Curbing wasteful spending by slashing populist development projects was a stated economic priority of the interim government as it sought to ease the fiscal strain inherited from the ousted previous regime. That goal was largely achieved through a sharp cut in development expenditure.

What the interim administration failed to rein in, however, was recurrent spending.

Economists warn that a series of expenditure-heavy decisions taken towards the end of the government's tenure including proposed pay hikes, expanded allowances and widened social safety-net coverage, will leave a substantial fiscal burden for the next elected government, expected to take office after the 12 February election.

They argue that while development spending was curtailed aggressively, operating expenditure has continued to rise at a time when revenue mobilisation remains weak, deepening the long-standing imbalance between income and expenditure.

As a result, the incoming government is likely to face severe pressure to implement politically and socially sensitive commitments without having the fiscal space to finance them.

Rising commitments, weak revenues

According to economists, the next administration will inherit pressure to implement decisions such as a proposed new pay scale for government employees, expanded allowances and beneficiary coverage under social safety-net programmes, a 20% electricity bill rebate for the fisheries sector, and the repayment of dues to customers of Sammilito Islami Bank and several non-bank financial institutions currently under liquidation.

If these commitments cannot be politically managed or fiscally phased, the country's already fragile fiscal balance could deteriorate further, economists warn, with potential consequences for growth, employment and macroeconomic stability.

Fahmida Khatun, executive director of the Centre for Policy Dialogue (CPD), told The Business Standard that the next elected government would face "massive pressure" if the newly announced expenditure initiatives were implemented in full.

"Resource mobilisation and expenditure management will face new challenges," she said. "Revenue collection has again fallen short, while operating expenditure is increasing at a time when it ideally should have been restrained."

She added that the scope for financing additional expenditure is extremely limited.

A budget meant to fix, not to dream

"No agency provides loans to pay salaries. Government borrowing from banks has already risen sharply, and further borrowing will crowd out private-sector credit. The options for meeting this extra expenditure are therefore very limited," she said.

Pay Commission: the biggest pressure point

One of the most significant sources of potential fiscal stress is the recommendation of the Pay Commission formed to revise salaries of government employees.

Estimates suggest that implementing the proposed pay structure for employees of ministries, divisions, offices and directorates alone would require additional spending of about Tk1.06 lakh crore. Extending the new scale to the armed forces, autonomous bodies and MPO-listed teachers would push the overall cost even higher.

On 27 January, Power and Energy Adviser Muhammad Fouzul Kabir Khan said the interim government would not implement the Pay Commission's recommendations, leaving the final decision to the next administration.

Economists warn that even postponing the decision does not eliminate the pressure.

35.33% of govt's operating expenditure goes to interest payments in Q1

Zahid Hussain, former lead economist at the World Bank's Dhaka office, said raising sufficient revenue to support such measures would be extremely difficult.

"These expenditures cannot be financed by borrowing or printing money, as that would fuel inflation," he said. "That leaves only two options: earning more revenue or cutting other spending."

But he added that savings of this magnitude are unlikely to come from other public expenditures. "So revenue mobilisation remains the only option and that is far harder than announcing a new pay scale."

Bangladesh's tax-to-GDP ratio currently stands at around 7%, one of the lowest globally, while government revenue remains insufficient to fully cover operating expenses. Debt-servicing costs are also projected to rise in the coming years, further shrinking fiscal space.

"In this context, introducing a new salary scale without a substantial increase in revenue would severely constrain development spending," economists warn, undermining efforts to boost investment, growth and job creation.

Safety-net expansion before budget

Alongside salary-related pressures, the interim government has expanded several social safety-net programmes during its tenure, increasing both the number of beneficiaries and allowance amounts for old-age pensions, widow and disability allowances, education stipends, healthcare support and other welfare schemes.

It has also decided to add five lakh families to the food-friendly programme, increase allowances for freedom fighters, expand the Vulnerable Group Feeding programme, and introduce a 20% electricity bill rebate for marginal fish, livestock and poultry farmers requiring a Tk100 crore fund.

Govt approves hike in social safety net benefits for FY27

While economists acknowledge the social importance of these measures, they caution that they will add several thousand crore taka to recurrent expenditure in the next fiscal year.

Fahmida Khatun described the timing of these decisions as unprecedented.

"Such measures are usually taken during budget formulation by an elected government," she said. "The interim government should have limited itself to making recommendations instead of creating invisible pressure on the next administration by announcing these decisions in advance."

Development spending squeezed

The fiscal pressure is compounded by weak development spending.

In FY2024-25, implementation of the Annual Development Programme (ADP) stood at 67.85% — the lowest rate in one and a half decades. In the current fiscal year, despite a reduced allocation, only 17% of the ADP was spent in the first half, the lowest on record.

Economists and planners say the next government will face strong pressure to increase development expenditure to revive growth, employment and private investment, even as revenue income is almost entirely consumed by operating expenses.

ADP spending drops Tk24,718cr in Jul-Mar

Planning Adviser Wahiduddin Mahmud warned on 28 January that no development strategy could succeed with revenue collection stuck at 7–8% of GDP, noting that the revised development budget for the current fiscal year is being financed through loans.

"There are no global examples of countries achieving sustainable development by relying on debt to fund education, health and social security," he said.

Fiscal measures way before budget

With the next budget still five months away, the interim government increased both the number of beneficiaries and the allowance amounts under various social safety net programmes.

Fahmida Khatun described the move as unprecedented, noting that such decisions are typically taken during budget formulation by an elected government.

Expressing concern, the CPD executive director said the interim government should have limited itself to making recommendations for the next administration.

Further fiscal pressure is expected as the fisheries and livestock ministry announced a 20% rebate on electricity bill for marginal fish, livestock and poultry farmers, which would require creation of a Tk100 crore fund.

Political parties must pledge specific banking reforms in election manifestos: CPD's Fahmida

Since assuming office, the interim government has also increased operating expenditure by accepting various demands following protests by different professional groups and employees.

One such decision involves salary and allowance increases for a large number of MPO-listed teachers.

More than Tk20,000 crore in unpaid electricity bills remain outstanding, a liability that economists say will fall on the next government.

Pressure from weak development spending

In the 2024-25 fiscal year, implementation of the Annual Development Programme (ADP) stood at 67.85% of the allocation, the lowest rate in the past one and a half decades.

