Afterthought: “India Trade show” in Bangladesh

There was a symphony among Dhakai Saree with Murshidabad Silk, Indian jewelry with a label of “Made in Dhaka”. The rhythm of friendship and the tune of prosperity were floating inside the conference center. It was’ India Trade show’ in Dhaka from 3rd to 5th December. The theme of “Partnership and Progress” displayed at Bangabhondhu International Conference Center. The Indian apex trade body leader and the Bangladesh commerce minister GM Qader both admitted that there is an opportunity about $2 billion two way trade among India and Bangladesh.

Now we need to analysis the opportunities and the threats of intra border trade between India and Bangladesh. We all know that Bangladesh import some engineering goods, processed food, textile fiber, some amount agricultural items and equipment relating to transportation. And India import mostly jute bags, fish and some amount of textile from Bangladesh. This is very less in total business volume in the part of Bangladesh. Total trade deficit with India is huge for Bangladesh. 

But in changing economic situation new avenues are opening. India is also ready to increase import from Bangladesh. Some very important things are needs to review for that. India should essay the Visa norms with Bangladesh, infrastructure near border is very poor in both side. It needs to upgrade with high importance. India slashed its sensitive list under the South Asian Free Trade Agreement (Safta) . Now it is the time to implement the will force for the enhanced business cooperation. 

In other side Bangladesh need to improve infrastructure and bring strong corporate governess to welcome the business opportunity with India. Political stability and technological enhancement are highly required elements to reduce the trade deficit with India. Bangladesh should reduce import tariff to make more business with India.

 For both the nations the India Bangladesh rail lines should open. Roads and other infrastructure should develop. More and more business delegation should visit both the countries. India government should let Bangladesh business houses to open outlets at various cities in India. For Indian business houses have opportunities to start ventures in education, health care, steel, Pharmacy and many other items. India can import vegetables from Bangladesh. It will help to and pulses control the inflation to some extent. Leather bags knitwear can be imported. In other hand India can open cattle trade with Bangladesh. There is another opportunity for India to treat Bangladesh as an associate to produce finished goods from the semi-finished ones manufacturing in India and there after to export it from Bangladesh to USA and EU.  With such simple effort a good business relation can be developed between both the countries. Also this kind of effort will encourage the friendly atmosphere as well as develop economic prosperity to both the nations. 

By-Arindam Chatterjee