Infrastructure facilities such as warehouses, power supply, telecommunications and cold storage facilities at land customs stations along the border will be improved to increase exports to India, said officials of the commerce ministry.
As part of the initiative, the government will urge the Indian authorities to provide effective market access by removing non-tariff and para-tariff barriers, which hinder bilateral trade between the two countries.
Certain non-tariff and infrastructural bottlenecks are hindering trade between India and Bangladesh, the officials explained.
“Physical infrastructure facilities like warehouses, power supply, telecommunications, and cold storage facilities at land customs stations across the border will be improved for exploring the highest potential of bilateral trade,” the officials added.
A top businessman, who is accompanying Prime Minister Sheikh Hasina on her visit to India, told The Independent that though they were cooperating with their counterparts, the Indian side often did not reciprocate.
The businessman also said they required at least 25 days to get any feedback from the Indian side about the standard of products, as they had no office in Kolkata or Siliguri.
Earlier, during a visit to India in January 2016, commerce minister Tofail Ahmed had urged India to remove tariff and non-tariff barriers to increase Bangladesh’s exports to India. “It is urgent to increase trade cooperation between the two countries by removing the barriers,” he said. As part of the initiative to promote trade and investment, a 200-member business delegation had gone to India.
In order to increase exports to India, the government plans to organise buyer-seller meets between the two countries to strengthen existing bilateral trade and increase the volume of trade. The commerce ministry officials said for the expansion and consolidation of the existing market for Bangladeshi products, there was a need to participate more in Indian trade fairs.
Bangladesh may seek Indian assistance for developing human resources in sectors like trade and investment, sources said, adding, “Bangladesh may request India at the meeting of the Federation of Indian Export Organisations (FIEO) for more scholarships for people in the business sector.”
Talking to The Independent, Centre for Policy Dialogue (CPD) director Prof. Mustafizur Rahman emphasised infrastructure development, including the upgrade of the Bangladesh Standard Testing Institute (BSTI), the modernisation of land ports and increased connectivity.
He, however, praised the Bangladesh, Bhutan, India and Nepal (BBIN) Motor Vehicle Agreement, saying it was expected to play a pivotal role in boosting trade in this region.
Bangladesh mainly exports raw jute, jute goods, jute yarn twine, cane molasses, light engineering products, frozen fish, furnace oil, sacks and bags, cement, betel nuts, knit and woven garments, jute garments, cut flowers, soybean oil, copper wires, processed food, soaps and toiletries, Jamdani sarees, mosquito nets, accumulator batteries, etc. to India.
On the other hand, Bangladesh imports live animals, prepared foodstuffs, cereals, vegetables, mineral products, products of chemical or allied industries, plastic and articles made of such material, textiles and textile articles, wood pulp, articles of stone, base metals, vehicles and transport equipment, etc. from India.
According to the Export Promotion Bureau, Bangladesh exported goods worth USD 527.16 million in FY 2014–15, and worth USD 456.63 million in FY 2013–14, while it imported goods worth USD 5,811.90 million FY 2014–15, and worth USD 6,034.80 million in FY 2013–14.