In the current fiscal year, despite a reduced ADP allocation, implementation has remained sluggish. The outlay has been slashed to Tk2 lakh crore as only 17% of the development budget was spent in the first half, the lowest on record.

Mobilising resources to finance development spending remains a challenge as the revenue income is almost entirely exhausted in operating expenses.

How Bangladesh engineered a power crisis it can no longer afford

During the tenure of the interim government, the tax-to-GDP ratio has declined to 7%. In the first five months of the current fiscal year (July to November), the NBR's revenue collection grew by over 15% compared to the same period of the previous fiscal year; nevertheless, collection remained below the projected target.

"No development strategy can succeed with this level (7% to 8% of GDP) of revenue collection," Planning Adviser Wahiduddin Mahmud said at an event on 28 January, adding the revised development budget for the current fiscal is being financed through loans.

Will higher pay curb corruption?

The last public-sector pay scale was announced in 2015, raising salaries by 70% to 100%. A decade later, the current Pay Commission has proposed similar increases, partly justified by claims that higher pay would reduce corruption and improve service delivery.

Transparency International Bangladesh (TIB) executive director Iftekharuzzaman rejected that argument.

"There is no evidence that corruption declined or service quality improved after the 2015 pay hike," he said. "Without strong accountability mechanisms, higher salaries alone do not reduce corruption. In fact, illegal transactions often rise faster than pay."

Creative destruction, Bangladeshi style

Zahid Hussain echoed the concern, noting that the idea of "self-financing" salary hikes — where reduced corruption boosts revenue — has little support in Bangladesh's past experience.

"From a fiscal perspective, implementing such recommendations without structural reforms in revenue mobilisation and accountability is nearly impossible," he said.

Taken together, economists warn that the interim government's end-of-term spending decisions have significantly narrowed the fiscal room available to the next administration, underscoring the urgency of revenue reforms and tougher expenditure prioritisation to avoid deeper strain on public finances.

The United States and India today (7 February) released a joint statement outlining a framework for an interim bilateral trade agreement under which New Delhi will eliminate or reduce tariffs on all US industrial goods and a wide range of US food and agricultural products, while Washington will apply a reciprocal tariff rate of 18% on Indian goods, including textiles.

The joint statement, released simultaneously in New Delhi and Washington, said India intends to purchase $500 billion worth of US energy products, aircraft and aircraft parts, precious metals, technology products, and coking coal over the next five years.

The announcement follows nearly a year of trade tensions between the two countries, sparked by the Trump administration's imposition of tariffs on Indian goods, which were later doubled to 50% as a penalty over India's purchase of Russian oil.

Earlier today, President Donald Trump also signed an executive order lifting the punitive additional 25% tariff imposed on India over its Russian oil imports.

The joint statement said, "India and the United States will significantly increase trade in technology products, including Graphics Processing Units (GPUs) and other goods used in data centres, and expand joint technology cooperation."

"Today's framework reaffirms the countries' commitment to the broader US-India Bilateral Trade Agreement (BTA) negotiations, launched by President Donald Trump and Prime Minister Narendra Modi on 13 February 2025, which will include additional market access commitments and support more resilient supply chains," it added.

"The interim agreement between the United States and India will represent a historic milestone in our countries' partnership, demonstrating a common commitment to reciprocal and balanced trade based on mutual interests and concrete outcomes," the statement said.

According to the joint statement, key terms of the interim trade agreement will include India eliminating or reducing tariffs on all US industrial goods and a wide range of US food and agricultural products, including dried distillers' grains, red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine and spirits, and additional products.

The United States will apply a reciprocal tariff rate of 18% under an executive order on originating goods from India, including textiles and apparel, leather and footwear, plastic and rubber products, organic chemicals, home décor, artisanal products, and certain machinery.

The United States will also remove tariffs on certain Indian aircraft and aircraft parts. Similarly, India will receive a preferential tariff-rate quota for automotive parts.

The two countries commit to providing each other with preferential market access in sectors of mutual interest on a sustained basis.

They will also establish rules of origin to ensure that the benefits of the bilateral trade agreement accrue predominantly to the United States and India.

According to the statement, both sides will address non-tariff barriers affecting bilateral trade. "India agrees to address long-standing barriers to trade in US medical devices and to eliminate restrictive import licensing procedures that delay market access for, or impose quantitative restrictions on, US Information and Communication Technology (ICT) goods," it said.

India will also determine, within six months of the agreement's entry into force and with a view towards a positive outcome, whether US-developed or international standards, including testing requirements, are acceptable for US exports entering the Indian market in identified sectors.

India further agreed to address long-standing non-tariff barriers affecting US food and agricultural products.

To enhance ease of compliance with applicable technical regulations, the United States and India intend to discuss their respective standards and conformity assessment procedures for mutually agreed sectors.

In the event of changes to agreed-upon tariffs by either country, both sides agree that the other may modify its commitments accordingly.

The United States and India will work towards expanding market access opportunities through continued negotiations under the bilateral trade agreement.

The United States affirmed that it intends to take into consideration India's request to continue working toward lowering tariffs on Indian goods.

Both countries also agreed to strengthen economic security alignment to enhance supply chain resilience and innovation through complementary actions to address non-market policies of third parties, as well as cooperation on inbound and outbound investment reviews and export controls.

The two sides committed to addressing discriminatory or burdensome practices and other barriers to digital trade, and to setting a clear pathway toward robust, ambitious, and mutually beneficial digital trade rules as part of the bilateral trade agreement.

Indian Prime Minister Narendra Modi welcomed the framework for the interim trade agreement, saying it reflects the growing depth, trust, and dynamism of the bilateral partnership.

Modi said the agreement would strengthen the Make in India initiative by opening new opportunities for farmers, entrepreneurs, MSMEs, startup innovators, and fishermen, while generating large-scale employment for women and youth.

He added that the framework would deepen investment and technology partnerships, strengthen resilient and trusted supply chains, and contribute to global growth.

The prime minister reiterated India's commitment to future-oriented global partnerships that empower people and promote shared prosperity, and thanked President Trump "for his personal commitment to strengthening ties between the two countries."

"This framework reflects the growing depth, trust, and dynamism of our partnership. It strengthens Make in India by opening new opportunities for India's hardworking farmers, entrepreneurs, MSMEs, startup innovators, fishermen, and more. It will generate large-scale employment for women and youngsters," Modi said.

"India and the United States share a commitment to promoting innovation, and this framework will further deepen investment and technology partnerships between us," he added in a post on X.

