Government Policy

Russia-Ukraine conflict: BGMEA sees challenges for trade

The ongoing Russia-Ukraine conflict has emerged as a concern for the RMG sector of Bangladesh, says the apex body of the country’s apparel industry on Wednesday.

Russia, a potential and emerging market for Bangladesh RMG exports, has come under a wide range of sanctions imposed by a number of countries, said Bangladesh Garment Manufacturers and Exporters Association (BGMEA) in a statement.

Especially blocking of Russian banks’ access to the SWIFT international payment system appears to be a major challenge for Bangladesh’s trade, BGMEA said.

Bangladesh exported garments worth US$ 593 million to Russia in 2020-2021 fiscal year.

BGMEA is now closely observing the situation.

“We have advised our members to send us information with regard to buyers they are working with for exports to Russia, overdue payments and details of the concerned banks,” said the BGMEA.

It also advised its members and exporters to be in touch with their buyers and lien banks and take necessary decisions based on discussions with them.

BGMEA has also taken up the matter with the relevant ministries of Bangladesh government, particularly the Ministry of Commerce and the Ministry of Foreign Affairs.

The government has already called for a meeting regarding the issue to understand the severity of the matter and take necessary measures.

Clarifying BGMEA’s position regarding the issue, BGMEA hopes all from their respective positions will remain watchful of the situation.

Source: United News of Bangladesh