In 2026, Bangladesh will join the ranks of developing countries out of the list of least developed countries (LDC). Even if Bangladesh leaves the LDC, it will get the benefit of duty-free market in Canada. The Canadian market will have duty-free facilities until 2034.
Since 2003, Bangladesh has been enjoying duty-free and quota-free access to Canada under the Listed-Development Country Tariff (LDCT) scheme. LDCT scheme is covered under GPT which is being renewed every 10 years. The current version of the General Preferential Tariff (GPT) scheme will expire in 2024.
The Government of Canada has decided to provide duty-free market facilities to developing countries under the GPT scheme. Duty-free access to other products will also be given to Canada under this scheme, along with relaxed rules for the production of garments. It also proposes expanding Canada’s market access benefits based on industry labor and environmental compliance.
Regarding this, a director of BGMEA, an association of the country’s garment industry owners and exporters, said that Canada is one of the largest markets for Bangladesh’s garment industry. On June 8, the Government of Canada passed a Finance Bill. In that bill, the GPT scheme has been extended till the end of 2034. In this, the country gave good news for the industrial entrepreneurs of Bangladesh. The industrial owners will increase the export in the country by utilizing this opportunity.