US Surpasses India as Bangladesh's Second-Largest Trading Partner

The United States has overtaken India as Bangladesh's second-largest trading partner, according to recent data from the National Board of Revenue. This significant shift in bilateral trade dynamics is driven by a sharp surge in imports from the US, which grew by 43% in one year. Exports to the US increased slightly, by about 4%. In contrast, imports and exports with India decreased.

The rise of the US as Bangladesh's second-largest trading partner can be attributed to several factors, including initiatives taken by Bangladesh to increase imports from the country. The government has made significant purchases of wheat, energy, soybean seeds, and cotton from the US, while private sector companies have also increased their imports of these products.

According to Mustafizur Rahman, a distinguished fellow at the Center for Policy Dialogue (CPD), the increase in imports from the US is primarily due to government procurement. However, he noted that the promised special concessions for garment exports have not yet been implemented.