Modi said the framework for the bilateral trade deal would also strengthen resilient and trusted supply chains and contribute to global growth.

Palli Karma-Sahayak Foundation (PKSF) will increase financing and other support to promote Bangladeshi handicrafts in the nearly $1 trillion global export market while taking initiatives to expand the domestic market.

The information was disclosed in a press release issued today (5 February).

During a visit to export-oriented handicraft enterprise Taranga in Mirpur, PKSF Chairman Zakir Ahmed Khan said that handicrafts are a promising sector but face challenges such as financing constraints, skilled manpower shortages, infrastructural gaps and weak branding, which PKSF plans to address through specialized programs.

Bangladesh's domestic handicrafts market is estimated at Tk100–150 billion, while its global exports remain minimal, at $29.75 million in FY 2022–23. Major buyers include the United States, Europe, and the Middle East.

PKSF Managing Director Md Fazlul Kader said women artisans produce high-quality export products locally, raising family incomes.

He added that PKSF aims to help Bangladesh achieve $1 billion in handicraft exports through financing and technical support.

Taranga, backed by PKSF, employs around 32,000 women and allocates over 40% of sales revenue to workers' wages.

Following fair trade principles, it exports jute, water hyacinth, hogla leaves, bamboo, banana fiber, and natural dye products to 50 countries.

Amid Bangladesh’s fragmented preparation for LDC graduation, and at a time when unpredictable global geopolitical dynamics are reshaping competitiveness, some quietly consequential and rather rare good news has emerged from the United Kingdom. It relates to recent changes under the UK’s Developing Countries Trading Scheme, known as the DCTS. The changes mean that even after graduation, Bangladesh will continue to access the UK apparel market on the same terms it currently enjoys as an LDC. Yet this development has attracted little attention, despite potentially far-reaching implications for Bangladesh’s post-graduation export competitiveness.

What changes after graduation and why it matters

Like the EU’s GSP system, the DCTS is a tiered arrangement, with different levels of market access linked to income level and development status. At the top tier are LDCs, which qualify for Comprehensive Preferences, offering duty-free market access with the least restrictive rules of origin, including single-stage transformation for apparel. The second tier, Enhanced Preferences, is intended for economically vulnerable non-LDC countries. It provides duty-free access to most products, but with tighter conditions. The third tier, Standard Preferences, applies to other countries and offers more limited tariff reductions.

LDC graduation means Bangladesh moves from Comprehensive to Enhanced Preferences. Earlier, the UK announced that there would be no safeguard mechanism attached to a non-LDC beneficiary receiving duty-free access for apparel under Enhanced Preferences. By contrast, under the EU system, non-LDC countries with a large share of EU apparel imports face automatic safeguard measures.

This means that even if Bangladesh qualifies for GSP Plus after graduation, its apparel exports could still face MFN tariffs.

Until recently, however, the UK, like the EU GSP Plus, applied double-transformation rules of origin for apparel. Countries under Enhanced and Standard Preferences were required to undertake both fabric production and garment assembly domestically to qualify for duty-free access. The latest changes allow Enhanced Preferences beneficiaries to source up to 100 percent of apparel inputs from abroad while still qualifying for duty-free entry to the UK.

This shift is particularly significant given the UK’s expanding network of free trade agreements with countries such as India and Vietnam, which have large-scale and deeply integrated supply capacities. Without greater flexibility, post-LDC countries like Bangladesh would have faced a far tougher competitive environment, where nominal duty-free access coexisted with binding origin constraints, while FTA partners benefited from full tariff elimination and stronger backward linkages. Such an outcome would risk turning LDC graduation into an economic penalty, contrary to long-standing commitments to ensure smooth transitions.

WHAT THIS MEANS FOR EXPORTS AND JOBS

The UK is Bangladesh’s third-largest export market, accounting for about 10 percent of total merchandise exports. Apparel makes up more than 90 percent of these shipments. In 2024, Bangladesh exported roughly $3.3 billion worth of clothing to the UK, including $2 billion in knitwear and $1.3 billion in woven garments.

This distinction matters. Knitwear benefits from stronger domestic backward linkages and generally meets origin requirements. Woven apparel depends heavily on imported fabrics and is therefore far more exposed to restrictive rules of origin.

Under double-transformation requirements, a large share of woven exports would fail to qualify for preferences and face standard tariffs. Extending single-stage transformation under Enhanced Preferences substantially reduces post-graduation risks and moderates competitive pressure from other exporters gaining tariff-free access through UK trade agreements.

Quantitative modelling by Research and Policy Integration for Development (RAPID) shows that rules of origin matter at least as much as tariffs in determining competitiveness. Under a counterfactual scenario with double-transformation requirements, annual apparel export losses were estimated at $283 to $350 million, mainly in woven garments. The UK’s decision removes this barrier and averts these losses.

General equilibrium simulations using the GTAP framework suggest that without the DCTS changes, Bangladesh’s apparel exports to the UK could have fallen by more than 25 percent as graduation coincided with stronger competition from FTA partners. With single-stage transformation retained, projected losses fall from about $1.18 billion to around $150 million, reflecting competition rather than binding origin rules.

Based on current employment intensity, this policy shift is estimated to safeguard close to 100,000 jobs, more than half held by women. This is significant amid a sharp decline in female participation in manufacturing over the past decade.

WHAT THE UK GOT RIGHT

Allowing single-stage transformation under Enhanced Preferences reduces the risk of abrupt export losses after LDC graduation and supports a more predictable adjustment. It sets a constructive benchmark for post-LDC trade engagement and offers a reference point for discussions with other partners, particularly the European Union.

Rules of origin flexibility, however, should be seen as a transition tool rather than an endpoint. Long-term competitiveness will still depend on strengthening domestic textile capacity and backward linkages.

The UK’s approach shows that LDC graduation need not be economically punitive if trade preferences are designed with the evolving competitive landscape in mind. It also raises the bar for other partners, where rigid origin rules risk turning graduation into a disruptive shock rather than a managed transition.

The author is an economist and chairman of Research and Policy Integration for Development (RAPID). He can be reached at m.a.razzaque@gmail.com.

Bangladesh Bank (BB) has dissolved the existing board of directors of Uttara Finance and Investments Limited and formed a new board to rescue the struggling non-bank financial institution (NBFI) from deep-rooted loan irregularities.

The listed company shared this information through the Dhaka Stock Exchange (DSE) on Thursday (February 5).

