Korea-Bangladesh CEPA Talks: Dhaka Negotiation Update

Korea and Bangladesh Deepen Trade Talks wiht Second Round of CEPA Negotiations

A comprehensive economic partnership between Korea and Bangladesh is gaining momentum as officials convene for a second round of negotiations aimed at forging a new era of trade and cooperation. Discussions, scheduled from January 26th to January 29th in Dhaka, Bangladesh, will focus on a broad spectrum of economic issues, signaling a commitment to strengthening ties between the two nations.

A Strategic Partnership in Southwest Asia

The Comprehensive Economic Partnership Agreement (CEPA), as this potential free trade agreement (FTA) is known, goes beyond simply reducing tariffs.It’s designed to foster comprehensive collaboration, opening doors for increased trade in both products and services. According to a senior official, “Bangladesh is the world’s 8th most populous country and a key potential market in rapidly growing Southwest Asia,” highlighting the strategic importance of this partnership for Korean businesses.

Negotiations officially began in November 2024, with an initial round of talks held in August last year. These preliminary discussions allowed both sides to exchange perspectives and identify key areas of focus. The current round will build upon that foundation, delving into 13 specific areas of negotiation.

Did you know? – Bangladesh’s economy has experienced notable growth in recent years, driven by its garment industry and remittances. This makes it an increasingly attractive market for foreign investment.

Key Areas of Discussion

The upcoming talks will center on a diverse range of topics crucial to a successful trade agreement. These include:

• Product concessions: Examining potential reductions in tariffs and other trade barriers.
• Services: Exploring opportunities for increased trade in service sectors.
• Country of origin: Establishing clear rules for determining the origin of goods.
• Economic cooperation: Identifying areas for joint projects and initiatives.

Officials from both countries will actively seek resolutions to differing viewpoints, aiming for a mutually beneficial outcome. Son Ho-young, Director of the Trade Agreement Negotiation Department of the Ministry of Trade, Industry and Energy, will lead the Korean delegation, while Ayesha Akhter, Director of the Foreign Trade Agreement Department of the Ministry of Commerce, Industry and Energy of Bangladesh, will represent the Bangladeshi side.

Implications for Korean Businesses

The successful conclusion of the CEPA is expected to significantly benefit korean companies looking to expand their presence in Southwest Asia. A senior representative emphasized that the agreement would “be a great help to our companies’ advancement into Southwest Asia,” providing a more favorable environment for investment and trade.

The negotiations underscore Korea’s proactive approach to forging strategic economic partnerships in emerging markets. as discussions progress, the potential for a landmark trade agreement between Korea and Bangladesh continues to grow, promising a brighter future for economic cooperation between the two nations.

Pro tip – When considering expanding into new markets, research local regulations and cultural nuances to ensure a smooth and successful entry.

Why: Korea and Bangladesh are pursuing a Comprehensive Economic Partnership Agreement (CEPA) to strengthen economic ties and foster trade and investment.korea views Bangladesh as a key market in rapidly growing Southwest Asia, while Bangladesh seeks to benefit from Korean investment and expertise.

who: The negotiations are led by Son Ho-young (Korea) and Ayesha Akhter (Bangladesh). The Korean delegation represents the Ministry of Trade, Industry and Energy, while the Bangladeshi delegation represents the Ministry of Commerce, Industry and Energy.

What: The CEPA aims to be a broad agreement encompassing product concessions (tariff reductions), services trade, rules of origin, and economic cooperation projects.The second round of negotiations, held January 26-29 in Dhaka, focuses on 13 specific areas. Initial talks began in November 2024, with a first round in August of the same year.

How did it end? As of this report (January 29th), the second round of negotiations is ongoing. The article does not state a conclusive end or agreement. It indicates officials are actively seeking resolutions and a mutually beneficial outcome, suggesting the process is still in progress. The article highlights the