Effective branding, proper marketing strategies and stronger compliance support are essential for unlocking the export potential of Bangladesh’s cottage, micro, small and medium enterprises (CMSMEs), speakers said at a focus group discussion in Dhaka on Monday.

The discussion titled “Branding and Marketing Challenges for CMSMEs: Unlocking Export Potential” was organized by the Dhaka Chamber of Commerce & Industry (DCCI).

DCCI President Taskeen Ahmed said CMSMEs contribute nearly 28% to Bangladesh’s GDP, while in countries like Sri Lanka, Vietnam and Cambodia the figure is close to 50%.

Despite making up about 90% of Bangladesh’s industrial sector and employing around 11.8 million people, CMSMEs are struggling due to limited access to finance, weak infrastructure, shortage of skilled manpower, policy bottlenecks and lack of technology adoption,” he noted.

He also pointed out that recent additional tariffs imposed by the USA on Bangladeshi exports, particularly garments, will raise production and export costs.

Entrepreneurs must embrace innovation, efficiency and technology to reduce costs and stay competitive,” Taskeen said.

To strengthen the sector, he urged for policy support including certification and compliance facilitation, training, incentives for sustainable technology, product quality improvement, branding, cluster development, a CMSME database, as well as foreign investment in backward linkage industries.

Md Saiful Islam, Chairman of Bangladesh Small and Cottage Industries Corporation (BSCIC), said despite institutional challenges, BSCIC has been supporting entrepreneurs with industrial parks, low-cost finance and training.

He said efforts are underway to exempt holding tax for industries inside BSCIC parks and called for greater presence of Bangladeshi products on global e-commerce platforms like Amazon, eBay and Alibaba. He also stressed the need for attractive packaging and international certifications to enhance export opportunities.

Mohammad Hasan Arif, Vice Chairman & CEO of the Export Promotion Bureau (EPB), said local consumer mindset must change first to build a strong national image of Bangladeshi products abroad. He announced that EPB will soon launch an Export Ecosystem Platform and a CMSME Help Desk to provide entrepreneurs with comprehensive services, including focal points from relevant government agencies. EPB also plans to facilitate bilateral networking during international trade fairs and confirmed Bangladesh’s participation in a fair in Brazil next year.

Muhammad Mustafizur Rahman, Additional Director at Bangladesh Bank’s SME & Special Programmes Department, highlighted the importance of product logos, demand-driven design, promotional campaigns and celebrating success with consumers.

He informed that the central bank has issued a circular allowing entrepreneurs to access collateral-free loans of up to Tk 500,000.

As of December last year, 12% of total SME loans were provided without collateral,” he said.

Speakers at the discussion agreed that CMSMEs, with proper branding, technology adoption and compliance, could play a much stronger role in diversifying Bangladesh’s export basket and strengthening the economy.