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US GSP facility for B'desh products under threat

September 15, 2007 00:00:00


Doulot Akter Mala
The generalised system of preference (GSP) facility for duty-free export of Bangladeshi products to the US market might face a setback following a petition lodged by a US-based Non-Government Organisation (NGO) for removing the country from the list of those which are entitled to avail the opportunity.
The NGO-American Federation of Labour and Congress of Industrial Organisations (AFL-CIO)- has filed a petition to United States Trade Representatives (USTR) for withdrawal of GSP facility from Bangladesh claiming violation of labour rights in the country.

It alleged that Bangladeshi readymade garments (RMG) units and frozen food exporters, both within and outside the Export Processing Zones (EPZ), have been violating labour rights.
Commercial counselor of Bangladesh embassy in Washington Shamsul Alam in a letter to the ministry of commerce urged the government to take the issue seriously.
The AFL-CIO's petition to remove Bangladesh from GSP facility has been accepted in the 2007 GSP annual review.
The USTR has arranged a public hearing of the complaints against Bangladesh government on October 4 next.
Besides Bangladesh, Russia, the Philippines, Lebanon, Uzbekistan and Nigeria are also included in the annual review for other matters.
A delegation comprising high-level government officials and exporters are expected to attend the hearing in USA.
The USTR sought pre-hearing brief from the Bangladesh government regarding workers rights violation, which has to be submitted by September 21 to Merideth Sandler, executive director of GSP programme USTR.
The AFL-CIO, in its petition, focused on violations of domestic and internationally recognised worker rights in EPZs, RMG industries, shrimp and fish processing industries and harassment and violence by government security forces against trade unions, workers and labour NGOs.
"AFL-CIO has influence on the democratic party, the majority party in US congress, so the petitions should be taken seriously by the government. If not resolved, this issue may also hamper Bangladesh efforts in gaining duty free access to US market," commercial counselor wrote in the letter.
On September 12, high-ups of ministry of labour and public works, home ministry, ministry of fisheries and livestock, foreign ministry, Bangladesh export Processing Zone (BEPZA), Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and Bangladesh Frozen Foods Exporters Association (BFFEA) held an urgent meeting on this issue to reach a consensus on the country's stand.
Exporters claimed that international competitors of the country's booming export sectors had been creating such roadblocks to damage it.
They said Bangladesh has been trying with all of its efforts to follow the compliance rules of international buyers.
Besides, different inspection teams from major export-destinations have frequently been visiting the country's export-oriented industries.
The US market is one of the largest export-destination of Bangladeshi products, especially for ready-made garments.
Sources said the particular US-NGO has been trying for long to address the worker rights violation of the country. It has filed a GSP petition in 2005 claiming violation of internationally recognised worker rights.
Bangladesh has been enjoying GSP facility since 1993, based on its commitment to adhere to the International Labour Organisation (ILO) standards, sources added.
US-market is the single largest export destination of Bangladesh that accounts for 36 per cent of its total exports.

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