Terrorism, trade to top India-Bangladesh talks

Terrorism and trade are expected to figure high on the agenda during External Affairs Minister Pranab Mukherjee’s visit to Bangladesh on February 7-8.

Mukherjee’s visit comes after Sheikh Hasina’s Awami League swept the December 2008 elections. After taking oath as prime minister, Hasina had vowed to root out terrorism from Bangladesh. This holds significance as Pakistan’s investigating agencies today alluded to Bangladesh-based Harkat-ul-Jihad-al Islami’s (HuJI’s) link to the Mumbai terror attacks. Also, many insurgent groups operating in the North-East use Bangladesh as their base.

On trade and economy, India is keen on securing transit routes through Bangladesh to Myanmar and the greater South-East Asian region. New Delhi is also interested in using port facilities in Chittagong and Cox Bazar. However, the gas pipeline project from Myanmar to India via Bangladesh has been kept in the cold storage for now.

 

Speaking at a CII round table on January 30 on trade and economic cooperation between India and Bangladesh, Research and Information System for Developing Countries (RIS) Director-General Nagesh Kumar had said that there was a need for “ trade-moderating exercises” with the need of the hour being better transit infrastructure so that “Indian enterprises can look out to develop export capabilities in Bangladesh. The interested corporations should avail of location advantage by operating out of exports promotion zones, with an added advantage of marketing 10 per cent of the produce in Bangladesh.”

Rajeev Kher, joint secretary in the commerce ministry, said Bangladesh wanted India’s help to improve its railway network as well as power and energy sectors.

PTI reports: The new government today approved a proposed bilateral investment development and protection agreement and decided to renew a 1980 trade agreement with India, apparently paving the way for signing a transit deal between the two neighbours.

A cabinet meeting approved the deals, which officials said could be signed during the visit of Mukherjee next week.

Also, the scheduled two-day visit of Mukherjee could be reduced to one day in view of his extra responsibilities because of the ailment of Prime Minister Manmohan Singh, diplomatic and foreign ministry sources said in Dhaka.

“The government is ready to sign more such agreements in the interest of the country and people’s welfare,” Hasina briefly told reporters after the meeting.

The joint trade and investment agreement would allow businessmen from the two countries to invest in businesses on both sides of the border.