International markets to explore when you want to import to Bangladesh

International trade is a cornerstone of Bangladesh's economic vitality, and importing plays a crucial role in fueling growth and providing access to essential goods and resources. And while there was an 11.14% decrease in imports towards the end of 2023, this fluctuation presents opportunities for strategic sourcing and diversification¹. 

By exploring import markets and forging strong partnerships with international suppliers, businesses in Bangladesh can navigate these shifts effectively. Besides, diversifying import sources not only mitigates risks associated with over-reliance on a single supplier but also unlocks access to a wider array of products, competitive pricing, and specialized expertise. 

But what are the international markets that can help your business enhance its product offerings, meet evolving consumer demands, and strengthen its position in the global marketplace?

1. Pakistan

Importing from Pakistan presents several compelling advantages for businesses in Bangladesh. For instance, geographic proximity translates to lower shipping costs and faster delivery times, while cultural similarities can facilitate smoother communication and relationship building. It’s also worth noting that the trade relations between Bangladesh and Pakistan are strengthened by the South Asian Free Trade Area (SAFTA) and the Asia Pacific Trade Agreement (APTA), which aim to reduce tariffs and promote regional trade.

Besides, Pakistan offers competitive pricing on a range of goods, including:

• Textiles: Pakistan is renowned for its textile industry, offering high-quality fabrics, yarn, and finished garments at competitive prices.
• Leather Goods: From footwear to jackets, Pakistan's leather industry produces durable and stylish products.
• Surgical Instruments: Pakistan is a significant exporter of surgical instruments, known for their precision and craftsmanship.
• Sports Goods: Pakistan is also a leading manufacturer of sports equipment, particularly for cricket, hockey, and football.

2. Vietnam

Vietnam is also one of the manufacturing leaders in Southeast Asia, offering various products at competitive prices. With this country being a member of the Association of Southeast Asian Nations (ASEAN) and Bangladesh being a part of the ASEAN Regional Forum (ARF), both countries can benefit from the ASEAN Free Trade Area (AFTA), which facilitates trade through reduced tariffs and simplified customs procedures. 

What’s more, when you import from Vietnam, your business can tap into:

• Electronics: Vietnam widely exports electronics, including smartphones, computers, and components.
• Textiles and Garments: Vietnam's textile and garment industry is thriving, offering a wide variety of clothing and apparel.
• Footwear: Vietnam is also a leading producer of footwear, from casual shoes to sports shoes.
• Agricultural Products: Vietnam exports a range of agricultural products, including rice, coffee, and seafood.

3. India

India shares strong economic and cultural ties with Bangladesh, making it a natural partner for trade. Aside from being members of the APTA, Bangladesh and India also follow a bilateral trade agreement that provides preferential tariffs on certain goods. At the same time, Bangladesh is a beneficiary of India’s Duty-Free Tariff Preference (DFTP) scheme, which provides preferential tariff treatment to the country for certain imports.

And when you import from India, you’re expanding your product offerings to:

• Pharmaceuticals: India is a major pharmaceutical producer, offering affordable generic drugs and medicines.
• Machinery: India's manufacturing sector produces various machinery and equipment for diverse industries.
• Textiles and Garments: Similar to Bangladesh, India has a strong textile tradition, offering a wide range of fabrics and garments.
• Agricultural Products: India is a global exporter of agricultural products, including rice, wheat, and spices.

4. China 

China's position as a global manufacturing hub makes it a key sourcing destination for businesses worldwide, including Bangladesh. While no specific free trade agreement exists, Bangladesh benefits from China's preferential treatment under the APTA, which aims to reduce tariffs among member countries. 

When your business imports from China, you can access these benefits:

• Extensive Product Selection: China manufactures an incredibly diverse range of products, catering to almost every need.
• Competitive Pricing: China's large-scale manufacturing often translates to lower costs for importers.
• Technological Advancements: China is known for technological innovation in many sectors, offering access to industry-leading products.

5. United States 

When you decide to import from the United States, you can access high-quality goods and benefit from American innovation. Key import categories include:

• Technology: The US is a leader in technology, exporting software, hardware, and advanced equipment.
• Machinery: The US is also a major producer of industrial machinery and equipment.
• Medical Devices: The US is renowned for its advanced medical devices and healthcare technology.
• Consumer Goods: From branded clothing to electronics, the US offers a wide range of consumer products.

While the US Generalized System of Preferences (GSP) program is not currently available to Bangladesh, the two countries maintain strong economic ties through other avenues. For instance, the United States and Bangladesh have established a bilateral investment treaty to encourage and protect investments, as well as a treaty to avoid double taxation. 

Furthermore, both countries actively participate in the Bilateral Trade and Investment Cooperation Forum Agreement Council, a platform for ongoing dialog and cooperation to enhance trade and investment relations².

General import procedures and regulations

Importing goods into Bangladesh involves a series of steps to ensure compliance with regulations and facilitate smooth customs clearance. While the import procedures vary depending on the country of origin, in general, the process involves:

• Finding Suppliers: Connect with potential suppliers through online platforms, industry events, trade delegations, or referrals.
• Negotiating Terms: Establish clear terms regarding pricing, minimum order quantities, payment methods, delivery schedules, and incoterms.
• Documentation: Prepare essential import documents, including a commercial invoice, packing list, bill of lading or airway bill, certificate of origin, and import license (if required).
• Customs Clearance: Accurately declare goods, submit necessary documents, pay applicable duties and taxes, and obtain customs clearance.
• Import Duties and Taxes: Calculate import duties based on the Harmonized System (HS) code of the goods and their valuation. While at it, explore potential duty exemptions or preferential rates under trade agreements.

Tips for successful importing

International trade can be complex, but with the right import strategies, your business can thrive. So, consider these essential tips:

• Perform Due Diligence: Thoroughly vet potential suppliers by checking their credentials, experience, and references. Request samples, verify certifications, and assess their production capabilities.
• Ensure Compliance: Stay informed about Bangladesh's import regulations, customs procedures, and documentation requirements. Ensure all necessary licenses and permits are in place.
• Choose a Reliable Logistics Partner: Prioritize efficient logistics by partnering with a reliable overseas shipping provider like DHL Express that can deliver your goods on time. 
• Proactively Manage Risks: Mitigate import risks through cargo insurance, secure payment methods, and clear contractual agreements with suppliers.

DHL Express: Your partner in global trade

DHL Express is your trusted partner for navigating the complexities of international trade. Our extensive global network and deep understanding of customs regulations ensure smooth and efficient import processes. Plus, we offer reliable and fast shipping, so your goods arrive on time and in perfect condition. With advanced tracking tools, you'll have full visibility into your shipments every step of the way.

Ready to simplify your imports and exports while expanding your business in Bangladesh? Open a DHL Express business account today and discover how reliable international shipping services can contribute to your company’s growth.