Unresolved labour issues cloud TECF deal signing

Nazmul Ahsan The prospects for an early signing of the proposed US-Bangladesh Trade and Economic Cooperation Forum (TECF) deal are clouded by the still unresolved issue about labour rights. The US may not sign the deal if Bangladesh sticks to the demand for exclusion of labour rights issue from its proposed agreement, according to the latest indications from the official sources in Dhaka. To assess the latest developments and determine the government's policy on TECF, a four-member Cabinet Committee on TECF will soon hold a meeting, a top official at the Ministry of Foreign Affairs (MoFA) said on Tuesday. The United States Trade Representative (USTR) office has recently conveyed Washington's position on the issue to MoFA , it has been learnt. "The US in a recent communication made to us has regretted to sign the TECF deal if specific conditions on labour issues are not included in the draft agreement," a high official at the MoFA told the FE requesting for anonymity. The conditions set by the USTR are: freedom of association of workers, effective recognition of workers' right to engage in collective bargaining, elimination of child labour and elimination of discrimination in respect of employment and occupation. Officials at the MoFA said, the Cabinet Committee on TECF, headed by Finance Minister AMA Muhith, will soon hold a meeting to assess the latest developments on the particular issue. The meeting will also determine the policy of the government on TECF. Other ministers, who are members of the Cabinet Committee on TECF are Foreign Minister Dr. Dipu Moni, Commerce Minister Faruk Khan and Prime Minister's Economic Affairs Adviser Dr. Mashiur Rahman. The latest stance of the US came following a proposal of Bangladesh through which the latest urged for inclusion of the words like 'to protect the fundamental labour rights' in the agreement, instead of mentioning the four specific clauses on the issue of labour rights, which the US refused to accept, a diplomat said. However, Washington has agreed to accept alternative proposals of Dhaka made on corruption and bribery, intellectual property rights (IPR) and environment, sources said. Washington has agreed to a proposal, made by Dhaka, for deleting the words, 'corruption and bribery', from the proposed Trade and Economic Cooperation Forum (TECF) deal, a top official in the MoFA said. " The US has agreed to replace the words, 'corruption and bribery,' which was included in the original draft agreement of TECF, with words like 'combating and preventing unlawful activities in international trade and investment'," a source said. "It is a piece of good news for us as the US has agreed to exclude the words, bribery and corruption, from the draft of TECF agreement," a senior official at the MoFA said. The former president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Abdus Salam Murshedi said they are very much supportive of any labour rights issue. But introducing freedom of association right at this moment would create a sort of anarchy in the industrial sector as most of the labourers are not adequately trained on labour laws. The US submitted the draft agreement of TECF in early 2010 after Bangladesh had expressed its unwillingness to sign the earlier proposed Trade and Investment Framework Agreement (TIFA) for a number of, what it considered, 'controversial' clauses that might go against the interest of the country. The US is the single-largest export destination of Bangladeshi goods. Annual exports of Bangladesh to the US market amount to $4.0 billion-plus, in value terms, which is about 40 per cent of the country's aggregate annual export receipts.