The US authorities would ask for another review on the implementation of the Action Plan by mid-July, official sources said.
They might want the progress report on the 16-point plan imposed as a condition to regain the GSP they suspended for Bangladeshi exportable items due to poor working conditions in the factories of Bangladesh.
It would be the second such review after the government submitted the first one to the office of the US Trade Representative (USTR) on April 15, said a senior official of the commerce ministry.
He said the USTR is not satisfied with the progress of the minimum wage and allowing trade unionism in the country’s Export Processing Zones.
At the meeting with Commerce Minister Tofail Ahmed last month, officials said, the USTR delegation raised their reservation about the minimum wage of $69 per month, which they argued much lower than $114 in most of the countries.
They also alleged that the trade unionism has not been allowed yet in the EPZs. Workers in the EPZs have partial trade union privileges as the government has not extended Industrial Relations Act 2010, which restricted demonstration rights.
With the law having expired on December 31 last year, the government has since allowed EPZ workers to go on strike as part of its steps to meet the conditions outlined by the US authorities for reinstating GSP facilities to Bangladesh.
“If necessary, we’ll send another progress report to the USTR,” Commerce Secretary Mahbub Ahmed told the Dhaka Tribune.
The USTR delegation, headed by Michael J Delaney, after the first Ticfa meeting highlighted two areas where the country needs to act fast – implementation of the amended labour laws and completion of factory inspections.
The legal authorisation for the GSP programme expired on July 31 last year and the US Congress is considering a legislation to extend the authorisation beyond that date, according to the USTR.
As long as the GSP programme remains with no authorisation, there will be no public hearing and no request for public comments for the ongoing GSP country and product reviews and no final disposition of these reviews.
On June 27 last year, US President Barack Obama announced his decision to suspend Bangladesh’s trade benefits under the GSP due to insufficient progress by the Bangladesh in affording workers’ internationally recognised rights.