Weekly News Clippings (November 28, 2013)

Air passengers in deep trouble (The Daily Star, November 28, 2013)
The ongoing blockade enforced by the opposition is causing a great deal of sufferings on the outbound passengers at the Dhaka airport. People living outside Dhaka, who seek to travel abroad for work or other purposes had to leave home for the capital three or four days before their scheduled flights. Some of the inbound passengers are forced to stay in nearby hotels, while others risk their lives by taking trains or launches to reach their homes. Travelling in the capital has not been hassle free either. Rental vehicles, particularly CNG-run auto rickshaws are charging the passengers three or four times higher than the regular fare.


Country's frozen white fish export drops by 40pc in Q1 this fiscal (Financial Express, November 27,2013)
The country's frozen white fish export dropped by 40 per cent in the first quarter of this fiscal year than that of the previous fiscal year (2012-13) as local exporters failed to offer competitive prices to the buyers.  According to Bangladesh Frozen Food Exporters Association (BFFEA), "Exporters in India get cash incentive for white fish export but our government has withdrawn cash incentives from this fiscal year." Bangladesh exports white fishes to Saudi Arabia, United Arab Emirates, Kuwait, Qatar, the United States, the United Kingdom, Italy, Korea, Canada, Australia and many other countries. The country exported frozen white fish except shrimp worth $7.76 million during July to October this fiscal (FY 2013-14), compared to $13.97 million during the same period last fiscal, Export Promotion Bureau (EPB) data showed.

UNDP to help government in developing renewable energy (Financial Express, November 27, 2013)
The United Nations Development Programme (UNDP) has agreed to provide Bangladesh government with Tk 325.6 million grants for developing renewable energy. Economic Relations Division (ERD) Secretary M Abul Kalam Azad and UNDP Country Director Ms Pauline Tamesis signed a deal on behalf of their respective sides. Under the "Development of Sustainable Renewable Power Energy Generation Project", the power division will implement the project to improve the off-grid electricity in Bangladesh.The fund will be utilised to generate the renewable energy to reduce carbon emission. Nearly 95 per cent of the country’s power is generated from gas and oil. According to the Bangladesh Energy Policy 2009, the government will generate 2000-megawatt of power from the renewable energy like solar wind and biomass.


B'desh to put satellite in orbit to do away with high rent charges (Financial Express, November 27,2013)
Bangladesh government has planned to invest in a satellite in order to save a huge sum of foreign currency and to improve the national satellite-based communication systems. According to a scientist at Bangladesh Space Research and Remote Sensing Organisation (SPARRSO), Bangladesh is currently dependent on other countries' satellites. In the year 2011, the total expenditure on renting satellite links was around $10 million which had climbed to $11 million last year. However, the gigantic project of launching a satellite in space would be viable if there were at least two other Bangladeshi satellites in the orbit at different angles, the scientist said.


NBR rejects Chevron’s tax exemption plea (New Age, November 26, 2013)
The National Board of Revenue has rejected a plea of Chevron Bangladesh Limited seeking exemption from paying tax at source on import of machinery for gas exploration and development activities. International Oil Companies including Chevron Bangladesh are enjoying a 90 days deferred payment facility for paying tax at source on import of machinery used in oil and gas exploration and development purposes. NBR officials said the deferred payment facility was provided considering the national interest though income tax ordinance did not allow such facility to any importers.


Bangladesh signs Ticfa (Dhaka Tribune, November 25, 2013)
The Trade and Investment Cooperation Forum Agreement (Ticfa) between Bangladesh and the US has been signed after several rounds of negotiations between the two countries. Top officials from the ministries of commerce, labour and employment and foreign affairs were present in Washington DC for the signing of the deal which would provide a platform for the two countries to resolve businesses problems through dialogue. The US has so far signed the Ticfa or similar agreements with 92 countries and regional associations and groups.

