Essay On Export Sector In Bangladesh

The export sector within Bangladesh has grown to become an increasingly significant component of national trade, and has involved significant private sector investment over the last decade. The connection of production networks commonly involving small-scale producers, and traditional market and distribution systems, to supply raw materials for products meeting international standards, offers particular management and logistic challenges. Export has been improved markedly with strong external current account position and much larger capital and financial account inflows, leading to a rapid reserve buildup. The combination of a strong current account position and a large financial account surplus contributed to a sharp improvement in the overall

iv) The exporter must create a Back to Back LCs for importing raw materials. According to Bangladesh Bank (BB) circulars for manufacturer-exporters other than Bangladesh Textiles Manufacturer Association (BTMA) mills producing yarn are allowed the limit of input imports permissible an export LC/sales-purchase contract/inland back to back LC in terms of the value addition requirements prescribed in the Import Policy Order (IPO), or US$ 12.00 million, whichever is lower. For Bangladesh Textiles Manufacturer Association (BTMA) mills making bulk import of raw cotton or other fibers against deemed export, the EDF loan shall not exceed the amount in foreign exchange realized against inland back to back LCs over past twelve months, or US$ 12.00 million, whichever is lower. For Bangladesh Garments Accessories & Packaging Manufactures & Exporters Association (BGAPMEA) making bulk import of raw materials for local delivers of garment accessories to manufacturer-exporters against inland back to back LCs in foreign currency, the EDF loan shall not exceed, the value realized in foreign exchange against inland back to back LCs over past twelve months, or USD 1.00 million, whichever is

EDF loan also be available to member manufacturer-exporters of Leather goods & Footwear Manufacturers & Exporters Association of Bangladesh (LFMEAB) and Bangladesh Ceramic Wares Manufacturers Association (BCWMA) allowed to draw EDF finance for bulk imports against estimated requirements for up to one year, based on their export performance over the preceding year. The Authorized Dealers (ADs) bank should utmost care for disbursement of their EDF loans to borrowers so that the borrower does not turn away funds to