Bangladesh's Export Import Analysis
1.1 Introduction
Bangladesh is a rapidly developing country with a rapidly growing economy. Its economy ranks as 43rd largest economy regarding its PPP terms in 2010 and 57th largest economy regarding the nominal terms according to the IMF. By observing the economy of Bangladesh it is said that its economy is mainly market based economy. After liberation war Bangladesh had to suffer a lot and its economy was devastated at that time. So foreign aid was the main source of external earnings for Bangladesh. After passing about four decade Bangladesh has established a stable economy though it is still troubled with inflation, political instability and other constraints. Bangladesh had once only few countries to trade with as it had limited range of product to export. Importing products is still continued by Bangladesh since its production is not sufficient.
Bangladesh domestic need for product is on increase and is still beyond its own production level making it obliged to import from foreign countries. Agro-based economy has made it backward in the industrial sector. A large number of labor forces are working in the agricultural sector. Industrial sectors lack efficient labor force and its growth obstacles by other constraints. Thus Bangladesh has to import products of billion dollars from foreign countries. Bangladesh had to import food products ago but now it imports more technological and raw material products for industrial sectors. So it spends more of its foreign earnings in importing products.
Rise of the industrial sectors brings a wide range of products for Bangladesh to export rather than its traditional agro-based products. Its government has provided different privileges to its industrial sectors to do their export work. Export processing zone has been set for the special export products. Tax exemption and other advantages are been provided to increase the export and the foreign earnings. Readymade garments have become the most foreign earnings providing
Bangladesh is a rapidly developing country with a rapidly growing economy. Its economy ranks as 43rd largest economy regarding its PPP terms in 2010 and 57th largest economy regarding the nominal terms according to the IMF. By observing the economy of Bangladesh it is said that its economy is mainly market based economy. After liberation war Bangladesh had to suffer a lot and its economy was devastated at that time. So foreign aid was the main source of external earnings for Bangladesh. After passing about four decade Bangladesh has established a stable economy though it is still troubled with inflation, political instability and other constraints. Bangladesh had once only few countries to trade with as it had limited range of product to export. Importing products is still continued by Bangladesh since its production is not sufficient.
Bangladesh domestic need for product is on increase and is still beyond its own production level making it obliged to import from foreign countries. Agro-based economy has made it backward in the industrial sector. A large number of labor forces are working in the agricultural sector. Industrial sectors lack efficient labor force and its growth obstacles by other constraints. Thus Bangladesh has to import products of billion dollars from foreign countries. Bangladesh had to import food products ago but now it imports more technological and raw material products for industrial sectors. So it spends more of its foreign earnings in importing products.
Rise of the industrial sectors brings a wide range of products for Bangladesh to export rather than its traditional agro-based products. Its government has provided different privileges to its industrial sectors to do their export work. Export processing zone has been set for the special export products. Tax exemption and other advantages are been provided to increase the export and the foreign earnings. Readymade garments have become the most foreign earnings providing