Bangladesh makes moderate progress on regional scale (Dhaka Tribune, November 24, 2013)
Bangladesh stood at 137 out of 179 in the ESCAP International Supply Chain Connectivity (ISCC) Index, a new index released on the occasion of the Asia-Pacific Trade and Investment Week last week in Bangkok. Singapore topped the list, while Iraq appeared at the bottom. The study focused on the extent of the country’s facilitation of import and export processes as well as its access to efficient maritime services. Exports are strongly dominated by the ready-made garments sector, which accounts for approximately 93 percent of the country’s total exports. However, the country could do much more to attract investment as the share of inward Foreign Direct Investment stock in GDP was far below the regional average in 2012.


Senator: Bangladesh still lags on labor rights (The Washington Post, November 23, 2013)
The United States has stressed the need for safeguarding and advancing gains in labour rights in the apparel industry of Bangladesh. US Senator Robert Menendez, chairman of the Senate Foreign Relations Committee gave the message in a report issued on November 22 titled “Worker Safety and Labour Rights in Bangladesh’s Garment Sector”.  The message came a year after the Tazreen Fashion factory fire that killed 112 workers in Ashulia, on the outskirts of the capital, Dhaka. The report also mentioned the Rana Plaza factory collapse in April 2013 that resulted in the death of 1,131. Both the tragedies drew global attention towards the plight of garment workers in Bangladesh, said Menendez who in June had chaired a hearing on labour issues in Bangladesh and called on the administration to suspend preferential trade status or Generalised System of Preference (GSP) to Bangladesh. “The tragedies in Bangladesh present an important opportunity to improve labor rights and empower workers,” said Menendez.


Bangladesh : BANGLADESH to get 82m loan from EIB (Hispanic Business, November 23, 2013)
Bangladesh is getting $ 82m loan from The European Investment Bank (EIB) to support a project that aims to enhance the country s power generation, transmission and distribution capacity. The loan will back two precise projects under the program that comprise conversion of two gas-fired plants to combined-cycle power plants. This will lead to efficiency enhancements, boost in generation capacity without any increase in the amount of fuel utilised, which eventually cuts CO2 emissions. The loan, which is extended under EIB s Climate Change Mandate (2011-2013) for non- European Union (EU) countries, will moreover contribute to climate change mitigation and developing social and economic infrastructure in Bangladesh.

Bangladesh Starts Inspecting Plants 7 Months After Rana Plaza (Bloomberg, November 22, 2013)
The first comprehensive inspection of garment factories has started under a government plan to improve safety, seven months after the collapse of the Rana Plaza complex that killed more than 1,000.  Thirty teams will initially begin by assessing 200 clothing factories over eight weeks with plans to inspect 1,000 factories on structural integrity, fire and electrical safety, according to Mehedi Ahmed Ansary, a professor of the Bangladesh University of Engineering and Technology. Retailers and engineering experts from a top Bangladesh university have developed the guidelines which have been formally endorsed. US and European retailers signed two separate safety pacts after coming under intense pressure in the wake of the April disaster. The two groups will carry out inspections of their 2,000-odd factories using the new standards, while the government will check the remaining 1,500 factories not covered by the pacts.

Bangladesh gets $90 mn aid for education programme (Muslim World News, November 21, 2013)
Bangladesh and the Asian Development Bank (ADB) Thursday signed a loan agreement worth $90 million to improve the country's quality of secondary education in order to create a skilled labour force. The assistance is the first tranche of the $500 million Secondary Education Sector Investment Programme (SESIP) approved by ADB in September this year. The SESIP, scheduled to be completed in 2023, will support the Bangladeshi government's 10-year secondary education reform plan. This plan expects an increase of about 3.5 million students and requires an additional 145,000 teachers and 10,000 more schools by 2023, according to the statement.

Bangladesh, retailers agree safety standards for factories (Global Post, November 21, 2013)
Bangladesh and top Western retailers agreed safety standards covering some 3,500 factories are paving the way for inspections after one of the world's worst industrial disasters. Retailers, government and union representatives agreed on the minimum fire and safety standards for factories where some four million workers stitch clothes for retailers such as Walmart and H&M. "This is a very significant development. These common safety standards will now pave the way for the start of factory inspections from Friday," said International Labour Organisation (ILO) official Srinivas Reddy. The standards are aimed at simplifying inspections and avoiding duplication following the Rana Plaza disaster in April that killed 1,135 people and shone a global spotlight on shoddy conditions at factories.