Under the Financial Company Act, 2023, the central bank has appointed five new directors to the board. Md. Mukhtar Hossain has been named the new Chairman and will serve as an independent director.

Other newly appointed independent directors include Mohammad Shafiul Azam, Md. Niamul Kabir, Md. Rafiqul Islam (FCS). Additionally, Md. Mahbub Alam has joined the board as a director.

According to central bank sources, the move aims to ensure transparency and restore corporate governance within the institution.

Uttara Finance has been under scrutiny for failing to publish regular financial reports since 2019. However, an audit report for the year 2020, released on October 6 last year, revealed a staggering financial decline.

After taxes and expenses, the company recorded a net loss of Tk 435.54 crore in 2020. The annual operating loss stood at Tk 108.32 crore. By the end of 2020, the total capital shortfall reached Tk 711.55 crore. This includes a core capital deficit of Tk 59.34 crore and a risk-based capital deficit of Tk 652.21 crore.

Central bank officials hope that the reconstitution of the board will bring positive changes to the management and financial health of the company, which has been reeling from years of mismanagement and unauthorized transactions.

Gold and silver prices fell sharply in a broader market selloff on Thursday, as an advance in the dollar to a near two-week high and signs of easing US-China trade tensions added further pressure on the precious metals.

Spot gold declined 2.5 percent at $4,838.81 per ounce, as of 0535 GMT, retreating from a near one-week high hit earlier in the session.

US gold futures for April delivery dropped 1.9 percent to $4,855.60 per ounce.

“The dollar received a new lease of life with the (Kevin) Warsh nomination (as Federal Reserve chief), and the currency has been able to keep making forward progress ... traders are more circumspect now on gold in light of recent extreme volatility,” Tim Waterer, KCM chief trade analyst, said.

The dollar rose to a near two-week high on Thursday, making greenback-priced gold more expensive for other currency holders.

“Sentiment (has) turned soggy across most asset classes, including precious metals, cryptocurrencies and regional equities, with losses feeding into one another and creating a self-reinforcing feedback loop amid thin market liquidity,” said Christopher Wong, a strategist at OCBC. Asia stocks faltered, tracking their US peers as concerns about the exploding costs of AI investment hounded the tech sector.

Spot silver plummeted 14.9 percent to $74.94 an ounce. Last week, the precious metal touched a record high of $121.64.

“The industrial demand has vanished at the higher levels. Most of the industrial buyers have stopped buying silver, and even solar panel producers in China are looking for alternatives,” Shah added.

On the geopolitical front, Iran and the US have agreed to hold talks in Oman on Friday, officials on both sides said. China is considering buying more US-farmed soybeans, US President Donald Trump said after what he called “very positive” talks with his Chinese counterpart Xi Jinping on Wednesday.

“If you remove geopolitical tensions and the de-dollarisation trend for the time being ... the metals have little room to run,” said Kunal Shah, head of research at Nirmal Bang Commodities in Mumbai.

Bitcoin, the world’s biggest cryptocurrency, extended its price slump Thursday to trade under $70,000 for the first time since Donald Trump’s presidential election victory in November 2024.

The digital currency dropped as low as $69,821.18 before climbing back above $70,000.

Bitcoin has fallen sharply in recent weeks as investors pull back from risky assets. It had reached a record high above $126,000 in October.

“Bitcoin continues to suffer... caught up in the broader risk-off mood and geopolitical turmoil that has pushed investors away from riskier assets towards safe havens,” noted Victoria Scholar, head of investment at Interactive Investor.

The volatile cryptocurrency soared after Trump was elected as he was widely viewed as a strong supporter of the sector.

Bitcoin has fallen sharply in recent weeks as investors pull back from risky assets. It had reached a record high above $126,000 in October
He publicly celebrated bitcoin crossing $100,000 for the first time in December 2024.

However it suffered a sharp setback in April last year, falling below $75,000 after the president’s announcement of sweeping US tariffs rattled global markets. It went on to reach a record-high of $126,251.31 six months later.

The latest downturn is driven largely by regulatory uncertainty.

While the US Congress passed a law in July to regulate stablecoins -- a form of cryptocurrency backed by traditional assets -- a broader crypto bill, the Clarity Act, has stalled in the Senate.

Bitcoin’s has been hit also by Trump recently nominating former Federal Reserve governor Kevin Warsh to head of the US central bank.

Warsh, seen by observers as a defender of the Fed’s independence, reassured traditional markets, prompting investors to sell safe-haven assets such as gold and silver, whose prices plunged.

Many investors rushed also to sell cryptocurrencies and other risky assets to help raise cash.

Trump’s close ties to the crypto sector have sparked accusations of conflicts of interest, as he has promoted his own cryptocurrency-related ventures since returning to office.

According to recent Bloomberg estimates, his family’s fortune grew by $1.4 billion last year from digital assets alone.

Just hours before his inauguration in January 2025, the 79-year-old billionaire launched his own cryptocurrency, $TRUMP, which slumped after a blockbuster debut.

The interim government succeeded in preventing a potential macroeconomic collapse during its 18-month tenure, but economists and business leaders say the real economy – particularly the industrial sector – has suffered significant stagnation.

The contrasting assessment emerged at a virtual roundtable titled "Interim Balance Sheet," organised yesterday by the Power and Participation Research Centre, where analysts reviewed the economic performance of the administration that assumed office in August 2024.

Mamun Rashid, chairman of Financial Excellence Ltd, said the interim administration took office in August 2024 at a time when the economy was in "freefall."

"At the very least, the collapse was halted," he said, noting improvements in foreign exchange reserves following a rise in remittances routed through formal channels after anomalies in the banking sector were addressed.

However, Rashid said economic management largely remained "business as usual," falling short of the structural reforms many had expected in the wake of the mass uprising. While the immediate bleeding was stopped, he argued, the economy failed to move into a phase of dynamic recovery.

Concerns from the industrial sector were more acute.

Bangladesh Chamber of Industries (BCI) President Anwar-Ul-Alam Chowdhury said the cost of doing business had risen by 30% to 35% over the past year and a half, pushing many firms to the brink of closure.

Despite paying higher tariffs, industries failed to receive an uninterrupted energy supply, forcing many factories to operate at just 40%-45% of capacity, he said.

The BCI president criticised what he described as the interim government's "isolated" decision-making approach.

