Exports to Canada grew 15pc in 2019
Bangladesh's exports to Canada grew 14.53 % year-on-year to CAN$1.97 billion last year, riding on the trade privilege extended by the UNITED STATES nation.
In 2018, Bangladesh's shipments to Canada was CAN$1.72 billion, a lot more than 92 per cent of which were apparel items, according to info from the Canada Bangladesh Chamber of Commerce and Market found in Bangladesh (CanCham). It had been May$1.65 billion in 2017.
Canada is one of the traditional markets of Bangladesh. Bilateral trade crossed May$3.2 billion, registering 36 % year-on-year growth.
The trade balance is heavily tilted towards Bangladesh with products worth CAN$726 million likely to Canada in 2019, said the CanCham in a press release yesterday.
Canada shipped products worthy of CAN$1.24 billion to Bangladesh in 2019, May$642 million in 2018 and May$718 million in 2017.
"We had predicted that the export from Bangladesh would grow further this year, however the progress has been affected because of the coronavirus pandemic," explained CanCham President Masud Rahman.
Bangladesh has a large amount of opportunities to pick up a lot more than $25 billion worthy of of the Canadian retail apparel market, he said.
"I am hoping exports from Bangladesh to Canada begins growing shortly as the world has started to reopen. Bilateral trade will definitely grow between your two countries," Rahman added.
The require for Bangladeshi garment items is quite high in Canada as a result of the competitive prices and the UNITED STATES country can be a important export destination for localized garment items even through the pandemic.
"Maintaining a warm romance with Canada may yield better outcomes," Rahman said.
Mostafa Sobhan Rubel, managing director of Dragon Sweaters, said of his total export level of $36 million, 15 % is shipped to Canada, 45 % to the united states and the rest to European markets.
"Canadian buyers did not cancel any do the job orders as a result of the pandemic plus they paid me also during the crisis," said Rubel, who exports mainly sweaters to the united states.
The entrepreneur had faced work orders cancellation amounting to $24 lakh due to the Covid-19 outbreak. However, his buyers are now reinstating the orders but have deferred repayment and shipment of the goods, he said.
For instance, the goods that were supposed to be shipped in March, April and May would be submitted September and October to US clients.
"Canada could be a important export destination as both demand and prices are bigger in the country than far away," Rubel said, adding that the demand for sweater things in the UNITED STATES country is higher because of their extended winters.
The Canadian market segments will rebound sooner than other North American countries because it has been able to regulate the pandemic successfully, Rubel said. "Retailers have began reopening outlets therefore, exports to Canada will learn to grow now."
SM Khaled, managing director of Snowtex Group, another leading garment exporter, said of his exports of more than $200 million, $13 million would go to Canada. He primarily sends outerwear like jackets, work-wears and rainwear to Canada.
"The show of Canadian do the job orders in my own factory is increasing each year. I am obtaining a lot of do the job orders from Canadian customers this year aswell," he said.
Canada has turned into a good export destination due to Bangladesh has been enjoying duty-free usage of the market for garment products, leather, textiles, seafood and pharmaceuticals since 2004.
The cornerstone of the commercial relationship between your two countries is agriculture, the lifeblood of both countries, the CanCham said.
"Not only has Bangladesh relied for many years on Canadian suppliers meant for top quality Canadian grains, seeds and pulses, but more recently nutritional technology and potash fertilizer have been contributing to Bangladesh's food secureness and to the fitness of its citizens."
