Bangladesh’s exports to India can reach $ 10b

[scholseys]

khak khak khak...does Univ of Toronto recall its diploma? It ought to think about that.

they call it a bachelor's degree. what do they call your madrasa degree?

 

[fallstuff]

Have you actually read those articles?

In one, the US authorities complain about lack of transparency in tariff schedules and customs duties. These are the identical same ones which refuse to give us the access for services to their market in the teeth of appeals from industry leaders, from Bill Gates downwards.

These procedures apply to everybody; only the US businessman is annoyed at not getting the kind of abject and slavish adherence to his sovereign wishes that he is used to in - what was the wonderful, condescending phrase again? - the third world. Not enough University of Toronto lackeys to cover all their bases, obviously.

In the other, Bangladeshi exporters want to export direct to the underdeveloped north-east and are upset that conditions don't match those in other parts of the country. Their solution - drop all testing requirements.

Are we allowed to excuse ourselves from dumping sub-standard, untested goods by the third world just as much as we restrict such practices by the first world?



You should know that the main bank rate referred to is the Reserve Bank lending rate to commercial banks. Commercial banks charge anywhere up to 5% higher, depending on the credit-worthiness of the individual borrower. Is it that hard for you to grasp? Do they teach you nothing at the first-world University of Toronto?

I have been doing business for about two decades here in US. I have worked in the IT industry for a number of years. Let me educate you about your shining Indian NTBs.

These Indian NTB ( Non tariff barriers) are one of a kind. A truck with products wait at the border while some testing is being carried out at some Lab for weeks if not months. When I first heard this, I almost fell off the chair. You can't make-up BS like that. No transporting company will wait that long without extra pay. There are additional storage cost that bring up the cost of good in transit. This ridiculous process also limits type of products that can be sold to India, as it can't include perishable products.

There is something call reasonable standard, and then there is the Indian standard. Testing products in transit to a third world nation like India is beyond ridiculous. It is even comical when they do the same to U.S exports.

As far as access to U.S service markets, it is not the topic being discussed.

 

[Joe Shearer]

I have been doing business for about two decades here in US. I have worked in the IT industry for a number of years. Let me educate you about your shining Indian NTBs.

First, neither your years of doing business in the US, nor your experience of the IT industry, qualify you to decide what level of testing and certification should be accepted by a sovereign nation. We have never complained about the parallel inequitable methods used by other countries, why should there be objections to ours?

Second, the delays in testing and obtaining clearances are not deliberately designed to impede importers, they are a natural consequence of a sudden jump in border trade, and more so, in border trade into an already underdeveloped part of the country.

While I understand and sympathize with the urge to sell to the underdeveloped north east, Bangladesh exporters have to understand that facilities cannot be created overnight, nor is the option of waiving procedures an available option.

 

[TopCat]

First, neither your years of doing business in the US, nor your experience of the IT industry, qualify you to decide what level of testing and certification should be accepted by a sovereign nation. We have never complained about the parallel inequitable methods used by other countries, why should there be objections to ours?

Second, the delays in testing and obtaining clearances are not deliberately designed to impede importers, they are a natural consequence of a sudden jump in border trade, and more so, in border trade into an already underdeveloped part of the country.

While I understand and sympathize with the urge to sell to the underdeveloped north east, Bangladesh exporters have to understand that facilities cannot be created overnight, nor is the option of waiving procedures an available option.

Sorry sir, I beg to differ. Nobody here to skip the testing requirement by the Indian authority but the problem is with the procedures that applies to. Our business people strongly believe that a lot of thing were put in place only to discourage import from Bangladeh. For instance, it is intentional to test the same brand again and again in every shipment even though the brand already passed all Indian requirement.

Its not only India which imports goods and do have testing requirements. We also have our requirement in place, where a Indian good like Colgate will be tested once before actual import is made and will be given BSTI sticker for any subsequent imports. The BSTI will randomly check goods in the shop and will make sure that the products maintains its original quality in good faith. If not, the importers will fined and the product will be taken out of the market.

Some of the BD posters over exaggerate NE market but we only export a fraction in the NE as the market itself is very small and the buying power is limited. Our main goal is to get into Indian mainland to NE.

Let me give you another example. NE banks are allowed to open Letter of Credit anywhere in the world but Bangladesh. A NE importer must open LC from Calcutta. How do you take that? You think the motive was just benign? I am not sure the rule changed or not as of now.

 

[anathema]

You are being grossly unfair! You don't know, not being Bangladeshi from Japan or USA, how difficult it is to resist the siren song of baniya businessmen. Every flutter of their dhotis sets some hearts ablaze. Irresistible.

Do Bangladesh shopkeepers make their puking visitors clean up their puke?