Summing up the interim government's economic record, Power and Participation Research Centre Executive Chairman Hossain Zillur Rahman said the administration deserved credit for averting a financial crisis but warned that the incoming elected government would inherit a challenging situation.

"The macro-economy has been saved from a downward spiral, but the wheels of the real economy have slowed significantly," he said, adding that the growing disconnect between policymakers and the business community has triggered a crisis of confidence that the next government must urgently address.

Bangladesh is scheduled to sign a trade agreement with the United States tomorrow aimed at reducing reciprocal tariffs, with commitments to import more American goods to narrow a trade imbalance heavily favouring Bangladesh.

Under the proposed agreement, the US will not levy tariffs on garment items made from American raw materials such as cotton and exported to American markets, according to Commerce Secretary Mahbubur Rahman.

Besides, the Donald Trump administration will also reduce the reciprocal tariff rate further for Bangladesh as at least two advisers of the interim government said recently along with Secretary Rahman on several occasions. However, they did not say exactly what percentage of the reciprocal tariff may be reduced for Bangladesh.

The arrangement is expected to offer substantial relief for Bangladesh’s garment sector.

For instance, if a T-shirt contains 70 percent American cotton and yarn by value, US customs authorities will exempt that portion from the 20 percent reciprocal tariff imposed on Bangladeshi goods last year.

This matters significantly because garments account for nearly 95 percent of Bangladesh’s exports to the US, and many factories can use roughly 70 percent American materials in their products.

The prospect of preferential access has already shifted sourcing patterns. Imports of cotton and soybeans from America have increased as Bangladeshi millers and traders redirect their purchases from other countries.

The signing ceremony will be held in a hybrid format. Commerce Adviser Sk Bashir Uddin and Secretary Rahman will attend virtually, while a handful of senior commerce ministry officials will travel to Washington to attend in person alongside their American counterparts.

“We will send the documents to the US as only a few of our officials will fly there to attend the deal signing ceremony,” Secretary Rahman said.

The commerce adviser cannot attend in person because the government has only one working day before the national elections scheduled for February 12, he added.

The agreement follows intense negotiations to reduce the US tariff burden on Bangladesh. The country exports more than $8 billion worth of goods to the US but imports only $2 billion, creating a substantial trade gap.

In his Liberation Day announcement on April 2 last year, US President Donald Trump imposed a 37 percent additive reciprocal tariff on Bangladeshi exports. After negotiations, the Trump administration agreed to lower the rate to 20 percent in exchange for Bangladesh’s commitment to import more US products.

Bangladesh has pledged to buy American aircraft from Boeing, along with greater quantities of cotton, soybeans, liquefied petroleum gas and other goods to reduce the trade gap with the US. An agreement has been signed to import 3.5 million tonnes of wheat from America over five years, with approximately 660,000 tonnes already purchased.

Meanwhile, the Bangladesh Garment Manufacturers and Exporters Association said in a statement that negotiations with the Office of the United States Trade Representative (USTR) regarding the deal have been ongoing for over six months.

“Although we are informed that a formal trade deal will be signed on February 9, we urge the Ministry of Commerce and all parties negotiating with the USTR to ensure that the signing is completed within this timeframe so that Bangladesh can start preparing itself with the preferential deal of utilising US cotton to attain zero tariff access, which we understand as the centrepiece of the trade deal,” the association added.

Bangladesh’s food grain imports surged 42 percent year-on-year to 42 lakh tonnes in the first half of the current fiscal year (FY) owing to higher imports, particularly by the private sector.

Of the amount, 84 percent or 35 lakh tonnes were wheat, and the rest were rice brought in by the public and private sectors, according to data from the food ministry.

During the period, wheat imports by the private sector surged 31 percent year-on-year to 32.45 lakh tonnes, up from 24.69 lakh tonnes a year earlier.

Meanwhile, imports by the government dropped marginally.

Taslim Shahriar, senior assistant general manager at Meghna Group of Industries (MGI), said a decline in wheat prices in the international market has encouraged imports.

“High prices of rice also buoyed demand for wheat, as it is a substitute. Demand for wheat-based foods is growing, too. This is because people’s consumption behaviour has changed,” he said.

Market price data compiled by the Food and Agriculture Organization (FAO) showed that the national average retail price of wheat flour stayed below the rates of coarse rice between November 2024 and September 2025.

Later, prices of rice declined due to higher supply from increased domestic production and imports. At the same time, retail prices of wheat flour exceeded the prices of coarse rice.

In October 2025, the national average retail price of wheat flour was Tk 54.28 per kilogramme, and the rice price was Tk 52.20 per kilogramme.

Food ministry data showed that rice imports by both the public and private sectors shot up to 6.65 lakh tonnes in the July-December period of FY2025-26 from 1.75 lakh tonnes a year ago.

The food ministry, in its latest Bangladesh Food Situation Report, said the government undertook initiatives to import 15 lakh tonnes of food grains, including 7 lakh tonnes of rice and 8 lakh tonnes of wheat.

This import aimed to strengthen buffer stocks, mitigate market volatility, and safeguard national food security amid global uncertainties.

The government had imported 1 lakh tonnes of rice and 3 lakh tonnes of wheat, while the remaining quantities were in the import pipeline, the report added.

To stabilise domestic supply and prices, rice import duties were reduced, and the private sector was authorised to import 6 lakh tonnes of rice. Under this approval, the private sector imported nearly 4.9 lakh tonnes by November 2025, close to the scheduled target.

Recently, the government granted permission for the private sector to import an additional 2 lakh tonnes of rice.

The food ministry report projected that Bangladesh’s total rice import during FY26 would be more than 14 lakh tonnes, almost equal to the volume of imports in the previous year.

Wheat imports, which meet over 85 percent of the country’s demand, will rise to 71.75 lakh tonnes in the current FY26, registering a 17 percent year-on-year increase.

The MGI official Shahriar said the amount of wheat may be close to the projection of the food ministry.

US President Donald Trump moved Friday to lift an additional 25 percent tariff he imposed on goods from India over its purchases of Russian oil -- a step to implement a trade deal announced this week.

"India has committed to stop directly or indirectly importing Russian Federation oil," according to an executive order Trump signed.

New Delhi has also said that it will purchase US energy products, "and has recently committed to a framework with the United States to expand defense cooperation over the next 10 years," the order said.

The additional 25 percent US duty will be removed at 12:01 am Eastern Time on Saturday.

