Agricultural Research Management Information System

  • Home
  • Research Summary
    • All
    • Government Organization
      • Agriculture Training Institute, Ishwardi, Pabna
      • Bangabandhu academy for poverty alleviation and rural development (BAPARD)
      • Bangabandhu Sheikh Mujibur Rahman Science & Technology University
      • Bangladesh Bureau of Statistics
      • Bangladesh Institute of Health Sciences
      • Bangladesh Institute of Tropical & Infections Diseases (BITID)
      • Bangladesh Meteorological Department
      • Bangladesh National Herbarium
      • Bangladesh Space Research and Remote Sensing Organization
      • Bangladesh Technical Educational Board
      • Barind Multipurpose Development Authority
      • Central Cattle Breeding Station
      • Department of Agriculture Extension
      • Department of Fisheries
      • Department of Livestock Services
      • Department of Youth Development
      • Dhaka Medical College
      • Geological Survey of Bangladesh
      • Institute of Epidemiology, Disease Control & Research
      • Jatiya Kabi Kazi Nazrul Islam University
      • Khulna Govt. Women College
      • Livestock Training Institute
      • Local Government Engineering Department
      • Ministry of Agriculture
      • Ministry of Environment and forest
      • Ministry of Fisheries and Livestock
      • Ministry of Labour & Employement
      • Ministry of Land
      • Ministry of Public Administration
      • Ministry of Textiles and Jute
      • Ministry of Water Resources
      • Ministry of Youth and Sports
      • National Agricultural Training Academy
      • National institute of preventive and social medicine
      • National Mushroom Development and Extension Centre
      • Pabna University of Science and Technology
      • Seed Certification Agency
      • Shaheed Suhrawardy Medical College
      • Sheikh Hasina University
      • University Grants Commission
      • Youth Training Centre
    • Autonomous/Semi-gov Org
      • Bangladesh Academy for Rural Development
      • Bangladesh Agricultural Development Corporation
      • Bangladesh Atomic Energy Commission
      • Bangladesh Council of Scientific and Industrial Research
      • Bangladesh Fisheries Development Corporation
      • Bangladesh Institute of Development Studies
      • Bangladesh Institute of Management
      • Bangladesh Milk Producers Cooperative Union Limited
      • Bangladesh Water Development Board
      • BIRDEM
      • Center for Environmental and Geographic Information Services
      • Hortex Foundation
      • Institute of Water Modeling
      • National Institute of Biotechnology
      • River Research Institute
      • Rural Development Academy
    • NARS
      • Bangladesh Agricultural Research Council
      • Bangladesh Agricultural Research Institute
      • Bangladesh Fisheries Research Institute
      • Bangladesh Forest Research Institute
      • Bangladesh Institute of Nuclear Agriculture
      • Bangladesh Jute Research Institute
      • Bangladesh Livestock Research Institute
      • Bangladesh Rice Research Institute
      • Bangladesh Sericulture Research and Training Institute
      • Bangladesh Sugarcrop Research Institute
      • Bangladesh Tea Research Institute
      • Bangladesh Wheat and Maize Research Institute
      • Cotton Development Board
      • Soil Resource Development Institute
    • Public University
      • Ahsanullah University of Science and Technology
      • Bangabandhu Sheikh Mujibur Rahman Agricultural University
      • Bangamata Sheikh Fojilatunnesa Mujib Science and Technology University
      • Bangladesh Agricultural University
      • Bangladesh Open University
      • Bangladesh University of Engineering and Technology
      • Bangladesh University of Professionals
      • Bangladesh University of Textiles
      • Barisal Government Veterinary College
      • Begum Rokeya University
