New Delhi: Bangladesh has approved the revised trade agreement with India allowing for the trans-shipment of goods through each others territories across land and water routes through a third country in the neighbourhood which will im immensely benefit North Eastern states and the whole region.
This will also remove a long-standing barrier to smoothening regional trade mainly among India, Bangladesh, Nepal, Myanmar and Bhutan- all surrounding the North East. Under the terms of the deal, India will now be able to send goods to Myanmar through Bangladesh.
The deal will be automatically renewed every five years if either of the countries don’t object. A cabinet meeting chaired by Bangladesh Prime Minister Shaikh Hasina approved the revised agreement late on Monday night and would be sealed during visit of either Narendra Modi to Dhaka or Hasina to India, official sources said.
Dhaka and New Delhi signed their original trade agreement in 1972 soon after the emergence of an independent Bangladesh. Under the terms of the deal, which had crucial Indian support but expired on March 31, trade could only be done between the two neighbours while India could transport goods to its NE states.
Bangladesh part it will now be able to use Indian roads, railways and waterways for the trans-shipment of goods to Bhutan and Nepal. Kathmandu and Thimphu already have identical agreements with India but Bangladesh’s trade with Nepal and Bhutan has been hindered for want of such a treaty with New Delhi.
Under the new deal, trucks from Nepal and Bhutan can enter Bangladesh through Indian corridors. Previously they were required to park at specific points along the Indian border where goods from Bangladesh would then be loaded. Officials said the proposed deal would be in force for five years instead of the existing tenure of three years and the fees and charges would be fixed through discussions between the two countries.
