Local markets more profitable than foreign ones: FBCCI President

Federation of Bangladesh Chambers of Commerce and Industries (FBCCI) President Md Jashim Uddin has said that the profit made by selling products in the local market can be comparatively greater than what is earned from western markets.

"The apparel product we sell in the American market for $5 can be sold for Tk2,000 in the domestic market. Therefore, utmost importance should be given to markets inside the country," said Jashim Uddin on Saturday at a press conference held in Hotel Intercontinental, Dhaka. 

Addressing the common complaints that production quality and compliance are compromised in the case of the domestic market which is much bigger than its counterpart, he said FBCCI is working to fix the issue.  

The FBCCI president believes that the centre of attention should be placed on finding import substitutes rather than exports.

"If we can increase our focus on import substitutes rather than exports, it will save foreign currency while leading the country to advance faster towards a trillion-dollar GDP," he noted.

Regarding foreign investment, Jashim Uddin said, "All the multinational companies that have invested in the country are doing good business as there is a big consumer market here. A long-term investment is needed in our country which in my opinion is a good place for foreign investment."

When asked about the ongoing discussion on raising interest rates to control inflation, Jasim Uddin said, "There is no guarantee that the inflation rate will drop with changes in interest rate. Since the current inflation is caused by supply disruption and price hikes in the global market, it will eventually come down with the decline in the prices of raw materials."

Suggesting to control inflation by adjusting the existing tax rates where raw materials have to be imported at higher prices, he said, "Investments must be increased to achieve a trillion-dollar GDP. In this situation, it will not be right to increase the interest rate."

The event today was focused on organising a three-day business summit from 11 March on the occasion of FBCCI's 50th founding anniversary.

FBCCI, for the first time, will award successful entrepreneurs and businessmen on the occasion of its foundation anniversary. The FBCCI president said both the two programs will be inaugurated by Prime Minister Sheikh Hasina.

Jasim Uddin said, "We had a $90 billion economy in 2008, which has now reached $470 billion today. We are going to organise a three-day Bangladesh Business Summit from 11-13 March to accelerate the country's economic growth."

The summit will hold three plenary sessions, 13 parallel sessions, and multiple open discussions with traders, investors, analysts and policymakers to talk through the country's trade and investment opportunities, obstacles and ways to overcome them.

"Ministers from 12 to 15 countries will participate in this international conference. Besides, representatives of large companies from different countries of the world will also participate," Jasim Uddin added.

FBCCI President further noted that a Best of Bangladesh Expo will be organised alongside the Business Summit. The potential sectors of the country (i.e. textiles, agro-processed food, leather, ceramics, and jute) will be presented to the foreign investors in this exhibition.

To participate in the summit, interested delegates would need to register through bdbusinesssummit.com. For foreign delegates, the registration fee is $500, NRB $300, Bangladeshi $400 and FBCCI general members $200.