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'Fraud' in exporting jute products to Netherlands

Bangladeshi company Seconds Industry Limited deal with Interbulk Packaging BV of the Netherlands to export jute sacks.

Bangladeshi company Seconds Industry Limited deal with Interbulk Packaging BV of the Netherlands to export jute sacks. The Bangladeshi company received advance payment, but didn’t export the jute sacks. It hasn’t been contacting the Dutch company more than three months either.

The Dutch company informed Bangladesh that if they do not receive the products or if the advance payment is not returned as per the contract, they will sue the Bangladeshi company. Interbulk Packaging has already sent a letter along with documents and evidence to the Bangladesh mission in the Netherlands requesting a settlement of the issue.

Officials at the Bangladesh embassy in the Netherlands informed Prothom Alo of matter recently. The embassy sent letters to the commerce and the foreign ministries, the Export Promotion Bureau and the traders’ apex body Federation of Bangladesh Chambers of Commerce and Industries (FBCCI) to resolve the issue.

Bangladesh ambassador in the Netherlands Muhammad Riaz Hamidullah told Prothom Alo on Friday over cell phone that Interbulk is one of the leading commercial enterprises in the Netherlands. The company has been importing jute and jute-processed products for 23 years for the packaging of agricultural products.

Export of Bangladeshi products to the Netherlands even continues amidst the COVID-19 pandemic. The issue should be settled soon to keep the (international) market of the domestic products as well as for the sake of the image of Bangladesh, he added.

According to the records of Export Promotion Bureau, Bangladesh exported products worth USD1.1 billion to the Netherlands in 2019-20 fiscal year, accounting for 3 per cent of the South Asian country’s total export.

After talking to the Bangladesh mission in the Netherlands and the officials at the Dutch company, it is learned that the embassy first came to know about the fraud at the beginning of January. Then Interbulk sent a letter on 15 January officially.

The Dutch company alleged that Seconds Industry of Purana Paltan, Dhaka, took USD 2 million (Tk 17 million) in advance to export jute sacks. They extended time for three times to supply the products but didn’t do so. The also stop contacting since last October.

The Dutch company now suspects the Bangladeshi company not only cheated them but also with several other companies.

When attempts were made to contact managing director of Seconds Industries Limited, Imrul Kayes, he didn’t respond to the phone calls.

Interbulk Packaging, in its letter, requested the Bangladesh embassy to take measures over the trade dispute. Besides, they also recommended that the government of Bangladesh blacklist Seconds Industry if the company doesn’t repay the advance. Requests were also made to seize the passports of the responsible officials of Seconds Industries.

If the government of Bangladesh fails to settle the issue within the shortest possible time they will file a lawsuit against the exporter after informing the concerned authorities in the Netherlands government, Interbulk’s letter said.

*This report appeared in the print and online edition of Prothom Alo and has been rewritten in English by Hasanul Banna.