BD, Bhutan to sign preferential trade accord

Bangladesh and Bhutan have agreed to sign a preferential trade agreement (PTA) for mutual benefits of the two countries, a senior trade official said.
"We discussed the issue and laid emphasis on signing of the PTA," Senior Secretary of the Ministry of Commerce (MoC) Mahbub Ahmed told the FE Saturday on return from Thimphu after attending a Commerce Secretary level meeting on April 9-10 last in the Bhutanese capital.
He said that the two countries would sit soon to push the PTA issue forward that would ensure benefits of the two neighbours.
The Senior Secretary said during the meeting they had discussed issues of mutual interest.
They also discussed duty free/preferential market access and trade facilitation issues, institutional mechanism to streamline financial transaction/ trade payment for smooth flow of trade and duty-free export of some products from both the sides.
Mr Ahmed said Bangladesh could earn revenue by allowing Bhutan to use the country's roads, sea and airports. This would also help the country to reduce trade gap with Bhutan.
Earlier during the last meeting in Dhaka last year, the Bhutanese delegation proposed to Bangladesh to allow its roads, airports and seaports for transit.  
"Bhutan proposed to us to use our roads, seaports and airports to carry their goods to their country through India. Bangladesh could earn revenue by providing such a facility to Bhutan. This would help reduce trade gap with Bhutan," the Senior Commerce Secretary said.
Bhutan is interested to use seaports and airports in Bangladesh along with five additional land customs (LC) stations under the proposed protocol on transit.
"We discussed bilateral issues such as import of electricity from Bhutan and cooperation in tourism sector," he said.
The Secretary-level meeting takes place annually between the two countries. The last meeting was held in Dhaka in March 2013.
Bangladesh and Bhutan had signed a temporary transit deal in 1980, which expired in 2000. Bhutan has requested Bangladesh to renew the deal.
Earlier on February 11, 2013 an inter-ministerial meeting had approved the draft recommendation on allowing transit to Bhutan to boost regional trade in South Asia.
The bilateral trade agreement between the two countries was first signed in 1988 and renewed in November 2009 which will expire in November 2014.
"They have requested us to extend the trade agreement," the Senior Secretary said.