      • Chittagong University of Engineering and Technology
      • Chittagong Veterinary and Animal Science University
      • Comilla University
      • Dhaka University of Engineering & Technology
      • Dinajpur Government Veterinary College, Dinajpur
      • Gono Bishwabidyalay
      • Hajee Mohammad Danesh Science and Technology University
      • Islamic University, Kushtia
      • Jagannath University
      • Jahangirnagar University
      • Jessore University of Science and Technology
      • Jhenaidha Government Veterinary College
      • Khulna Agricultural University
      • Khulna University
      • Khulna University of Engineering & Technology
      • Mawlana Bhashani Science and Technology University
      • Millitary Institute of Science and Technology
      • National University
      • Noakhali Science and Technology University
      • Patuakhali Science and Technology University
      • Rajshahi University of Engineering and Technology
      • Shahjalal University of Science & Technology
      • Sher-e-Bangla Agricultural University
      • Sylhet Agricultural University
      • Sylhet Government Veterinary College
      • University of Barisal
      • University of Chittagong
      • University of Dhaka
      • University of Rajshahi
    • Private University
      • Asian University of Bangladesh
      • Atish Dipankar University of Science and Technology
      • BGC Trust University Bangladesh
      • BGMEA University of Fashion & Technology (BUFT)
      • BRAC University
      • City University
      • Daffodil International University
      • East West University
      • Exim Bank Agricultural University
      • Gana Bishwabiddalaya
      • Hamdard University
      • Independent University, Bangladesh
      • International Islamic University Chittagong
      • International University of Business Agriculture and Technology
      • Islamic University of Technology
      • Leading University, Sylhet
      • North South University
      • Premier University
      • Primeasia University
      • Private University
      • SOAS, University of London
      • Southeast University
      • Stamford University
      • State University of Bangladesh
      • The Millenium University
      • University of Asia Pacific
      • University of Development Alternative
      • University of Information Technology and Sciences
      • University of Liberal Arts Bangladesh
      • University of Science and Technology, Chittagong
      • World University
    • INGO/IO/NGO/Private Org
      • ACI Limited
      • Agricultural Advisory Society (AAS)
      • Apex Organic Industries Limited
      • Arannayk Foundation
      • Bangladesh Academy of Sciences
      • Bangladesh Centre for Advanced Studies
      • Bangladesh Institute of Social Research
      • Bangladesh Science Foundation
      • Bangladesh Unnayan Parishad
      • BAPA
      • BRAC
      • CARE Bangladesh
      • CARITAS
      • Centre for Environmental Geographical Information System
      • Centre for Policy Dialogue (CPD)
      • Creative Conservation Alliance
      • Dhaka Ahsania Mission
      • Dwip Unnayan Sangstha
      • EMBASSY OF DENMARK, BANGLADESH
      • Energypac Limited Bangladesh
      • FAO- Bangladesh
      • FIVDB
      • ICDDRB, Mohakhali, Dhaka-1212
      • iDE Bangladesh
      • Innovision Consulting Private Ltd.
      • International Center for Climate Change and Development
      • International Centre for Integrated Mountain Development
      • International Development Research Centre
      • International Fertilizer Development Center, Bangladesh
      • International Food Policy Research Institute
      • International Maize and Wheat Improvement Centre
      • International Potato Center
      • IRRI- Bangladesh
      • IRRI-Philippines
      • Ispahani Agro LTD
      • IUCN, Bangladesh
      • Krishi Gobeshina Foundation
      • Lal Teer
      • Mennonite Central Committee
      • Metal (Pvt.) Ltd
      • Modern Herbal Group
