Bangladesh’s commerce ministry announced today that Bangladesh and Japan will soon sign an economic partnership agreement (EPA) aimed at deepening and expanding bilateral trade and investment between the two nations.
To move forward with this initiative, the second round of talks will commence on July 25 in Dhaka and conclude on July 26, according to the commerce ministry.
Commerce Minister Tipu Munshi expressed his enthusiasm for the EPA, stating that it will elevate bilateral relations.
He believes that the agreement will address Japanese investors’ challenges, leading to increased foreign investments and industrial production in Bangladesh.
The decision to pursue the EPA came after a meeting between Commerce Minister Tipu Munshi and Japan’s Economy, Trade, and Industry Minister Yasutoshi Nishimura.
The meeting took place in a daylong summit on ‘Bangladesh-Japan economic relations for the next 50 years: for the industry upgradation of Bangladesh.’
The summit was jointly organized by the Japan External Trade Organisation (Jetro), Bangladesh Investment Development Authority (Bida), and the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) at Pan Pacific Sonargaon in Dhaka.
The groundwork for the EPA was laid in April of the previous year when Dhaka and Tokyo signed a memorandum of understanding during Prime Minister Sheikh Hasina’s visit to Japan.
Both nations aim to finalize the agreement by the end of 2025 or early 2026, coinciding with Bangladesh’s expected graduation to developing country status.
As Bangladesh approaches its graduation from the group of least-developed countries (LDCs) in 2026, the country has been actively seeking trade agreements with key partners to retain duty-free export benefits.
One crucial topic discussed during the meeting was the continuation of zero-duty entry of Bangladeshi products to Japan in the post-LDC era.
Japan expressed interest in investing in mega projects in Bangladesh, with ongoing investments and a desire to increase their involvement further.
The meeting also highlighted the importance of exploring potential areas for bilateral investment to foster stronger economic ties between the two nations.
