Denmark keen to expand trade investment in Bangladesh

Denmark has expressed its interest in investing more in Bangladesh, especially in areas such as ready-made garments (RMG), port development, water resource management, the blue economy and green technology.

“We have been one of the primary partners of Bangladesh for many years, but now we see a transition from aid into business, meaning that we are investing more in this country, and we are trading more with this country,” said Ambassador Thomas Lund-Sorensen, Director General for Asia, Oceania, and Latin America.

He made these remarks while speaking to journalists following the foreign office consultations between the two countries, held in Dhaka city on Monday.

Leading the Danish side, Mr Thomas noted that Bangladesh has a very large trade surplus with Denmark due to the fact that many Danish companies are active in the RMG sector, as well as in other sectors.

“Right now, we are looking at continued investments into critical infrastructure sector like water, like energy transition, green transition and into maritime infrastructures like ports,” he added.

Asked about the extension of duty free facilities for Bangladesh after the LDC graduation, he said, “Negotiations with the EU on a partnership agreement and GSP plus are very important, both for the EU and for Bangladesh, and we will, as part of the EU, of course, contribute to those negotiations.

“We hope, certainly, that they will come to positive conclusions. There is some urgency to this, but we still have some time to discuss and agree on the various items within those areas,” he added.

Earlier, the 3rd round of political consultations between Bangladesh and Denmark reaffirmed the enduring and friendly relations between bilateral relations grounded in mutual respect, shared values, and common aspirations.

They reviewed progress made since the second round of consultations in May 2023 and explored new avenues for deeper future engagement.

The two delegations held productive and wide-ranging discussions on political cooperation, trade and investment, development cooperation, climate change, green and just transition, maritime affairs, renewable energy, education, technology, people-to-people contacts, and regional and global issues of mutual interest, said a spokesman of the foreign ministry.

Denmark reiterated its continued commitment to supporting the interim government in its transition to a peaceful, democratic, and equitable Bangladesh.

The Danish side also commended the interim government’s role in advancing climate action agenda and emphasised its continued cooperation under the bilateral Green Strategic Partnership Framework, he added.

In the meeting, Bangladesh expressed its appreciation for Denmark’s longstanding development cooperation, particularly in areas of good governance, agriculture, climate change and the maritime sector.

Both sides agreed to explore opportunities for expanded collaboration in areas such as water resource management, the blue economy, and green technology.

The two sides reaffirmed their commitment to strengthening bilateral trade and investment, including through initiatives aimed at facilitating market access and promoting sustainable economic growth.

Both the countries agreed to establish a Joint Trade and Investment Committee to unlock trade potential and accelerate investments.

Bangladesh also sought Denmark’s support for its bid to benefit from the EU’s GSP+ facility beyond 2029.

Both Denmark and Bangladesh agreed to continue cooperation in education and cultural exchange, including academic collaboration, scholarships, and cultural programmes, in order to foster mutual understanding and strengthen people-to-people ties.

Denmark reaffirmed its continued humanitarian support for the forcibly displaced Rohingyas and the host communities in Bangladesh.

The Danish side also reiterated its commitment to finding a durable solution to the crisis, including through the dignified, safe, voluntary, and sustainable repatriation of Rohingyas to Myanmar.

At the conclusion of the consultations, Denmark announced an additional allocation of USD 5.0 million to support Bangladesh’s democratic transition, in response to a request from the government of Bangladesh, said officials of the foreign ministry.

The Danish side also expressed its intention to developing a new strategic sectoral cooperation in the area of circular economy, with a particular focus on the ready-made garments (RMG) sector.

The consultations were co-chaired by Md AbulHasan Mridha, Director General (West Europe & EU) of the Ministry of Foreign Affairs of Bangladesh, and Ambassador Thomas Lund-Sorensen, Director General for Asia, Oceania, Latin America, and the Caribbean of the Ministry of Foreign Affairs of Denmark.  AKM Shahidul Karim, Ambassador of Bangladesh to Denmark, and Christian Brix Møller, Ambassador of Denmark to Bangladesh, also participated as part of their respective delegations.

mirmostafiz@yahoo.com