BD set to renew trade, investment agreement with Cambodia

FT ONLINE

Bangladesh is set to renew its trade and investment agreement with Cambodia considering the potential of bilateral trade between the two countries, officials said.

The trade agreement between the two states expired in 2016.

During Prime Minister Sheikh Hasina's visit to Cambodia last year, Dhaka and Phnom Penh signed a Memorandum of Understanding (MoU) on cooperation in different sectors.

As part of the process of renewal of trade agreement, an initiative has been taken recently to form a joint trade commission (JTC).

"We have sent our list of officials to Cambodia for the joint trade commission," joint secretary (Export-5) AKM Ali Ahad Khan at the commerce ministry said.

Bangladesh is now waiting to get the list of officials from Cambodia for the joint commission, he said.

The official expressed the hope that the renewal of trade agreement will take place within the next three or four months.

The trade agreement will pave the way for the two countries to explore opportunities for trade and investment with each other, he said.

Bangladesh and Cambodia have been seeking to strengthen cooperation for the expansion of bilateral trade.

Bangladesh recently reached a deal with Cambodia to import one million tonnes of milled rice over five years starting from 2017.

Under the deal, Cambodia will export 250,000 tonnes of milled rice -- 200,000 tonnes of white rice and 50,000 tonnes of parboiled rice-each year.

The first agreement on trade and investment between Cambodia and Bangladesh was signed in 2004.

Currently, the total volume of annual trade between the two countries is around US $6.0 million.