2.1 Canada - Bangladesh Relations

Bangladesh and Canada has a relation of more than 30 years. This relationship has traditionally

been based on a very strong development partnership. Canada’s aid program in Bangladesh is

their largest in the world, amounting to more than $50 million annually and more than $2 billion

since independence in 1971. Over the past thirty years, Canadian development dollars have been

invested in the rail, energy, rural power and telecommunications sectors. CIDA projects have

contributed to advancements in the environment, health and education. Canadian cooperation has

been aimed towards helping women to play their legitimate role in the economy and society.

Canadian companies are visible in Bangladesh, but not easily recognizable. For instance shoes

produced by Bata, a Canadian company. GMG airlines flies dash 8 aircraft manufactured in

Canada. Trains operated by Bangladesh rail are pulled by general motors engines made in

Canada. The coins used here may well have been made in Canada. Nortel networks, began an US

$15 million dollar project with the Bangladesh telephone and telegraph board to install 116,000

switching lines. These new lines will drastically advance this country’s communications

infrastructure

2.2 Trade and Investment:

Canada's commercial relationship with Bangladesh has grown dramatically over the last ten

years. The value of bilateral merchandise trade has more than tripled going from $478 million in

2003 to nearly $1.7 billion in 2012. During this period, Canadian merchandise exports to

Bangladesh have more than quadrupled and Bangladesh has become the second largest source of

Canadian merchandise imports from South Asia, after India.

Canadian merchandise exports to Bangladesh were $525 million in 2012, down slightly from

$552 million in 2011. Merchandise imports from Bangladesh were $1.1 billion in 2012, equal to

2011. Canada's main exports to Bangladesh include cereals, vegetables, iron and steel, oilseeds,

fertilizers, machinery and electronic equipment. Agri-food was the leading export sector from

Canada to South Asia in 2012, making Bangladesh the second largest Canadian agri-food buyer

in South Asia after India.

Canada's main merchandise imports from Bangladesh include knit apparel, woven apparel,

miscellaneous textile articles, headgear, fish and seafood, and footwear. Canada is a bright spot

for Bangladeshi apparel, with garments and textile. Bangladesh has enjoyed duty-free market

access since 2003. Potential trading opportunities to explore include expanding Canadian imports

of ready-made garments, porcelain, jute and quality jute good, ceramic tableware and

kitchenware.

2.3 Canada's Merchandise Trade with Bangladesh (2012)

Canadian Imports from Bangladesh Canadian Exports to

Bangladesh

Merchandise Classification % Merchandise Classification %

1 Woven clothing and apparel articles 45.76 Cereals 30.09

2 Canada’s Merchandise Trade with

Bangladesh, 2012

42.96 Edible vegetables, roots and

tubers

19.72

3 Other textile articles, etc. 7.08 Iron and steel 16.66

4 Headwear 1.29 Oil seeds and misc. fruit, grain,

etc.

15.93

5 Fish, crustaceans, mollusks 0.77 Fertilizers 13.99

6 Umbrellas, whips, walking-sticks 0.44 Electrical machinery and

equipment

0.87

7 Footwear 0.44 Boilers, mechanical appliances,

etc.

0.55

8 Furniture and stuffed furnishings 0.27 Wood pulp; paper or paperboard

scraps

0.42

9 Prepared food, meat, fish, seafood 0.16 Rail transportation, tramways,

traffic signaling equipment

0.33

10 Ceramics products 0.12 Paper and paperboard 0.31

Top 10 as % of Total from Bangladesh 99.31 Top 10 as % of Total To

Bangladesh

98.88

Bangladeshi Imports as % of Canada

Total

0.24 Bangladeshi Exports as % of

Canada Total

0.12

2.3.1 Bangladesh & Canada Total Export & Import Statistics:

Year Total Export Total Import Balance

2005 - 2006 408.78  128.00  280.78

2006 - 2007 460.27  163.00  297.27

2007 - 2008 539.38  315.72  223.66

2008 - 2009 670.67  458.57  212.10

2009 - 2010 672.49  593.21  79.28

2010 - 2011 1005.55  549.93  455.62

2011 - 2012 1008.55  334.08  674.47

2.4 Major Export Commodities of Bangladesh to Canada:

The major exporter commodities of Bangladesh to China are following,

1. Live animals; animal products.

2. Textiles and textile articles.

3. Footwear, headgear, umbrellas, sun umbrellas, walking sticks, seat sticks, whips, riding

crops etc.

4. Machinery and mechanical appliances.

5. Prepared foodstuffs; beverages, spirits and vinegar; tobacco and manufactured tobacco

substitutes.

6. Vegetable products

7. Plastics, rubber and their articles thereof.

8. Raw hides and skins, leather fur skins, saddler and harness, travel goods, handbags and

similar containers.

9. Wood and articles of wood.

10. Articles of stone, plaster, cement, asbestos, mica or similar materials; ceramic products;

glass and glassware. Etc.

For our report we’ve categorized all the different commodities into seven groups that are being

exported to Canada from Bangladesh. These are follows,

2.4.1 Readymade Garments:

Year’s Export Amount (Tk. In Crore)

2011-2012 5535.5

2010-2011 4530.7

2009-2010 3127.9

2008-2009 3066.6

2007-2008 2365.1

2006-2007 2178.6

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

1000

2000

3000

4000

5000

6000

Readymade Garments

Readymade Garments

2.4.2 Fish, Shrimps and Prawns:

Year’s Export Amount (Tk. In Crore)

2011-2012 70.5

2010-2011 68.8

2009-2010 48.6

2008-2009 41.8

2007-2008 22.1

2006-2007 19.3

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

10

20

30

40

50

60

70

80

Fish, Shrimps & Prawns

Yearly Export Amount (Tk. In Crore)

2.4.3 Jute Manufactures:

Year’s Export Amount (Tk. In Crore)

2011-2012 12.3

2010-2011 10.0

2009-2010 6.7

2008-2009 5.8

2007-2008 7.7

2006-2007 10.6

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

2

4

6

8

10

12

14

Jute Manufactures

Yearly Export Amount (Tk. In Crore)

2.4.4 Leather and Leather Manufactures:

Year’s Export Amount (Tk. In Crore)

2011-2012 17.1

2010-2011 11.5

2009-2010 10.2

2008-2009 14.3

2007-2008 14.9

2006-2007 8.5

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

2

4

6

8

10

12

14

16

18

Leather & Leather Manufactures

Yearly Export Amount (Tk. In Crore)

2.4.5 Raw Jute:

Year’s Export Amount (Tk. In Crore)

2011-2012 0.0

2010-2011 1.0

2009-2010 0.0

2008-2009

2007-2008 0.5

2006-2007 8.7

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

1

2

3

4

5

6

7

8

9

10

Raw Jute

Yearly Export Amount (Tk. In Crore)

2.4.6 Handicrafts:

Year’s Export Amount (Tk. In Crore)

2011-2012 1.0

2010-2011 1.0

2009-2010 1.6

2008-2009 -

2007-2008 -

2006-2007 -

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

Handycrafts

Yearly Export Amount (Tk. In Crore)

2.4.7 Others:

Year’s Export Amount (Tk. In Crore)

2011-2012 399.1

2010-2011 371.2

2009-2010 212.7

2008-2009 242.3

2007-2008 223.3

2006-2007 198.0

2011-2012 2010-2011 2009-2010 2008-2009 2007-2008 2006-20070

50

100

150

200

250

300

350

400

450

Others

Yearly Export Amount (Tk. In Crore)