Russia proposes expanding bilateral trade with Bangladesh through government-to-government agreements, offering lower-cost fertiliser and essential food supplies to strengthen food security and economic cooperation.
Russia has indicated their intent to expand bilateral trade relations with Bangladesh through increased government-to-government (G2G) collaboration in fertilizers, agricultural goods, and food items. The move is an indication of Russia’s attempt to strengthen economic relations with Bangladesh as well as ensuring food security of Bangladesh and diversification of trade.
The offer was made at a meeting in Dhaka that involved a Russian delegation, headed by Chargé d'Affaires Vyacheslav Sentyurin, as well as Bangladesh's adviser for Commerce and Industry Khandaker Abdul Muqtadir. The talks revolved around developing cooperation through increased trade and supply of goods, as well as institution building.
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One of the important highlights of the discussions was the offer made by the Russians to sell about 280,000 metric tonnes of urea fertilizers to the BCIC via JSC FEC Prodintorg, which is a state owned company of Russia, using the G2G mechanism. The Russians said that their offer was about US$10 cheaper per metric tonne compared to the price at which Bangladesh currently imports fertilizers from others.
In addition to fertilizers, Russia also has plans to export more essential food items from its side to Bangladesh. Among the most notable food items which it would like to export are sunflower oil, yellow peas, chickpea, red lentil, and green lentil. This would help improve food security in Bangladesh.
The two parties have also assessed the implementation of the existing MoU between the Trading Corporation of Bangladesh (TCB) in Bangladesh and JSC FEC Prodintorg, which helps in the distribution of commodities. It has been noted by both governments that any improvement in this framework will further help in increasing the efficiency of trade.
The Russian propositions were well received by Bangladesh, as was stated by Adviser Muqtadir when he pointed out that the trade; investments and economic cooperation between the two nations are growing continuously based on mutual benefits. The Adviser thanked the Russians for their past assistance regarding provision of wheat and fertilizer to Bangladesh.
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These latest talks come amid a number of recently held meetings between the two countries at the highest level with an aim of boosting collaboration in areas such as trade, energy, investment, and technology. The two governments have reaffirmed their willingness to expand their business ties through finding new ways of trade.
The discussion ended with both parties agreeing on the need for constant communication and deepening their economic cooperation through increased trade, investment and institutional cooperation. Through increased cooperation in fertilizer, food grains and government-to-government trade, Russia and Bangladesh seek to increase their economic ties while ensuring food security and sustainable economic growth.