As the global economy slowly but surely moves past the Covid-19 pandemic, trade amongst nations is expected to pick up as well. Bangladesh was no different to feeling the shocks and as such, will be expected to not only increase its trade volume, but continue to strengthen current trade relationships as well.
With all that in mind, it is certainly encouraging to learn that trade relations between Bangladesh and Thailand posted over 40% growth in 2021 compared to the previous year, showing significant recovery with the hope that we will only build from this positive turnaround.
Indeed, there is cause for further encouragement, as Thai Trade Counsellor in Dhaka Khemathat Archawathamrong mentioned that Thailand is eager to sign a free trade agreement (FTA) with Bangladesh to give a boost to bilateral trade.
All of this points to Bangladesh and Thailand taking their current trade relationship - with a total volume of over $1.3 billion - to the next level. However, what could certainly be worth paying attention to is the skewed nature of the trade volume, with Bangladeshi exports being a little over $50 million to Thailand.
No doubt the minimal exports from Bangladesh is as a result of our exports being almost wholly dependent on the RMG industry, leaving us with little to no products worthy of export to nations such as Thailand. As editorialized numerous times in this newspaper, if Bangladesh intends to become a high-income economy and that too in less than two decades, this export strategy will simply not suffice.
Therefore, as we look to increase our trade volume with Thailand, the onus is on the authorities to also explore ways we can have a more favourable balance of exports to imports as well.