Doing Business with Bangladesh

1. Market Research

   • Conduct thorough research on the Bangladeshi market to understand demand, competition, and regulations.

2. Compliance with Regulations

   • Ensure compliance with Bangladesh’s import regulations, standards, and certification requirements.

3. Product Classification

   • Classify your products according to the Harmonized System (HS) codes used by Bangladeshi customs.

4. Documentation Preparation

   • Prepare necessary documents such as the commercial invoice, packing list, bill of lading, and certificate of origin.

5. Engage with a Freight Forwarder

   • Choose a reliable freight forwarder to handle logistics and shipping.

6. Customs Clearance

   • Work with a customs broker to manage the customs clearance process in Bangladesh.

7. Payment Terms and Methods

   • Agree on payment terms with your Bangladeshi buyer, often done via Letter of Credit (L/C).

8. Shipping and Logistics

   • Arrange for the shipment of goods, considering the best routes and shipping methods.

9. Insurance

   • Obtain insurance for your shipment to cover potential risks during transit.

10. Final Delivery

    • Ensure successful delivery and receipt of goods by the buyer.

Key Contacts

Bangladesh Export Promotion Bureau

• Website: epb.gov.bd

National Board of Revenue (NBR)

• Website: nbr.gov.bd

Ministry of Commerce

• Website: mincom.gov.bd

1. Research and Planning

   • Conduct market research to understand demand and supply chains in Bangladesh.

2. Obtain Import Registration Certificate (IRC)

   • Register with the Chief Controller of Imports & Exports to obtain an IRC.

3. Product Classification

   • Classify your products using the Harmonized System (HS) codes.

4. Understand Regulatory Requirements

   • Ensure compliance with Bangladeshi import regulations, standards, and certifications.

5. Arrange Financing

   • Secure financing and establish letters of credit (L/C) with your bank.

6. Find a Supplier

   • Identify and negotiate with reliable suppliers.

7. Documentation Preparation

   • Prepare necessary documents such as the commercial invoice, packing list, bill of lading, and certificate of origin.

8. Customs Clearance

   • Engage a customs broker to handle the customs clearance process.

9. Pay Duties and Taxes

   • Calculate and pay any applicable import duties and taxes.

10. Logistics and Delivery

    • Arrange for the transportation and delivery of goods to your desired location.

Key Contacts

Bangladesh Import Policy Division

• Website: mincom.gov.bd

National Board of Revenue (NBR)

• Website: nbr.gov.bd

Bangladesh Customs

• Website: customs.gov.bd

1. Choose a Company Name

   • Conduct a name availability search to ensure your desired company name is unique.

2. Prepare Required Documents

   • Prepare the Memorandum of Association (MoA) and Articles of Association (AoA).

3. Open a Bank Account

   • Open a temporary bank account to deposit the initial capital.

4. Register with the Registrar of Joint Stock Companies and Firms (RJSC)

   • Submit the necessary documents and application to RJSC.
   • Cost: Approximately BDT 1,000 to BDT 70,000 (varies based on company type and share capital).

5. Obtain a Trade License

   • Apply for a trade license from the local City Corporation or Municipality.
   • Cost: Varies by location and business type.

6. Register for Taxes

   • Obtain a Tax Identification Number (TIN) from the National Board of Revenue (NBR).

7. VAT Registration

   • Register for VAT if applicable, depending on your business type.

8. Obtain Other Permits and Licenses

   • Depending on the industry, additional permits or licenses may be required.

9. Register for Employee Welfare

   • Register with the Bangladesh Employees Welfare Board if you plan to hire employees.

Key Contacts

Registrar of Joint Stock Companies and Firms (RJSC)

• Website: rjsc.gov.bd

National Board of Revenue (NBR)

• Website: nbr.gov.bd

Ministry of Commerce

• Website: mincom.gov.bd

1. Conduct Feasibility Study

   • Assess market demand, location, and financial viability.

2. Select a Suitable Location

   • Choose an appropriate site with access to infrastructure and resources.