The executive order comes days after Trump announced a trade deal to reduce tariffs on India, saying that Prime Minister Narendra Modi had promised to stop buying Russian oil over the war in Ukraine.

The pact would also see Washington cutting so-called "reciprocal" levies on Indian products to 18 percent, down from a 25-percent level.

The rollout of this reduction is still to come.

Other terms of the agreement include the removal of tariffs on certain aircraft and parts, according to a separate joint statement released Friday by the White House.

The statement added that India intends to purchase $500 billion of US energy products, aircraft and parts, precious metals, tech products and coking coal over the next five years.

The shift marks a significant reduction in US tariffs on Indian products, down from a rate of 50 percent late last year.

The deal eases months of tensions over India's oil purchases, which Washington says fund a conflict it is trying to end.

It restores close ties between Trump and Modi, a fellow right-wing populist that the US leader has described as "one of my greatest friends."

The 18 percent tariff level also gives Indian exporters a slight edge in the US market over competitors in the region who secured duties of around 19 percent to 20 percent, said Wendy Cutler, senior vice president at the Asia Society Policy Institute, this week.

Readymade garment exports from Bangladesh to the United States grew 12.43 percent to $7.6 billion in the first eleven months of 2025, according to the US Office of Textiles and Apparel (Otexa).

The growth came despite a sharp fall in November, when exports dropped 14.57 percent to $526.51 million compared with the same month a year earlier.

Overall, US apparel imports declined slightly during the January-November period, falling 1.44 percent in value and 3.23 percent in volume. Average prices rose 1.85 percent, Otexa data showed.

Bangladesh was not alone in expanding its US market share last year. Vietnam’s garment exports there grew 11.35 percent, India’s rose 6.04 percent, Pakistan’s by 11.82 percent, Indonesia’s by 9.79 percent, and Cambodia experienced a strong 26.18 percent increase. China’s exports, in contrast, fell sharply by 33.90 percent.

In terms of volume, Bangladesh recorded a strong growth of 13.30 percent, Vietnam 11.99 percent, India 4.73 percent, Pakistan 18.28 percent, Indonesia 13.39 percent, and Cambodia surged 35.40 percent. China saw a sharp decline of 25.86 percent, Otexa said.

Unit prices per garment piece from January to November 2025 varied across countries. Bangladesh experienced a slight drop of 0.77 percent, Vietnam 0.57 percent, China 10.84 percent, Cambodia 6.81 percent, Pakistan 5.46 percent, and Indonesia 3.18 percent. India was the only country to see a price increase, rising 1.25 percent, Otexa added.

US President Donald Trump yesterday (6 February) signed an executive order threatening tariffs on Iran's trade partners, after he pledged a further round of talks with Tehran next week.

The order, effective from Saturday, called for a fresh "imposition of tariffs" on countries still doing business with Iran.

It comes amid heightened tensions between Washington and Tehran, with an American naval group led by an aircraft carrier in Middle Eastern waters and indirect talks held on Tehran's nuclear program in Oman on Friday.

The levies "may be imposed on goods imported into the United States that are products of any country that directly or indirectly purchases, imports, or otherwise acquires any goods or services from Iran", the order said.

Trump issued a threat of 25% tariffs on any country trading with Iran last month.

This order establishes a process for his administration to impose tariffs on goods from those countries.

The rate is to be determined by Secretary of State Marco Rubio, although the order specifies that it could be "for example" 25 percent, the level first mentioned by the US president in mid-January.

Tariffs would affect trade with a number of countries including Russia, Germany, Turkey and the United Arab Emirates.

More than a quarter of Iran's trade is with China, with $18 billion in imports and $14.5 billion in exports in 2024, according to World Trade Organization data.

The talks on Friday in Muscat, mediated by Oman, were the first between the two foes since the United States joined Israel's war with Iran in June with strikes on nuclear sites.

"We likewise had very good talks on Iran," Trump told reporters on board Air Force One en route to his Mar-a-Lago resort in Florida, adding, "we're going to meet again early next week."

Diplomatic relations between Iran and the US broke down with the 1979 Islamic Revolution that brought the current government into power after hostages were taken at the US embassy in Tehran for 444 days.

Direct engagement has been rare in the decades since.

Iran remains under an internet blackout amid a harsh government crackdown on economic protests that began in December across the country.

The US-based Human Rights Activists News Agency (HRANA) said Friday it has confirmed 6,505 protesters were killed, as well as 214 members of the security forces and 61 bystanders.

Bangladesh Bank purchased $196.50 million from 16 commercial banks today (5 February), continuing its efforts to stabilise the foreign exchange market and support remittances and exports.

Arief Hossain Khan, spokesperson and executive director of Bangladesh Bank, confirmed the latest purchase.

He said the transaction, conducted at a cut-off rate of Tk122.30, brings the central bank's total dollar purchases for February to $586 million.

Since July, Bangladesh Bank has bought over $4.5 billion from commercial banks through similar auctions, injecting an equivalent amount of taka into the banking system and strengthening foreign exchange reserves.

The increased availability of dollars is largely driven by rising remittance flows through banking channels, prompting commercial banks to sell foreign currency to the central bank.

A senior Bangladesh Bank official told TBS that these purchases are aimed at bolstering reserves, supporting exporters, and maintaining steady remittance inflows, forming part of a broader strategy to prevent the US dollar from depreciating against the taka.

RAK Ceramics (Bangladesh) Limited has reported a loss of Tk39.59 crore for 2025, even as its revenue grew by 10.56%, mainly due to higher manufacturing costs, prolonged disruption in gas supply until June, and rising finance expenses.

According to its price-sensitive information (PSI) filed with the Dhaka Stock Exchange (DSE), the multinational ceramic manufacturer's sales rose to Tk737.33 crore in 2025 from the previous year, driven largely by increased production following uninterrupted LNG supply from July onward, which helped boost market sales.

Despite the revenue growth, the company's gross profit margin declined sharply to 13.19% from 17.19% a year earlier.

RAK Ceramics attributed the margin erosion to increased throughput costs, unabsorbed fixed costs incurred during the gas supply disruption up to June 2025, higher finance expenses arising from additional working capital borrowings, and increased provisions and write-offs of aged inventory.

With the latest loss, the company has posted back-to-back losses for the second consecutive year. In 2024, RAK Ceramics incurred a loss of Tk2.73 crore, although it also paid a 10% cash dividend that year.

