Bangladesh lacks platform to issue trade docs electronically

Bangladesh lacks required platform to issue documents electronically for facilitating trade under bilateral and regional treaties, frequently disrupting export of goods.

Until now, most of the trade documents are issued manually and the trading partners cannot check their authenticity if required.

As a result, export consignments often remain stuck in foreign ports which can be avoided by issuing the documents electronically.

The difficulty came to the surface lately as Bhutan has requested Bangladesh to make necessary arrangements for issuing Certificate of Origin (CoO) through electronic means.

Bangladesh and Bhutan are expected to sign a Preferential Trade Agreement (PTA) soon.

Bhutan made the request to ensure smooth flow of trade under the proposed agreement, a senior commerce ministry official told the FE.

Recently, the European Commission introduced Registered Exporter (REX), a new system of certification of origin under which the exporters themselves issue CoO for each consignment of goods.

Under the system, a provision is there for the European Union to check online the company profile and whether the company itself has issued the CoO.

However, the EU cannot verify the authenticity of the content of CoO like the output and input used in the goods at manufacturing stage and whether those meet the value addition requirement, said the official.

Neighbouring India has granted Bangladesh and the other least developed countries (LDCs) duty- and quota-free market access under the South Asian Free Trade Agreement or SAFTA.

India frequently requested Bangladesh to check the authenticity of CoO, which are issued manually by the Export Promotion Bureau or EPB of Bangladesh just after reaching the goods to its port.

Officials said that had there been platform for online issuance of the certificates and the importing countries' customs authority have access to it, goods may not remain stuck for days and months at ports for authenticity check of the documents.

Recently, India and Bangladesh discussed that unless there is an arrangement for software-based real-time online presence of CoO, the documents can be uploaded to the website by scanning.

"That is what we can do if both countries want it," said an official.

Contacted on Sunday, EPB vice chairman AHM Ahsan acknowledged the shortcomings, but said his office was working on creation of such a platform.

"We are working on procurement of software for electronically issuing certificates," he said. He was not, however, sure whether the software could be developed soon or before signing the PTA with Bhutan.

"But, what I can say is that the trade volume with Bhutan is small. Even if we can put the CoO in a secured server through scanning and give them online access, they can check the authenticity," he added. "That is a very easy process."

Replying to a query, he said that once the online platform is developed, the provision for tracking certificates issued for trade under regional blocks like SAFTA, APTA, and any other will be incorporated.

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