The government has taken initiative to establish an ‘online platform’ to make foreign trade with Russia easier which would lead to an increasing amount of export-import, reducing the price of food products and increasing export revenue as well.
The Western world banned Russia from the Swift payment system due to the Russian invasion of Ukraine. In this circumstance, Russia suggested Bangladesh introduce a new online platform to continue trade between the two countries. After a few months, Bangladesh accepted the Russian proposal and is working to introduce the new platform considering the ongoing crisis.
A senior official of the Information and Communication Technology Division said the platform project would be implemented under the Ministry of Posts, Telecommunications and Information Technology after consulting with the authorities concerned of the Information and Communication Technology Division and the Ministry of Commerce.
He said, “We have already conducted meetings with concerned parties of the Home Ministry, Ministry of Commerce and Bangladesh Bank. Everyone focused on introducing an inter-border trade policy before the commencement of the platform. If trade is started in the electronic platform, then the import of wheat, maize and sunflower will be increased from Russia. If supplies increase, the prices of these products will decrease in the country.
The export earnings will also rise as the scope of exporting frozen food, knitwear, jute products and shrimp will be expanded through this online payment platform.
The government wants to set up a platform to flourish export-import under the ‘Roadmap 2022-25’ taken by the Ministry of Economic Development of the Russian Federation amid the global changing situation.
The roadmap was aimed to include the relevant services to find out the potential customers or suppliers through the electronic platform. With this platform, users can complete online conversations and telephonic trading as it will serve as a medium to deal with banks, markets and stock exchanges.
According to the roadmap, a programme will be introduced to conduct export-import through special partnership services. As some sanctions have been imposed on Russia, export to Russia is not at an expected place due to various complexities arisen after the Russia-Ukraine war.
The government is trying to find an alternative to payment of bills for export-import as it thinks without a free and safe transaction system, the bilateral trade with Russia will be hampered significantly.
According to Export Promotion Bureau (EPB), Bangladesh exported products worth $66.53 crore in the 2020-21 fiscal year. In the same period, it imported products worth $46.67 crore.
In 2019-20, Bangladesh exported to Russia products worth $48.70 crore while imported products worth $78.20 crore 20, it said.
Economists think the new electronic platform will pave the way for trading with Russia amid the ongoing global economic crisis and turmoil in 2023.
@ The article was published on print and online versions of The Bangladesh Pratidin on November 6, 2022 and has been rewritten in English by Lutful Hoque and edited by Golam Rosul.
