Business leaders from Bangladesh and Pakistan have stressed their governments should sign a free trade agreement (FTA) and establish direct shipping links to help their private sectors cooperate each other more effectively. They expressed this view at a meeting between visiting Karachi Chamber of Commerce and Industry (KCCI) and Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) in Dhaka.
Karachi delegation also offered co-operation in textile sector and expressed its readiness to ensure uninterrupted supply of raw materials to Bangladesh's export-oriented readymade garment sector.
"Bangladesh has a strong value-added readymade garment manufacturing industry, while Pakistan has the same strength in textile raw-materials, so here is opportunity for co-operation," said KCCI President and trade delegation leader Khalid Firoz.
If FTA was signed and direct shipping communication was established, Pakistani textile producers would be able to supply low-cost raw materials to Bangladesh's readymade garment industry, Firoz added.
Beside textiles, there were a lot more areas like light engineering, education, telecom and data communication where both South Asian countries could tie up their mutual strengths, he added.
Bangladesh business leaders sought co-operation from their fellows in Pakistan in developing agro-based sector and having a greater access to Pakistan's medicine market.
A leading Bangladeshi businessman, Matlub Ahmed offered joint venture in raw sugar processing and lime mining in Pakistan as part of integrated production chain with provision of making finished products in Bangladesh.
FBCCI's first vice president, Kamaluddin Ahmed chairing the meeting referred to bilateral trade balance tilting in favour of Pakistan, and urged the latter to buy more jute and jute goods, tea, sanitary, melamine wares and cables from Bangladesh to help reduce the trade gap.
He also sought Pakistani investment in composite textile and engineering sectors.
The trade balance between both countries is currently in favour of Pakistan, whose exports to Bangladesh were US 195 million dollars in 2003-04 fiscal against imports of US 46 million dollars.
Bangladesh exports mainly raw jute, tea, pharmaceuticals and leather to Pakistan while it imports textile products, food stuff and machinery, minerals and plastic products.