Bangladesh has sought Indian investment in jute mills under “public-private partnership” to revitalise and modernise the sector.
This was discussed during the bilateral meeting of the two Prime Ministers – Sheikh Hasina and Narendra Modi – on Saturday in Dhaka.
Modi was in Dhaka for a two-day state visit on the occasion of the golden jubilee celebration of Bangladesh and the birth centenary of Father of the Nation Bangabandhu Sheikh Mujibur Rahman. This year also marks the 50 years of India, Bangladesh relations.
During the visit, both sides witnessed a number of initiatives to take the relations to a new height. Modi announced to give 1000 scholarships on the occasion of the 50 years of bilateral ties to Bangladeshi youths.
They also discussed trade and investment related issues for mutual growth.
According to the joint statement, “the Bangladesh side invited Indian investment in the jute mills of Bangladesh under public-private partnership as part of the government’s decision to revitalize and modernize the jute sector through manufacturing of value added and diversified jute products.”
“In this regard, the Bangladesh side urged more meaningful cooperation in this sector between both countries and requested India to withdraw the duties imposed on export of jute products from Bangladesh since 2017. The Indian side welcomed cooperation in the Jute sector. On anti-dumping duty on jute, Indian side agreed to look into the matter.”
To enhance trade between the two countries, both Prime Ministers underscored the need for removal of non-tariff barriers.
Bangladesh requested for lifting the new policy of Indian Customs stipulating verification of certificates of origin issued from Bangladesh.
The Indian side conveyed that under the provisions of the new Customs rules, in the event of a conflict between a provision of these rules and rules of origin of a trade agreement, the provisions of the rules of origin of the trade agreement shall prevail.
Further, for bilateral trade to flourish, both leaders stressed the need for predictability of trade policies, regulations and procedures.
Both Prime Ministers stressed the urgent need for up-gradation of infrastructure and facilities of the Land Customs Stations (LCSs) / Land Ports in a coordinated manner to facilitate trade between the two countries.
The Indian side reiterated its request for at least one major land port without port restrictions or with a negative list of restrictions, on the border with the North Eastern Region of India, [where feasible] for easier market access, starting with ICP Agartala-Akhaura.
The two Prime Ministers reiterated the importance of harmonization of standards and mutual recognition of agreements and certificates for enhancing bilateral trade. It was agreed that in the spirit of liberalising trade between the two countries, Bangladesh Standards and Testing Institute (BSTI) and the Bureau of Indian Standards (BIS) would collaborate for the capacity building and development of testing and Lab facilities.
The Indian side congratulated the Bangladesh side on its upcoming graduation from the LDC status. Recognizing the immense potential of bilateral economic and commercial ties, both sides emphasized on expeditious conclusion of the ongoing joint study on the prospects of entering into a Comprehensive Economic Partnership Agreement (CEPA).
The Indian side also urged the Bangladesh side to remove the existing practices against the Indian companies from participating in tenders floated by various Ministries and the agencies of the Government of Bangladesh.
Bangladesh side informed that there is no country-specific restriction in the process, according to the joint statement.
The two Prime Ministers welcomed the opening of new border haats at different locations and hoped that they would be mutually beneficial for the economic development of the people living along the remote and inaccessible points of the border of both countries.
Three border haats – Nalikata (India) – Saydabad (Bangladesh); Ryngku (India) - Bagan Bari (Bangladesh) and Bholagunj (India) – Bholagunj (Bangladesh) – were opened during the visit.
