Bangladesh can trade with third country through India

The government has endorsed a proposed amendment to an agreement with New Delhi that will facilitate trade with a third country by using India’s land, water, and rail routes.

The Cabinet cleared the amendment to the India-Bangladesh Trade Agreement on Monday at a meeting with Prime Minister Sheikh Hasina in the chair.

The government says the agreement will enable Bangladesh to transport goods to and from any third country like Nepal and Bhutan using India’s highway, waterway and railway.

India can enjoy the same facilities to trade with a third country through Bangladesh.

Speaking to reporters, Cabinet Secretary Md Mosharraf Hossain Bhuiyan termed the amendment ‘a big success for Bangladesh’

He said the two countries would determine the fees for the facilities.

Bhuiyan said the commerce ministry had placed the amendment proposal before the Cabinet.

He said: “Under the existing agreement, Bangladesh and India can trade between them using each other’s land, water and rail routes.

“Following the amendment, the two countries will be able to use each other’s land, water and rail routes to trade with any third country.”

The cabinet secretary said two articles had been added to the draft of the amendment.

The tenure of the agreement was three years. “Now it will be five years. It will be renewed automatically in absence of any objection from either side,” he said.

Bhuiyan said the two sides could amend the agreement again, if needed.

The agreement was signed in 1972 and renewed several times before it was penned anew in 2009.

The agreement expired on Mar 31, but it will be deemed effective from Apr 1 following the formalities.