Indian market must open up to Bangladesh

Prime Minister Sheikh Hasina's visit to India is an opportunity to qualitatively transform bilateral ties by resolving all outstanding issues and New Delhi should make substantive concessions to allow more goods from Dhaka to Indian market, leading foreign policy analysts say.

New and positive dynamics characterise relations between the two countries and the main reason for that is the shared values between the two governments, former Indian High Commissioner to Bangladesh Veena Sikri told The Daily Star.

“Both countries are looking at issues jointly, seeking a common perspective that is the first step to win-win solutions," she said.

The qualitative improvement in ties between Bangladesh and India has potential to revitalise relationships throughout South Asia, which in turn will make Saarc and Bimstec more effective, Sikri said.

“I wholeheartedly support substantive concession to access for goods from Bangladesh to Indian market together with a work-plan for connectivity through the entire sub-region of Bangladesh, Northeast India, Nepal and Bhutan," says Sikri, now a professor of Third World Studies in Jamia Milia University.

Sikri says water resources and trade sectors are expected to see major announcements during Hasina's visit.

Strategic affairs analyst Dr C Raja Mohan also asks India “to open its market more generously to products from Bangladesh”.

As Hasina reaches Delhi today, a big moment is at hand for one of India's "most important but difficult bilateral relationships” and India and Bangladesh “now seem poised to construct a positive partnership”, he says.

Both Sikri and Mohan agree the Hasina government has proceeded in the right manner in putting ties with India on a stronger path by addressing New Delhi's security concerns and agreeing to cross-border trade in electricity.

Sikri suggested that India should allow transit facility to Nepal and Bhutan to use Bangladesh's Mongla Port by incorporating Bhutan and Nepal in a bilateral multi-modal trade and transport agreement.

“Through such an agreement, Bangladesh can emerge as the transport hub to service the entire sub-region comprising Northeast India (and West Bengal), Nepal, Bhutan and Bangladesh”, she suggests, adding “a four-country transport logistics company can be established in Bangladesh to move goods within this sub-region”.

The resultant benefit to Bangladesh from trade in services is the best way to compensate for any deficit in trade in commodities, Sikri says.

via Daily Star...Bangaladesh