Siren song from Baniya Businessmen........That is just epic !!!! Truly epic !!!

 

[Z Bhai]

China is always willing to help Bangladesh.

As a common man, I too believe China has been our true friend. But according to me our best friend is Japan.

 

[TopCat]

I have been doing business for about two decades here in US. I have worked in the IT industry for a number of years. Let me educate you about your shining Indian NTBs.

These Indian NTB ( Non tariff barriers) are one of a kind. A truck with products wait at the border while some testing is being carried out at some Lab for weeks if not months. When I first heard this, I almost fell off the chair. You can't make-up BS like that. No transporting company will wait that long without extra pay. There are additional storage cost that bring up the cost of good in transit. This ridiculous process also limits type of products that can be sold to India, as it can't include perishable products.

There is something call reasonable standard, and then there is the Indian standard. Testing products in transit to a third world nation like India is beyond ridiculous. It is even comical when they do the same to U.S exports.

As far as access to U.S service markets, it is not the topic being discussed.

The right procedure that we follow.
Its not the duty of customs to test any goods. They collect tax and let the goods go. The importer then store the goods and send samples to test and if passed they put the sticker and market the goods. If not then they have to just dump the goods.

Few sensitive items which are tested in the port not by the BSTI but respective authority. For instance Fertilizer, Fish (they test for formalin) etc.

 

[Z Bhai]

As long as Indian Govt truly don't implement lifting off tariff and non tariff restriction, there is no hope. Especially non-tariff restrictions from their banks and customs. And subjected of double taxation from one state to another.

 

[Joe Shearer]

Sorry sir, I beg to differ. Nobody here to skip the testing requirement by the Indian authority but the problem is with the procedures that applies to. Our business people strongly believe that a lot of thing were put in place only to discourage import from Bangladeh. For instance, it is intentional to test the same brand again and again in every shipment even though the brand already passed all Indian requirement.

Its not only India which imports goods and do have testing requirements. We also have our requirement in place, where a Indian good like Colgate will be tested once before actual import is made and will be given BSTI sticker for any subsequent imports. The BSTI will randomly check goods in the shop and will make sure that the products maintains its original quality in good faith. If not, the importers will fined and the product will be taken out of the market.

Some of the BD posters over exaggerate NE market but we only export a fraction in the NE as the market itself is very small and the buying power is limited. Our main goal is to get into Indian mainland to NE.

Let me give you another example. NE banks are allowed to open Letter of Credit anywhere in the world but Bangladesh. A NE importer must open LC from Calcutta. How do you take that? You think the motive was just benign? I am not sure the rule changed or not as of now.

Useful points. I will reply after a short while.

 

[anonymus]

Dont drink it man. It does not have any lichi to start with. They are all made of chemicals.

This is not the only Fake drink.I have found this interesting article.
The 6 Most Horrifying Lies The Food Industry is Feeding You | Cracked.com

 

[Al-zakir]

This alaler ghorer dulal has graduated from university of Toronto.

Don't make us lough here. You certainly not graduated however may be undergrad. Good luck and spend more time on book and lab instead of PDF Zoyee.

 

[Joe Shearer]

Sorry sir, I beg to differ.

Nobody here to skip the testing requirement by the Indian authority but the problem is with the procedures that applies to. Our business people strongly believe that a lot of thing were put in place only to discourage import from Bangladeh. For instance, it is intentional to test the same brand again and again in every shipment even though the brand already passed all Indian requirement.

Would you consider the possibility that a brand is not a guarantee for the quality of an individual lot?

Its not only India which imports goods and do have testing requirements. We also have our requirement in place, where a Indian good like Colgate will be tested once before actual import is made and will be given BSTI sticker for any subsequent imports. The BSTI will randomly check goods in the shop and will make sure that the products maintains its original quality in good faith. If not, the importers will fined and the product will be taken out of the market.

Is this a practical proposition for the Indian market? Once goods have entered the country, they can be shipped anywhere else, and it is impossible to set up a programme to test products from shop shelves. That is why testing is done once, at the point of entry.

Some of the BD posters over exaggerate NE market but we only export a fraction in the NE as the market itself is very small and the buying power is limited. Our main goal is to get into Indian mainland to NE.

Most of the difficulties mentioned relate to the north-east market. If the intention is to sell to the rest of India, and goods are shipped out through West Bengal, there should be no problem.

Let me give you another example. NE banks are allowed to open Letter of Credit anywhere in the world but Bangladesh. A NE importer must open LC from Calcutta. How do you take that? You think the motive was just benign? I am not sure the rule changed or not as of now.

I have no idea what this is due to, but I do know that not all banks are allowed to open international letters of credit. Only designated branches of each bank are allowed to do these foreign exchange dealings. It is surprising to hear that there is a restriction on opening L/Cs for Bangladesh.

