Bangladesh and India have embarked on a collaborative effort to enhance trade routes by utilizing each other’s ports for third-country trade. A delegation from Dhaka set out on Saturday to inspect Indian ports and engage with relevant authorities as part of this initiative.

Currently, Bangladesh exports goods via ports in Singapore, Sri Lanka, and Malaysia but eyes utilizing Indian ports in Tamil Nadu’s Chennai, Andhra Pradesh’s Visakhapatnam and Krishnapatnam, and West Bengal’s Haldia. India, in turn, plans to utilize Chattogram Port in Bangladesh for its own trade with third countries.

The 16-member delegation, led by SM Mostafizur Rahman from Bangladesh’s shipping ministry, includes representatives from shipping, commerce, foreign affairs ministries, and various trade bodies. They are scheduled to stay in India from July 6-12, visiting multiple ports and engaging in discussions with stakeholders.

India and Bangladesh have existing transhipment agreements allowing Bangladesh to use Indian infrastructure for exports to Nepal and Bhutan. Now, India seeks to export goods or facilitate imports through Chattogram Port’s Bay Terminal, currently under construction.

This bilateral effort follows high-level approvals and agreements reached during talks between Dhaka and New Delhi in December 2023. It involves reciprocal visits, with India planning to send its own delegation to Bangladesh after the current visit.

The Bay Terminal project at Chattogram Port, initiated a decade ago, aims to significantly expand port capabilities. Recently approved funding from the World Bank underscores its importance in regional trade dynamics. Scheduled for completion by 2027, it is expected to bolster logistics capacity for both countries, ensuring mutual economic benefits without favoring one nation over the other.

Prime Minister Sheikh Hasina’s 2022 visit to India catalyzed discussions on leveraging Indian ports for Bangladeshi exports to third countries. The ongoing collaboration is set to enhance regional connectivity and economic opportunities through strategic port development and mutual cooperation agreements.

Source: TBS News