Bangladesh has begun preferential trade talks with Indonesia to increase export of apparel, leather and other items to the South Asian country. There is huge potential of Bangladesh’s apparel items, leather and leather goods, and medicine in Indonesian market. The country plans to sign a preferential trade agreement (PTA) with Indonesia.

Compared to other export destinations, Bangladesh’s prized export product apparel, that occupies 83 per cent of its export basket, performs poorly in Indonesia. However, the rise seen so far during July-December is very encouraging.

According to Export Promotion Bureau, during fiscal 2017-18, Bangladesh exported goods worth $4.25 million to Indonesia. Apparel exports accounted for nearly half of the total export receipt fetching $1.8 million. During the first half of the fiscal, total exports to Indonesia has crossed $28.7 million. Half of the total exports to Indonesia –$14.2 million – was from the apparel sector with $8 million in knitwear and $6.2 million in woven. Among other major export items to Indonesia are vegetable textile fibres, paper yarn and woven fabrics of paper yarn, home textiles and jute-related products.