      • Palli Karma-Sahayak Foundation
      • Practical Action Bangladesh
      • Proshika
      • RDRS Bangladesh
      • RIRI-Philippines
      • Rothamsted Research
      • SAARC Agricultural Centre
      • SAARC Meteorological Research Centre
      • Social Upliftment Society
      • South Asia Enterprise Development Facility
      • Square Pharmaceuticals Ltd.
      • Supreme Seed
      • Transparency International Bangladesh
      • Unnayan Onneshan
      • USAID
      • Water Resources Planning Organization
      • Winrock International
      • World Bank
      • World Food Program
      • World Vegetable Center
      • WorldFish Centre, Bangladesh
    • Foreign University
      • Asian Institute of Technology
      • Auckland University of Technology
      • Australian National University
      • Bidhan Chandra Krishi Viswavidyalaya
      • BOKU-University of Natural Resources and Applied Life Sciences
      • Cranfield University
      • Curtin University
      • Foreign University/ Institute
      • Hiroshima University
      • Hokkaido University
      • Huazhong Agricultural University
      • International Islamic University, Malaysia
      • Kagawa University
      • Kangwon National University
      • Kochi University
      • Kyoto University
      • Kyushu University
      • Ladoke Akintola University of Technology
      • Murdoch University
      • Nagoya University
      • NOAA-CREST, CCNY
      • Royal Veterinary and Agricultural University
      • San Diego State University
      • Shinshu University
      • Tottori University
      • United Nations University
      • University Malaysia Kelantan
      • University Malaysia Pahang
      • University Nova de Lisboa
      • University of Alberta
      • University of Bremen
      • University of Bremen
      • University of Calgary
      • University of california
      • University of Greenwich
      • University of Hamburg, Hamburg
      • University of Hannover
      • University of Hawaii
      • University of Helsinki, Finland
      • University of Kalyani
      • University of Leeds
      • University of Liverpool
      • University of Malaya
      • University of Milan
      • University of New England
      • University of Philippines
      • University of Plymouth
      • University of Queensland
      • University of Reading
      • University of Southampton
      • University of Texas
      • University of the Punjab
      • University of Tokyo
      • University of Toronto
      • University of Wales
      • University of Washington
      • University of Wollongong
      • University Putra Malaysia
      • University Sains Malaysia
  • Search
    • Search by Keyword
    • Search by Organization
    • Search by Program Area
    • Search by Commodity/Non-commodity
    • Search by Funding Source
    • Search by Researcher
    • Custom Search
    • On-going Research
  • About Us
    • ARMIS
    • Brochure
  • Contact Us
    • BARC Personnel
    • ARMIS Personnel
    • Feedback
  • Report
    • All
    • By Organization
      • Bangladesh Agricultural Research Council
      • Bangladesh Agricultural Research Institute
      • Bangladesh Fisheries Research Institute
      • Bangladesh Forest Research Institute
      • Bangladesh Institute of Nuclear Agriculture
      • Bangladesh Jute Research Institute
      • Bangladesh Livestock Research Institute
      • Bangladesh Rice Research Institute
      • Bangladesh Sericulture Research and Training Institute
      • Bangladesh Sugarcrop Research Institute
      • Bangladesh Tea Research Institute
      • Bangladesh Wheat and Maize Research Institute
      • Cotton Development Board
      • Soil Resource Development Institute
    • Research Trend Analysis
  • User Request
  • Data Input
  • Help
    • Operation Manual
      • PDF
      • Video
    • Program Area & Commodity
  • We have reached 37600 number of research entries at this moment.
    • Logout

