Bangladesh benefits handsomely from Indian trade concessions–apparel exports surge

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<strong>Bangladesh’s exports of apparel to India are rising, thanks to the zero-duty trade benefit and competitive prices, “a development that would help Bangladesh narrow its trade gap with the neighbouring country.”</strong></p>
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A report by <a href="https://www.thedailystar.net/business/export/news/apparel-export-india-rising-fast-2959441">the Daily Star</a> said that Bangladesh is already a very lucrative source for formal shirts, tops, denim trousers, undergarments, polo shirts, t-shirts and bottoms for both men and women belonging to India's middle-income consumers.</p>
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Between July and December period Bangladesh’s apparel export bill to India stood at $365.95 million, a 58.07 per cent jump from the $231.53 million recorded in the corresponding period in the previous year.</p>
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<strong>Also read: <a href="https://www.indianarrative.com/world-news/will-border-checkpoints-between-india-and-bangladesh-now-connect-inner-cities-by-rail-149159.html">Will border checkpoints between India and Bangladesh now connect inner cities by rail?</a></strong></p>
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According to the newspaper, of the receipts, $161.69 million came from knitwear shipments, up 66.46 per cent year-on-year. Woven garment shipments surged 52 per cent to $204.26 million at the same time.</p>
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Meanwhile, Bangladesh has now launched a massive exercise aiming to rebrand itself on the global fora to woo investors.</p>
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Earlier, India’s Ambassador to Bangladesh Vikram Doraiswami said that foreign direct investment from India into the South Asian nation was estimated at over $3 billion. “The investment of Indian companies in Bangladesh is increasing. If you observe, the companies that have already invested in the country, they are reinvesting," he said.  </p>
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Underlining that Bangladesh is India’s largest trade partner in South Asia with a volume of $10 billion, Commerce Minister Piyush Goyal had earlier said that the proposed Comprehensive Economic Partnership Agreement (CEPA) will further boost commerce between the two neighbours.</p>