The Malaysian government is working on proposed free trade agreement with Bangladesh to boost bi-lateral trade between the two countries, said Malaysian High Commissioner (HC) in Bangladesh.

“We’ve completed the free trade agreements with India and Pakistan. We want to do the same with Bangladesh. We are now working on details of the agreement,” Norlin Othman, the High Commissioner said in an exclusive interview with BSS.
Bangladesh exported products worth $43.87 million to Malaysia while imported goods valued at $1,759.60 million in 2010-11 fiscal year from them.

Bangladesh exports to Malaysia include foodstuff, jute goods and apparels and imports primarily involve machinery and electronics goods.

Othman said Malaysia has initiated the proposal to sign a free trade agreement, which would come into effect after both sides agree on it. “It took two years to finalise an agreement with India, but I am optimistic it would not take too much time for a similar deal with Bangladesh.” “The proposed agreement is now at the discussion level. It will be signed once both sides reach a consensus on it.

So, let the two sides work complementary to each other. We must follow the rules of World Trade Organization (WTO) to finalise the deal,” said the diplomat.

Asked about the bilateral trade that is heavily tilted in favour of Malaysia, she said, “Of course there is a trade gap, but Bangladesh has huge potential to increase its export to Malaysia.”

She said Malaysia with 28 million people does not require lot of food or garment products, but it needs some high-end products which Bangladesh can supply and thus expand its market share.

The HC, however, said although Bangladesh’s export to Malaysia is lower in volume, the services Bangladesh providing to Malaysia is higher.

“What Malaysia is encouraging is that either you increase your volume of exports or produce products that Malaysia needs. I think it will help reduce Dhaka-Kuala Lumpur trade gap,” said the Malaysian HC.

Othman said a good number of Bangladeshi entrepreneurs are doing business with Malaysian enterprises in service sector including restaurants, small shops and furniture factories.

On the other hand, she said, many Malaysian entrepreneurs are working in high-tech industries including issuing machine readable passport (MRP) and setting up small independent power plants in Bangladesh.

“Therefore, we are contributing to the economies of the two countries. But, the fact is that this is not receiving publicity as it should be,” she pointed out.

News: The Daily Independent/Bangladesh/21th-Oct-12