Research Detail

  1. Home
  2. Research
  3. Detail
May Yeung
Research Associate
Estey Centre for Law and Economics in International Trade Saskatoon, Canada

Anisatul Fatema Yousuf
Head (Dialogue and Communication) and Assistant Editor
Centre for Policy Dialogue (CPD), House No 40/C, Road No 11 (new), Dhanmondi R/A, Dhaka-1209

Dr Debapriya Bhattacharya
Executive Director and Series Editor
Centre for Policy Dialogue (CPD), House No 40/C, Road No 11 (new), Dhanmondi R/A, Dhaka-1209

Bangladesh is faced with trying to ensure it maximizes the economic benefits it receives from trade liberalization actions by the Government of Canada. Canada progressively reduced barriers to the exports of developing countries and Least Developed Countries1 beginning in 2002 culminating with the Market Access Initiative (MAI) for Least Developed Countries, effective January 1, 2003. Bangladesh reaped considerable benefits from this initiative, capturing export gains, particularly in textiles and apparel where it was export-ready and competitive. The MAI afforded preferential access to the Canadian market for Bangladesh in products where it is highly competitive and Bangladesh’s exports to Canada grew rapidly. Canada continued to liberalize its market in 2004 by reducing MFN tariff rates. Further liberalization will take place in 2005. As part of its WTO commitments, Canada also removed all quotas on textile and apparel imports on January 1, 2005. This round of liberalization however eroded Bangladesh’s margin of preferential access as other exporters gained a reduction in tariffs and/or barriers to the Canadian market. This is particularly the case for the removal of quotas from textiles and apparel as Bangladesh faces global competitors now unfettered, having gained quota-free access to the Canadian market. The good news for Bangladesh is that MFN competitors still must face tariffs in textiles and apparel, but Canada’s various partners in free-trade agreements2 are on an equal footing as Bangladesh, with duty-free and quota-free access. Bangladesh can continue to benefit from the MAI by seeking to diversify its export mix to Canada beyond textiles and apparel. One approach would be to examine what products Bangladesh is exporting to Canada that are exhibiting high growth rates since the implementation of the MAI, including products with small volumes. Products that are already entering the Canadian market indicate export readiness on Bangladesh’s part, and an existing connection with the market that can be expanded upon. Secondly, an assessment of what Bangladesh is exporting to other markets that it is not currently exporting to Canada can be made. If it is already exporting elsewhere, then Bangladesh is likely capable of exporting additional volumes to Canada. In 2003, Canada was Bangladesh’s ninth most important export market after the US and various EU countries. Since the implementation of the MAI, Bangladesh’s exports to Canada have grown by 41% to Cdn$458 million in Jan – Nov 2004, relative to the Cdn$326 million in the same period in 2003. Most of that export growth was in new product categories introduced during the first year of the MAI. Many other products that were already being exported to Canada also experienced high growth rates. Products being exported to Canada from Bangladesh that exhibited high growth rates in 2003-2004 are summarised. These products are prime candidates to achieve greater diversification of Bangladesh's export mix to Canada.

  Aforesaid programme, Emerging needs, Trade policymaking, Bangladesh.
  In Bangladesh
  00-00-2003
  00-00-2004
  Socio-economic and Policy
  Market analysis, Profitability

The objective of the aforesaid programme is to contribute to the emerging needs in the area of trade policymaking in Bangladesh.  

