Weekly News Clipping (17 January 2013)

RMG fire safety: Action plan by next month (The Daily Star, January 17, 2013)

In a meeting organized by the Ministry of Labor and Employment and the ILO office in Dhaka, the top officials of the labor ministry, Bangladesh Employers Federation, National Coordination Committee for Workers Education, Bangladesh Garment Manufacturers and Exporters Association, Bangladesh Knitwear Manufacturers and Exporters Association and Bangladesh National Council signed the tripartite statement of action plan on fire safety by next month to prevent any further loss of life and property in Bangladesh due to fires at factories. The statement includes implementing the Promotional Framework for Occupational Safety and Health Convention, 2006, the Occupational Safety and Health Convention, 1981 and other instruments of the ILO relevant to the framework for occupational safety and health.

Motions in European Parliament: Retailers under pressure to compensate Tazreen victims (The Daily Star, January 15, 2013)

The European Parliament is going to discuss a resolution in the coming days aimed at promoting improvements to working environment and safety in the Bangladeshi garment sector, including increasing the minimum wage for the workers, establishing trade unions, and permitting collective bargaining. The resolution stresses the importance of human rights, labor rights and environmental protection.  The resolution does acknowledge Bangladesh's effort to reduce child labor in the garment sector, the establishment of an independent inspection system, and the creation of health and safety committees.

Meena Bazar buys two outlets of Nandan (The Financial Express, January 15, 2013)

As part of its expansion plan, Meena Bazar bought two outlets of Nandan. Due to financial crisis the super chain shop Nandan shut down three of its five stores and sold these two outlets to Meena Bazar. Total number of outlets of Meena bazar is now 18. It started in 2002 and operates in Dhaka, Chittagong and Khulna.

Signing TICFA turns necessary for keeping US GSP (The New Age, January 14, 2013)

In the inaugural ceremony of GAPEXPO, the Commerce minister said it has become necessary for Bangladesh to sign the Trade and Investment Cooperation Framework Agreement (TICFA) to continue to benefit from the General System of Preferences (GSP) offered by the US. If the USA withdraws GSP facilities it will likely have a negative impact on export and overall economy of the country.  BGMEA President, however, said that Bangladesh is not really getting any significant help from the current GSP as it still has to pay a high tariff to get access to US market. According to him withdrawal of GSP would only reduce exports by 0.54 percent. 

Another kitchen market goes formalin free (The Daily Star, January 13, 2013)

Shah Ali bazar, a kitchen market of Mirpur has announced formalin free after Malibagh, Shantinagar, Mohakhali, Gulshan DCC-North, Mohamm-adpur's Town Hall, Kaptan Bazar and the superstore Swapno. FBCCI has trained three persons to use the formalin detector donated by Islami Bank Bangladesh Ltd. In the next few months FBCCI wants to make the capital's 30 big kitchen markets free from formalin. Due to the initiatives taken by Commerce Ministry, the amount of imported formalin has come down to 205 tonnes last fiscal year from the 550 tonnes registered for fiscal 2009-10.

Businesses not in favor of FDI in basic RMG sector (The New Age, January 13, 2013)

In response to Chinese interest in investing in Bangladesh, manufacturers of RMG sector, worried about competition, contend that the country’s local manufactures already have the expertise and know how t.  Instead they argue that foreign investors should focus on high end products and spinning and woven textile, areas where local manufactures lack enough expertise and technology.

Exports rebound, exceed target (The Daily Star, January 11, 2013)

The country's export earnings made a dramatic rebound in December, rising by 40 percent to $2.47 billion, due to product and market diversification. According to Export Promotion Bureau, the December earnings were 2.89 percent higher than the target at $2.40 billion which was set for the month. The country is performing well in new markets of China, Russia, Japan, South Korea, Australia, Mexico, Brazil, Chile, Malaysia, South Africa, New Zealand, Turkey and India. Exports of jute items and other products other than the garment items have also increased.