June 3, 2010

 

Bangladesh urged to improve Russian shrimp export process

 
 

Bangladeshi shrimp exporters might lose the highly-potential market in Russia, if the government does not take proper initiative immediately to address the procedural problem, officials said.

 

The Department of Fisheries (DoF) and the Department of Federal Service for Phytosanitary Surveillance of the Russian Federation signed a Memorandum of Understanding in 2009, under which Russia reserves the right to select any shrimp exporter from Bangladesh.

 

Under the existing system, a shrimp exporter contacts the Russian buyers on his own, Russia then turns to the DoF, which sends the credibility report on the company as per requirements, after which the selection takes place.

 

Terming it a lengthy process, S Humayun Kabir, director of Bangladesh Frozen Foods Exporters Association (BFFEA) said, "It is impossible for Russia to select a Bangladeshi company, unless it contacts them."

 

Russia offers price 10-20% higher than those offered by the EU and the US and currently imports around 50,000 tonnes of Bangladeshi frozen food, mainly shrimp, per year.

 

Bangladesh's frozen food exports during the July-April period of the current fiscal, 2009-10, declined by 13.66% to US$332.66 million, compared to the corresponding period of the previous fiscal, the Export Promotion Bureau (EPB) data showed.

 

Kabir suggested dispatching a team to Russia and initiating a diplomatic approach, so that the buyers allow the DoF to select the companies.

 

DoF director general Majibur Rahman said the department has sent a letter to Russia as per their requirement on three Bangladeshi companies.

 

"Besides, we gave a proposal to Russia to select and approve the 74 EU-recommended Bangladeshi companies as per exporters' demand. But it totally depends on Russia to select the companies," he added.

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