Decision on transit fees for India today

The National Board of Revenue (NBR) has revised downwards its proposed transit fee from Tk 580 to Tk 130 per tonne of goods, officials said.
Additionally, the Roads and Highways Department (RHD) seeks Tk 1.02 per tonne per kilometre of haulage.
The new NBR proposal came as a government committee found the previous rate 'high' and requested it to reconsider, they added.
In the process of final calculations, government high-ups will sit today (Wednesday) to fix an aggregate transit fee as neighbouring India has been requesting Bangladesh to settle it as soon as possible.
The inter-ministerial meeting will also decide whether the provision of bank guarantee should exist or not as the NBR is firm on keeping it as a necessary measure to avoid inland diversion of goods in transit.
Shipping Minister Shajahan Khan will preside over the meeting which is expected to be attended by prime minister's economic adviser Dr Mashiur Rahman, principal secretary of the Prime Minister's Office Abul Kalam Azad and representatives of various ministries and departments concerned.
Sources said the NBR suggested that since there is no presence of facilities like scanning, automation, and escort at Angtihara, the entry point in Bangladesh from India, and the provision of merchant overtime charge is not applicable, the customs duty should come down to Tk 130 per tonne of transit goods.
In case of necessity of escort of containers, it said, some Tk 50 per tonne will be added up to total transit fee.
However, the revenue board says the charges on scanning, automation and escort will be applicable once the facilities can be ensured.
When contacted, NBR member Firoj Shah Alam did not want to comment on bringing down the amount of customs duty.
He, however, said: "There is no scope of waiving the provision of bank guarantee against transit of goods because of its necessity."
Sources said the Roads and Highways Department (RHD) sought Tk 1.024 per tonne per kilometre as charge for using the roads, based on 'lifecycle cost-recovery approach'.
The total amount breaks down as Tk 0.330 road including land cost, Tk 0.267 as emission charge, Tk 0.246 congestion charge, Tk 0.179 noise charge, and Tk 0.002 as administrative charge.   
They said Indian transit goods-laden vehicles will have to go some 39 kilometres by road through Bangladesh territory-from Ashuganj to Akhaura-to reach their destinations. Thus it will have to pay the RHD Tk 40 as charge for carrying per-tonne goods.
Officials said the meeting may advise both the NBR and the RHD to further reduce their proposed fees for transit goods.
Shipping secretary Shafique Alam Mehdi told the FE that discussions are on to set the transit fee taking into account all aspects. "The fees will be fixed based on national and international conventions," he said.
Asked about the provision of bank guarantee, Mr Mehdi said the issue is still under discussion.
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