Foreign investors in Bangladesh now can maintain foreign currency (FC) account in the name of their entity in Bangladesh. 

However, it will be a temporary account in nature and will be valid for 1 year only from the date of opening. Foreign investors may apply for a company in Bangladesh to start its business here and initial investments can be held in this account. If they already have their company in operation in Bangladesh, they may open FC account for further investment. However, local company will issue shares in compliance in time. 

The Fund held in the FC accounts shall be used only for permissible outward payments on account of capital expenditures including encashment in taka.

Under the new Trademarks Act, 2009 of Bangladesh, now the trademark owners from abroad can have and hold their Trademarks here even without having normal sales and imports of their goods in Bangladesh. Only advertisement and publicity, etc. will protect the “use” requirement of the mark in Bangladesh.

Also the High Court Division’s judgment has confirmed it [vide Major-General Amjad Khan Chowdhury (Retd.) vs. Parle Agro Products & another reported in 17 BLC (2012),Pages:730 to 740]. Our lawyers appeared for the case and we are pleased to add this welcome information for the convenience of the foreign trademark owners.

The Government of Bangladesh maintains offices of the Trademark Registry, in Dhaka and Chittagong; Patent & Design Office in Dhaka, and the Copyright Office in Dhaka at present. All the courts of District Judge in each district and the courts of Magistrates do take cases for judicial enforcement of various existing Intellectual Property laws of Bangladesh. The Supreme Court and the several courts of the High Court Division of the Supreme Court of Bangladesh hear the Intellectual Property appeal cases. From the above it is clear that Bangladesh is marching forward to be closely associated with the process of globalization of Intellectual Property Laws. In Bangladesh lately new laws have been drafted further modifying and modernizing the laws on Patent and Design; Trademarks; and Copyrights. We are pleased to say that we had been associated with the processing of the said laws which are being introduced with wider legal protections and scopes.

We keep constant watch on the present status and the future trends of Intellectual Property laws at home and abroad. We are associated with the country’s first incorporated Bangladesh Intellectual Property Law Society. This Society published the comprehensive book entitled Major International Laws for the Protection of Intellectual Property Rights, viii, 408 PP; 1999 which greatly helped the Intellectual Property officials and judiciary a better understanding of the relevant international laws and Conventions and the enforcement of the same in Bangladesh.

Bangladesh advanced 8 notches in global ease of doing business ranking to 168 out of 190 counties, according to a report of World Bank. The country rose to the rank of the 168th from 176th in the previous year, the WB said in its Doing Business 2020 report released today. The jump was aided by the country’s improved score in the areas of starting a business, dealing with construction permits, getting electricity, registering property, and getting credit.

“Taking rankings to double digit should be our target. For this, we have to accomplish a lot of tasks and those are ongoing. I expect our position will improve in the coming days,” Salman F Rahman said, adding that Bangladesh has been named as one of the top 20 reformers by the World Bank recently.

Despite improvement, Bangladesh remains just ahead of Afghanistan in South Asia. India topped the list with a ranking of 63rd, up from 77th a year ago. Bhutan is ranked 89th, followed by Nepal 94th, Sri Lanka 99th, Pakistan 108th, the Maldives 147th, and Afghanistan 173rd.

In a press release, the Bangladesh Investment Development Authority (BIDA) said Bangladesh made starting a business less expensive by reducing name clearance and registration fees, and abolishing the fee for certifying digital certificates. “This reform applies to both Dhaka and Chittagong,” it added. While getting electricity has also become faster because of investment by the government in digitisation and human capital. “Bangladesh also made getting electricity less costly by reducing the amount of the security deposit for a new connection. This reform applies to Dhaka.” It said expansion of coverage of the CIB improved access to credit information by borrowers.

The Doing Business score is 45.0, which is 2.5 percentage points higher than that of last year, according to the Doing Business 2020. BIDA said the government has taken a number of initiatives to improve reforms to ease process of doing business. This includes developing action plans, forming taskforces, coordinating reform initiatives among relevant government agencies; providing reform support to line agencies, conducting dialogues with private sector stakeholders, and monitoring reform progress, it added.

In a press statement, the WB citing Doing Business 2020 said Bangladesh carried out three business reforms during the past year, the most in a decade, and would need to accelerate the reform pace to further improve its regional and global competitiveness. “Improving the business environment is essential for Bangladesh to support private sector development, which will create more jobs and foster sustainable economic growth,” said Mercy Miyang Tembon, World Bank Country Director for Bangladesh.

“It would be important for Bangladesh to build on the recent achievement and further accelerate regulatory reform efforts to continue to improve the business climate.” The WB said the reforms enacted this year followed three years of inactivity. With 15 reforms since the inception of the Doing Business study in 2003-04, Bangladesh lags behind other economies in South Asia, it added. “Bangladesh ranks next to last globally on the enforcing contracts indicator and 184 out of 190 on the registering property indicator,” said the multilateral lender. Transferring a property title in Bangladesh takes on average 271 days, almost six times longer than the global average of 47 days. Resolving a commercial dispute through a local first-instance court takes on average 1,442 days, almost three times more than the 590 days average among OECD high-income economies.

