Bangladesh plans to set up a readymade garment (RMG) warehouse at a suitable location in a CIS country to increase trade with Russia and the CIS block, according to a report from Bangladesh.
“Bangladesh has no warehouse in the world. But we are now thinking of such a one to bring about pace in our exports,” finance minister, AMA Muhith said at a seminar in Dhaka recently.
He said talks were also on to establish an RMG warehouse in Gujarat, India. Muhith urged entrepreneurs to find a suitable place in the CIS countries to build a warehouse, mostly for apparel items.
“This is a good idea (building a warehouse) from entrepreneurs, as our products have huge potential there and the presence of such a warehouse will help grow exports. The country has so far only concentrated on EU and American markets for exports. But now the time has come to explore new markets as well with diversified products,” Muhith said.
Responding to demands for incentives for exports to Russia and CIS markets where duty is very high, he said the government would review the entire cash incentive package for the exporters and make a few more export items eligible for the benefit.
Bangladesh exported goods of 796 million US dollar to CIS countries in 2014, and 721 million US dollar in 2013, which was very insignificant compared to the country’s total capacity, CIS-BCCI said.
The football World Cup in Russia in 2018 can potentially boost Bangladeshi garment exports, particularly knitwear for which a high demand is expected during the world’s top sporting event.
