Enabling ease of trade, Bangladesh nods on agreement on Chattogram, Mongla ports with India

Dhaka, September 18: Enabling feasible trading, the Bangladesh cabinet approved an agreement with India enabling the country to use Chattogram and Mongla ports for goods movement to and from India giving a major boost to strengthen bilateral ties. The agreement would permit India to use these ports to carry goods to their North Eastern states in a very short time.

Prime Minister Sheikh Hasina approved the proposal on Monday. Briefing the media, Cabinet Secretary Md. Shafiul Alam said that the draft suggested the agreement to be effective for five years with a provision of auto-renewal for another five years (while) either of the countries could cancel it giving six-month notice.

Four routes were suggested for the goods movements which are – Chattogram Port/ Mongla Port-Agartala via Akhaura; Chattogram/Mongla-Daouki via Tamabil; Chattogram/ Mongla-Sutarkandi via Sheola; and Chattogram/Mongla-Bibekbazar via Simantapur.

According to the agreement, only Bangladeshi vehicles and vessels would be used to carry the goods inside Bangladesh. Primarily the agreement will be signed between Bangladesh and India while Nepal and Bhutan can also join the pact. He said, “The neighboring country, however, would have to follow the international rules and General Agreement on Tariff and Trade (GATT) as well as Bangladeshi laws and rules in carrying the goods.”

The agreement suggested Bangladesh’s tax authorities would take bond equivalent to duties and taxes from Indian companies while charges, fees and carrying cost will be charged according to GATT principle in addition to regular duty and taxes.

The draft deal said Bangladesh authorities would use tracking systems like global positioning system (GPS), e-lock and e-seal to identify the goods carrying vessels.