A pioneer in setting standards

Tapan Chowdhury

After long negotiations, Bangladesh has been enjoying a zero-duty benefit for exports of all products, except 25 alcohol and drug items, to the Indian market since November 2012.

The process of negotiations for such a benefit began in 2002. Following intense negotiations between the two neighbours, the Indian government first started reducing the number of products on the sensitive list for which the duty will be cut. Then it agreed to introduce a quota system for exports of garment items from Bangladesh.

“I still remember how intensely we, from the MCCI, negotiated with the Indian government and business community to reduce the sensitive list,” said Tapan Chowdhury, a former president of Metropolitan Chamber of Commerce and Industry (MCCI) and managing director of Square Pharmaceuticals Ltd.

Square Pharmaceuticals is a sister concern of industrial conglomerate Square Group. “The MCCI cooperated with the Bangladesh government during negotiations with India,” Chowdhury said in an interview with The Daily Star.

Similarly, the MCCI was always against the option to allow whitening of black money in the economy and also opposed the culture of bank loan defaults, as ultimately, depositors lose their money, he said.

These are some small examples where the MCCI cooperated with the government to reach a decision. There are several other examples of such contributions to policy formulation over the years.

Chowdhury was elected president of the influential chamber twice, once in 2002 and for the second time in 2003. Becoming a member of the MCCI is difficult than in other trade bodies, as the chamber always tries to include quality companies and businesspeople, he said. “We encourage credible companies and persons for membership at the MCCI.”

In a journey of 110 years, the MCCI has more than 300 members. This number tells a story of exclusivity in member selection, he said. The MCCI is not politically affiliated and it always tries to remain focused on the subject matter.

The chamber has several success stories to share in helping the government in policy formulation and developing business standards in Bangladesh. MCCI members have negotiated with the government to improve the supply of gas and power to industrial plants, he added.

In its journey, the MCCI could prove its neutrality and played a vital role by avoiding any individual gain, Chowdhury said. “We have been working in the interest of the country.”

However, the MCCI will have to work harder to set widely-accepted business standards in the country, he said. “We still have a long way to go to set up proper business standards and we are working on it.”

The chamber has always encouraged the private sector as the country needs employment generation for the huge number of unskilled, semi-skilled and skilled manpower.

But the government alone cannot accomplish it; the private sector needs to step forward with investment to create job opportunities, he added.

The government should welcome private sector entrepreneurs to develop infrastructure, like railways and bridges, under public-private partnerships, he said.

As an example, if railway services are significantly improved, pressure on the roads and highways and traffic jam will come down, he said.

“Of course, more private sector involvement is needed to ensure better services for the masses and the MCCI can play a vital role here,” the former MCCI chief said.

On the future of trade and investment, he said Bangladesh is a land of opportunities. “We have lots of space to grow. People here are confident and we need to nurture them properly.”

The second generation has already entered business; they are good, smart and a majority of them have foreign degrees, he said. They have the orientation needed to run their family business, he added.

Industry owners should improve relations with their employees to efficiently run the units.

“The MCCI needs to make investment to develop entrepreneurship as the country has a lot of potential,” Chowdhury said.

Many multinational companies are also MCCI members. The chamber can use these connections and train people to develop new entrepreneurs in the country, he added.

“I want to see the trade bodies and chambers as neutral and independent. I think the MCCI has proved it successfully,” Chowdhury said.

“Sometimes, we may not have a consensus with other chambers and trade bodies on different issues. But it does not mean that we do not like them; we have always assisted them with honesty.”

The MCCI has a strong research cell and is able to think in advance to make predictions on the economy.

The chamber always helps the government in formulating the national budget by putting forward recommendations and portraying the real picture of the economy, he said.

“For research activities, the MCCI sometimes takes help from experts outside the trade body,” he said. “The MCCI needs to do a lot of work for setting business standards in the country,” he said.

“We must have big dreams. The MCCI is a big family and we have inherent strength. I hope the chamber will continue its efforts to grow further,” Chowdhury said.