Has anyone taken up this point with your High Commissioner or your Deputy High Commissioner? Or with the Commercial Secretary at either the High Commission or the Deputy High Commission? I am not sure about what can be done about the testing delays, as obviously that is due to inadequate infrastructure striving to keep up with expansion on a large scale, but surely godowns and customs-bonded warehouses can be built; they are available in plenty in the Kolkata docks.

On the whole, after listening to these accounts, it seems that there are three sets of problems. First, there are testing requirements which are felt to be rigorous. Second, facilities at crossing points are poor, and goods cannot be stored in secure conditions. Third, the delays rule out the export of perishables. Fourth, there are commercial difficulties related to the inability to establish lines of credit.

I believe that those who are interested can get in touch with local chambers of commerce in Kolkata, and put up their cases, and be sure to get a hearing. What is certain is that nobody wishes to reduce the volume of trade. These occurrences are definitely, certainly teething troubles, and need to be addressed directly and energetically.

 

[Raje amar]

Bangladesh produces very high quality bone china, excellent furniture, and a wide range of building materials. Its textiles are outstanding, and no serious effort has been made to promote these systematically, with any kind of segmentation, to the Indian market. There is a young but vigorous multi-media industry with enormous potential for servicing the constant hunger for content in the Indian media, specifically, the entertainment media (costs are 15% lower than in India). Its IT skills are comparable to India or to Pakistan, but, as mentioned, costs remain competitive. Opportunities to convert their burgeoning talent are immense; it is unfortunate that these opportunities are so often the target of lunatics who see everything through religious filters.

boath the governments & their citizens need to change their mentality. we are neighbours & no one can chenge the fact.
its better to improve our ties & prosper with each other.

India must inetiate the barrier free trade with Bangaladesh. trade through the borders must be made simpler & transparant.
its good that ecently we have settled our border disputes, and also expect to resolve the water dispute in the near future. this will leave no point of collison among us.
than the road will only lead to the peace & mutual prosparity.

 

[eastwatch]

Let me explain some fundamentals.

These are opportunities to trade, not grants. Nobody is doing anybody else a favour. If there is a high volume of trade, there I'll be a high volume of profits: nobody trades at a loss. If Bangladeshi businessmen move forward and seek to carve out markets in India, they will find it easier than ever before; these various measures are intended to attract attention, whet curiousity and motivate people to put in the effort to crack the vast market that India represents.

Nothing will fall into the laps of anyone; results have to be sought through hard work and intellectual engagement with the problem. The Indian market has baffled even the best companies from elsewhere - European, American, Japanese, the lot. Those who adapted to the difficult realities of the Indian market harvested great wealth. Others did not survive.

It is entirely up to Bangladeshi businessmen whether they can meet and overcome the challenges ahead.

Indian Govt Co., Ltd. is averse to import BD goods, and many BD producers do not show interest in Indian market because of lengthy process and the very cheap rate the Indian market offers to BD producers. On the contrary, the same BD producers can get easy orders from western companies. The westerners would come to Dhaka, talk amicably and would finalize a purchase decision with a firm handshake.

But, indians are very difficult people to deal with. BD is not losing anything by not getting into the Indian market. Rather, it is the Indian consumers who are not getting good quality BD products at cheaper rates because of Indian govt's negative attitudes. The central govt of India should better give a kind of autonomy to many States around BD border so that these States can deal directly with BD govt and industries.

 

[Joe Shearer]

Indian Govt Co., Ltd. is averse to import BD goods, and many BD producers do not show interest in Indian market because of lengthy process and the very cheap rate the Indian market offers to BD producers. On the contrary, the same BD producers can get easy orders from western companies. The westerners would come to Dhaka, talk amicably and would finalize a purchase decision with a firm handshake.

But, indians are very difficult people to deal with. BD is not losing anything by not getting into the Indian market. Rather, it is the Indian consumers who are not getting good quality BD products at cheaper rates because of Indian govt's negative attitudes. The central govt of India should better give a kind of autonomy to many States around BD border so that these States can deal directly with BD govt and industries.

Unfortunately, this is an accurate and sensible assessment.

The processes are lengthy and complex;
Rates are very low;
Indian businessmen are difficult to deal with;

There is no doubt about that. With easy orders coming from companies in the west, there is little incentive for Bangladeshi businessmen to tackle the Indian market.

As for solutions, overhauling the Indian bureaucratic system is not going to happen. An alternative would be to deal directly with the five Indian states that border Bangladesh, and allow them to deal directly with Bangladesh and Bangladeshi industries. That, too, will take some time to happen, as the debate between the centre and the states on the question of more autonomy for the states is just begun.

There may not be any short-term solutions in sight.