Sri Lanka and Bangladesh are not rivals, but need to create synergies to work together to build both economies which share many similarities, said Bangladesh High Commissioner to Sri Lanka, Andalib Elias.
“We are not mere neighbours but partners in progress,” Elias said while addressing a Sri Lanka Bangladesh B2B meeting hosted by the National Chamber of Commerce of Sri Lanka last week.
The Ambassador said Sri Lanka and Bangladesh are working on the Preferential Trade Agreement (PTA) but a Free Trade Agreement (FTA) is the way forward.
“The many similarities shared by both Sri Lanka and Bangladesh with its common strengths and weaknesses a FTA will serve a higher purpose,” he said.
Sri Lanka and Bangladesh have been discussing a Free Trade Agreement (FTA) for some time. However, they have not yet finalised a formal FTA. Instead, both countries are currently working towards a Preferential Trade Agreement. Negotiations for the PTA are ongoing, with the aim of concluding them and signing the agreement in the near future.
Meanwhile, a delegation from the Dhaka Chamber of Commerce and Industry has emphasised signing the PTA between Bangladesh and Sri Lanka to expand bilateral trade and investment.
The Chamber observed that Sri Lanka’s experience and technical assistance in the development of the maritime economy, deep-sea fishing and port management will play an important role in improving Bangladesh’s skills in these sectors.
Sri Lanka’s exports to Bangladesh increased significantly in recent years, with exports reaching USD 241.54 million in 2024 while exports from Bangladesh to Sri Lanka reached USD 83.79 million last year.
DCC President and leader of the Dhaka delegation, Taskeen Ahmed said that despite the immense potential of trade and investment between the two SAARC countries, it has not yet reached the desired level, but this potential can be exploited by improving relations between the private sectors of the two countries.
“Sri Lankan entrepreneurs can invest in Bangladesh’s logistics infrastructure, tourism, education and health services, construction, renewable energy, agro-processing products and information technology sectors,” he said.
The DCCI President also urged Sri Lankan businesses to import pharmaceuticals, readymade garments, footwear, electronics and jute products from Bangladesh.
It has also been observed that despite having ample ocean resources the contribution of the maritime sector or the blue economy to the overall economy is minimal accounting for around 1% of the GDP.
Sri Lanka-Bangladesh Business Cooperation Council President Andre Fernando said the scope for trade and investments in medical and pharmaceutical sectors with Bangladesh is immense adding that Sri Lanka must make good use of the rapidly expanding consumer market of Bangladesh with new products.