In 2002, Canada’s MAI was announced and became effective as an individual tariff program for LDC’s on January 1, 2003. The MAI provides that all goods imported into Canada determined to be originating in an LDC will be granted duty- and quota-free status with the exclusion of dairy, poultry and egg products. The MAI enlarges the coverage of the LDCT to bestow duty- and quota-free eligibility on additional products, including textiles, apparel and footwear, provided they meet the RO. New RO has been established to govern the tariff treatment for imports of newly-covered textiles and apparel products from the eligible LDCs. For LDC exports of apparel, the MAI makes provisions that all quotas are removed and all tariffs are eliminated. For LDC exports of textiles, the MAI mandates the reduction of the tariff from roughly 14-16 percent to zero percent while textiles sourced from non-LDC sources would still have tariffs applied. No quotas were applied to LDC textiles so the MAI makes no quota-reduction provisions for textiles. On January 1, 2004, Canada reduced MFN tariffs on textile imports from all countries to 12-14 percent for textiles and to 18 percent for apparel as part of its WTO commitments. Subsequently, on January 1, 2005, Canada eliminated all quotas on textiles and apparel from all countries but is permitted to continue imposing tariffs on these goods as part of the ATC7 . The MAI provides that all goods imported into Canada determined to be originating in an LDC will be granted duty- and quota-free status with the exclusion of dairy, poultry and egg products. To be eligible, regulations pertaining to RO, certification; and direct shipment must be met. There are two methods under which LDC goods can be considered eligible for the benefits of the Canadian MAI. First, all goods currently entitled to the benefits of the LDCT can qualify under two categories: a) wholly produced rule (wholly produced in one or more LDCs); or b) a cumulative manufacturing process in an LDC beneficiary with value-added inputs or cumulations from other LDCs or Canada (general 40% LDC cumulative) (CBSA, 2003a). Second, specifically pertaining to textile and apparel goods, a good can qualify under: a) a wholly produced rule (they have been manufactured or formed from inputs from any of the eligible LDCs,) or b) one of the new specific rules of origin governing the country of origin of inputs and the manufacture of goods. In general terms, the conditions of the new RO are that the products have been formed from inputs from GPT beneficiary countries, provided the value-added in the LDC exporting country is at least 25 percent. Any materials used in these products that originate from Canada are deemed to have originated in the least developed country. (DFAIT, 2003a).  For textiles and apparel goods to qualify under either a) or b), the apparel would have to be assembled in an LDCT beneficiary country from fabric cut or knit to shape in that country. The RO for fabrics and yarn is based upon the North American Free Trade Agreement (NAFTA) with full accumulation of originating input from LDCT or GPT beneficiary countries or Canada. For textiles, the NAFTA rule requires double transformation, i.e. the fabric has to be made from territorially (LDC, Canada or GPT countries) produced yarns. The NAFTA rule for yarn requires that it be spun or extruded in the territory (DFAIT, 2003a). A discussion of NAFTA rules pertaining to textiles is provided below. Specific information regarding rules or origin for all goods, including textiles and apparel can be found in Appendix A. For all goods, certificates/proof of origin must be provided. For non-textile goods, samples of the ‘Exporter’s Statement of Origin’ and ‘Form A - Certificate of Origin’ are provided in Appendix B. A sample of the Certificate of Origin for textiles and apparel follows in Appendix C. These forms certify the goods in question as being eligible for MAI treatment. The importer must have proof of origin at the time of accounting and it must be available for presentation to Canadian Customs officials upon request. All commercial shipments must meet this requirement regardless of value. The proof of origin does not have to be an original but it must be cross-referenced with the applicable invoice number. Goods qualifying for the GPT or LDCT tariff treatment must be listed separately on the relevant invoice. (CBSA, 2004a) For goods other than textile and apparel products, currently entitled to the benefits of the LDCT, the existing rules of origin for the LDCT remains in force and may be used by exporters/producers to determine the entitlement of goods to the benefits of the MAI. Shipment of product from the LDC to Canada must be direct, however, transshipment through an intermediate country is allowed so long as the product remains in-transit8. Verification of the origin of imports from an LDC will be done initially through an origin questionnaire or letter sent to the exporter/producer of the goods in question. Subsequent actions will be based on the information provided - whether the goods meet the requirements of the rules of origin, do not meet the requirements or if additional information is required. LDC governments whose exporters or producers wish to claim the benefits of the MAI must sign a Memorandum of Understanding (MOU) with the Government of Canada. The MOU ensures that the LDC Government will provide Canada with information and, where appropriate, with access to the production facility or facilities under investigation. The purpose is to enable Canadian auditors and investigators to obtain required information regarding shipments claiming eligibility under the LDC initiative. Bangladesh submitted its MOU on December 31, 2002. As discussed previously, there are two methods under which LDC goods can be considered eligible for the benefits of the Canadian MAI. First, all goods currently entitled to the benefits of the LDCT can qualify under 2 categories: a) Wholly produced rule (wholly produced in one or more LDCs); or b) A cumulative manufacturing process in an LDC beneficiary with value-added inputs or cumulations from other LDCs or Canada (general 40% LDC cumulative) (CBSA, 2003a). Second, specifically pertaining to textile and apparel goods, a good can qualify under: a) A wholly produced rule (they have been manufactured or formed from inputs from any of the 48 eligible LDCs,) or b) One of the new specific rules of origin governing the country of origin of inputs and the manufacture of goods. In general terms, the conditions of the new RO are that the products have been formed from inputs from GPT beneficiary countries, provided the value-added in the LDC exporting country is at least 25 percent. Any materials used in these products that originate from Canada are deemed to have originated in the least developed country. (DFAIT, 2003a). For textiles and apparel goods to qualify under either a) or b), the apparel would have to be assembled in an LDCT beneficiary country from fabric cut or knit to shape in that country. The RO for fabrics and yarn is NAFTA-based with full accumulation of originating input from LDCT or GPT beneficiary countries or Canada. For textiles, the NAFTA rule requires double transformation, i.e. the fabric has to be made from territorially (LDC, Canada or GPT countries) produced yarns. The NAFTA rule for yarn requires that it be spun or extruded in the territory (DFAIT, 2003a). 

