The International Chamber of Commerce, Bangladesh (ICCB) has expressed concern that the export activities of Bangladesh may be hampered due to the Russia-Ukraine war. Such concerns were expressed in an editorial in the organisation’s quarterly editorial published on Thursday (7 July).
According to the ICCB, developed countries are experiencing the highest inflation in decades. To deal with this situation, countries are taking strict measures to control costs, which will reduce consumer demand. Such a move is a matter of concern for Bangladesh, as these countries are significant export destinations for Bangladesh. Bangladesh is already reeling from the effects of the war, with inflation reaching 7%, the highest in decades. This is due to a drop in exports to Russia and Ukraine as well as a rise in import bills, mainly for oil and food.
According to the editorial, the price of oil and natural gas rose sharply after the Russian military operation in Ukraine. This is expected to increase further this year. The energy supply crisis reminded the world of the oil crisis of the 1970s, which stalled global growth despite rising inflation.
It was mentioned in the ICCB editorial on the impact of the war that according to the World Food Program (WFP), about 27 crores and 60 lac people are facing severe food insecurity. According to estimates by the Food and Agriculture Organization (FAO), 1 crore and 10 lac to 1 crore and 9 lac more hungry people may be added to this number due to the impact of war.
According to the FAO, increased costs of farm inputs such as fertilisers could prevent farmers from expanding production and worsen food security in poor countries facing record import bills. As a result, some countries in sub-Saharan Africa and Asia, such as Bangladesh and Indonesia, may also be affected.
As noted in the editorial, the International Chamber of Commerce and its 4 crores and 50 lac members in more than 100 countries called on the superpowers to abandon the struggle for global supremacy at the expense of human suffering, millions of lives, and continued impediments to global growth.
