EU keen on FTA with Bangladesh; technical team to visit soon
The meeting also decided that an EU technical committee will visit Bangladesh soon to facilitate the trade agreement process.
The European Union has expressed interest in signing a Free Trade Agreement with Bangladesh as the country prepares for graduation from the Least Developed Country category.
EU Ambassador to Bangladesh Michael Miller along with the ambassadors of the Netherlands and Spain showed interest during a meeting with Commerce Minister Khandakar Abdul Muktadir at the Economic Relations Division yesterday (9 July).
The meeting also decided that an EU technical committee will visit Bangladesh soon to facilitate the trade agreement process. The committee will also prepare a roadmap for implementing the agreement, according to the economic division sources.
Muktadir and Miller led their respective sides at the meeting.
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The minister said the government is working sincerely to address the EU's concerns, improve the investment climate, and remove trade barriers as Bangladesh prepares for a future Free Trade Agreement with the EU and its LDC graduation, reports BSS.
The government has already made significant progress in addressing issues raised by the EU and is committed to fulfilling all international obligations, the minister said.
Muktadir said the government is creating a more conducive environment for foreign investment by reducing trade barriers and strengthening international confidence in Bangladesh's economy.
He expressed optimism that ongoing reforms would help establish a favourable investment climate, resolve energy-related challenges, eliminate trade obstacles, and improve the efficiency of state-owned industries through private sector management, placing the country's economy on a stronger footing, according to BSS.
The minister also highlighted the importance of close cooperation with the EU to ensure a smooth transition in the post-LDC period and to pave the way for a comprehensive Bangladesh-EU Free Trade Agreement.
During the meeting, Ambassador Miller said the EU is ready to begin exploratory discussions on a free trade agreement with Bangladesh and has already submitted a formal proposal to the government.
He emphasised the need for timely reforms, removal of non-tariff barriers, and further improvements to the business environment to facilitate progress in future negotiations.
Bangladesh currently enjoys duty-free access to the EU market under LDC trade preferences, a benefit that will continue for three years after graduation. The government is seeking the trade agreement to ensure continued preferential market access beyond that period.
The EU is Bangladesh's largest export destination. In FY26, the country exported readymade garments worth $38.70 billion to the bloc. Bangladesh's key competitors, Vietnam and India, have already signed the agreements with the EU.