Despite the widening losses, the board of directors has unanimously recommended a 10% cash dividend for general shareholders for 2025, amounting to Tk11.95 crore.

According to DSE data, sponsor-directors hold a majority 72.08% stake in the company and will not be entitled to the recommended dividend. The remaining 27.92% shares held by institutional investors, foreign investors, and general shareholders will receive the dividend payout.

The company also reported improvements in its operating performance, citing better trade receivable collections supported by a strengthened credit control framework, as well as successful renegotiation and extension of payment terms with vendors.

As a result, net operating cash flow per share rose significantly to Tk1 at the end of 2025, from Tk0.49 a year earlier.

RAK Ceramics has scheduled its annual general meeting (AGM) for 31 March through a digital platform. The record date for determining dividend entitlement has been set for 25 February.

Major business associations have appealed to Chief Adviser Muhammad Yunus for urgent personal intervention to defuse the escalating crisis at Chattogram Port, warning that an indefinite strike planned from tomorrow could trigger severe economic fallout just four days before the national election.

In an open letter dated today (7 February), the leaders of the Bangladesh Employers' Federation (BEF), Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and Bangladesh Textile Mills Association (BTMA) said continued disruption at the country's main seaport would pose a serious threat to exports, essential commodity supplies and overall economic stability.

The letter was signed by BEF President Fazle Karim Ehsan, BGMEA Acting President Selim Rahman, BKMEA President Mohammad Hatem and BTMA President Showkat Aziz Russell.

Describing Chattogram Port as the "lifeline of the national economy," the business leaders noted that it handles around 99% of the country's container traffic and 78% of seaborne trade. Any prolonged shutdown, they warned, could cause irreparable damage to key export sectors, particularly ready-made garments, while creating artificial shortages of essential goods ahead of Ramadan.

They also cautioned that vessel congestion and cargo delays would result in massive demurrage payments, putting additional pressure on the country's foreign exchange reserves.

While commending the interim government's reform initiatives and preparations for what they described as a free, fair and neutral election under Yunus's leadership, the signatories said they were deeply concerned by the "deep impasse" at the port.

The situation, they said, has been aggravated by the announcement of continuous strikes and shutdowns at the port terminals and outer anchorage from 8 February by the Chattogram Bandar Rokkha Sangram Parishad, a platform of port workers and employees opposing the proposed lease of the New Mooring Container Terminal (NCT) to UAE-based DP World.

According to the letter, seven consecutive days of dialogue and coordination meetings involving various stakeholders have failed to produce a breakthrough. The business leaders pointed to the controversial NCT lease plan as the core trigger of the unrest, saying the situation has become more volatile due to legal actions and investigations initiated against protesting workers.

"At this critical juncture, four days before the national election, any disruption to the country's supply system and economic activities is undesirable for all of us," the letter said, urging the chief adviser to take immediate steps to promote mutual understanding among workers, port authorities and other stakeholders.

The appeal comes as port workers prepare to resume an indefinite strike after a brief 48-hour suspension following talks with Shipping Adviser Brigadier General (retd) M Sakhawat Hossain.

The protest movement began in late January over the government's plan to hand over the NCT to DP World. A six-day work abstention earlier last week brought port operations to a standstill, leaving thousands of containers stuck at yards and dozens of vessels waiting at outer anchorage, with losses running into billions of taka.

Although the strike was temporarily paused after negotiations with the shipping adviser, labour leaders warned that the suspension was conditional. They accuse the port authority of acting in bad faith by transferring protesting employees and seeking anti-corruption probes and travel bans against labour leaders.

Protesters are demanding the cancellation of the NCT lease deal, removal of the port chairman over alleged corruption, withdrawal of cases filed against workers and assurances that no further punitive measures will be taken.

Trade bodies, particularly in the export sector, have repeatedly warned that renewed disruptions could lead to order cancellations, shipment delays, price hikes and potential job losses. With Ramadan approaching, business leaders fear supply chain instability could also push up prices of essential commodities.

Port authorities, on the other hand, have accused the strikers of disrupting national trade and have taken a series of administrative and legal steps, further hardening positions on both sides. Operations at the port remain fragile during the current pause, with stakeholders bracing for fresh disruptions if the strike resumes as announced.

With the election scheduled for 12 February and economic sensitivities running high, the business community's appeal underscores growing concern that failure to resolve the standoff quickly could amplify economic pressures and spill over into the broader political and social landscape.

The benchmark index of the Dhaka Stock Exchange continued its upward trend last week, supported by broad investor participation and sustained buying in undervalued blue-chip stocks. Improving sentiment around the upcoming national election encouraged selective buying across key sectors.

The market opened the week strongly, maintaining positive momentum for three consecutive sessions. Although some profit-taking appeared in the final session, buyers largely dominated, pushing the market higher by week's end. The DSEX rose 80.4 points, or 1.6%, to close at 5,234 points. Average daily turnover increased 11.2% to Tk644 crore, reflecting heightened investor activity.

Banking stocks led trading, accounting for 18.6% of total turnover, followed by pharmaceuticals at 14.8% and textiles at 9.7%. Engineering shares posted the highest weekly gains, climbing 5.7% as investors picked up stocks that were previously oversold. The banking sector added 3.8%, while mutual funds rose 3.4% on renewed buying interest.

Not all sectors fared well. General insurance fell 3.9%, life insurance dropped 2%, and telecom slid 1.5% amid profit-taking. Non-bank financial institutions saw sharp price swings, with International Leasing, Premier Leasing, FAS Finance, Peoples Leasing, and GSP Finance among the top gainers. On the downside, DBH First Mutual Fund led losses, along with Asia Pacific Insurance, Sonar Bangla Insurance, Rupali Life Insurance, and Rahim Textile.

BRAC Bank, Islami Bank, Asiatic Laboratories, Dominage Steel, and Simtex Industries were the most actively traded stocks, showing sustained interest in large-cap, fundamentally strong companies. Key contributors to the index's rise included Islami Bank, Walton, Al-Arafah Islami Bank, BRAC Bank, and Renata.

Analysts said that improving political clarity, steady participation from both institutional and retail investors, and selective accumulation in blue-chip stocks supported the market's gains. While short-term volatility from profit-taking may continue, the overall trend appears constructive as long as macroeconomic and political conditions remain stable.

The signing of the Bangladesh-Japan Economic Partnership Agreement (EPA) marks a historic milestone in Bangladesh's trade diplomacy, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) said today (7 February).

