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Bangladesh wants 'rules of origin' eased

Bangladesh has called for a relaxation of stringent rules of origin so that more products from least developed countries can enjoy duty benefits. Rules of origin are used at the port of entry to determine the national source of a product for duty purposes and easing them has been a longstanding demand of less developed countries.

Due to strict rules, many products originating from less developed countries are subject to entry barriers or high duty. Bangladesh became a victim of rigid rules on exports of clothing items to Japan. The apparel items were manufactured from imported cotton or yarn, so they were not considered products originating from Bangladesh. But in April this year, Japan relaxed its rules of origin, as of result of which Bangladesh is now enjoying duty benefits on export of knitwear items.

Bangladesh also wants extension of the duration of TRIPs (Trade Related Intellectual Property rights) agreement such that essential products of less developed countries can enjoy flexible patent rights. For example, Bangladesh is exempt from the implementation of the TRIPS agreement until 2016 for pharmaceutical products. This allows Bangladeshi consumers to benefit from cheap medicines.

Less developed countries also seek duty-free and quota-free market access for their products to developed countries.

 
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