<span>Challenges of Sanitary and Phytosanitary Measures in Export Competitiveness of Bangladesh</span>

Abstract

<span>Bangladesh has emerged as one of the world's fastest-growing economies, ranking as the second-largest in South Asia with an average GDP growth rate of over 6.5 percent in the past decade. As a result, Bangladesh is graduating from the stage of least developed country to a developing country by 2026 and envisions to be a developed country and Smart Bangladesh by 2041. This ambitious vision has driven substantial changes in its economy, industry, commerce, and foreign trade. Foreign trade has a significant positive impact on the economic growth of Bangladesh, having 32.64 percent share of foreign trade in GDP in FY 2022-23. The Government of Bangladesh has adopted an export-oriented strategy in its 8th Five Year Plan to foster trade growth. The agro-products and processed food industries have shown considerable promise in trade and their exports are increasing steadily. The rising trend in processed food exports and the substantial increase in global demand indicate the sector's potential to diversify Bangladesh's export basket. However, compliance with Sanitary and Phyto-sanitary (SPS) standards has become critical for exporting food and agricultural products. Since the 1990s, the demand for fresh, semi-processed, and ready-to-eat food in developed countries has intensified the focus on SPS issues in international trade. Ensuring adherence to SPS requirements can significantly expand Bangladesh's export opportunities and market access. The agro-products and processed food sectors, in particular, present vast potential for export diversification. Meeting SPS standards is essential for tapping into new markets and enhancing the country's trade prospects, supporting its journey towards a developed nation by 2041.</span>