Latest news with #BGMEA
Fibre2Fashion
2 days ago
- Business
- Fibre2Fashion
Steep hike in charges for handling outbound goods boxes in Bangladesh
The Bangladesh Inland Container Depots Association (BICDA) recently announced a steep hike of up to 81 per cent in charges for handling of outbound goods-laden boxes. Exporters feel this is a fresh blow amid the reciprocal- tariff tussle with the United States. It also announced a hike in charges for handling empty cargo boxes and some other services. The higher charges will be effective beginning September this year. The Bangladesh Inland Container Depots Association has announced a steep hike of up to 81 per cent in charges for handling of outbound goods-laden boxes. The higher charges will be effective beginning September this year. Exporters feel this is a fresh blow amid the reciprocal- tariff tussle with the US. Trade body BGMEA said the move will lead to high pressure on the garment industry. A 35-per cent additional US tariff on Bangladesh's exports may take effect on August 1. The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) said the move will lead to high pressure on the export-oriented industry. A BICDA circular said the investment cost of inland container depots (ICDs) has increased significantly and capacity expansion of depots has turned difficult. Cost factors include operations and investment, labour, equipment import/purchase and maintenance, devaluation of the taka against the US dollar, overhead costs due to inflation and rising bank interest rates. "Similarly, the new ICDs are also struggling to attain financial viability and achieve full operational capability," said BICDA secretary general Ruhul Amin Sikder. Hence BICDA has raised the empty-container-handling charges and export-cargo-handling charges, he was cited as saying by domestic media reports. From September 1, ICDs will charge Tk 9,900 for handling a 20-foot goods-laden export container, accounting for a 60-per cent rise from the existing rate. For a 40-foot container, the revised charge will be Tk 13,200, while the charge now is Tk 8,250. The revised charge will go up by 81 per cent to Tk 14,900 from the present cost of Tk 8,250 in case of a 40-foot-high cube container and 45-foot container. In case of empty boxes, ground rate for a 20-foot container will increase from Tk 115 to Tk 150 while for 40-foot container it will go up from Tk 230 to Tk 300. Their lift-on/lift-off charges will be Tk 750 and Tk 700 respectively from the existing Tk 512. The documentation charge will be increased to Tk 450 from existing Tk 276 for both 20-foot and 40-foot boxes. The haulage charge will increase to Tk 2,500 from Tk 1,705 in case of 20-foot boxes while for 40-foot boxes the charge will rise to Tk 5,000 from existing Tk 3,410. BICDA is also raising CFS storage charges, labour charge, sorting charge and reefer plug-in charge. Fibre2Fashion News Desk (DS)
Fashion Network
09-07-2025
- Business
- Fashion Network
Bangladesh negotiates with Washington to avoid tariff hike
As it faces the threat of steep new U.S. tariffs, Bangladesh—the world's second-largest textile exporter—is negotiating a trade deal with Washington, a senior government official told AFP on Tuesday. The textile industry remains the backbone of Bangladesh's economy—accounting for 80% of the country's exports, contributing 20% of its GDP and providing direct employment to four million people. With its competitive labour costs, Bangladesh ranks among the world's top apparel suppliers—holding second place for the European Union and third for the United States. The country sends around 20% of its total exports to the U.S., supplying major global brands including Timberland, Vans and The North Face. 'We're hopeful about reaching a reduction, as the U.S. Trade Representative (USTR) has sent us another draft agreement,' said Mahbubur Rahman, secretary at Bangladesh's Ministry of Commerce. He added that two senior members of the country's interim government—tasked with overseeing national security and trade—are currently in the United States negotiating the proposal. In April, the U.S. President announced plans to raise tariffs on Bangladeshi goods entering the American market, increasing the rate from 16% to 37%, before later adjusting the proposal to 35%. At the time, he framed the measure as part of a broader strategy targeting countries with which the U.S. runs significant trade deficits. Official data shows that Bangladesh exported $8.36 billion worth of goods to the U.S. in 2024, while importing just $2.21 billion in return. To help narrow that gap, Bangladesh offered to ramp up imports of key American products—including wheat, cotton, oil, gas and Boeing aircraft. Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), called the tariff threat 'a huge challenge for the entire sector.' 'We're deeply concerned about job losses in Bangladesh and the future of our most important export market, the United States,' added Mohiuddin Rubel, former BGMEA president. (With AFP)
Fashion Network
09-07-2025
- Business
- Fashion Network
Bangladesh negotiates with Washington to avoid tariff hike
