Bangladesh urges India to step up investments in its SEZs

Addressing a session on "Indo-Bangladesh Transport Synergies for Generation of Seamless Business Environment" at the CII East India Summit on Wednesday, Toufique Hasan, Deputy High Commission of Bangladesh in Kolkata, said his country has offered various incentives to lure investments into its SEZs.

These incentives include exemption from income tax, VAT, customs duty and stamp duty, removal of ceiling on FDI,  elimination of curbs on the issuance of work permits as well as resident visas and citizenship for investments over a certain limit, Hassan said.

He underscored that his country is one of the fastest-growing economies, ranking 43rd in terms of GDP in 2020, predicting an upscale to 23rd in 2050.

The representatives of the business community of Bangladesh stressed that seamless transport connectivity between India and Bangladesh can bolster trade between the two countries.

They opined that smooth trans-border connectivity can readily boost up national income by as much as 17% in Bangladesh and 8% in India.

President of India-Bangladesh Chamber of Commerce and Industries, Abdul Matlub Ahmad, Vice-President of Federation of Bangladesh Chambers of Commerce and Industries Mohammad Amin Helaly, and CEO of Sharothi Enterprise Motiar Rahman agreed upon the utilities of transport integration agreements between Bangladesh and India.

They noted that such agreements represent a significant step toward the creation of a cross-border harmonized transport market, connecting local markets to regional corridors and removing logistics bottlenecks in export-oriented value chains.

The aim of the cooperation between India and Bangladesh, in particular, should be to utilize the available resources optimally to provide maximum welfare in the whole region, they said.

The rationale for such cooperation lies in removing visible and invisible trade barriers and exploiting the complementarities for mutual benefit, they stressed.

The "Maitri Setu”, a bridge across the Feni river on the Indian boundary between Tripura and Bangladesh has indeed paved a pathway towards accessibility to the port of Chittagong in Bangladesh, bridging its inlet to North Eastern Corridor, they said.

As a major highlight to the discussion, Bangladesh representatives at East India Summit have expressed interest in collaborating with CII for framing overall national logistic development policy supported by higher investments in infrastructure to enhance Indo-Bangladesh competitiveness in various areas of Trade and Business.

Bangladesh called for CII support as an advisory body to develop a " Cross Border Logistic Masterplan " in a targeted, coordinated, and time-bound manner, to be implemented with close supervision from the highest level.