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CPD raises brows at US move to leave Bangladesh out of GSP list

Professor Rehman Sobhan, Chairman of Centre for Policy Dialogue (CPD), differed with the decision of the United States of America to leave Bangladesh out of GSP (Generalised System of Preference), while over 120 other countries have been enjoying the facilities. The eminent economist said compared to many other countries on the GSP list, Bangladesh was far ahead in term of c compliance, if a proper assessment was done. “Many countries are not ahead of Bangladesh (in terms of qualifying for GSP),” he told a dialogue on Wednesday.  “The USA deprives Bangladesh of availing itself of GSP facilities without any comparative assessment with other countries now enjoying the facilities,” he said, adding that Bangladesh is well ahead in terms of compliance issues.   The dialogue on ‘Bangladesh Apparels Sector: Does Margin Matter in Ensuring Compliance’ was held at the BRAC Centre Inn Auditorium in the city. CPD in partnership with the Friedrich-Ebert-Stiftung (FES), Bangladesh Office, arranged the event. Labour and Employment Secretary Mikail Shipar was the chief guest at the dialogue. Anisur Rahman Sinha, Chairman, Opex Group & Former President of BGMEA, was present as the Guest of Honour. Syed Sultan Uddin Ahmmed, Assistant Executive Director, Bangladesh Institute of Labour Studies (BILS) and Rubana Huq, Managing Director, Mohammadi Group participated in the discussion. Dr Khondaker Golam Moazzem, Additional Research Director, CPD, made the keynote presentation. Professor Rehman Sobhan chaired the meeting. Gonoshasthaya Kendra founder Dr Zafrullah Chowdhury and CPD Executive Director Prof Mustafizur Rahman also spoke in it.  Prof. Rehman Sobhan said Bangladesh will have to be compared with 122 countries now under the GSP facilities. “Nobody knows that all countries have already come under compliance standards. The situations of all countries are not well ahead of Bangladesh,” he added He said, “The GSP issue has to be seen through legitimised comparison. Bangladesh has to raise the issue with the USA government that no comparative assessment has been done at all. It is unfortunate.” Bangladesh should continue solving problems “as per its strength or power and responsibility,” he said. Bangladesh was dropped from GSP beneficiaries last year. Commerce Minister Tafael Ahmed on Tuesday told reporters that Dhaka would not try further to restore GSP, in an apparent feat of anger and displeasure. “When the comparative assessment issue will draw attention of international forum, a pressure will be created unless it is proved that the 122 countries have compliance standards. Otherwise, the decision is not acceptable,” Sobhan said. Mikail Shipar said the problem, Bangladesh is now facing, is time mismanagement in the flow of finance from the Accord Alliance.  Bangladesh was asked to ensure compliance within certain timeframe, but fund does come in time, he noted. CPD distinguished fellow Dr Debapriya Bhattacharya said the compliance standards need to be harmonised to develop the competitive market saying, “You’ll make Bangladesh a soft target while forget China?this is duplicity.” Chairman of Opex Group Anisur Rahman Sinha said compliance is not a choice, it is requirement. The issue is not negotiable. There’re certain rules to set a factory, which need to be followed, he added. CPD additional research director Dr Khondaker G Moazzem presented the report of the CPD study saying that compliance will have to be ensured in the apparel sector by improving government regulation system and increasing the margin of profit through negotiation with buyers.