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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

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    Keywords

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    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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