Bangladesh has 6 promising sectors beyond RMG to diversify export: USAID study

The United States has identified six “promising” industries beyond the ready-made garments or RMG to help Bangladesh diversify its export basket and stimulate new streams of economic growth.

Senior Correspondentbdnews24.com
Published : 5 Nov 2019, 08:32 PM
Updated : 5 Nov 2019, 08:32 PM

The US government’s development arm, USAID, conducted the study named Comprehensive Private Sector Assessment or PSA and shared that in a programme on Tuesday in Dhaka.

In 2018-19, Bangladesh earned $40.53 billion by exporting goods. But 85 percent of the earnings came from the RMG sector.

The USAID study said agribusiness (food processing), health care, information and communications technology and outsourcing, light engineering, pharmaceuticals, and tourism are the sectors that hold promise beyond the RMG for private sector engagement and investment.Visiting USAID Deputy Administrator Bonnie Glick, Executive Chairman of Bangladesh Investment Development Authority or BIDA Sirajul Islam, and US Deputy Chief of Mission in Dhaka JoAnne Wagner were present at the launch at the American Chamber of Commerce in Bangladesh or AmCham.

The embassy said the US government through the USAID conducted the study in a show of bilateral support towards strengthening Bangladesh’s economy through diversification.

The study examined 16 emerging sectors in total that also includes ceramics, entrepreneurship, leather and leather goods, medical equipment, plastic, renewable energy and energy efficiency, shipbuilding, shrimp and fish, telecommunications and vehicle assembly.

The assessment did not cover some traditional industries, including the energy sector as a whole.

The embassy said in collaboration with Bangladesh government, they will analyse the priority sectors identified in the report to explore specific strategies for investment and increased engagement with the local private sector in these fields.

The Inspira Advocacy and Consultancy Ltd, a Bangladeshi private consultation firm, helped to conduct the study between October 2018 and July 2019.