UK protects Bangladeshi RMG from no-deal Brexit tariffs

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Aditi Khanna, London
Published : 08:55, Oct 15, 2019 | Updated : 16:22, Oct 15, 2019

Women work at a garment factory inside the Dhaka Export Processing Zone (DEPZ) in Savar. REUTERS/File PhotoThe UK government has put temporary measures in place to ensure that certain important goods, including clothing from Bangladesh, are not penalised with higher import duties in the event that Britain leaves the European Union (EU) by the Oct 31 deadline without an agreement in place.
Some clothing will face tariffs, of between 8 to 10 percent, to ensure there is still preferential access to the UK market for developing countries. However, this will not apply to products from some developing countries including Bangladesh.
“The UK will be leaving the EU on Oct 31 and we are working with businesses to ensure the UK is ready to trade from day one,” said Conor Burns, the trade policy minister.
“Our temporary tariff regime will support the UK economy as a whole, helping British businesses to trade and opening up opportunities for business to import the best goods from around the world at the best prices for British consumers,” he explained.
The temporary tariff regime would apply for up to 12 months while a full consultation on a permanent approach will start in January 2020.
Revisions to the temporary tariff schedule this month are an attempt to keep down prices for people in the UK after Britain leaves the EU, according to the UK’s Department for International Trade.
According to official figures, the UK is the third-largest export destination for Bangladesh. During 2017-2018, a total of $3,989.12 million worth of goods were exported to the UK, with ready-made garments, knitwear and woven garments dominate the export basket.
The UK is due to leave the EU by the end of this month and unless a deal is secured with the economic bloc, it would have to re-evaluate its trade policies with countries around the world as a non-EU member.

/pdn/
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