Bangladesh, S Korea to finalise CEPA draft by Dec

Bangladesh and South Korea have agreed to finalise the draft Comprehensive Economic Partnership Agreement (CEPA) by December this year, paving the way for its formal signing at a high-level meeting.

The agreement was reached during a bilateral meeting between Commerce Minister Khandakar Abdul Muktadir and South Korean Ambassador to Bangladesh Kim Ji-joon at the Secretariat in Dhaka on Tuesday.

According to data from the Export Promotion Bureau (EPB) and Bangladesh Bank, bilateral trade between the two countries stood at US$1.65 billion in the 2024-25 fiscal year (FY25), with Bangladesh importing goods worth $1.18 billion from South Korea against exports of $462 million. During the meeting, the commerce minister assured Korean investors that their operational and import-related problems would be addressed on a priority basis.

He also proposed establishing a specialised Design and Development Centre in Bangladesh through joint investment in the shipbuilding sector, drawing on the country’s engineers and skilled workforce.

The South Korean ambassador expressed his country’s interest in finalising the CEPA as soon as possible to strengthen bilateral trade and economic ties.

He said South Korea had already conveyed its position to Bangladesh on the draft agreement and a detailed questionnaire.

Both sides discussed the remaining steps towards finalising the agreement and preparing for its formal signing.

Muktadir assured the ambassador of the government’s support for expanding Korean investment in Bangladesh.

He said a joint coordination meeting involving the commerce ministry, National Board of Revenue (NBR), finance ministry and Korean investors would be arranged soon to address policy-related concerns.

The ambassador highlighted operational difficulties faced by around 200 Korean companies operating in Bangladesh.

He particularly raised concerns over administrative complications in importing research materials and samples for Samsung’s Research and Development (R&D) Centre, delays in issuing import permits (IPs) and restrictions arising from customs regulations.

In response, the commerce minister directed that a joint secretary of the Commerce Ministry be appointed as a focal point to expedite the resolution of import-related problems faced by Samsung and other Korean investors.

He said the government was working to simplify visa procedures and introduce a fully online, real-time system for issuing import permits.

The meeting also discussed the proposed Design and Development Centre to strengthen cooperation in shipbuilding.

Muktadir highlighted opportunities for joint ventures that could use Bangladesh’s engineers and skilled workforce to meet growing global demand in the sector.

The ambassador welcomed the proposal and expressed interest in exploring long-term technology transfer and joint investment opportunities with major South Korean shipbuilding companies, including Hanwha Ocean and Hyundai Heavy Industries.

The two sides also discussed cooperation in liquefied natural gas (LNG) supply.

Commerce Secretary Sharf Uddin Ahmed Choudhury, Additional Secretary (WTO) Khadiza Nazneen and other senior ministry officials attended the meeting.