Despite working for nine months and holding seven meetings, the committee decided to leave the issue for a high level national forum for a final decision, sources said.

The issue of trade union activities in the export processing zones (EPZs) assumed importance when Washington threatened Dhaka with cancellation of generalised system of preference (GSP) facilities from January if it failed to allow the activities there.

"As the issue is very sensitive and important for the country's export and investment, the decision for introducing trade unionism in the EPZs could be taken at any high level national forum," the committee said in its final report to be presented to the prime minister soon.

The report was finalised at the seventh meeting of the body, chaired by State Minister for Labour and Employment Amanullah Aman, at the ministry yesterday.

Confirming the report, meeting sources said it would be placed before the next governing body meeting of Bangladesh Export Processing Zones Authority (Bepza) of which Prime Minister Khaleda Zia is the chairperson.

Aman was reluctant to give details of the committee meeting and its recommendations.

Emerging from the meeting, he told journalists that the committee report was yet to be finalised.

On recommendations of the committee, he said: "Everything necessary for the welfare of workers would be done."

Industry Secretary Shoaib Ahmed, Bepza Executive Chairman M Mofizur Rahman, representatives from labour, foreign, commerce and law ministries and the Board of Investment were present.

Bepza would seek time from the Prime Minister's Office on Saturday for the next board meeting, said its Executive Chairman Mofizur Rahman.

The report said government's move to convince the US to give another three years to allow trade unionism failed as the US trade representative officials turned down the proposal.

On trade union activities, the report said if the decision was taken, three labour related acts would have to be implemented in the exclusive industrial zones. The laws are: the Employment of Labour (Standing Orders) Act, 1965, the Industrial Relations Ordinance, 1969 and the Factories Act, 1965. The effectiveness of the laws was suspended in the zones by the Bepza act.

The report also illustrated probable positive and negative impacts of trade union activities in the zones.

The report saw chances of getting duty free market access to the US, negative image abroad, negative attitude of the US in signing agreements with Bangladesh, difficulties in getting US support in international forums and movement of buyers to other countries in the wings of trade unionism.

It also saw vulnerability of $675 million investment in country's six EPZs, negative impacts on future investment, decline in annual export of goods worth about $1.2 billion from the EPZs and drying up of business of several hundred mills and factories linked with the zones in the wake of allowing workers rights.