Business leaders have warned that Bangladesh may fail to fully utilise the benefits of the recently signed Economic Partnership Agreement (EPA) with Japan unless existing domestic bottlenecks in investment and exports are resolved.
The concerns were raised at a seminar titled “Export Potential Under Bangladesh-Japan EPA: Challenges and Way Forward” organised by the Export Promotion Bureau (EPB) on Tuesday.Dr AKM Asaduzzaman Patwary, Secretary General of the Dhaka Chamber of Commerce and Industry (DCCI), cited a study by the Japan External Trade Organization (Jetro), which found strong potential for reinvestment by Japanese companies in Bangladesh. However, he noted that actual investment inflow remains limited, with only $40 million recorded last year.
“We must identify and remove the roadblocks. Otherwise, the EPA risks remaining only on paper,” he said.Business representatives identified key challenges including NBR and customs-related complications, policy inconsistency, bureaucratic delays, language barriers, technological gaps, and strict compliance requirements in Japan.
Speakers emphasised that maintaining product quality in line with Japanese standards is critical to expanding exports. They said Japan offers significant opportunities, but exporters must prioritise quality and long-term trust-building.Under the EPA signed on 6 February, around 7,379 Bangladeshi products will enjoy duty-free access to the Japanese market, while more than 1,000 Japanese products will gradually receive duty-free entry into Bangladesh.
Exporters also raised logistical concerns. Kanchan Miah, Managing Director of Arot Agro, said the suspension of the direct Dhaka-Narita flight has increased transportation costs for agricultural exports to Japan.
Japan remains a key destination for Bangladesh’s ready-made garments (RMG). Asif Ashraf, Managing Director of Urmi Group, noted that Bangladesh currently holds a small share of Japan’s $23 billion apparel market and needs to expand its presence, particularly in man-made fibre garments.
Experts at the seminar advised exporters to adopt a long-term strategy, strengthen compliance capacity, and focus on innovation to capitalise on the opportunities created by the Bangladesh-Japan EPA.
