Role of trade organisations in economic development

There is no alternative to individual and institutional income generation for economic development and poverty alleviation of a country. Ensuring employment is the most effective tool for facilitating individual and institutional income generation. There are about 162 million people in Bangladesh and about 120.70 million of them are in workable age group. For providing employment to such a huge population government has only 1.7 million positions in civil service and a mentionable percentage of these government positions remain for years together. For example, 18 per cent of government positions are vacant now in Bangladesh. As per a recent report says, there are 58.10 million people are employed by the private sector. No exact data is available regarding total number of businessmen in the country but it is said that about 30 million people are involved in business in Bangladesh.
There are about 37.20 million unemployed people in Bangladesh now. Another recent report shows that more than 3 million people with higher education are unemployed in Bangladesh with 2.2 million newcomers entering the job market every year. It is easier to manage an employment opportunity for a less educated or uneducated youth, but it is difficult to manage a career opportunity for a highly educated one. Uneducated or less educated manpower could migrate to Middle East as workers, but youths with higher education can not do so and as such the number of unemployed youths with higher education is increasing. If this trend continues for next few years they could be another burden for the society as well as for the nation. Before meeting a terrible situation of the above proportion we must find a way-out.
The government has to take the issue as a new challenge and come out with its appropriate solution. The government can mitigate this problem with professional education system, skills development through practical training, creating entrepreneurs through entrepreneurial education, creating entrepreneur-friendly policy regime, creating start-up friendly fiscal and economic policies, self-employment oriented education/training, hands-on training for creating freelancers, etc. These types of projects should get the highest priority in the upcoming national budget of the government. Beside the government, another important role in employment generation lies with the business community of Bangladesh. Established business houses of the country are also contributing to individual and institutional income generation, increasing GDP growth, increasing export earnings and generating employment opportunities.
There are a few problems which are impossible to be solved by individual or organisational initiative. These problems are to be dealt with collective power and unity. To apply that collective power of the business community, effective trade organisations are required. There are about five hundred trade organisations in Bangladesh including 101 chambers of commerce (district chambers, metropolitan chambers, joint chambers, international chambers etc.) and about 379 trade associations. The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) is the apex body representing all the trade organisations of the country.
The FBCCI negotiates and cooperates with and supports the government in enacting trade-related policies on behalf of the private sector of the country. It represents all the trade bodies in different committee formed by different ministries, agencies, departments, and other organs of the government. It assists all the 500 trade bodies of the country in holding elections and implementing other regulatory requirements. The FBCCI also negotiates budgetary facilities for different sectors, products and customs structures with the national board of revenue (NBR) on behalf of the private sector.
An efficient and functional FBCCI can perform all the functions mentioned above and to make it functional and effective its manpower has to be increased and professional skills have to be improved and financial capacity uplifted. There are many countries in the world where federation/national chambers are getting budgetary support from the government. But till now the FBCCI has to depend on its member subscription, building rental and donation of the business community and the income from these sources is not adequate to employ and retain efficient professionals and expand its services to the national economy. The FBCCI will get its new leaders through the upcoming elections next month. We are sure that the new leadership will take necessary initiatives to take the organisation as well as its member bodies to new heights and serve the nation better.
The private sector has to play a visible role to achieve SDGs by 2030. This role could be played more effectively from platforms like trade bodies instead of personal or institutional level. Therefore, the government has to play its due role for capacity building of the trade bodies. New-elected FBCCI leaders could play the role of catalysts here. A common vision of the business community, government and the development partners is required to ensure sustainable development of the economy and achieving a developed Bangladesh as per our national target.
The writer is a development researcher, columnist and author. He is serving
the SME Foundation, Bangladesh as Deputy Manager.  
mdjoynal@gmail.com