Trade Scenario Between Bangladesh and Sri Lanka

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Trade Scenario Between Bangladesh and Sri Lanka

Trade Scenario Between Bangladesh and Sri Lanka

General Trade Agreement between The Government of the People’s Republic of Bangladesh and the Government of Republic of Sri Lanka was signed on 08 February 1977. A Memorandum of Understanding (MOU) between the Export Promotion Bureau (EPB) of Bangladesh and the Export Development Board (EDB) of Sri Lanka was signed on 18 April 2011 and the Economic Partnership between the two countries was also signed on 14 July 2017. Bangladesh and Sri Lanka are members of WTO and regionally they are signatories to regional trade agreement like SAPTA, SAFTA, APTA and BIMSTEC. As such to face the challenges of globalization, the two nations may act together in order to explore the potential of this region. An MOU was signed between Export Promotion Bureau, Bangladesh and Export Development Board, Sri Lanka for the mutual benefit of both the countries in trade. According to this MOU, Export Promotion Bureau provided free space to Sri Lanka for participation in the Dhaka International Trade Fair (DITF) for one time. It is observed that the economies of Sri Lanka and Bangladesh predominantly depend on agriculture. Both the countries are basically producers and exporters of primary commodities and importers of finished and industrial products.

Major Exports from Bangladesh to Sri Lanka are jute manufactures, woven garments, pharmaceuticals, jute yarn & twine, knitwear, textile fabrics, sacks and bags, towel, plastic goods, cotton yarn, iron chain, leather, accumulator battery and parts, coir and coir products, other engineering products and furnace oil, etc.

Major imports from Sri Lanka to Bangladesh are live animals, animal products, vegetable products, animal or vegetable fats and oils, prepared foodstuffs, mineral products, products of the chemical, plastic articles, rubber and articles thereof, raw hides and skin and leather, articles of wood, organic chemicals, pulp of wood, textile & textile articles, articles of stone, glass and glassware, base metals, vehicles and optical etc.

The balance of trade position between Bangladesh and Sri Lanka from 2007-2008 to 2022-2023 is shown below:

Export and Import Statistics ( Value in milliom US$)

Fiscal Year	Export	Import	Balance
2007-2008	19.32	15.27	(+) 4.05
2008-2009	18.67	18.56	(+) 0.11
2009-2010	23.74	22.76	(+) 0.98
2010-2011	34.73	27.50	(+) 7.23
2011-2012	42.59	32.40	(+)10.19
2012-2013	23.69	39.80	(-)16.11
2013-2014	26.81	66.07	(-) 39.89
2014-2015	23.92	44.10	(-) 20.18
2015-16	30.45	45.00	(-) 14.55
2016-17	42.25	49.92	(-) 7.67
2017-18	31.60	47.80	(-) 16.2
2018-19	45.55	63.10	(-) 17.55
2019-20	38.40	54.70	(-) 16.30
2020-21	47.32	117.70	(-) 70.38
2021-22	58.13	109.00	(-) 50.87
2022-23	67.07

Source: EPB/ Bangladesh Bank

It transpires from the above table that during 2007-2008 to 2011-2012 Bangladesh enjoyed positive trade balance and 2012-13 to 2019-20 had negative balance in respect of trade with Sri Lanka.

Top 20 Exported Item in Sri-Lanka for the year 2020-2021:

Sl	Item Name	Amount in USD
1	30049099: Other(excl.anti-malaria, anti-TB, anti-leprosy....and kidney dialysis solution	10,278,904.64
2	62046200: Women'S Or Girls' Trousers, Breeches, Etc, Of Cotton	2,995,099.05
3	30042090: Other than Mycophenolate mofetil, mycophenolate sodium, ciclosporin	2,667,673.56
4	60019200: Pile Fabrics Of Man-Made Fibres, Nes, Knitted Or Crocheted	2,585,824.67
5	30043910: Anti-malaria-TB-cancer-leprosy,crdvsclr/anti-hepatic encephal opathy drugs/Kidney dls	2,451,969.07
6	07019019: Other Potatoes, Fresh, Nes	1,990,941.62
7	07011090: Seed Potatoes, Nes	1,782,846.13
8	30049010: Oth.Medicaments Of Mixe...Containing More Than 15% Of Absolute Alcohol	1,668,121.09
9	30032000: Medicaments Containing Other Antibiotics, ....Not For Retail Sale	1,598,785.59
10	61091000: T-Shirts, Singlets And Other Vests, Of Cotton, Knitted Or Crocheted	1,249,075.94
11	62171000: Clothing Accessories, Nes	1,240,103.46
12	48030000: Toilet,Facial Tissue,Towel,Napkin Stock & Similar Paper, In Rolls Or Sheet	1,143,893.15
13	53071000: Single yarn of jute or of other textile bast fibres of 53.03	952,526.89
14	30039099: Other medicaments with >=2 constituents, not for retail sale, nes	919,179.41
15	53072000: Multiple (folded) of cabled	918,039.08
16	39262090: Art.Of App.&Clothing Accessories(Exl.Gloves)Of Plastics Hd.No.39.01-39.04	864,629.53
17	28151100: Sodium Hydroxide (Caustic Soda), Solid	834,596.74
18	28470000: Hydrogen Peroxide, Whether Or Not Sokidified With Urea	828,992.44
19	53101000: Unbleached woven fabrics of jute or of other textile bast fibre	711,958.95
20	70051000: Nonwired Unworked Sheets Of Float/Ground/Polished Glass,Wth Absorbnt Layer	674,144.95