To connect a new building to an electrical grid, a business needs to complete nine procedures, the most not only in the region, but also globally. Only two other economies in the world require nine steps to obtain a connection, it added.

The People’s republic of Bangladesh is a wide market of about 170 million consumers. At the same time, it is a booming economy, and the lack of international standardisation may put off potential foreign investors from entering the Bangladeshi market. It would be difficult for many foreign brands which are in demand here, to open shops in Bangladesh without adequate protection of trademarks and other intellectual property rights.

Bangladesh is a signatory to the Trade Related Aspects of Intellectual Property Rights (TRIPS) Agreement under the World Trade Organization (WTO), which came into force in 1995. It is also a member of the Paris Convention for the Protection of Industrial Property.

To respect intellectual property rights (IPR), Bangladesh has enacted intellectual property laws. It has incorporated the relevant provisions from international standards in this regard.

Bangladesh has enacted the following laws on IPR:

·         Copyright Act, 2000 (amended in 2005)

·         Patent and Design Act, 1911

·         Trademarks Act, 2009

·         Geographical Indication (Registration and Protection) Act, 2013

Patents: Under the Patents and Designs Act, 1911, the Department of Patents, Design and Trademark (DPDT) provides patent protection (registration) to the patent holders for 16 years on payment of prescribed fees. Duration of protection may be renewed for a further period. A patent confers on the patentee the exclusive privilege of making, selling and using the invention throughout Bangladesh and of authorizing others to do so.

Trade Marks: Under the Trade Marks Act, 2009, protection is granted for seven (7) years and it can be renewed after every expiry for further ten (10) years on payment of renewal fees.

Copyright: The Copyrights Act, 2000 (amended in 2005) provides protection to authors, artists or dramatists. Copyright law protects only the form of expression of ideas, not the ideas themselves. In order to get a copyright, the owner has to show that the work is original.

Industrial Design/ Design: Under the Patents and Designs Act, 1911, any person claiming to be the proprietor of any new or original design not previously published in Bangladesh may register the design. The registered proprietor of the design shall have copyright in the design for five (5) years from the date of registration.

Geographical Indication: Bangladesh has enacted ‘The Geographical Indication of Goods (Registration and Protection) Act, 2013’. In order to implement the Act, the Geographical Indication of Goods (Registration and Protection) Rules, 2015 has been enacted Registration of GI goods shall remain valid for indefinite period unless it is rescinded or otherwise declared void.

In the GI Act there are also provisions for producers/gatherers/manufacturers/processors of GI products to be registered as authorized users of these products. The duration of registration of authorized users of GI goods will be five (5) years and is renewable for a further period of 3 (three) years.

March, 2018, crossing over from the list of least developing countries (LDCs). Bangladesh has achieved all the three conditions that were needed to be a developing country. However, the announcement will be effective in 2024 – after being assessed by the United Nations Economic and Social Council.

Bangladesh is a signatory to the Trade Related Aspects of Intellectual Property Rights (TRIPS) Agreement under the World Trade Organization (WTO), which came into force in 1995. It is also a member of the Paris Convention for the Protection of Industrial Property.

It is now home to emerging businesses and many brands. But the question remains whether all these brands are safe from a potential IP threat.

The International Chamber of Commerce (ICC) observes the World Intellectual Property (IP) Day on April 26 every year to recognize the role that IP plays in encouraging innovation and creativity. The day raises awareness of how copyrights, patent systems, trademarks, and designs contribute to economic growth and innovation.

This year 2020, it has been themed to explore how a balanced and robust IP system can contribute to a green economy and encourage climate-friendly innovation to shape a net zero future.

According to the World Intellectual Property Organisation (WIPO), international patent filings for green energy technologies grew to 16,940 applications last year, representing a 1.3 percent increase from 2018. Despite this year-on-year increase, patent filings for alternative energy technologies have dropped by 18 percent since 2013.

It released a special video message to the ICC Commission on Intellectual Property, which emphasised the importance of IP rights in protecting against the manufacturing and dissemination of counterfeit essential medical supplies, such as facemasks and medicines.

In Bangladesh, according to the Copyright Act 2000, copyright claims can arise for literary works, dramatic works, musical works, artistic works (i.e. painting, sculpture, drawing, engraving or a photograph, a work of architecture and any other work of artistic craftsmanship), cinematographic films and sound recordings.

A trademark is a sign that can distinguish the products or services of one enterprise from those of others. In the ancient times, craftsmen used to put their signature or “mark” on their goods.  The Trademark Act 2009 and Trademark Rules 2015 are the key guideline with regard to trademark.

Please contact Doulah & Doulah, a full service IP and business law office in Bangladesh for Intellectual Property Registration (IPR) and advice on protection of your branding issues.