LDCs likely to urge EU to extend time for restriction on Chinese textiles
Monday, 24 September 2007
Naim-Ul-Karim
The leaders of the least developed countries (LDCs) including Bangladesh are expected to urge the EU countries to further extend the deadline for withdrawal of the 'Safeguard Measures' on import of Chinese textiles, diplomatic sources said.
The European Union (EU) imposed the 'Safeguard Measures' on Chinese textiles in 2005 to prevent the surge in Chinese exports to the EU soon after the phase-out of the quota system at the end of 2004.
The restriction, imposed under a provision of the World Trade Organisation (WTO), will be withdrawn by the end of 2007 if it is not extended further, sources said.
If the restriction is withdrawn after 2007, it will affect the apparel export from Bangladesh and other LDCs, they observed.
'Imposition of the Safeguard Measures helped the exporters from LDCs boost their trade with the EU,' an official said.
He also said, "So far we are informed that the leaders of the LDCs, who are attending the 62nd session of the United Nations General Assembly (UNGA), will make a plea to extend further the deadline for withdrawal of the Safeguard Measures.
The source, however, said the chief of Bangladesh caretaker government is unlikely to make any request to the EU leaders in this connection in public during his speech at the UNGA session.
Official sources said Chief Adviser Fakhruddin Ahmed, who will address the UNGA session on September 27, will highlight the reforms and election roadmap, duty-free access of products and free movement of labour.
"The Chief Adviser is expected to urge the EU leaders not to withdraw the Safeguard Measures during his bilateral talks on the sidelines of the UNGA," a diplomatic source said.
The CA's move is expected as the leaders of different associations and chambers including ICC-B, BGMEA, BKMEA and BTMEA have already expressed their concern in this connection.
Mentioning the economic position of the country after the devastating flood that submerged at least 39 districts, the CA is expected to shed light on how the apparel units are helping in empowerment of women and socio-economic development of the country.
Talking to the FE, Fazlul Haque, president of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said "We would urge the CA to raise the issue during his bilateral talks with the leaders of the EU."
Sustainable growth of the country's apparel units, which fetched about $9.0 billion (900 crore) or 75 per cent of the total exports, will be impeded, if the 'Safeguard Measures' against China are withdrawn, he said.
He further said, "We need few more years to reach that stage when we would be able to withstand the threat of losing the EU markets to China through coordinated efforts."
The leaders of the least developed countries (LDCs) including Bangladesh are expected to urge the EU countries to further extend the deadline for withdrawal of the 'Safeguard Measures' on import of Chinese textiles, diplomatic sources said.
The European Union (EU) imposed the 'Safeguard Measures' on Chinese textiles in 2005 to prevent the surge in Chinese exports to the EU soon after the phase-out of the quota system at the end of 2004.
The restriction, imposed under a provision of the World Trade Organisation (WTO), will be withdrawn by the end of 2007 if it is not extended further, sources said.
If the restriction is withdrawn after 2007, it will affect the apparel export from Bangladesh and other LDCs, they observed.
'Imposition of the Safeguard Measures helped the exporters from LDCs boost their trade with the EU,' an official said.
He also said, "So far we are informed that the leaders of the LDCs, who are attending the 62nd session of the United Nations General Assembly (UNGA), will make a plea to extend further the deadline for withdrawal of the Safeguard Measures.
The source, however, said the chief of Bangladesh caretaker government is unlikely to make any request to the EU leaders in this connection in public during his speech at the UNGA session.
Official sources said Chief Adviser Fakhruddin Ahmed, who will address the UNGA session on September 27, will highlight the reforms and election roadmap, duty-free access of products and free movement of labour.
"The Chief Adviser is expected to urge the EU leaders not to withdraw the Safeguard Measures during his bilateral talks on the sidelines of the UNGA," a diplomatic source said.
The CA's move is expected as the leaders of different associations and chambers including ICC-B, BGMEA, BKMEA and BTMEA have already expressed their concern in this connection.
Mentioning the economic position of the country after the devastating flood that submerged at least 39 districts, the CA is expected to shed light on how the apparel units are helping in empowerment of women and socio-economic development of the country.
Talking to the FE, Fazlul Haque, president of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said "We would urge the CA to raise the issue during his bilateral talks with the leaders of the EU."
Sustainable growth of the country's apparel units, which fetched about $9.0 billion (900 crore) or 75 per cent of the total exports, will be impeded, if the 'Safeguard Measures' against China are withdrawn, he said.
He further said, "We need few more years to reach that stage when we would be able to withstand the threat of losing the EU markets to China through coordinated efforts."