US Deputy Chief of Mission JoAnne Wagner announced on February 2 an agricultural trade programme for Bangladesh to increase access to US agricultural products. “Bangladesh is already a top export market for U.S. agriculture, and there is clear potential to expand our trading relationship even further, to the benefit of both of our countries. This program will help us do so,” she said.
In cooperation with the Association of Bankers, Bangladesh (ABB), the U.S. Department of Agriculture (USDA) hosted a seminar at the American Center on USDA’s Export Credit Guarantee Program. Representatives from leading Bangladesh banks and top agricultural importers attended the seminar. The Export Credit Guarantee Program provides credit guarantees to encourage financing to purchase U.S. agricultural products in Bangladesh.
This program offers $5 billion in credit guarantees worldwide each year to support commercial export sales of U.S. agricultural goods to markets, like Bangladesh, that have “sufficient financial strength.”
Bangladesh is one of approximately 130 countries eligible for the credit guarantee program. After the seminar U.S. Embassy Agricultural Attaché Tyler Babcock said, “We hope multiple banks in Bangladesh will apply to enroll in the program.” Importers acquire purchase high-quality U.S. agricultural products and possibly leverage favorable credit terms.
This program guarantees payments for purchases of U.S. food and agricultural products by importers in Bangladesh. Participating local banks can access U.S. dollar financing for up to 12 months from U.S. banks at potentially lower interest rates.
