Daily News Analysis » Bangladesh’s PM Visits India

Bangladesh’s PM Visits India

Recently, Bangladesh Prime Minister Sheikh Hasina visited India.

Why in the News?

Recently, Bangladesh Prime Minister Sheikh Hasina visited India.

Key Points:

Outcomes of Visit:

    • India and Bangladesh will soon commence negotiations on a Bilateral Comprehensive Economic Partnership Agreement (CEPA).
  • Focus Areas of CEPA:
      • Trade in goods, services, and investment and reduction of the trade gap between the two countries. 

What is the Comprehensive Economic Partnership Agreement (CEPA)?

  • A partnership agreement or cooperation agreement is more comprehensive than a Free Trade Agreement.
  • CEPA also looks into the regulatory aspect of trade and encompasses an agreement covering the regulatory issues. 
  • CEPA covers negotiation on the trade in services and investment and other areas of economic partnership. 
  • It may even consider negotiation in areas such as trade facilitation and customs cooperation, competition, and IPR.
  • India has signed CEPAs with South Korea and Japan.
  • India and Bangladesh signed seven Memorandum of Understandings (MoU) namely:
  • water sharing of the Kushiyara river.
  • Council of Scientific and Industrial Research (CSIR), India and Bangladesh Council of Scientific Industrial Research (BCSIR).
  • National Judicial Academy, Bhopal and the Bangladesh Supreme Court.
  • India will train personnel of Bangladesh Railways in the Indian Railways’ training institutes.
  • IT solutions to Bangladesh Railways.
  • Bangladesh Television and Prasar Bharati.
  • cooperation in space technology and scientific and research collaboration.
  • Inauguration of Rupsha rail bridge ( 5.13-km) which is a key part Khulna-Mongla Port single-track broad gauge rail project.
  • Development of Maitree Power plant with Indian Development Assistance under the Concessional Financing Scheme.
  • Boosting Bilateral Rail Connectivity: India would supply road construction equipment and machinery cross-border rail at Birol (Bangladesh)-Radhikapur (West Bengal).
  • A Khulna-Darshana railway line link project

Brief Overview:

India- Bangladesh Cooperation

  • Under South Asian Free Trade Area (SAFTA), Bangladesh extends preferential tariffs to Indian exports of products outside the ‘sensitive list’ of 993 items.
  •  India is Bangladesh’s second biggest trade partner and its largest export market in Asia.
  • A Protocol on Inland Waterways Trade and Transit (PIWTT) has been in place since 1972 to facilitate trade and transit through inland waterways.
  • Currently, four Border Haats — two each in Meghalaya (Kalaichar and Balat) and Tripura (Srinagar and Kamalasagar) — are functional between India-Bangladesh.

Conclusion:

  • The spirit of comradeship of 1971 remains the foundation stone of the two countries’ ties.
  • From having shared historical, social, and cultural affinities to working towards fulfilling common interests, India-Bangladesh ties have always been marked by the salient values of openness, mutual trust, cooperation, and mutual respect. 
  • Bangladesh is central to India’s “Neighbourhood First Policy”, particularly given the outreach made by China through its Belt and Road initiative (BRI).
  • Only India’s proactiveness in South Asia would keep both China and Pakistan in check.