"The deal ensures duty-free access for Bangladeshi garments and maintains favourable rules of origin, including single-stage processing, allowing garments to enter Japan tariff-free even after Bangladesh graduates from least developed country (LDC) status," the trade body of the country's apparel industry said in a press release.

Mentioning that Bangladesh exported $1.41 billion in garments to Japan in FY2024–25, the BGMEA said the EPA aims to expand this share to at least 10%, supporting Bangladesh's $100 billion garment export target by 2035.

"Japan has long been a trusted partner, supporting Bangladesh's industrial growth and economic transformation. This agreement not only secures market access but also provides a predictable trade environment for the RMG sector in the post-LDC era," the BGMEA said.

Bangladesh, Japan sign major trade deal to safeguard market access post-LDC

The association also highlighted that the EPA could reduce the country's trade deficit with Japan, diversify exports beyond garments, and attract increased investment from Japanese importers and machinery suppliers.

Bangladesh is also awaiting the finalisation of a US–Bangladesh trade deal, expected on 9 February, which is expected to provide zero-tariff access for garments using US cotton, another major boost for the sector.

On Thursday (5 February) Bangladesh and Japan signed the landmark economic partnership agreement (EPA) in Tokyo, a major step in Dhaka's efforts to preserve export market access and attract investment as it prepares to graduate from least developed country (LDC) status.

The deal, hailed by business leaders, is Bangladesh's first bilateral free trade agreement and secures continued duty-free access to Japan – the world's third-largest economy – for key exports even after LDC graduation.

Covered products include ready-made garments, leather goods, plastics, light engineering items and selected agricultural products, protecting an export market worth $2.1 billion.

Economists and business leaders described the EPA as less about tariff cuts and more about economic survival after LDC graduation in 2026. Without such an agreement, Bangladesh would face higher tariffs and stricter compliance requirements once Japan's temporary LDC preferences expire.

Bangladesh Bank has dissolved the board of directors of Uttara Finance and Investment Limited and reconstituted it with five new directors, citing governance and oversight concerns.

The decision was taken under the Financial Company Act, 2023, as part of the central bank's ongoing efforts to strengthen corporate governance in the non-bank financial institution (NBFI) sector, according to a price-sensitive disclosure filed with the Dhaka Stock Exchange (DSE) today (5 February).

As per the disclosure, Mukhter Hossain has been appointed chairman and independent director of the newly formed board. The other independent directors are Shafiul Azam, Niamul Kabir and Rafiqul Islam, while Mahbub Alam has been appointed as a director.

Following the announcement, shares of Uttara Finance rose 2.40% to close at Tk12.80 on the Dhaka bourse.

This is not the first time the central bank has intervened in the institution's management. In 2022, Bangladesh Bank dissolved the company's board and appointed independent directors amid allegations of governance failures and financial irregularities.

The latest move follows a series of investigations initiated after Bangladesh Bank received information in 2019 regarding widespread violations of rules and serious financial misconduct at Uttara Finance. The allegations included irregular transactions amounting to at least Tk3,440 crore, misuse of company funds for personal purposes by directors, and withdrawals made under the guise of advances. The then managing director and several board members were reportedly involved.

Subsequently, the central bank scrutinised the company's audited financial statements for 2019 following multiple complaints and issued a number of corrective directives in 2021 after a prolonged investigation. Further evidence of irregularities later surfaced through a special audit conducted by external auditor Rahman Rahman Haque.

According to audited financial statements disclosed later, Uttara Finance incurred a net interest loss of Tk61.17 crore, an operating loss of Tk108.31 crore, and a net loss after tax of Tk435.54 crore in 2020. The loss per share stood at Tk33.13, reflecting a sharp deterioration in profitability.

The auditor's report also highlighted a capital shortfall of Tk711.55 crore as of December 2020, underscoring the depth of the financial distress that prompted continued regulatory intervention.

India's textile sector is set to gain advantage over competitors such as Bangladesh, Pakistan, China, and Vietnam under the recently announced bilateral trade deal with the United States, the Indian Ministry of Textiles said today (7 February).

Under the interim framework, the US will reduce reciprocal tariffs on all Indian textile products, including apparel and made-ups, to 18%. This not only removes the disadvantage Indian exporters previously faced but positions them ahead of competitors, whose reciprocal tariffs remain higher: Bangladesh (20%), China (30%), Pakistan (19%), and Vietnam (20%), the ministry said.

"This agreement is likely to reshape market dynamics, as major buyers are expected to reconsider their sourcing strategies in light of the tariff reduction," the ministry added.

Trump announces US-India trade deal, lowers tariffs to 18%

It stated that the deal is also expected to enhance cost competitiveness for Indian manufacturers and allow diversification of risks by enabling sourcing of textile intermediates from the US.

This, in turn, would support value-added textile production, expand India's manufacturing base, and boost exports, the ministry noted.

The ministry highlighted that the interim agreement would generate additional employment and attract investment from US entities, describing the framework as "a major catalyst" for strengthening textile trade relations between the two countries.

For Indian textile exports, the agreement opens access to the $118 billion US market for textiles, apparel, and made-ups. The US already accounts for around $10.5 billion of India's textile exports, comprising approximately 70% apparel and 15% made-ups.

The ministry said the deal is expected to play a key role in India reaching its $100 billion export target by 2030, with the US projected to contribute over one-fifth of this target, providing crucial momentum for the sector.

Indian Commerce Minister Piyush Goyal also highlighted the broader benefits of the deal.

Speaking to reporters, he said, "The agreement provides India with a competitive advantage over neighbouring countries and will provide a lot of help to our exporters."

Goyal noted that India's exports worth about $44 billion to the US will enter the American market at zero reciprocal tariffs under the first phase of the bilateral agreement, expected to be signed by mid-March.

He added that India will offer duty concessions on a range of American goods, while sensitive agricultural and dairy products will remain fully protected. "Certain concessions will also be quota-based, such as soybean oil, to allow limited duty-free access for US exports."

The tariff concessions offered by India cover products including wines and spirits, dried distillers' grains, red sorghum for animal feed, tree nuts, soybean oil, fresh and processed fruit, cosmetics, chemicals, certain medical devices, and computer-related products.

Meanwhile, sensitive sectors such as milk, cheese, wheat, rice, maize, soy, poultry, ethanol (fuel), tobacco, certain vegetables, and meat from the US will not receive any duty concessions, ensuring protection for domestic producers.