JBS Vol 02. Num 1. 2000 - COMPLEMENTARITY BETWEEN INTERNATIONAL MIGRATION AND TRADE: A CASE STUDY OF BANGLADESH

Munir Hassan
Abstract

During the past few decades, international migration has assumed much prominence in the economics literature. 
Both migrant receiving and sending countries have used trade, aid, and investment as disincentives to migration. A 
more recent view is that international migration is a complement to commodity trade. Migrants bring with them not 
only new skills and training but also cultural values, tastes, and preferences. Their presence abroad creates a new 
export market for labor-exporting countries. This paper is based on an empirical study that examines the role of 
international migration as a complement to trade. The experience of Bangladesh shows that a complementarity 
between international migration does exist. This is particularly true for the export of items such as fish, vegetables, 
fruits, feature films, books, magazines, handicrafts, and ceramic products. Such a complementarity is reinforced by
the level, concentration, and composition of migrants, as well as the duration of the process of migration. A greater
concentration of migrants in a particular location helps market development. A longer duration enables a gradual
broadening of commodity composition of exports. The migration-trade link is also affected by trade policies.