KUNMING (China), June 8: Bangladesh business leaders feel they find hardly any immediate benefit from the ongoing China-South Asia Expo and Kunming Fair, but are hopeful that it will facilitate Chinese investment and transfer of technology in the coming years.
They said due to the lack of capacity to do business in China, the business leaders throw focus on the opportunities lying at this moment to build the country's ability to conduct trade, commerce and business by way of Chinese investment and technology transfer.
"There are lots of scopes to improve the quality of our products, expand our industry as well as increase the number of export items with the help of China," said Matlub Ahmad of Nitol Motors.
He said as the country's export basket was limited with only ready-made garments and a few items, focus has been given to make deal with other participating members, including China, to develop and expand the export markets with ensuring quality, he added.
"We can show our face at these kinds of fair with our products which will help us improve their quality and brand. The Chinese side wants to help Bangladesh in this regard. So when we will be able to expand our export basket, only then will we be able to participate actively," he told the FE at the expo venue.
Shahedul Islam Helal, director of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) also believes that this kind of events has created the scope for raising issues that are considered as hurdles in doing business with China.
He said issues like developing infrastructure, removing tariff barriers and acceptable accreditation have been raised during different meetings to take those to the table of higher-level meetings of the government officials.
Centring on the 2nd China-South Asia Expo and the 22nd Kunming Export and Import Fair, which began in the Chinese spring city of Kunming on Friday, the Yunnan province government has arranged a series of meetings with the target to re-establishing the historical links of trade and business -- Silk Road route and Silk Marine route.
Some 17 major activities, including China-Bangladesh Joint Economy and Trade Commission and China-South Asia Business Forum, are being held with the theme 'investment and cooperation' on the sidelines of the two main events. They have drawn thousands of policymakers, entrepreneurs, civil society members and researchers under a platform.
A 70-member business delegation, which is accompanying Prime Minister Sheikh Hasina on her China trip, is attending the fair. Besides, the leaders of different chambers and trade bodies including BGMEA, FBCCI, MCCI are also here to represent the country in different activities.
During a press conference held prior to the inauguration of the expo, the Vice Governor of Yunnan province said the expo was to reach goals of 'three expansions --- expansion from commodities' trade to service trade, from import and export to overseas investment, and from offline transaction to online transaction (e-commerce). Some 55 journalists of 10 South and South East Asian countries have been invited to cover the events.
The business leaders said due to huge gap between wages of labourers of the two countries, outsourcing of Chinese industries into Bangladesh have become apparent.
Kazi Akram Uddin Ahmed, President of FBCCI, said China and Bangladesh have 'similarity' in their respective industrial growth, but China's advancement as the 2nd largest economy of the world has created the scope for relocating its industries into Bangladesh.
"If we want to be an economic power in South and South East Asia, we have to start from China," he added
Officials and businessmen, who attended the China-Bangladesh Joint Economy and Trade Commission, said the Chinese investment in some infrastructure development including seaport, Karnaphuli tunnel and coal-based power generation came up in the discussion.
Their planning and financing will now get importance in the coming years, they added.
The leaders said since the last year's successful car rally in the BCIM countries, the business leaders now find the potential for doing business and developing different logistic and service sectors in the corridor. Potentiality of establishing connectivity from Bangladesh to Kunming through tourism sector development, using the resources like the long beach, has also been discussed.
Prime Minister Sheikh Hasina, who attended the inaugural ceremony of the 2nd China-South Asia expo, among five other heads of government and state of the participating countries, invited the Chinese investors to take the opportunities of the most liberal investment environment of Bangladesh among the South Asian countries.
The trade balance of China and Bangladesh was always is in favour of China exporting goods worth more than 4.5 billion US dollars to Bangladesh during fiscal year 2012-13. With the Prime Minister's visit to China, investment and development opportunities worth US$ 4.0 billion has been created. China has already got the country's expensive project to construct its longest bridge over the river Padma.
At the expo, some 70 entrepreneurs are participating. They are to sell products like fabrics, jute handicraft etc. While talking to some entrepreneurs, it has been learnt they are participating in the fair with limited items, only to make Bangladeshi products familiar. Although some of them have taken the opportunity to display Bangladeshi products in Kunming fair during the five to six years, they could not make any headway in taking regular exports to the Chinese market.
An Export Promotion Bureau (EPB) official at the Bangladesh pavilion said the stalls had been provided to small entrepreneurs to encourage them to get an access to the Chinese market.
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