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Bangladesh ought to open up its market for ensuring enhanced foreign investment, the European Union suggests as the bloc eyes business potential in various sectors and prospects for greater exports.
The EU Ambassador in Bangladesh, Michael Miller, made the observations Monday and also made it clear that to sustain duty-free trade facilities like GSP-plus Bangladesh must comply with EU labour-rights and-environment norms.
The envoy was addressing a seminar on EU-Bangladesh ties organised by the Cosmos Foundation in Dhaka, where he also said the Union was looking to stronger military ties, now that global defence architecture is changing fast.
"You control all manner of sectors, from the tea industry to whatever…you are not encouraging innovation and competition, and I hope that changes. That's a big leap for your country at the moment of complex political change. I understand, but really it's, it's, it's, it's not a country in which I see a great deal of competition domestically," he added.
"Equally, you know, you're the industries where I see you have huge potential to export, like pharma or electronics--you're not exporting anything. So why is that? Why are you not exporting?
"You're not welcoming foreign investment either, because you have chased away investments from the European Union in those sectors, and we need, again, there to be a level playing field," Mr Miller went on.
"So if you want our investment, you need to tell us that you're hoping for it, and you need to make sure that our investors are confident that they are not going to be chased away or closed out through collusion between the private sector and government," the EU envoy told his audience of Dhaka elite and businesspeople.
Talking about labour rights he said, "And it is actually in your own interest to improve labour rights for your own stability, for the wellbeing of your population, and we think that it's important that you partner with us on environmental protection and climate change, because none of us is going to escape this."
On post-graduation scenarios ahead of Bangladesh he said the scheduled LDC graduation is not something that they decided as it was the question.
"So we did not decide this. Bangladesh decided this. It's on the basis of data. The train is a United Nations train behind from your authorities. Currently, we are planning for graduation in 26 and the three-year transition period to 29 and we are working as diligently as we possibly can to ensure that there is a smooth transition from everything, like arms to GSP plus, and the reason for that is that it is absolutely at the core of our interest that you remain stable and prosperous."
They want things to evolve, and not for there to be a step change in market. Taxes are very, very important for them, but it does require some forward planning, he said, adding: We are not going to see exceptions from Bangladesh."
The envoy said the EU was now looking forward to exploring how it can have even stronger contacts between the militaries of the European Union and Bangladesh.
"We expect that Bangladesh will stand up vocally for the rules- based order and for respect of the UN Charter, because you, like us, have every interest in those rules being applied in a transparent, fair and consistent manner. Might is not right, and it takes us to a place which is very, very dangerous."
He informed the meet that their security actor was already working in this region, working on maritime security, "with your name and with your Coast Guard, on port security as well".
Dwelling on the issue of sustainable cooperation he said development cooperation should be about handing over control to the authorities. "It is about giving the capacity to our partners. And it's about identifying whether we can make a long, lasting difference."
He said, "It's the idea that we can come in with money and solve problems. We don't have that idea. And if we did in the past, we were wrong, because you can make a difference in the short term, and then when the money runs out, if there is no buy in from the authorities. It was not that, and that is not what we want to do in this country, because we see the potential."
In his address Prof Rashed Al Mahmud Titumir, chair of the Economics Department of Dhaka University, highlighted the evolving Bangladesh-EU relationship, emphasising the need for a forward-looking approach amidst global political and economic shifts.
He also underscored the necessity of investment in high-value manufacturing, green technologies, and industrial collaborations.
Additionally, he called for the EU to follow incentive-oriented policies in providing duty-free facilities instead of policies incorporating punitive measures.
He also urged the EU to support regional connectivity, universal healthcare, and social-protection reforms, giving up the age-old tendency to tag punitive measures with duty-free trade facilities
Ambassador Iftikher Ahmed Chowdhury moderated the discussion where Cosmos Foundation Chairman Enayetullah Khan, Ambassador Tariq Ahmed Karim and Professor of International Relations Department of Dhaka University Lailufar Yasmin and Nahar Khan of UNB also spoke.
Professor Lailufar Yasmin feels that the EU needs to see Bangladesh's contribution with the platform economy that Bangladesh actually supplies 16 per cent of online labour for the global market.
"Many of us are not aware of this, but this also is sort that includes a lot of womenfolk who feel comfortable to work in the confines of the house".