EU GSP not a ‘blank cheque’

The European Union's GSP facility that Bangladesh enjoys for its export to the bloc is not a 'blank cheque', said EU Ambassador to Bangladesh Rensje Teerink, highlighting the importance of improving labour rights here.

"We are discussing with the government on labour rights. EBA is not a blank cheque. It comes with strong conditions that Bangladesh needs to observe," she said, adding that Bangladesh has made good progress in terms of labour rights.

Teerink was addressing a talk organised by the Diplomatic Correspondents' Association of Bangladesh (DCAB) at Lakeshore Hotel in the capital yesterday.

The EU's Everything But Arms (EBA) agreement allows duty-free access for 64 per cent of Bangladesh's annual garment shipments to the region, which is worth about $34 billion. The EU provides this facility considering the country's LDC status but it is set to end in 2024, when the country graduates to a developing country. However, the EU later provided a three-year grace period.

After that, the country will be eligible for GSP Plus in 2027 but will face even more stringent conditions under that agreement, Teerink said.

"We need to see if Bangladesh at that point can apply for GSP Plus, which is also quite a generous scheme that has more stringent conditions than the EBA.

"I think more conventions and also environmental, human rights etcetera pre conditions need to be fulfilled. We are working with the government on the labour rights roadmap and while approaching graduation, we will have to take it forward," he added.

Spanish Ambassador to Bangladesh Francisco Asis Benitez Salas, Italian Ambassador Enrico Nunziata, Dutch Ambassador Harry Verweij, Swedish Ambassador Alexandra Berg Von Linde and Danish Ambassador Winnie Estrup Petersen also spoke at the DCAB Talk.

DCAB President Angur Nahar Monty and General Secretary Touhidur Rahman were also present.

The ambassadors spoke of trade, investment, climate change, migration and Rohingya issues.

They said Bangladesh has been doing quite well in terms of growth despite the ongoing coronavirus pandemic which has disrupted the global supply chain.

The EU also provided assistance to Bangladesh to help addressing the pandemic and expedite its economic recovery. Teerink said the EU has been working with Bangladesh to improve the country's business climate as well.

"I would say there are still a lot of challenges. The Bangladesh Business Climate Forum will have a meeting early next year," she said. 

Besides, the EU is supporting Bangladesh in tackling the Rohingya crisis and will continue to provide support for both Rohingya repatriation and accountability.

Asked if the EU was doing enough to put pressure on Myanmar, Teerink said the EU has been working at the UN level and was recently successful in getting a resolution adopted on the Rohingya crisis. Besides, the EU has implemented some targeted sanctions against high military officials of Myanmar.

Besides, the EU is also enhancing its engagement with Myanmar on the EBA facility because of the Rohingya crisis.

"So, we have instruments at our disposal to address human rights issues in Myanmar. It is not only related to the Rohingya but other ethnic problems too," she said.

The EU ambassador said the whole international community should work together for a solution to the crisis and that it was not right to single out the role of the EU.

"Look at India and China and many other countries in ASEAN. We don't see a unified approach. We see Malaysia sometimes positive but see them pushing back Rohingya boats at the same time. I think the whole international community should work together.

"Look at what other countries are doing. We all need to work together," she said.