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India this time wants to carry steel, fertiliser

Syful Islam | August 15, 2015 00:00:00


Ashuganj port

India has again sought transhipment facility at Bangladesh's Ashuganj river port to carry cargoes like fertiliser and steel to its landlocked eastern state of Tripura, pending a permanent transit arrangement, officials said.

Earlier, on humanitarian grounds, the neighbouring country had transported food-grains and over-dimensional cargoes (ODC) for power plants in its north-eastern states using the Bangladesh's port.

Shipping secretary Shafique Alam Mehdi acknowledged having received such request from India but said a decision from government high-ups would be needed prior to granting the facility.

"It won't be possible to give a decision on this issue from the ministry level. A policy decision from government high-ups will be sought," he told the FE Friday over telephone.

In January this year, India was allowed transhipment of 25,000 tonnes of food-grains through Akhaura over to its north-eastern states. Earlier, during August-November last year, it transported 10,000 tonnes of food on what was termed humanitarian grounds.

In both the cases India was given waiver of duties and port charges as Bangladesh allowed the transhipment as a 'good gesture'.

"While allowing transportation of 25,000 tonnes of food-grains we had decided that in case of next level of transhipment India would have to pay duties and charges. But we have yet to determine the rates," said Mr Mehdi.

He said: "We need to conduct in-house exercise first to fix the levies against transhipment facility for neighbouring countries. Then we will have to put it before cabinet."    

A senior official at the ministry of shipping (MoS) said this time around one Soham Commercial of Kolkata wants to transport 30,000 tonnes of fertiliser of Tata Chemicals Ltd from Haldia port to Tripura through Indo-Bangla protocol route.

They will require transhipment at Ashuganj into trucks and onward movement by road through the land customs stations at Akhaura or Agartala.

Besides, M/s Tata Steel has sought permission to transport steel cargo to Agartala through the Ashuganj river port. However, it did not mention how much cargo it wants to carry this time.

The Indian High Commission in Dhaka endorsed their applications and forwarded to the ministry of shipping through foreign ministry for consideration.

The MoS recently forwarded the applications to Bangladesh Inland Water Transport Authority (BIWTA) for its opinion.

In June this year, India requested an immediate meeting of the joint technical committee (JTC) so that transhipment of goods through Ashuganj river port could be started as soon as possible.

During the bilateral shipping secretary-level talks in New Delhi on April 20, the two sides agreed to form a joint committee comprising technical officials of the two countries to make decision about transhipment of cargoes at Ashuganj, bank guarantee for transit cargo, and amendment of the Protocol on Inland Water Transit and Trade (PIWTT).    

India wants to tranship goods through Ashuganj river port to feed its seven-sister states: Arunachal Pradesh, Assam, Meghalaya, Manipur, Mizoram, Nagaland and Tripura.

Another MoS official said India now wants to enjoy a permanent transit and transhipment arrangement to enter its remote states by crossing over Bangladesh territory.

Indian vehicles need to travel 1,650 kilometres to transport goods from Kolkata to Agartala through Guwahati. However, they will have to travel only 350 kilometres if they go through Bangladesh's Ashuganj port.

The Awami League-led government had formed a core committee on transit and transhipment which submitted a report to the PMO in January 2012, suggesting keeping open both the options -- transit and transhipment -- for neighbouring countries.

The committee identified nine land routes, nine rail routes, and five waterways for providing transit facilities to the neighbours.

However, the committee had suggested that the facilities should not be awarded at this stage without necessary infrastructural development.

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