Failure to comply with EU trade rules could lead to fines: Charles Whiteley

News Desk: European Union (EU) officials have urged Bangladesh to observe due diligence or regulations in human rights and environmental protection. They said that if the rules are not followed, the brands will be forced to leave the relationship with the concerned institutions through sanctions and fines.

They said this at a round table meeting organized on 'proper observance of law' in Tejgaon of the capital on Tuesday (January 23). EU Ambassador Charles Whiteley delivered the chief guest speech at the round table meeting organized by the International Business Forum of Bangladesh (IBFB).

The ambassador said that the due diligence law is not only a buyer-seller issue; The supply chain is designed for everyone. These regulations include issues such as child labour, forced labour, slavery, deforestation, environmental pollution, damage to ecosystems and human rights. So these are not only the interests of the European Union, but also global interests.

Charles Whiteley said that by 2026, Bangladesh will have to go through many processes on the way to transition from a less developed country. Therefore it is not right to consider the Due Diligence Act as separate. There are about 32 related conventions. Bangladesh should not only ratify them, but also implement them.

BGMEA President Farooq Hasan said that several regulations have been passed in various European countries in the last few years in the field of trade. Although the basic gist of these is almost the same, each requires a separate audit. Laws should be universal and universally enforceable.

In his keynote address, EU Deputy Head of Mission Bernd Spanier said many in the global supply sector are not complying with regulations due to weak local regulations and unhealthy competition to procure low-cost orders. We have seen the Rana Plaza crash in Bangladesh and the irresponsibility of some brands and buyers during the Corona. These incidents have reminded us that businesses are not voluntarily complying with regulations. For this there is a need for good governance in the supply sector.

BTMA president Mohammad Ali Khokon said, to comply with various regulations, we basically have to get certificates from various institutions in Europe and the United States. It is big business for these companies. We do not get the fair price of the product even if we meet all the conditions. Provided all compliance is met, these additional costs will also be borne by the product price.  

In this regard, Bernard Spanier said, price determination is a matter of negotiation between buyers and sellers. We cannot force buyers in this regard.

IBFB President Humayun Rashid presided over the round table meeting.  

 

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