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Pruning the SAFTA Sensitive List of Bangladesh

Author

Listed:
  • Khondaker Golam Moazzem
  • Kishore Kumer Basak

Abstract

A long list of products in sensitive list maintained by the member countries is one of the major weaknesses of SAFTA agreement for its effective operation. Present study analyzes the sensitive list of Bangladesh with a view to identify products for pruning. Pruning the sensitive list should follow justifiable method based on arguments and reasoning, particularly against the rationale behind keeping the products in the sensitive list. The study identified a set of sensitive products that could be pruned from the list taking into account their competitiveness, trade potentials and extent of revenue collected from those products. Analysis reveals that identified sensitive products, if pruned from the list, would have insignificant adverse effect on local industries since those are raw materials, intermediate products and capital machineries which have limited domestic production capacity. The method can be followed by other member countries of the SAFTA to prune their sensitive lists.

Suggested Citation

  • Khondaker Golam Moazzem & Kishore Kumer Basak, 2013. "Pruning the SAFTA Sensitive List of Bangladesh," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 14(2), pages 231-260, September.
    • Handle: RePEc:sae:soueco:v:14:y:2013:i:2:p:231-260
    DOI: 10.1177/1391561413500172
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    References listed on IDEAS

    as
    1. The Mahbub ul Haq Human Development Centre,, 2010. "Human Development in South Asia 2009: Trade and Human Development in South Asia," OUP Catalogue, Oxford University Press, number 9780199060207.
    2. Mustafizur Rahman & Wasel Bin Shadat & Narayan Chandra Das, 2006. "Trade Potential in SAFTA: An Application of Augmented Gravity Model," CPD Working Paper 61, Centre for Policy Dialogue (CPD).
    3. Keld Laursen, 1998. "Revealed Comparative Advantage and the Alternatives as Measures of International Specialisation," DRUID Working Papers 98-30, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Bangladesh; SAFTA; Trade; FTA; RTA;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

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