India and Bangladesh hold Commerce Secretary Level Meeting
- A Commerce Secretary level meeting between India and Bangladesh was held in New Delhi recently
- Issues of mutual interest were discussed between both sides during meeting
- Both sides appreciated significant growth in the bilateral trade between the two countries in recent years
Developments during meeting
- Trade facilitation: trade will be facilitated between India-Bangladesh through railways
- Integrated Check Post (ICP): 24x7 operationalization of Petrapole-Benapole Integrated Check Post (ICP) to be implemented
- Regional connectivity: it will be strengthened between the two countries through multi-modal transport
- CEPA: Joint Study on Comprehensive Economic Partnership Agreement (CEPA) to be finalised at the earliest
Other issues discussed during Meeting
- Development of railway infrastructure, port infrastructure, Border Haats, Harmonisation of Standards and Mutual Recognition Agreement
Economic cooperation between India and Bangladesh
- Bangladesh is the 6th largest trade partner of India
- Exports of Bangladesh: apparels and clothing, textile fabrics, paper yarn/woven fabrics of paper yarn, animal/vegetable fats and oils, fish etc.
- Exports of India: cotton, electrical machinery, vehicles, iron and steel, plastic and related articles etc.
- Meetings of various institutional mechanisms to promote bilateral trade: Secretary level meetings of Commerce and shipping ministries, LCS/ICP infrastructure and establishment of Indian Economic Zone etc.
- India-Bangladesh Textile Industry Forum: to enhance linkages and collaboration in the textile sector.
Development Partnership between India and Bangladesh
- Bangladesh is the biggest development partner of India .
- Line of Credits: India has extended 3 Lines of credit in the last 8 years of US$ 8 billion for development of infrastructure (roads, railways, shipping and ports etc).
- Grant assistance to Bangladesh for infrastructure projects :
- construction of Akhaura-Agartala rail link,
- dredging of inland waterways in Bangladesh and
- construction of India-Bangladesh Friendship Pipeline.
- Small Development Projects (SDPs): India funded 55 SDPs like academic buildings, cultural centres,orphanages etc.
- High Impact Community Development Projects (HICDPs): India funded 68 HICDPs including construction of student hostels, academic buildings, skill development and training institutes, cultural centres, and orphanages etc and another 16 HICDPs are being implemented.
Military cooperation
- Armed forces from both sides regularly conduct joint drills like MILAN.
- India extended a $500 million line of credit for defence imports from India.
- Sampriti Exercise: bilateral defence coop. exercise between armies of both countries which was started in 2009.
Connectivity
- Rail links: Both are restoring the pre- 1965 rail links like in Haldibari in India and Chilahati in Bangladesh and work on Akhaura-Agartala rail link, Khulna-Mongla is underway.
- Passenger train: Frequency of 2 passenger trains, i.e., Maitree Express and Bandhan Express increased.
- Side-door container and parcel trains: To maintain uninterrupted supply chains during the COVID-19 pandemic.
- Gauge diesel locomotives: 10 broad gauge diesel locomotives handed over by India as part of grant assistance to Bangladesh Railways
- Bus service: Dhaka-Siliguri-Gangtok-Dhaka and Dhaka-Siliguri-Darjeeling-Dhaka.
- Feni Bridge (Maitree Setu): 1.9 km bridge built over Feni river joining Sabroom, India & Ramgarh, Bangladesh.
- Aim: To facilitate trade and people to people movement.
- Its name symbolises growing bilateral relations and friendly ties b/w the 2 countries.
- Bangladesh, Bhutan, Nepal and India (BBIN), Motor Vehicles Agreement (MVA), 2015: For regulation of passenger, personnel and cargo vehicular traffic among four South Asian neighbours.
- Inland routes and ports: Bangladesh granted permission to use its inland route and ports of Chittagong and Mongla for trans-shipment of goods to northeast Indian states.
Challenges in the relationship
- Cross-border Migration: Illegal migration from Bangladesh leads to demographic shifts in bordering states in the North East which gives rise to socio-ethnic tensions among locals and migrants.
- National Registration of Citizens (NRC) issue: Bangladesh has concerns about influx of 1000s of people across the border following deportation.
- Water Disputes: 54 common rivers including Ganges and Brahmaputra.
- So there are Issues over sharing of river waters, interlinking of rivers and building of dams.
- Rising Radicalization: Presence of groups like Harkat-alJihad-al-Islami (HUJI), Jamaat-e-Islami, and HUJI-B fuel anti-India sentiments in Bangladesh.
- Cross border crime: Tough terrain, porous border leads to smuggling of arms, narcotics, fake Indian currencies, cattle and trafficking of women and children.
- China factor: China sees Bangladesh as a strategic focal point to make inroads into South Asia as an alternative to India.
- Heightened level of China-Bangladesh ties leads to increased India’s security vulnerabilities in the critical northeastern region (around “Siliguri Corridor”).
- Delay in project execution: Till 2017, India extended 3 lines of credit of ~ $7.4 billion.
- However, less than 10% of cumulative commitments were dispersed so far.
Way Forward
- Deepening relationship with Bangladesh is a necessity for shifting geo-economics.
- There is a need to address the issues of mutual interest and effective border management for ensuring a tranquil, stable and crime free border.
- Both countries need to work on 3Cs — cooperation, collaboration, and consolidation for fostering bilateral relations