The visit by Prime Minister Sheikh Hasina to France on November 9-13 will help take Dhaka-Paris bilateral trade and investment to new heights, said Mohammad Ershad Hussain Rana, director of France–Bangladesh Chamber of Commerce and Industry. Speaking to Dhaka Tribune at his office in the capital, he also said that although France-Bangladesh trade ties took a hit last year due to the Covid-19 pandemic, the prime minister's upcoming visit should give it a much-needed boost. Last year, the bilateral trade came down to $2.76 billion euros, showing a decrease of 15% compared to 2019. Fueled by readymade garments and some other leader products which represent 98% of French imports from Bangladesh, the total value of imports decreased 15% in a year to reach $2.52 billion euros. However, France remains one of Bangladesh’s largest export markets and its third customer in the European Union. French exports to Bangladesh decreased by 12% in 2019, amounting to $238 million euros. In 2016, trade between France and Bangladesh totalled $2.689 billion euros with a significant trade deficit for France of $2.2 billion euros. Exports to Bangladesh fell 34.7% compared with 2015 due to the drop in sales of agricultural products and currently stand at €189 million, while France’s imports increased by over 40% over two years reaching €2.5 billion. In 2015, trade between France and Bangladesh totaled €2.423 billion, up by over 30% compared to 2014. Imports of France from Bangladesh increased by 25.1 % to reach €2.1 billion. While France primarily imports apparel products, French exports to Bangladesh increased by 91% last year.
French exports to Bangladesh are driven by electric and electronic goods, hardware, but also chemicals, perfumes and cosmetics, as well as pharmaceuticals and agro-food products. Saying bilateral relations between Bangladesh and France are warm and friendly, Rana, also chairman and chief executive officer of Dawn Group of Companies, expressed the hope that Dhaka-Paris relations will reach newer heights in the days to come. Prime Minister Sheikh Hasina will pay a visit to Paris, France from November 9 to 13 which Dhaka says will be a very “extensive and engaging” one and take the relations between the two countries to a newer height. She will have bilateral meetings with French President Emmanuel Macron and Prime Minister Jean Castex separately during the visit. “Both the French president and the prime minister invited our prime minister to visit France,” Ershad Rana said, quoting Foreign Minister Dr AK Abdul Momen. He also said that many French companies want to invest in Bangladesh and there is interest from both sides to boost export and import to strengthen the trade relations. Quoting the foreign minister, Ershad Rana further said that the chiefs of many French companies and a delegation of the MEDEF (the Mouvement des entreprises de France, or the Movement of the Enterprises of France, is the largest employer federation in France) want to meet the prime minister. "I am sure that Bangladesh can repeat the success-story of the garment industry in other fields, in particular the digital economy. I am confident that diversification will create opportunities to bring more French investment here in the coming years," he commented. Stating French FDI in Bangladesh was $14.64 million in 2016-17, he said adding that "our chamber encourages French companies to come up with investments."
On the investment environment in Bangladesh, he said French entrepreneurs will look at security, improved infrastructure and level of corruption before investing here. Becoming a more diversified economy, Bangladesh will need a larger range of equipment to sustain its diversification, CEO of Dawn Group of Companies said. “This should widen the range of business opportunities between France and Bangladesh. It will also widen the possibilities for Bangladesh to diversify its exports to France, “he added “Of course, it will take time, and there may be some ups and downs, but our bilateral chamber of commerce is performing well and I am optimistic," Rana pointed out. He praised the economic growth of Bangladesh, particularly in the readymade garment (RMG) sector. He said Bangladesh has the capacity to replicate the success of RMG and pharmaceuticals in other sectors of the economy. He said that Bangladesh is producing high-quality medicines that are entering over a number of countries. On investment climate in Bangladesh, he said: “I believe that the investment climate is favorable for French investors because one of the incentives given to foreign investors is the tax exemption for up to 12 years. Another incentive given by the local government to foreign companies is the possibility of repatriation of profits.