|
The
Netherlands has a structural trade deficit with Bangladesh
(see table 3). This trade pattern is common for
Bangladesh with most of the European Union countries and the
USA. On the other hand, Bangladesh has a huge trade deficit
with India (both formal and informal).
Table 3 –
Bilateral trade Netherlands–Bangladesh (2002 -2005) in mln
Euro (source: CBS)
|
|
2002 |
2003 |
2004 |
2005 |
|
Import |
243.5 |
250.3 |
272.7 |
234.7 |
|
Export |
76.7 |
43.9 |
54.7 |
45.2 |
|
Balance |
-166.8 |
-206.4 |
-217.5 |
-189.5 |
When looking
at the composition of the bilateral trade figures, the
Netherlands mainly imports various manufactured good from
Bangladesh, while exporting mostly machinery, transportation
and chemicals (see table 4).
Table 4 –
Compostion of Dutch import from and export to Bangladesh
(source CBS)
Import
|
SITC code |
Description |
2002 |
2003 |
2004 |
2005
|
|
|
Total |
243.5 |
250.3 |
272.2 |
234.7 |
|
|
Total agriculture |
22.0 |
14.2 |
10.8 |
11.3 |
|
|
Total industry |
221.5 |
236.1 |
261.4 |
223.4 |
|
0 |
Food and live animals |
22.0 |
14.2 |
10.8 |
11.3 |
|
6 |
Manufactured goods |
12.0 |
10.9 |
13.1 |
14.9 |
|
7 |
Machinery and transportation |
7.3 |
5.2 |
4.8 |
3.0 |
|
8 |
Various manufactured goods
(particularly RMG) |
201.8 |
219.5 |
242.1 |
202.8 |
Export
|
SITC code |
Description |
2002 |
2003 |
2004 |
2005
|
|
|
Total |
76.7 |
43.9 |
54.7 |
45.2 |
|
|
Total agriculture |
11.9 |
5.1 |
7.0 |
6.0 |
|
|
Total industry |
64.8 |
38.8 |
47.7 |
39.2 |
|
0 |
Food and live animals |
11.7 |
5.0 |
6.7 |
5.9 |
|
5 |
Chemicals |
15.6 |
14.1 |
5.7 |
10.6 |
|
6 |
Manufactured goods |
10.0 |
4.9 |
4.9 |
7.9 |
|
7 |
Machinery and transportation |
37.1 |
17.6 |
35.3 |
11.7 |
|
8 |
Various manufactured goods |
1.7 |
1.7 |
1.5 |
8.5 |
|
|
|
|
|
|
|
Foreign
Direct Investment (FDI) inflow to Bangladesh
FDI inflow to Bangladesh in 2005 was USD
845.3 million registering 83.6% growth over the previous
year. The top investor countries in 2005 were UK (USD 152.8
million), USA (USD 141.8 million), Singapore (USD 97.5
million), UAE (USD 55.4 million) and Norway (USD 543.5
million). The Netherlands FDI was USD 15.4 million, making
the Netherlands the 14th biggest FDI source in
Bangladesh (17th place in 2004).
Recently a lot of large conglomerates have shown interest to
invest in Bangladesh, for example India’s Tata which
expressed to invest up to USD 3 billion in Bangladesh. For
more details see table 5 and figure 1.
Table 5 - FDI
inflow in Bangladesh during 2005: Distribution by Source (in
million USD)
|
FDI Sources |
2004 |
2005 |
2005 Share (%) |
2005 Rank |
|
FDI-2004 |
Rank 2004 |
Jan-Jun |
Jul-Dec |
FDI-2005 |
|
Canada |
0.4 |
23 |
- |
0.7 |
0.7 |
0.08% |
25 |
|
China |
0.4 |
24 |
1.4 |
0.2 |
1.6 |
0.19% |
22 |
|
Denmark |
18.8 |
9 |
6.4 |
11.8 |
18.2 |
2.15% |
13 |
|
Egypt |
19.9 |
7 |
22.2 |
26.2 |
48.4 |
5.73% |
7 |
|
France |
0.7 |
22 |
0.9 |
0.8 |
1.7 |
0.20% |
20 |
|
Germany |
6.8 |
15 |
0.1 |
1.5 |
1.6 |
0.19% |
21 |
|
Hong Kong |
13.9 |
11 |
27.2 |
25.9 |
53.1 |
6.28% |
6 |
|
India |
6.8 |
16 |
0.8 |
1.9 |
2.7 |
0.32% |
18 |
|
Indonesia |
- |
28 |
- |
1.3 |
1.3 |
0.15% |
23 |
|
Japan |
30.0 |
5 |
33.8 |
12.7 |
46.5 |
5.50% |
8 |
|
Luxembourg |
3.0 |
19 |
- |
0.4 |
0.4 |
0.05% |
27 |
|
Malaysia |
38.9 |
4 |
24.9 |
8.2 |
| | 
