On Wednesday, speaking at the Bangladesh-Japan Economic Forum Dialogue at the Japan External Trade Organization (JETRO) headquarters in Tokyo, Prime Minister Tarique Rahman said the two countries should take their long-standing relationship to a new level through trade and investment, following the signing of the first Economic Partnership Agreement EPA.
The forum was jointly organised by JETRO and the Japan-Bangladesh Committee for Commercial and Economic Cooperation (JBCCEC).
The visiting Bangladesh PM said that while 350 Japanese companies operated in Bangladesh, Japanese direct investment remained below $ 500 million.
Bangladesh’s exports to Japan stood at $ 1,36 billion, while imports from Japan in the last fiscal stood at $2.16 billion, observed the PM.
He further added that under the recently signed Economic Partnership Agreement, EPA, 7379 products from Bangladesh will enjoy duty free access to Japan, while Japanese steel, automotive parts, electronic equipment will receive preferential access to Bangladesh.
PM pledges reforms and government support
Pledging full government support and essential reforms, the PM invited Japanese companies to invest in key sectors: automotive manufacturing, energy, technology and space, high-speed rail and logistics, and agro-processing.
Alluding to the Bangladesh market of more than 180 million people, a young work force with an average age of 27 plus a burgeoning middle class, he stressed that Bangladesh is set to become one of the top ten consumer economies by 2030.
“I fully understand that businesses need certainty; investors need confidence. Our job is creating the right environment to deliver both,”
Before Prime Minister Tarique Rahman’s visit to Japan on October 26, and amid reports of $6.35 billion in potential Japanese private investment, Kazuiki Kataoka, country representative of the Japan External Trade Organization (JETRO) in Bangladesh, said vehicle manufacturing could become an important area for Japanese investors.
The Bangladeshi PM, speaking at the JETRO event on 28 October, said that Toyota had informed earlier this month of its plan to begin work on a vehicle manufacturing facility in Bangladesh, with full production targeted for 2029.
In the energy sector, The PM invited Japanese companies to invest in LNG infrastructure, efficient gas-fired power generation and renewable energy.
Tarique also highlighted cooperation with Japanese energy company JERA adding that Bangladesh was planning to establish a Bangladesh-Japan Technology Park focused on innovation in artificial intelligence, cloud computing, robotics and electronics manufacturing, with the involvement of Japanese companies, universities and investors.
He urged Japanese companies to explore opportunities in food processing and agro-based manufacturing in Bangladesh, particularly at the Bangladesh Special Economic Zone in Araihazar, being developed by Sumitomo Corporation as per Japanese standards.
Stressing on the significance of people-to-people ties, the prime minister said Bangladesh wanted to make Japanese-language education a priority so millions of young people could learn the language alongside technical skills.
Earlier on 27 October, Japanese Prime Minister Takaichi held a summit meeting with the Bangladeshi PM Tarique Rahman, articulating in her address that amid growing instability in the international situation, it is important for Japan and Bangladesh to contribute to peace and stability in the region and share prosperity by strengthening respective autonomy and resilience of both nations.
“Japan will strongly support the nation-building efforts of the Rahman administration, which took office following democratic general elections.”
Terming Bangladesh and Japan important partners in implementing the Free and Open Indo Pacific (FOIP), she added, “we confirmed that we would upgrade the Bay of Bengal Industrial Growth Belt (BIG-B) initiative, which forms the foundation of cooperation between our two countries, and advance it as a new strategic cooperation initiative.”
Furthermore, private investment by Japanese companies amounting to approximately one trillion yen is expected over the next five years, added PM Takaichi.
A visit promising bonanza for both sides:
The underlying tone of the PM’s visit to Japan carries a surge of optimism because the current tour aims to take the relation to a higher ground.
The rhetoric from Japan was hope inducing while PM Tarique Rahman’s presentation illustrated the resolute stance of Bangladesh to carry out essential infrastructural reforms to woo potential Japanese investors.
The decision by leading Japanese car manufacturer to begin assembling cars in Bangladesh is indeed music to the ears of thousands of mechanical engineers studying at various engineering universities in Bangladesh.
The issue of opening Japanese language centres will trigger enthusiasm among current day students who realise the importance of learning a second foreign language.
The Japanese government, through its development wing, JICA, may take initiatives to open Japanese language centres at public universities.
