Law ministry opposes Dhaka's participation
June 20, 2010 00:00:00
Nazmul Ahsan
The law ministry has opposed Bangladesh's participation in the proposed trade in services agreement between East and South Asian countries, sources said.
Trade and commerce ministers of six East and South Asian countries, including China, South Korea and India, were expected to sign the agreement, styled 'APTA Framework Agreement on Trade in Services,' in Bangkok next month, they said.
The Standing Committee on Asia Pacific Trade Agreement (APTA) comprising of trade officials from six member countries finalised the draft agreement in February last before placing it at the Ministerial Council meeting in Bangkok for signing, sources said.
"The Ministry of Law and Parliamentary Affairs has opposed Bangladesh's joining the agreement, thus, clouding the prospect of signing the agreement on schedule," a high official in the Ministry of Commerce (MoC) said.
"The ministry has observed the draft agreement is contrary to the Constitution. The draft was sent to Ministry of Law for vetting prior to its placing before the Cabinet for approval," he added.
The official concerned in the MoC, however, said the law ministry did not elaborate the reasons for terming the draft agreement contrary to the country's Constitution.
The high performing Asian economic like those of China, South Korea and India, along with countries like Sri Lanka, Laos and Bangladesh are the members of APTA.
Earlier, commerce ministers of APTA member countries signed two agreements--Framework Agreement on Trade Facilitation and Framework Agreement on the Promotion, Protection and Liberalisation of Investment in December 2009 in Seoul.
Facilitation of greater inflow of investment in service sector and increase in local competitiveness and expertise in service-oriented business, primarily, inspired the policymakers to strike the proposed deal with big Asian economies, trade officials said.
According to the negotiated draft agreement on APTA Framework Agreement on Trade in Services, the member countries will establish and improve infrastructural facilities in their respective countries relating to improving service sector, extend cooperation in joint production, marketing and purchasing arrangements and facilitate research and development on service area.
'To enhance cooperation in services amongst participating states in order to improve the efficiency and competitiveness, diversify production capacity and supply and distribution of services of their service suppliers within and outside Participating States,' reads the negotiated draft, a copy of which has been made available to the FE.
Besides, the agreement will substantially reduce restriction in service sector investment in member countries by liberalising trade in services, the draft added.
The draft agreement said the APTA member countries would recognise the education or experience obtained or licences or certification obtained in any of the member countries.
"We are certainly frustrated but have not given up hope following the negative observation given by the Ministry of Law. The issue is likely to be discussed between the two ministers holding the portfolios of commerce and law", a high official in the MoC told the FE.