As it faces the threat of steep new U.S. tariffs, Bangladesh—the world's second-largest textile exporter—is negotiating a trade deal with Washington, a senior government official told AFP on Tuesday. The textile industry remains the backbone of Bangladesh's economy—accounting for 80% of the country's exports, contributing 20% of its GDP and providing direct employment to four million people. With its competitive labour costs, Bangladesh ranks among the world's top apparel suppliers—holding second place for the European Union and third for the United States. The country sends around 20% of its total exports to the U.S., supplying major global brands including Timberland, Vans and The North Face. 'We're hopeful about reaching a reduction, as the U.S. Trade Representative (USTR) has sent us another draft agreement,' said Mahbubur Rahman, secretary at Bangladesh's Ministry of Commerce. He added that two senior members of the country's interim government—tasked with overseeing national security and trade—are currently in the United States negotiating the proposal. In April, the U.S. President announced plans to raise tariffs on Bangladeshi goods entering the American market, increasing the rate from 16% to 37%, before later adjusting the proposal to 35%. At the time, he framed the measure as part of a broader strategy targeting countries with which the U.S. runs significant trade deficits. Official data shows that Bangladesh exported $8.36 billion worth of goods to the U.S. in 2024, while importing just $2.21 billion in return. To help narrow that gap, Bangladesh offered to ramp up imports of key American products—including wheat, cotton, oil, gas and Boeing aircraft. Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), called the tariff threat 'a huge challenge for the entire sector.' 'We're deeply concerned about job losses in Bangladesh and the future of our most important export market, the United States,' added Mohiuddin Rubel, former BGMEA president. (With AFP)
Fashion United
08-07-2025
- Business
- Fashion United
Bangladesh hopes for trade agreement with US
Dhaka, July 8, 2025 – Bangladesh, the world's second-largest textile manufacturer, still hopes to reach an agreement with the US to avoid the sharp rise in customs duties threatened by Donald Trump. A senior official told AFP on Tuesday. The textile industry contributes 80 percent of the South Asian country's total exports. One-fifth of its production is destined for the US market, sold under brands like Timberland, Vans and The North Face. "We are hopeful of securing a reduction because the United States Trade Representative (USTR) has sent us another draft agreement," Mahbubur Rahman, secretary of the Bangladeshi Ministry of Commerce, told AFP. According to Rahman, the two officials responsible for national security and trade matters within the interim government are currently in the US to "work on the issue". Tariff threats and trade deficit In April, Trump threatened to increase tariffs on Bangladeshi products entering the US from 16 to 37, then 35 percent. The US president had announced a general increase in customs duties, especially for countries with which the US has a large trade deficit. Bangladesh exported 8.36 billion dollars worth of goods to the US in 2024. The US only sold 2.21 billion dollars worth of goods back to Bangladesh, according to official statistics. To reduce this difference, Bangladesh has offered to import more wheat, cotton, oil or gas, and Boeing aircraft from the US. Concerns for employment and the future of the sector Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), described the issue of US tariffs as "a huge challenge for the entire sector". "We are worried about job losses in Bangladesh and the future of our main export market, the US," Mohiuddin Rubel, the previous head of the BGMEA, told AFP. This article was translated to English using an AI tool. FashionUnited uses AI language tools to speed up translating (news) articles and proofread the translations to improve the end result. This saves our human journalists time they can spend doing research and writing original articles. Articles translated with the help of AI are checked and edited by a human desk editor prior to going online. If you have questions or comments about this process email us at info@
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First Post
08-07-2025
- Business
- First Post
Hit by 35% Trump tariff, Bangladesh seeks trade deal with US to save its cash cow
Dhaka is now exploring ways to boost imports from the US in bid to bridge the trade deficit, which Trump has cited to justify his tariff imposition read more After last August's student-led uprising and the subsequent ouster of now-deposed PM Sheikh Hasina, Bangladesh's textile and garment production had just started to come back on track. The industry is the backbone of the country's economy, accounting for 80 per cent of the country's exports. However, the Donald Trump administration on Monday (July 7) slammed his wrecking ball into the industry by imposing a whopping 35 per cent tariff on the impoverished South Asian economy. STORY CONTINUES BELOW THIS AD This is more than double the 16 per cent currently levied by the US, a major export destination for Dhaka. Bangladesh exported $8.36 billion worth of goods to the United States in 2024, while imports from there amounted to $2.21 billion, according to the Bangladesh Bank and the National Board of Revenue. Bangladesh scrambles to get relief According to a report by news agency AFP, Dhaka is now exploring ways to boost imports from the US in a bid to bridge the trade deficit, which Trump has cited to justify his tariff imposition. The country is offering to import Boeing planes and boost imports of US wheat, cotton and oil. Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), called it 'a big challenge for the garment sector'. 'We had expected the tariff imposed on us to be between 10 to 20 percent,' he said, adding he expected Dhaka's interim leader Muhammad Yunus to 'raise the issue with the United States'. Former BGMEA director Mohiuddin Rubel warned the impact as tariffs stand would be dire. 'The new tariffs raise worries about job losses in Bangladesh as the US is its main export market,' he said. 'Bangladesh needs to act quickly by engaging US importers to push for policy changes, resuming high-level trade talks, and highlighting the importance of its products.' US President Donald Trump has ramped up his trade offensive, threatening steep new tariffs on 14 countries unless they agree to buy more American goods and increase US-based manufacturing. STORY CONTINUES BELOW THIS AD
