By Andrea Shalal
WASHINGTON (Reuters) – The U.S. government on Thursday said it aims to expand trade and investment with Bangladesh, but said the world’s second-largest exporter of ready-made garments must do more to protect both workers’ rights and intellectual property rights.
The U.S. Trade Representative’s office said it raised its concerns during a meeting of the United States-Bangladesh Trade and Investment Cooperation Forum Agreement Council in Dhaka on Thursday, which focused on market access for U.S. farm products and financial services.
The United States and Bangladesh signed a bilateral investment agreement in 2013 and officials meet regularly to discuss bilateral ties. Two-way trade between the two countries totaled $9 billion in 2019, with about 90% of exports from Bangladesh to the United States comprising ready-made garments.
“The U.S. noted its concern at the pace of reforms intended to guarantee workers’ rights and safety standards and urged Bangladesh to increase collaboration with private and civil sector stakeholders in its ready-made garment industry,” USTR said in a statement.
It said officials from both countries also discussed improvements needed to enable greater investment, including effective protection of intellectual property rights, clear regulation and monitoring of the trade in pharmaceuticals and medical devices, and a commitment to enable the digital economy.
Bangladesh also needs to support investors’ rights to fair and prompt dispute resolution and arbitration, ensure transparency in government procurement and enforce obligations and notifications under WTO agreements, USTR said.
Workers’ rights have been a continuing source of concern in Bangladesh despite reforms adopted after the collapse of a factory on the outskirts of the capital, Dhaka, in April 2013 that killed more than 1,100 workers.
Human Rights Watch has reported that garment workers in Bangladesh still face lower wages and exploitation as fashion brands have failed to compensate factories for safety improvements, while piling pressure on garment suppliers to keep prices low and make clothing faster.
In early 2019, over 50,000 garment workers participated in wildcat strikes protesting changes to the minimum wage. Police used excessive force to disperse the protesters, killing one worker and injuring over 50. At least 7,500 garment workers were dismissed from their jobs. Many of these workers were blacklisted from work at other factories, the report said.
(Reporting by Andrea Shalal; Editing by Chizu Nomiyama and Andrea Ricci)
