Govt delivering utmost to ensure smooth graduation from LDCs: Commerce adviser

Commerce Adviser Sk. Bashir Uddin has said that the interim government has been delivering its maximum efforts as much as possible imbued with patriotism to ensure smooth graduation of the country from the Least Developed Countries (LDCs).

"Be rest assured, we're doing as much as possible imbued with patriotism in this regard," he said.

The Commerce adviser said this in an interview with the national news agency at his Secretariat office recently while shedding light on the various aspects of the country's LDC graduation in November 2026 and subsequently facing the reaction from the private sector over the matter.

Regarding the reservation from the private sector in the country's LDC graduation in 2026, he raised question why the private sector had literally 'slept' over the issue for years and did not raise any such a strong voice.

Earlier, it was scheduled for 2024 for Bangladesh to be graduated, but it was delayed due to various reasons including the COVID-19 pandemic and other reasons. "It's true that I can't agree or disagree with the demands from the private sector. So, it's a 'paradoxical' situation."

Bashir went on saying, "As because, if we agree with them, then the necessary reforms will fall again into sleep...Deferring the graduation is not at all depends on the will of the government. They (private sectors) will have to accept it."

Bangladesh has passed in all the three criteria for graduating from the LDCs while it is a different argument whether those are based on right information or data or on wrong information, he mentioned.

The Commerce adviser said they had to make the crisis management following the unruly acts of the previous AL regime. "My team members are also trying hard with sincerity and patriotism and Insha Allah, hopefully we'll be able to reach into a welfare situation for the country," he continued.

Replying to another query, he said although it is not possible to carry out all the reforms, but definitely some would be carried out. "The rest will move forward dynamically."

Meanwhile, many including a section of economists and businesspeople, were in favour of deferment of LDC graduation by a couple of years.

They reasoned that the economy needed time to cope with the severe fallout of the pandemic, the Russia-Ukraine war, and high global inflationary pressure over the last few years.

While addressing a briefing recently, Shafiqul Alam, the chief adviser's press secretary, said the interim government had decided to keep to the schedule for availing the United Nations status graduation.

"The government has taken into consideration opinions from experts on whether the process would impact industries and settled on going for it," he said.

Besides, the chief adviser's press secretary said, benefits provided to Bangladesh for being an LDC would prevail for three years past the graduation.

Bangladesh has met all three preconditions for graduation, thanks to its economic development since the country attained independence in 1971.

The country was listed in the LDC grouping in 1975 to avail different benefits, such as zero-tariff and quota access to different countries, as the economy was on the verge of collapse following the Liberation War.

Such benefits have enabled Bangladesh to currently stand out as the second-largest garment exporter after China.

Bangladesh will lose trade worth over $8 billion annually due to the withdrawal of post-LDC preferential trade benefits, for which the country would have to pay at least 12% duty on goods shipments.

Currently, 78% of the country's exports avail LDC benefits in 38 countries.

The European Union (EU) has already assured that it will continue theLDC trade benefits for Bangladesh for three more years, up to 2029, asa grace period meant to enable a smooth transition.

The UK, Canada, and Australia have given similar commitments, except for some conditions.