Apparel Online Bangladesh Magazine November Issue 2018 | Page 44
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India to use Bangladesh's sea ports soon
India will soon be using
Bangladesh’s sea ports for
cargo transportation as the
two countries are preparing to
formalise an agreement. The deal
will allow India duty-free access to
the ports for transportation to its
north-eastern states.
Though an exact date was not
specified, Bangladesh’s Shipping
Secretary Abdus Samad said that
India can start using Chittagong
and Mongla ports immediately
after the deal is signed, but not
before a Standard Operational
Procedure (SOP) is drawn.
The announcement was made
recently in a press conference
ahead of ‘South Asia Maritime
and Logistical Forum 2018’.
Secretary Samad said, once the
deal comes to effect, India will
not pay customs duty as per the
principles of GATT (General
Agreement on Tariff and Trade).
However, other fees and charges
will be applicable for those
transported through the ports
to its north-eastern seven sister
states – all of which will be
specified in the SOP.
The two countries had signed a
Memorandum of Understanding
(MoU) on the use of the two ports
during Indian Prime Minister
Narendra Modi’s visit to Dhaka in
June, 2015. Bangladesh’s cabinet
on September 17 approved a draft
agreement on the use of the two
ports. Cabinet Secretary Shafiul
Alam had said Nepal and Bhutan
can be added to it if they wish to
use the two ports.
The new instrument will be
signed for five years, but it can
be extended for another five years.
However, any side can cancel the
agreement after giving six-month
notice and can suspend the deal
if a necessity arises. Should any
problem arise, several committees
of both the countries would resolve
it. As per the deal, Indian goods
can be transported through
four entry points – Akhaura in
Bangladesh and Agartala in India;
Tamabil in Sylhet and Dauki in
India’s Meghalaya; Sheola in
Sylhet and Sutarkandi in Assam;
and Bibirbazar in Cumilla and
Srimantapur in Tripura.
Myanmar textile industry incurs losses following
dollar appreciation
The Myanmar textile industry
has incurred losses due to dollar
appreciation, as reported by
Myanmar Textile Entrepreneurs
Association. The month of
September saw a significant
variation in the value of US dollar.
Notably, the dollar value jumped
from Ks 1,500 in early September
to Ks 1,650 on 20 September.
suspended sales due to the
losses and will resume only after
normalcy is restored. While
remarking on the losses, Moe
said that the local market may
have incurred losses ranging
from 50 to 80 per cent, though it
will be difficult to measure the
extent of losses accurately. It is
also imperative to note that some
Yin Yin Moe, Secretary, Myanmar
Textile Entrepreneurs Association
averred that the dollar
appreciation has significantly
affected the local apparel industry
in Myanmar as they have to
import all materials from
foreign countries.
She also further added that
some of the textile firms have
44 Apparel Online Bangladesh | November 2018 | www.apparelresources.com
garment firms have temporarily
suspended their workers owing
to losses, while many have
stopped recruiting
new workers.