We believe that a Comprehensive Economic Partnership Agreement (CEPA) between Bangladesh and South Korea is the kind of initiative the two nations ought to take under serious consideration. CEPA can improve relations between the two nations, while enhancing economic cooperation via a Free Trade Agreement, investment opportunities, and other services.
Bangladesh right now gets duty-free market access in Korea under its GSP scheme. However, it has yet to reap many benefits due to strict rules of origin for Bangladeshi products. Under a CEPA, with more relaxed rules of origin, our traditional and non-traditional products would gain greater scope for export, and other products would gain preferential market access as well.
What is more, the regional value chain between East Asia and South Asia would be strengthened with increased opportunities for Korean investment in Bangladesh, as well as initiatives to train and send skilled migrant workers to Korea.
A Free Trade Agreement between the two nations would increase our competitiveness and gain us access to the same benefits enjoyed by other Southeast Asian countries. It would also attract Korean investment in the value chains that are operated between South Korea, India, China, and other ASEAN countries.
Bangladesh has a lot to learn from Korea, a nation that considers FTA, export-led industrialisation, heavyweight industry, and attracting FDI as the reasons behind its economic growth. Bangladesh is in need of new markets and new export items in order to ensure that our economic growth is sustainable. Signing a CEPA with Korea is an opportunity not to miss out on.