The UK will continue to provide market access to Bangladeshi exporters after Bangladesh graduates from least developed country (LDC) status, with apparel exporters expected to retain their existing access, according to the British High Commission in Dhaka.
Currently, Bangladesh benefits from duty-free access for 99.8% of its exports to the UK under the Developing Countries Trading Scheme (DCTS).
Following Bangladesh’s graduation from the LDC category, the country will benefit from a three‑year transition period during which its current market access to the UK will remain unchanged. Once that period ends, Bangladesh will move directly into the Enhanced Preferences tier of the DCTS, under which 92% of its exports will continue to enjoy duty‑free entry into the UK market.
The UK’s decision will not require new negotiations, giving Bangladeshi exporters greater certainty.
The assurance followed a recent discussion on the DCTS, jointly organized by the British High Commission and the Export Promotion Bureau (EPB).
The decision is particularly important for Bangladesh’s apparel sector, which remains the country’s largest source of export earnings.
According to the British High Commission, Bangladesh’s apparel exports, including knitwear and woven garments, will retain their existing market access after the country transitions to the Enhanced Preferences tier. The UK’s revised Rules of Origin will also allow garment exporters to continue benefiting from the current requirements, including the absence of a double-transformation obligation.
The revised rules will give Bangladeshi exporters more flexibility in sourcing inputs from a broader range of countries while continuing to qualify for preferential access to the UK market. The British High Commission also confirmed it will continue collaborating with the Bangladesh government, trade associations, and exporters to raise awareness of the DCTS and improve its use.
As part of these efforts, the High Commission and the EPB plan to conduct a series of DCTS workshops for exporters and other trade stakeholders in the coming months.
Furthermore, the UK reiterated its commitment to strengthening trade and investment ties with Bangladesh and supporting the country’s ongoing economic growth and development.
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