons (MT) of lentil from local firm Sahara Enterprise at a cost of Tk 98.20 crore with each kg priced at Tk 98.20.
The Commerce Ministry which moved the proposal on behalf of the TCB in the meeting mentioned in the proposal that the supplier firm was selected through open tender.
The CCGP approved two separate proposals of the Industries Ministry under which Bangladesh Chemical Industries Corporation will import 30,000 MT of bulk granular urea fertiliser from Fertiglobe Distribution Limited, UAE, under state to state contract at a cost of Tk 121.48 crore.
Each metric ton of fertiliser will cost $343.17.
Another 30,000 MT of bagged granular urea fertiliser will be procured from the local Karnaphuli Fertilizer Company Limited (Kafco) at a cost of Tk 116.99 crore with each metric ton costing $330.50.
