DHAKA, Aug 14, 2021 (BSS) – Stakeholders concerned in a dialogue today said transparent automation, easy regulations, access to finance, inter-ministerial coordination, easy tax structure, cross border digital commerce trade facilitation are key to foster e-commerce in Bangladesh.

The stakeholders said this in a virtual discussion meeting titled “Building a Sustainable Ecosystem for Ecommerce” organized by Dhaka Chamber of Commerce & Industry (DCCI) today.

Commerce Secretary Tapan Kanti Ghosh joined the discussion as the chief guest, said a DCCI press release.

Speaking on the occasion, the Commerce Secretary said that the private sector is playing the dominant role in the economy.
 
“In the e-commerce sector, reliability is the key issue to help this sector to grow. The government does not want to impose strong regulations upon the sector so that small entrepreneurs can come on board easily,” he added.

Tapan said that the government is working hard to create a congenial regulatory atmosphere for e-commerce business.

But, he also requested the consumers not to be greedy or discount hunter. Terming e-commerce a dynamic way of business, he said that newer provisions will be added in the policy time to time.
 
“The government will also review the consumers’ protection law in line with the e-commerce regulations” Tapan said adding that there is also a need of a Data Protection Law.

“The government is working on automation of its different service providing agencies like RJSC, NBR and after automation, entrepreneurs will get smooth service without hassle,” he added.

In the opening remarks, DCCI President Rizwan Rahman said that the e-commerce ecosystem saw a massive vibe in recent past.

“Despite we have seen some challenges the sector is facing recently, but with the intervention of the government, regulators and stakeholders a sustainable development will come in the sector,” he said.
 
He said according to an estimated data, in 2020, the transactions in the e-commerce sector was about $2 billion, which may increase up to $2.5 billion in the current year.

According to an estimated data, in 2020 transaction in only f-commerce sector was about 320 crore taka, he cited.

Rizwan also said that 15 percent VAT imposed on e-commerce sector may hamper the growth of small investors in this sector.

Moreover if international market leaders like Amazon comes in our market, it may create opportunity for local CMSME traders and manufacturers, he noted.

Barrister K. M. Tanjib-ul-Alam, Head of the Chamber, Tanjib Alam and Associates also underscored the importance of reliability for a sustainable market.
For sustainability, repeat customers are needed and depending on only discount hunter and for a few opportunists, the market may be hampered.

He thus urged for a proper policy and guidelines with a scope of reward and punishment.

“Government should come forward to safeguard the ecosystem,” he added.
Tanjib said the government should upgrade the national postal system so that ecommerce platform can utilize this trusted system.

Fahim Ahmed, President, Pathao said policy and regulatory guidelines are needed for a sustainable ecosystem.

“Unsuccessful e-commerce platforms with a huge liability and discounting method cannot sustain in the market as it is not economically viable,” he added.

Khorshed Anwar, Deputy Managing Director, Eastern Bank Limited said small e-commerce, startups or f-commerce entrepreneurs are sometimes deprived of access to finance due to lack of documentation.

“We are working on the issue and do training programmes for the small startups,” Khondoker Tasfin Alam, Chief Operating Officer, Daraz Bangladesh said excessive discounting model is not sustainable.

“Customer readiness as well as seller’s readiness is equally important. Sometimes wrong model can become famous for the time being but it is not sustainable but will hamper the ecosystem,” he said.

Tasfin also said that Daraz Bangladesh has already invested Taka 500 crore in last 2 years in logistic infrastructure. He lastly emphasized on improving products quality for sustainability.
Ashish Chakraborty, Chief Information Officer, Nagad said Mobile Financial service plays a vital role in ecommerce.

“Bangladesh Bank now allows to get small investors having NID onboard which is a good move. Full automation of this sector will ensure service delivery information.” He added.

Muhammed Abdul Wahed Tomal, General Secretary, e-CAB said that the ecommerce sector in Bangladesh has got a tremendous growth right at this moment which was supposed to come in 2030.

“The growth momentum came at a faster rate due to Covid, he informed. Ecommerce is an integrated sector, agencies like Bangladesh Bank, NBR, LGRD, Commerce Ministry, ICT Division all are involved,” he said.

Regarding Escrow service he suggested to make it more automated and easy functioning.

“All the regulations should come under one umbrella in a combined manner,” he suggested.

Professor A. K. Enamul Haque, Professor, Department of Economics, East West University said the booming e-commerce ecosystem in Bangladesh can be termed as a revolution.
 
He said e-CAB can be empowered to deal with the fraudulent.
 
 “In terms of imposing regulations, we have to be cautious,”  He also suggested for a faster dispute settlement mechanism and rating system both for service providers and consumers.
 
Khairul Majid Mahmud, Director, DCCI, Sameer Sattar, former Director, DCCI and Riyadh Hossain, former Vice President, DCCI also spoke on the occasion. DCCI Senior Vice President N.K.A. Mobin gave the vote of thanks.