  CPD Occasional Paper Series 48
  
Funding Source:
  

For Bangladesh, the Canadian market presents opportunities beyond textiles and apparel. In order to capture any potential export gains afforded by the MAI, Bangladesh’s exporters must first determine whether there is demand for their product in Canada, and whether or not they can in fact meet that demand on a reliable basis. From there, these exporters must assess whether or not they can accomplish these tasks competitively, across a broad range of factors, against other suppliers to the Canadian market. The specific tariff and quota preferences that Bangladesh enjoys under the MAI should be compared to the tariff/quota regimes faced by competitors as a starting point. However,  these are not the only issues affecting competitiveness in the Canadian market. Price, quality, style, distribution, industry linkages, market dynamics, transparency, interpersonal and inter-business relationships, delivery, familiarity with the regulatory regime, language, reliability, cultural and historical ties, and similar business and technological developments all affect a product’s competitiveness and ability to capture market share. There are significant opportunities for Bangladesh to increase its agri-food exports to Canada, as many of these categories have exhibited high growth rates in the first year of the MAI. While initial volume and values are relatively low, these categories are promising avenues to deepen. Bangladesh must become more adept at meeting the requirements of Canada’s regulatory regime pertaining to agri-food, particularly SPS requirements, as well as the Canadian consumer’s tastes and expectations. Familiarity with specific segments of the Canadian agri-food industry that may utilise Bangladesh’s products as inputs would also be useful. A similar process should be followed for nonfood-related manufactured products. In the fish and seafood markets, the importance of meeting standards and regulations is highlighted. In order to take advantage of potential opportunities, Bangladesh should undertake the necessary steps in either obtaining status on CFIA’s ‘A-list’ of foreign suppliers, or completing an MOU with CFIA regarding fish and seafood. Without these, Bangladesh’s export expansion in these products will be seriously hindered as its ability to compete with suppliers on the ‘A-list’ or from countries with an MOU is limited. In addition, there are non-governmental initiatives, driven by Canadian consumers which can affect Bangladesh’s exports to Canada. These include ethical and social labeling (i.e. Not using child labor, working conditions of labor utilized to produce the product) and environmental labeling (ie. sustainably harvested, organic) which can affect a consumer’s purchasing decision for or against a particular product. These issues facing the fish and seafood exports of Bangladesh typify the largest types of barriers facing Bangladesh’s exports overall. Compliance with Canada’s standards and regulations will require a significant effort on the part of Bangladesh’s producers. The government of Bangladesh can assist its exporters by addressing these issues at a policy level, by negotiating MOU’s, obtaining technical assistance, and disseminating information. Beyond agri-food products, when examining Bangladesh’s exports to the US and EU particularly, the greater role of manufactures in their respective export mixes is apparent. Bangladesh’s export capability in these products is illustrated by the volume and variety of manufactures exports to the EU especially, yet Bangladesh currently exports very few manufactures to Canada. The reasons for this disparity are beyond the scope of this paper but further study would contribute to Bangladesh’s efforts to diversify its exports to Canada to take full advantage of the MAI. The MAI provides duty and quota-free access for virtually all manufactured products, yet Bangladesh’s exports of these products to Canada have not for the most part, noticeably increased.

  Report/Proceedings
  


Copyright © 2025. Bangladesh Agricultural Research Council.