3. Incorporate the Company

   • Register your company with the Registrar of Joint Stock Companies and Firms (RJSC).

4. Obtain Necessary Permits and Licenses

   • Acquire a trade license, environmental clearance, and any industry-specific permits.

5. Secure Financing

   • Arrange funding through banks, investors, or financial institutions.

6. Design the Plant Layout

   • Plan the layout for efficient production and compliance with regulations.

7. Procure Equipment and Machinery

   • Purchase or lease necessary machinery and equipment.

8. Hire Workforce

   • Recruit skilled labor and ensure compliance with local labor laws.

9. Install Utilities

   • Set up essential utilities like electricity, water, and waste management.

10. Begin Production

    • Start manufacturing operations and ensure quality control.

Key Contacts

Bangladesh Investment Development Authority (BIDA)

• Website: bida.gov.bd

Bangladesh Economic Zones Authority (BEZA)

• Website: beza.gov.bd

Ministry of Industries

• Website: moind.gov.bd

1. Conduct a Trademark Search

   • Perform a search to ensure your trademark is unique and not already registered.

2. Prepare Application

   • Gather necessary documents, including a representation of the trademark and details about the goods/services.

3. File the Application

   • Submit the application to the Department of Patents, Designs and Trademarks (DPDT).
   • Cost: Approximately BDT 3,500 to BDT 6,500 (varies based on class and type).

4. Examination by DPDT

   • The DPDT will examine the application for compliance and potential conflicts.

5. Publication in the Trademark Journal

   • If approved, the trademark will be published in the official journal for opposition.

6. Opposition Period

   • A 60-day period during which third parties can oppose the registration.

7. Registration Certificate

   • If no opposition is filed or resolved in favor of the applicant, receive the registration certificate.

8. Renewal

   • Renew the trademark every 7 years to maintain protection.

Key Contacts

Department of Patents, Designs and Trademarks (DPDT)

• Website: dpdt.gov.bd

1. Negotiation

   • Attempt to resolve the dispute through direct negotiation between parties.

2. Mediation

   • Engage a neutral third party to facilitate a voluntary agreement.
   • Cost: Varies based on mediator fees.

3. Arbitration

   • Use arbitration as a private dispute resolution method.
   • Cost: Depends on the arbitrator and complexity of the case.

4. Litigation

   • File a lawsuit in the appropriate court if other methods fail.
   • Cost: Legal fees, court fees, and potential damages.

5. Court Proceedings

   • Attend hearings and present evidence before a judge.

6. Judgment

   • Await the court’s decision, which may include enforcement actions.

7. Appeal

   • If necessary, appeal the decision to a higher court.

Key Contacts

Bangladesh International Arbitration Centre (BIAC)

• Website: biac.org.bd

Ministry of Law, Justice and Parliamentary Affairs

• Website: lawjusticediv.gov.bd

Social and Cultural Factors

• Relationships and Networking: Building strong relationships and trust is crucial. Business is often conducted with a focus on long-term partnerships.
• Communication Style: Bangladeshi business culture tends to be indirect. Respect and politeness are highly valued.

Political Environment

• Stability: Bangladesh has a stable political environment, but businesses should stay informed about any changes.
• Regulations: Government policies can impact business operations, so understanding local laws is essential.

Foreign Exchange

• Currency: The Bangladeshi Taka (BDT) is the local currency. Exchange rates can fluctuate, affecting international transactions.
• Regulations: The Bangladesh Bank regulates foreign exchange. Businesses must comply with currency controls.

Rule of Law

• Legal System: Bangladesh follows a common law system. Understanding legal procedures and obtaining local legal assistance can be beneficial.
• Contract Enforcement: While contracts are legally binding, enforcement can be slow.

Economic Factors

• Growth: Bangladesh has been experiencing steady economic growth, driven by sectors like textiles and manufacturing.
• Opportunities: There are opportunities in sectors such as technology, renewable energy, and infrastructure.

Useful Resources

• Bangladesh Investment Development Authority (BIDA)
• Export Promotion Bureau of Bangladesh
• Bangladesh Bank
• Ministry of Commerce